Core Viewpoint - Orange County Bancorp, Inc. (OBT) has received a Zacks Rank 1 (Strong Buy) upgrade, indicating a positive outlook driven by rising earnings estimates [1][4]. Earnings Estimates and Revisions - The Zacks rating system is based on the Zacks Consensus Estimate, which aggregates EPS estimates from sell-side analysts for the current and following years [2]. - The earnings picture of a company significantly influences stock price movements, making the Zacks rating system valuable for investors [3][5]. - For the fiscal year ending December 2025, Orange County Bancorp, Inc. is projected to earn $2.90 per share, reflecting a 17.4% increase from the previous year [9]. Impact of Institutional Investors - Institutional investors utilize earnings estimates to determine the fair value of stocks, leading to price movements based on their buying or selling actions [5]. Business Improvement Indicators - The increase in earnings estimates and the Zacks rating upgrade suggest an improvement in Orange County Bancorp, Inc.'s underlying business, which could lead to higher stock prices [6][11]. Zacks Rank System Performance - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with Zacks Rank 1 stocks historically generating an average annual return of +25% since 1988 [8]. - The upgrade positions Orange County Bancorp, Inc. in the top 5% of Zacks-covered stocks, indicating strong potential for market-beating returns in the near term [10][11].

Core Insights - Orange County Bancorp, Inc. reported quarterly earnings of $0.63 per share, missing the Zacks Consensus Estimate of $0.68 per share, and down from $0.72 per share a year ago, representing an earnings surprise of -7.35% [1] - The company posted revenues of $27.38 million for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 1.80%, and up from $25.89 million year-over-year [2] - The stock has underperformed the market, losing about 6% since the beginning of the year compared to the S&P 500's gain of 2.7% [3] Earnings Outlook - The current consensus EPS estimate for the coming quarter is $0.64 on revenues of $26.7 million, and for the current fiscal year, it is $2.80 on revenues of $110.2 million [7] - The estimate revisions trend for Orange County Bancorp, Inc. is favorable, leading to a Zacks Rank 2 (Buy) for the stock, indicating expected outperformance in the near future [6] Industry Context - The Zacks Industry Rank for Banks - Northeast is currently in the top 7% of over 250 Zacks industries, suggesting that the industry outlook can significantly impact stock performance [8]

Financial Performance - For the three months ended December 31, 2024, net income was $7.2 million, or $0.63 per share, a decrease from $8.1 million, or $0.72 per share, for the same period in 2023, primarily due to increased non-interest expenses [1][9] - For the twelve months ended December 31, 2024, net income totaled $27.9 million, or $2.47 per share, compared to $29.5 million, or $2.62 per share, for the previous year [1][9] - Non-interest income rose by $562 thousand, or 15.0%, to $4.3 million for Q4 2024, driven by increased fee income in various categories [15] Asset and Deposit Growth - Total loans increased by $68.7 million, or 3.9%, to $1.8 billion at December 31, 2024, with significant growth in commercial real estate loans [21] - Total deposits rose by $114.6 million, or 5.6%, reaching $2.2 billion at December 31, 2024, with most new deposits sourced internally [22][4] Interest Income and Margin - Net interest income for the year ended December 31, 2024, increased by $3.4 million, or 3.8%, to $91.8 million compared to the previous year [7][10] - The net interest margin expanded to 3.83% for the year ended December 31, 2024, up from 3.78% in 2023 [5][47] Non-Interest Expense and Efficiency - Non-interest expense for Q4 2024 was $18.5 million, an increase of $3.7 million, or 25.4%, compared to the same period in 2023, primarily due to higher compensation costs and technology charges [16] - The efficiency ratio increased to 67.4% for Q4 2024 from 56.9% in Q4 2023, reflecting the rise in non-interest expenses [16] Wealth Management Performance - The Wealth Management division contributed $3.3 million in trust and investment advisory income for Q4 2024, a 16.7% increase from the same period last year [6] - Assets under management in the Wealth Management division grew by 12.9% to $1.8 billion at December 31, 2024 [26] Credit Quality - Total non-performing loans were $6.3 million, or 0.35% of total loans, as of December 31, 2024, an increase from $4.4 million at the end of 2023 [28] - The provision for credit losses for the year was $7.7 million, slightly down from $7.9 million in 2023 [14] Capital and Liquidity - Stockholders' equity increased by approximately $20.2 million during 2024, reaching $185.5 million at year-end [24] - The Bank maintained capital ratios above regulatory standards, with a Tier 1 capital to average assets ratio of 10.23% as of December 31, 2024 [25]

