Core Viewpoint - Investors in Metropolitan Bank Holding (MCB) should closely monitor stock movements due to significant implied volatility in the options market, particularly the Feb. 20, 2026 $60 Put option [1] Company Analysis - Metropolitan Bank is currently rated as Zacks Rank 1 (Strong Buy) in the Banks - Northeast industry, which ranks in the top 24% of the Zacks Industry Rank [3] - Over the last 60 days, one analyst has raised earnings estimates for the current quarter, while none have decreased their estimates, resulting in an increase of the Zacks Consensus Estimate from $2.17 per share to $2.35 [3] Options Market Insights - The high implied volatility suggests that options traders are anticipating a significant price movement for Metropolitan Bank shares, indicating potential upcoming events that could lead to a rally or sell-off [2][4] - Options traders often seek high implied volatility options to sell premium, aiming to benefit from the decay of options value if the underlying stock does not move as much as expected [4]

Core Viewpoint - Momentum investing focuses on following a stock's recent price trends, aiming to buy high and sell higher, with the expectation that established trends will continue [1] Company Overview: Metropolitan Bank Holding Corp. (MCB) - MCB currently holds a Momentum Style Score of A, indicating strong momentum characteristics [2] - The company has a Zacks Rank of 1 (Strong Buy), suggesting a favorable outlook based on historical performance [3] Performance Metrics - MCB shares have increased by 12.98% over the past week, significantly outperforming the Zacks Banks - Northeast industry, which rose by only 0.39% [5] - Over the past month, MCB's shares rose by 14.53%, compared to the industry's 2.37% [5] - In the last quarter, MCB shares increased by 32.93%, and over the past year, they gained 37.95%, while the S&P 500 only moved 2.61% and 15.23% respectively [6] Trading Volume - MCB's average 20-day trading volume is 147,430 shares, which serves as a bullish indicator when combined with rising stock prices [7] Earnings Outlook - In the past two months, one earnings estimate for MCB has increased, raising the consensus estimate from $9.34 to $9.99 [9] - For the next fiscal year, one estimate has also moved upwards with no downward revisions during the same period [9] Conclusion - Given the strong performance metrics and positive earnings outlook, MCB is positioned as a strong buy with a Momentum Score of A, making it a compelling investment option [11]

Economic Overview - The U.S. economy shows resilience with a GDP growth of 4.4% in Q3 2025, up from 3.8% in the previous quarter, driven by a 3.5% increase in consumer spending, the fastest in three years [1] - The AI-driven boom and the Federal Reserve's supportive monetary policy are contributing factors to the economic expansion [1] Inflation and Labor Market - The Personal Consumption Expenditures index for November is at 2.8% year over year, up from 2.7% in October, remaining above the 2% target [2] - Unemployment is stable at around 4.4%, but job openings are decreasing, indicating potential labor market concerns [2] - Analysts predict cooling economic conditions due to uncertainties related to tariffs and trade policies [2] Dividend-Paying Stocks - Investors looking to diversify can consider dividend-paying stocks, which indicate a healthy business model and can withstand market volatility [3] - Stocks with recent dividend increases tend to have a sound financial structure and outperform non-dividend-paying stocks in volatile markets [3] USCB Financial - USCB Financial, a community bank, has declared a dividend of 13 cents per share with a dividend yield of 2% [4] - Over the past five years, USCB has increased its dividend twice, with a payout ratio of 25% of earnings [5] Amalgamated Financial - Amalgamated Financial, a full-service commercial bank, announced a dividend of 17 cents per share and has a dividend yield of 1.6% [6] - The company has increased its dividend four times in the past five years, with a payout ratio of 16% of earnings [7] Cadre Holdings - Cadre Holdings, a manufacturer of safety equipment, declared a dividend of 10 cents per share with a yield of 0.9% [10] - The company has increased its dividend three times in the past five years, with a payout ratio of 34% of earnings [10] Cadence Bank - Cadence Bank announced a dividend of 34 cents per share, yielding 2.4% [11] - The bank has increased its dividend six times over the past five years, with a payout ratio of 37% of earnings [11] Metropolitan Bank Holding - Metropolitan Bank Holding declared a dividend of 20 cents per share with a yield of 0.7% [12] - The bank has increased its dividend once in the past five years, with a payout ratio of 10% of earnings [13]

