Financial Performance - The net loss for the year ended December 31, 2024, was $47.0 million, compared to a net income of $100.5 million for the same period in 2023, primarily due to a goodwill impairment of $104.2 million[272]. - The efficiency ratio significantly worsened to 88.99% in 2024 from 49.12% in 2023, reflecting increased operational costs[266][271]. - Net interest income decreased to $288.7 million for 2024, a 1% decline from $290.5 million in 2023, primarily due to increased interest expenses on deposits and borrowings[284]. - Total noninterest income in 2024 was $19.9 million, representing a 7% decrease from $21.5 million in 2023[284]. - The return on average assets (ROAA) was (0.38)% in 2024, down from 0.84% in 2023, primarily due to the goodwill impairment[282]. Asset and Loan Portfolio - As of December 31, 2024, the Company had total assets of approximately $11.1 billion, total loans of $7.9 billion, and total deposits of $9.1 billion[248]. - Total assets decreased from $11.66 billion in 2023 to $11.13 billion in 2024, a reduction of approximately 4.5%[265]. - The loan portfolio remained relatively flat at $7,934,888 thousand as of December 31, 2024, a decrease of $33,807 thousand or 0.4% from $7,968,695 thousand in 2023[333]. - The composition of the loan portfolio includes 83% related to real estate, with 66% being non-owner occupied commercial real estate as of December 31, 2024[334]. - The Company maintained a commercial real estate (CRE) loan portfolio of $6.5 billion, representing 81.5% of total loans, compared to $6.1 billion or 77.0% at December 31, 2023[340]. Credit Losses and Allowance - The provision for credit losses increased by $34.8 million, totaling $66.4 million for 2024, compared to $31.5 million in 2023[265][272]. - The allowance for credit losses increased to $114.4 million in 2024, up from $85.9 million in 2023, reflecting a higher risk environment[265]. - Nonperforming assets and loans 90+ days past due rose to $211.4 million, representing 1.90% of total assets, compared to 0.57% in 2023[266]. - The Company recorded net charge-offs of $38.6 million in 2024, up from $18.9 million in 2023, reflecting increased credit losses[266]. - The coverage ratio for allowance for credit losses to total nonperforming loans decreased to 55% in 2024 from 131% in 2023[376]. Deposits and Funding - Total deposits reached $9.1 billion at December 31, 2024, marking a 4% increase from $8.8 billion in 2023, driven by a $558.2 million rise in interest-bearing time deposits[387]. - Noninterest-bearing deposits fell by $734.7 million, or 32%, to $1.5 billion in 2024, while interest-bearing deposits increased by $499.5 million, or 12%[388]. - Brokered deposits increased to $4.0 billion, or 43.61% of total deposits, as of December 31, 2024, compared to $2.5 billion, or 28.8% of total deposits, in 2023[393]. - The Company had total borrowings of $600.8 million, a decrease from $1.4 billion in 2023, reflecting a strategic shift in funding sources[398]. - The average daily balance of customer repurchase agreements increased to $37.9 million in 2024 from $36.7 million in 2023[398]. Market Conditions and Economic Outlook - The Company experienced a 3.1% real U.S. GDP growth in 2024, compared to 3.3% growth in 2023, despite inflationary pressures and higher interest rates[245]. - The unemployment rate in the U.S. increased to 4.0% at the end of 2024, up from 3.7% at the end of 2023[245]. - The ten-year U.S. Treasury rate averaged 4.21% in 2024, up from 3.96% in 2023, indicating an increase in longer-term interest rates[246]. - The Federal Reserve decreased interest rates by a total of 100 basis points in September 2024 and the fourth quarter, which had minimal impact on net interest margin for most of the year[428]. - The Company remains cautious regarding commercial real estate market conditions, particularly in the office sector, while noting resilience in the multi-family commercial real estate sector[247]. Strategic Initiatives - The Company’s strategy focuses on growth, retaining talented staff, and building quality lending and deposit relationships, which has fostered future growth opportunities[251]. - The Company has implemented risk management procedures and underwriting criteria to address risks in its commercial real estate portfolio[344]. - The Company expects to maintain heightened risk management procedures due to its commercial real estate concentration[434].