Core Insights - Orange County Bancorp, Inc. has rebranded its wealth and asset management services as Orange Wealth Management to better serve the evolving needs of its clients [1][3] - The oversight of Orange Wealth Management will be led by David P. Dineen, who has over 30 years of experience in banking and wealth management [2] - The strategic realignment aims to capitalize on the "Great Wealth Transfer," involving over $80 trillion in assets, to enhance service for high-net-worth individuals and their families [4] Company Overview - Orange County Bancorp, Inc. is the parent company of Orange Bank & Trust Co. and Hudson Valley Investment Advisors, Inc., with total assets of approximately $2.5 billion [5] - Hudson Valley Investment Advisors, acquired in 2012, has grown from $465 million to over $1.7 billion in assets under management [4] Service Offerings - Orange Wealth Management will provide personalized attention, enhanced convenience, and seamless integration of wealth management services with personal and business banking [7]

Core Points - Orange County Bancorp, Inc. announced a two-for-one forward stock split, with the record date set for January 8, 2025, and trading on a split-adjusted basis expected to begin on January 13, 2025 [1][2] - The stock split will increase the outstanding shares from approximately 5.7 million to 11.4 million, and the par value per share will be reduced from $0.50 to $0.25 [2] Company Overview - Orange County Bancorp, Inc. is the parent company of Orange Bank & Trust Company and Hudson Valley Investment Advisors, Inc., with total assets of approximately $2.5 billion [3]

MIDDLETOWN, N.Y., Dec. 26, 2024 (GLOBE NEWSWIRE) -- Orange County Bancorp, Inc. (NASDAQ:OBT), parent company of Orange Bank & Trust Co. and Hudson Valley Investment Advisors, Inc., today announced that its Board of Directors declared a two-for-one forward stock split (the "Stock Split") of the Company's common stock. Each record holder of common stock on Thursday, January 9, 2025 will receive one additional share of common stock after the market close on Friday, January 10, 2025. Trading is expected to comm ...

Core Viewpoint - Orange County Bancorp, Inc. reported quarterly earnings of $0.57 per share, significantly missing the Zacks Consensus Estimate of $1.43 per share, representing an earnings surprise of -60.14% compared to $1.61 per share a year ago [1][2] Financial Performance - The company posted revenues of $27.14 million for the quarter ended September 2024, exceeding the Zacks Consensus Estimate by 2.04% and showing an increase from $25.72 million year-over-year [2] - Over the last four quarters, Orange County Bancorp has surpassed consensus revenue estimates four times [2] Stock Performance - Shares of Orange County Bancorp have declined approximately 4.4% since the beginning of the year, while the S&P 500 has gained 22.3% [3] - The stock currently holds a Zacks Rank 1 (Strong Buy), indicating expectations of outperforming the market in the near future [6] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $1.50 on revenues of $27.2 million, and for the current fiscal year, it is $5.91 on revenues of $106.9 million [7] - The trend of estimate revisions for the company has been favorable ahead of the earnings release [6] Industry Context - The Banks - Northeast industry, to which Orange County Bancorp belongs, is currently ranked in the top 18% of over 250 Zacks industries, suggesting a positive outlook for stocks within this sector [8]

Investors might want to bet on Orange County Bancorp, Inc. (OBT) , as it has been recently upgraded to a Zacks Rank #1 (Strong Buy). This upgrade primarily reflects an upward trend in earnings estimates, which is one of the most powerful forces impacting stock prices. The Zacks rating relies solely on a company's changing earnings picture. It tracks EPS estimates for the current and following years from the sell-side analysts covering the stock through a consensus measure -- the Zacks Consensus Estimate. Th ...

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