Core Viewpoint - Metropolitan Bank Holding Corp. (MCB) is positioned as a strong investment opportunity due to its improving earnings outlook and analysts' increasing earnings estimates [1][2]. Earnings Estimates - Analysts have raised their earnings estimates for Metropolitan Bank Holding, which is expected to positively influence the stock price [2]. - The current-quarter earnings estimate is $2.35 per share, reflecting a +62.1% change from the previous year [6]. - The consensus estimate for the current quarter has increased by 8.29% over the last 30 days, with one estimate going higher and no negative revisions [6]. - For the full year, the earnings estimate stands at $9.99 per share, indicating a +50.9% change from the year-ago figure [7]. Estimate Revisions Trend - The trend for current-year estimate revisions is positive, with one estimate moving higher and no negative revisions, leading to a 6.96% increase in the consensus estimate [8]. - The strong agreement among analysts in raising estimates supports the positive outlook for the company [3]. Zacks Rank - Metropolitan Bank Holding has achieved a Zacks Rank 1 (Strong Buy), indicating favorable estimate revisions and a strong potential for stock performance [9]. - Stocks with Zacks Rank 1 and 2 have historically outperformed the S&P 500 [9]. Stock Performance - The stock has gained 15.8% over the past four weeks, reflecting investor confidence driven by solid estimate revisions [10].

Core Insights - Three stocks are highlighted with strong buy rankings and positive momentum characteristics for investors to consider on January 22nd Group 1: Banco Bilbao Viscaya Argentaria (BBVA) - BBVA is engaged in a variety of banking and financial activities in Spain and has a Zacks Rank of 1 (Strong Buy) [1] - The Zacks Consensus Estimate for BBVA's current year earnings has increased by 0.5% over the last 60 days [1] - BBVA's shares have gained 27.9% over the last three months, significantly outperforming the S&P 500's gain of 2.5% [2] - The company possesses a Momentum Score of A [2] Group 2: Metropolitan Bank Holding (MCB) - MCB is a chartered commercial bank providing various financial services and has a Zacks Rank of 1 [3] - The Zacks Consensus Estimate for MCB's current year earnings has increased by 7% over the last 60 days [3] - MCB's shares have gained 20.8% over the last three months, also outperforming the S&P 500's gain of 2.5% [4] - The company possesses a Momentum Score of A [4] Group 3: Plains All American Pipeline (PAA) - PAA is a master limited partnership involved in the transportation and marketing of crude oil and natural gas in the U.S. and Canada, with a Zacks Rank of 1 [5] - The Zacks Consensus Estimate for PAA's current year earnings has increased by 4.8% over the last 60 days [5] - PAA's shares have gained 18.4% over the last three months, again outperforming the S&P 500's gain of 2.5% [6] - The company possesses a Momentum Score of A [6]

Core Viewpoint - Metropolitan Bank demonstrated strong performance in the fourth quarter of 2025, with notable growth in net interest margin, net interest income, deposits, and loans, setting a solid foundation for future progress in 2026 and beyond [5] Financial Performance - Deposits increased by $304 million in the fourth quarter, approximately 4.3%, with a significant portion of indexed deposits expected to reprice following a rate change [1] - The bank reported a net interest margin of 4.1%, up 22 basis points from the previous quarter, attributed to balance sheet growth and easing rates [2] - Net interest income for the fourth quarter was $85.3 million, reflecting over a 10% increase from the linked quarter and nearly 20% year-over-year [7] Loan and Deposit Growth - The loan book remained flat in the fourth quarter due to elevated prepayments of about $317 million, exceeding the previous three-quarter run rate by approximately $150 million [3] - The bank expanded its loan portfolio by approximately $775 million in 2025, representing nearly 13% growth, with total loan originations around $1.9 billion [4] Strategic Initiatives - Management eliminated wholesale funding of $450 million during 2025, indicating a shift towards more stable deposit funding [6] - The bank plans to open two new branches in Florida in the first half of 2026, enhancing its presence in key markets [17] Future Outlook - For 2026, the bank anticipates loan growth of about $800 million, or roughly 12%, funded entirely through deposits, with a modest expansion in net interest margin expected [13] - The company aims for a return on tangible common equity (ROTCE) approaching 16% by the fourth quarter of 2026 [14] Expense Management - Non-interest expense totaled $44.4 million, down $1.4 million from the prior quarter, with specific reductions in compensation and professional fees [10][15] - Operating expense guidance for 2026 is set between $189 million and $191 million, accounting for various unique items [14] Asset Quality and Capital - Asset quality remains stable with no significant negative trends across loan segments, and the bank is cautiously optimistic about resolving specific workouts by the end of the current quarter [11][12]