Group 1: Investment Strategy - Value investing is a preferred method for identifying strong stocks in various market conditions, focusing on key valuation metrics to find undervalued stocks with profit potential [2] - The Zacks Rank system and Style Scores system are tools for investors to identify stocks with specific traits, particularly in the "Value" category [3] Group 2: Company Analysis - Eagle Bancorp (EGBN) - Eagle Bancorp (EGBN) has a Zacks Rank of 2 (Buy) and an A grade for Value, with a current P/E ratio of 10.80, compared to the industry average of 11.25 [4] - EGBN's P/B ratio is 0.66, significantly lower than the industry's average P/B of 1.37, indicating attractive valuation [5] - The P/S ratio for EGBN is 1.12, compared to the industry's average P/S of 1.95, suggesting it may be undervalued [6] - EGBN's P/CF ratio is 12.54, which is lower than the industry's average P/CF of 13.91, further indicating potential undervaluation [7] Group 3: Company Analysis - Financial Institutions (FISI) - Financial Institutions (FISI) is rated 1 (Strong Buy) with a Value grade of A, and a P/B ratio of 0.91, compared to the industry's average of 1.37 [8] - FISI's P/B ratio has fluctuated between 0.59 and 0.95 over the past year, with a median of 0.78, indicating potential undervaluation [8] Group 4: Conclusion on Valuation - Both Eagle Bancorp and Financial Institutions are likely undervalued based on their financial metrics and earnings outlook, making them attractive options for value investors [9]

Core Viewpoint - Eagle Bancorp (EGBN) shows a significant improvement in earnings outlook, making it an attractive investment option as analysts continue to raise earnings estimates for the company [1][3]. Estimate Revisions - The rising trend in earnings estimate revisions reflects growing analyst optimism regarding Eagle Bancorp's earnings prospects, which is expected to positively impact its stock price [2]. - For the current quarter, Eagle Bancorp is projected to earn $0.51 per share, marking a substantial increase of +5200% compared to the same period last year. The Zacks Consensus Estimate has risen by 6.32% over the last 30 days [4]. - For the full year, the expected earnings per share is $2.44, indicating a year-over-year growth of +29.1%. The consensus estimate has increased by 8.71% over the past month, with two estimates moving higher and no negative revisions [5]. Zacks Rank - Eagle Bancorp currently holds a Zacks Rank 1 (Strong Buy), attributed to favorable estimate revisions. This ranking is based on a proven track record of outperforming the market, with Zacks 1 stocks averaging a +25% annual return since 2008 [3][6]. - Stocks with Zacks Rank 1 and 2 are shown to significantly outperform the S&P 500, indicating strong potential for Eagle Bancorp [6]. Investment Outlook - The stock has appreciated by 6.4% over the past four weeks due to strong estimate revisions, suggesting that there may still be further upside potential. Investors are encouraged to consider adding Eagle Bancorp to their portfolios [7].

4th Quarter 2024 Earnings Presentation EagleBankCorp.com January 22, 2025 Scan for digital version Forward Looking Statements This presentation contains forward looking statements within the meaning of the Securities and Exchange Act of 1934, as amended, including statements of goals, intentions, and expectations as to future trends, plans, events or results of Company operations and policies and regarding general economic conditions. In some cases, forward-looking statements can be identified by use of wor ...