Financial Data and Key Metrics Changes - The company reported a net interest margin (NIM) of 4.1% in Q4 2025, an increase of 22 basis points from the previous quarter [10] - Net interest income for Q4 was $85.3 million, up more than 10% quarter-over-quarter and nearly 20% year-over-year [11] - The diluted EPS for the quarter was $2.77, with non-core credits impacting earnings by approximately $0.30 per share [12] Business Line Data and Key Metrics Changes - The loan portfolio expanded by approximately $775 million in 2025, representing a growth of nearly 13% [3] - Total loan originations for the year reached approximately $1.9 billion [3] - In Q4, total loan originations and draws were approximately $599 million, with a weighted average coupon of 7.28% [8] Market Data and Key Metrics Changes - Deposits increased by roughly $1.4 billion, or about 23%, for the year [4] - In Q4, deposits grew by $304 million, or approximately 4.3% [9] - The cost of interest-bearing deposits declined by 43 basis points quarter-over-quarter [9] Company Strategy and Development Direction - The company aims to capture additional market share through traditional channels while enhancing long-term shareholder value [5] - New branches are planned in Florida and New Jersey to strengthen market presence [4] - The strategy includes managing asset quality, optimizing profitability, and expanding in New York and complementary markets [5] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the stability of asset quality, with no broad-based negative trends observed [4] - The company anticipates modest NIM expansion in 2026, with a forecasted annual NIM of about 4.10% [16] - The outlook for non-interest income suggests a growth assumption of 5%-10% [17] Other Important Information - The effective tax rate for the quarter was about 30% [15] - The company plans to host an Investor Day on March 3rd, 2026, to discuss further developments [19] Q&A Session Summary Question: Loan mix and C&I growth - Management indicated that core C&I growth is not expected to be substantial, with a focus on healthcare-related C&I [21][23] Question: Asset quality and NPAs - Management reported that two loans in the multifamily sector are expected to have little or no loss upon sale, with ongoing workouts for specific reserves [29][30] Question: CET1 ratio targets - The CET1 ratio is currently about 10.7%, with expectations to trend towards low nines as the balance sheet grows [31][32] Question: Digital transformation completion - The digital transformation is anticipated to be completed by President's Day weekend, with expenses expected to finalize at that time [37][39] Question: Demand deposit growth contributors - The largest contributors to demand deposit growth were municipal deposits and property managers, with a broad distribution across various sectors [42] Question: M&A opportunities - Management does not see significant value in current M&A opportunities and will focus on organic growth instead [44] Question: Team lift-out strategy - Management indicated that team lift-outs are unlikely, preferring to acquire talent within existing markets [47]

Financial Data and Key Metrics Changes - The company reported a net interest margin (NIM) of 4.1% in Q4, an increase of 22 basis points from the previous quarter [11] - Net interest income for Q4 was $85.3 million, up more than 10% on a linked quarter basis and nearly 20% for the year [12] - The diluted EPS for Q4 was $2.77, with non-core credits estimated at about $4.6 million, or approximately $0.30 per share [13] Business Line Data and Key Metrics Changes - The loan portfolio expanded by approximately $775 million, representing a growth of nearly 13% for the year, with total loan originations reaching approximately $1.9 billion [3][4] - In Q4, total loan originations and draws were approximately $599 million, with a weighted average coupon of 7.28% [9] - Deposits increased by roughly $1.4 billion, or about 23% for the year, with a Q4 growth of $304 million, or approximately 4.3% [4][10] Market Data and Key Metrics Changes - The company opened a full-service branch in Lakewood, New Jersey, and plans to open two new branches in Florida in the first half of 2026 [4] - Asset quality remains solid, with no broad-based negative trends across loan segments, geographies, or sectors [4] Company Strategy and Development Direction - The company aims to capture additional market share through traditional channels while enhancing long-term shareholder value [5] - The strategy for 2026 includes focusing on managing asset quality, optimizing profitability, and expanding presence in New York and other complementary markets [5][6] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's disciplined underwriting and proactive portfolio management, indicating no areas of concern from client feedback [5] - The company expects to grow loans by about $800 million, or approximately 12% in 2026, with a forecasted NIM of about 4.10% for the year [15][16] Other Important Information - The effective tax rate for Q4 was about 30% [14] - The company is hosting an Investor Day at its headquarters in New York on March 3rd, with limited seats available for in-person attendance [19] Q&A Session Summary Question: Loan mix and C&I growth - Management does not expect substantial growth in core C&I but anticipates some growth in healthcare-related C&I [22] Question: CRE concentrations - Management expects CRE concentration increase to be stable going forward as owner-occupied CRE continues to grow [23] Question: Contribution of new branches to municipal deposit growth - New Jersey branches have contributed to municipal deposit growth, while Florida branches are expected to contribute significantly in the future [24] Question: Asset quality and NPAs - Management reported that NPAs increased by around $5 million but are stable, with expectations of little or no loss upon the sale of affected assets [28] Question: CET1 ratio targets - Management aims for TCE to trend from the current high 8s to low 9s as the balance sheet grows [30] Question: Digital transformation completion - The digital transformation is anticipated to be completed by President's Day weekend in Q1 [36] Question: Demand deposit growth drivers - The largest contributors to demand deposit growth were municipal deposits and property managers [41] Question: M&A possibilities - Management does not see significant value in current M&A opportunities and is focused on organic growth [43] Question: Team lift-out strategy - Management is not inclined towards team lift-outs but remains open to unique opportunities that fit the company culture [46]