Financial Data and Key Metrics - The company's commentary includes non-GAAP financial information, with reconciliations provided in the earnings release posted on the Investor Relations section of the website and filed with the SEC [5] Business Line Data and Key Metrics - No specific data or metrics related to individual business lines were provided in the content Market Data and Key Metrics - No specific data or metrics related to individual markets were provided in the content Company Strategy and Industry Competition - No specific information on company strategy or industry competition was provided in the content Management Commentary on Operating Environment and Future Outlook - The company cautions against placing undue reliance on forward-looking statements, as actual results may differ materially due to identified risk factors [3][4] Other Important Information - The company's Form 10-K for the 2023 fiscal year and current reports on Form 8-K identify risk factors that could cause actual results to differ from forward-looking statements [4] Q&A Session - No Q&A session content was provided in the content

Core Insights - The article emphasizes the importance of the Zacks Rank system and its focus on earnings estimates and revisions to identify strong stocks [1] - Value investing is highlighted as a popular and successful strategy across various market conditions, utilizing traditional valuation metrics [2] - The Style Scores system is introduced, particularly the "Value" category, which helps identify top value stocks with high Zacks Ranks [3] Company Analysis: Eagle Bancorp (EGBN) - Eagle Bancorp (EGBN) currently holds a Zacks Rank of 1 (Strong Buy) and a Value grade of A, indicating strong investment potential [4] - EGBN's P/E ratio is 10.26, lower than the industry average of 11.29, with a 52-week range of 7.61 to 15.48 and a median of 10.88 [4] - The stock has a P/B ratio of 0.62, significantly below the industry average of 1.32, with a 52-week range of 0.39 to 0.74 and a median of 0.56 [5] - EGBN's P/S ratio stands at 1.05, compared to the industry's average of 1.86, indicating a favorable valuation based on sales [6] - The P/CF ratio for EGBN is 10.74, much lower than the industry average of 24.65, with a 52-week range of 5.76 to 12.84 and a median of 7.87 [7] - Overall, the metrics suggest that EGBN is likely undervalued, supported by a strong earnings outlook, making it an impressive value stock [8]

Core Insights - Eagle Bancorp reported revenue of $74.86 million for the quarter ended December 2024, reflecting a year-over-year decline of 1.4% and an EPS of $0.50 compared to $0.67 a year ago [1] - The reported revenue fell short of the Zacks Consensus Estimate of $81.08 million, resulting in a surprise of -7.67%, while the EPS exceeded the consensus estimate of $0.48 by 4.17% [1] Financial Performance Metrics - Net Interest Margin was reported at 2.3%, below the average estimate of 2.5% from two analysts [4] - The Efficiency Ratio stood at 59.5%, higher than the estimated 54.7% by two analysts [4] - Total noninterest income was $4.07 million, compared to the estimated $5.27 million [4] - Net Interest Income was reported at $70.79 million, below the estimated $75.81 million [4] Stock Performance - Over the past month, shares of Eagle Bancorp have returned -5.9%, contrasting with the Zacks S&P 500 composite's +2.1% change [3] - The stock currently holds a Zacks Rank 1 (Strong Buy), suggesting potential for outperformance in the near term [3]

Core Viewpoint - Eagle Bancorp reported quarterly earnings of $0.50 per share, exceeding the Zacks Consensus Estimate of $0.48 per share, but down from $0.67 per share a year ago, indicating a 25.37% year-over-year decline in earnings [1][2] Financial Performance - The company posted revenues of $74.86 million for the quarter ended December 2024, missing the Zacks Consensus Estimate by 7.67% and down from $75.89 million year-over-year [2] - Over the last four quarters, Eagle Bancorp has surpassed consensus EPS estimates three times and topped consensus revenue estimates only once [2] Stock Performance - Eagle Bancorp shares have declined approximately 3.6% since the beginning of the year, contrasting with the S&P 500's gain of 2.9% [3] - The stock currently holds a Zacks Rank 1 (Strong Buy), indicating expectations for outperformance in the near future [6] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.52 on revenues of $80.79 million, and for the current fiscal year, it is $2.42 on revenues of $334.55 million [7] - The estimate revisions trend for Eagle Bancorp is favorable ahead of the earnings release, which may influence future stock movements [5][6] Industry Context - The Banks - Northeast industry, to which Eagle Bancorp belongs, is currently ranked in the top 24% of over 250 Zacks industries, suggesting a positive outlook for stocks within this sector [8]

Financial Performance - Net income for Q4 2024 was $15.3 million, or $0.50 per diluted share, down from $21.8 million, or $0.72 per diluted share in Q3 2024[2] - Basic earnings per share for the quarter were $0.51, down from $0.72 in the previous quarter, representing a decline of 29.2%[21] - Net income for Q4 2024 was $15.290 million, a decrease from $21.815 million in Q3 2024[31] - Return on average assets for Q4 2024 was 0.48%, down from 0.70% in Q3 2024[31] - Return on average common equity decreased to 4.94% in Q4 2024 from 7.22% in Q3 2024[31] Revenue and Income - Pre-provision net revenue (PPNR) decreased to $30.3 million in Q4 2024 from $35.2 million in the prior quarter[2] - Total interest income for the three months ended December 31, 2024, was $168,417 thousand, a decrease of 3.4% from $173,813 thousand in the previous quarter[21] - Net interest income after provision for credit losses was $60,260 thousand, down from $63,342 thousand in the prior quarter, reflecting a decrease of 4.3%[21] - Noninterest income totaled $4,067 thousand, significantly lower than $6,951 thousand in the previous quarter, representing a decline of 41.5%[21] - Total noninterest expense increased to $44.532 million in Q4 2024 from $43.614 million in Q3 2024[31] Asset and Loan Management - Total loans were $7.9 billion at December 31, 2024, a decrease of 0.4% from the prior quarter-end[9] - Total loans at the end of December 2024 were $7,934,888 thousand, a slight decrease of 0.45% from $7,970,269 thousand in the previous quarter[25] - Nonperforming loans increased to $208,707 thousand from $134,387 thousand in the previous quarter, indicating a rise of 55.1%[25] - Net charge-offs for the quarter were $9,535 thousand, up from $5,303 thousand in the previous quarter, reflecting an increase of 79.5%[25] - The allowance for credit losses was 1.44% of total loans, up from 1.40% in the prior quarter[12] Deposits and Equity - Total deposits rose by $590.2 million, or 6.9%, to $9.1 billion at quarter-end[12] - Total deposits rose to $9,131,078 thousand, an increase of 6.9% from $8,540,850 thousand in the previous quarter[23] - Total deposits increased to $10,056,463 thousand, up from $9,344,414 thousand, representing a growth of about 7.6%[1] - Total shareholders' equity rose to $1,230,573 thousand compared to $1,201,477 thousand, marking an increase of approximately 2.4%[1] Capital and Ratios - Common equity tier one capital ratio increased to 14.6% at quarter-end[6] - The tangible common equity ratio improved to 11.02% from 10.86% in the previous quarter[4] - The efficiency ratio for Q4 2024 was 59.50%, up from 55.40% in Q3 2024[31] - The efficiency ratio increased to 59.49% from 55.35%, indicating a rise in operational overhead relative to revenue[4] Interest and Yield - The net interest margin (NIM) decreased to 2.29% in Q4 2024 from 2.37% in the prior quarter[8] - Total interest-earning assets rose to $12,303,940 thousand, with an average yield of 5.45%, down from 5.73% in the previous quarter[26] - The average yield on loans decreased to 6.63% in December 2024 from 6.77% in December 2023, indicating a downward trend in loan yields[28] - Net loan fees and late charges included in interest income on loans totaled $4.3 million for the three months ended December 31, 2024, compared to $4.7 million for the same period in 2023[28]

BETHESDA, Md., Jan. 22, 2025 (GLOBE NEWSWIRE) -- Eagle Bancorp, Inc. ("Eagle", the "Company") (NASDAQ: EGBN), the Bethesda-based holding company for EagleBank, one of the largest community banks in the Washington D.C. area, reported its unaudited results for the fourth quarter ended December 31, 2024. Eagle reported net income of $15.3 million or $0.50 per diluted share for the fourth quarter 2024, compared to net income of $21.8 million or $0.72 per diluted share during the third quarter. Pre-provision net ...