Financial Data and Key Metrics Changes - For the full year 2025, the loan portfolio expanded by approximately $775 million, representing a growth of nearly 13% [3] - Total loan originations reached approximately $1.9 billion, with deposits increasing by roughly $1.4 billion, or about 23% [3][9] - Net interest income for the fourth quarter was $85.3 million, up more than 10% on a linked quarter basis and up almost 20% for the year [10] - The net interest margin (NIM) was 4.1% in the fourth quarter, up 22 basis points from the prior quarter [9][10] Business Line Data and Key Metrics Changes - The loan book was essentially flat in the fourth quarter due to prepayments of approximately $317 million, which was about $150 million above the trailing three-quarter run rate [6][7] - The new volume origination mix was approximately 70% fixed and 30% floating [8] - Non-interest income for the fourth quarter was $3.1 million, with expectations to rebuild the fee income line through new business initiatives [11][15] Market Data and Key Metrics Changes - Deposits grew by $304 million, or approximately 4.3% in the fourth quarter, with a total annual growth of $1.4 billion [9] - The cost of interest-bearing deposits declined by 43 basis points quarter over quarter [9] Company Strategy and Development Direction - The strategy for 2026 focuses on capturing additional market share through traditional channels while enhancing long-term shareholder value [5] - The company plans to open two new branches in Florida in the first half of 2026, enhancing its presence in key growth markets [4] - The business model is designed to defend or expand the NIM with or without additional rate cuts [14] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in asset quality, noting no broad-based negative trends across loan segments, geographies, or sectors [4] - The company expects to grow loans by about $800 million, or approximately 12% in 2026, with a forecasted ROTCE approaching 16% by the fourth quarter of 2026 [13][15] - Management remains focused on organic growth and does not see significant M&A opportunities in the current market [40][44] Other Important Information - The effective tax rate for the quarter was about 30% [12] - The company is hosting an Investor Day at its headquarters in New York on March 3rd, with several senior leaders presenting [16] Q&A Session Summary Question: Loan mix and C&I growth - Management does not expect substantial growth in core C&I but sees potential in healthcare-related C&I [20] Question: Asset quality and NPAs - Two loans in the multifamily sector are expected to have little or no loss upon sale, with ongoing workouts expected to resolve by the end of the quarter [28] Question: CET1 ratio targets - The company aims for a TCE trend from the current high eights to about low nines [29] Question: Digital transformation completion - The conversion is anticipated to be completed by President's Day weekend [35] Question: Demand deposit growth contributors - The largest contributors to deposit growth were municipal deposits and property managers [39] Question: M&A opportunities - Management does not see significant value in current M&A opportunities and is focused on organic growth [40][44]

4Q 2025 Investor Presentation Contents | | Page | | --- | --- | | Disclosure | 2 | | Performance Metrics | 3 | | Differentiating Factors | 7 | | Loans and Deposits | 12 | | Modern Banking in Motion Digital Transformation | 21 | | Selected Financial Information and Guidance | 24 | 1 Disclosure This presentation contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Examples of forward- looking statements include but are not limited to the Company's f ...