Core Viewpoint - Orange County Bancorp, Inc. has launched an underwritten public offering of its common stock to support general corporate purposes, including investments in the Bank, regulatory capital, liquidity, and potential strategic acquisitions [1][2]. Group 1: Offering Details - The Company expects to grant underwriters a 30-day option to purchase additional shares of its common stock [1]. - The net proceeds from the offering will be used for general corporate purposes, which may include investments in the Bank, augmenting regulatory capital and liquidity, and potential strategic acquisitions [2]. Group 2: Regulatory Filings - The Company has filed a shelf registration statement and a preliminary prospectus supplement with the SEC for the offering [3]. - Investors are encouraged to read the preliminary prospectus supplement and accompanying prospectus for complete information about the Company and the offering [3]. Group 3: Company Background - Orange County Bancorp, Inc. is the parent company of Orange Bank & Trust Company and Hudson Valley Investment Advisors, Inc., with total assets of approximately $2.6 billion [5]. - Orange Bank & Trust Company has a history of over 125 years, focusing on community and business clientele [5].

Core Viewpoint - Orange County Bancorp, Inc. reported a net income of $8.7 million for Q1 2025, reflecting a 6.3% decrease from $9.3 million in Q1 2024, primarily due to a one-time recovery in the previous year, despite growth in net interest income and noninterest income [2][4][10]. Financial Performance - Net income for Q1 2025 was $8.7 million, down $586 thousand from Q1 2024 [10]. - Net interest income increased by $2.0 million, or 9.4%, to $23.6 million compared to $21.6 million in the same period last year [11]. - Non-interest income rose by $670 thousand, or 18.2%, to $4.4 million for Q1 2025 [15]. - Total loans grew by $38.5 million, or 2.1%, reaching $1.9 billion at March 31, 2025 [21]. - Total deposits increased by $128.3 million, or 6.0%, to $2.3 billion at March 31, 2025 [22]. Asset Quality and Provision for Credit Losses - Provision for credit losses was $202 thousand for Q1 2025, compared to a net credit of $1.6 million in Q1 2024 [14]. - Non-performing loans amounted to $6.2 million, or 0.33% of total loans, stable compared to the previous quarter [30]. Capital and Book Value - Book value per share increased by $1.34, or 8.2%, to $17.69 at March 31, 2025 [3]. - Stockholders' equity rose by $15.8 million, or 8.5%, to $201.3 million at March 31, 2025 [24]. - The Bank maintained capital ratios above regulatory standards, with a Tier 1 capital-to-average-assets ratio of 10.41% [25]. Wealth Management Division - Wealth Management Division assets under management totaled $1.7 billion, down from $1.8 billion at December 31, 2024 [27]. - Trust and investment advisory income increased by $553 thousand, or 19.2%, to $3.4 million for Q1 2025 [9]. Market Conditions and Strategic Outlook - The quarter was characterized by market volatility and uncertainty, impacting economic growth expectations [4]. - The Bank continues to identify long-term investment opportunities for clients despite the challenging market environment [5].

Core Insights - The article emphasizes the importance of the Zacks Rank system, which focuses on earnings estimates and revisions to identify strong stocks [1] - Value investing is highlighted as a popular strategy for finding undervalued stocks that offer profit potential [2] - Zacks has developed a Style Scores system to identify stocks with specific traits, particularly in the Value category [3] Company Analysis: Orange County Bancorp, Inc. (OBT) - OBT currently holds a Zacks Rank of 2 (Buy) and an A for Value, indicating strong potential [4] - The stock has a Forward P/E ratio of 7.81, which is lower than the industry average of 8.86, suggesting it may be undervalued [4] - Over the past 12 months, OBT's Forward P/E has fluctuated between a high of 11.36 and a low of 7.10, with a median of 9.26 [4] - OBT's P/CF ratio stands at 8.60, significantly lower than the industry average of 13.74, further indicating undervaluation based on cash flow [5] - The P/CF ratio has ranged from a high of 11.32 to a low of 6.28 over the past 52 weeks, with a median of 8.86 [5] - These metrics suggest that OBT is likely undervalued and presents an impressive value stock opportunity based on its earnings outlook [6]

Group 1 - The core focus of Zacks is on a ranking system that emphasizes earnings estimates and revisions to identify winning stocks [1] - Value investing is highlighted as a preferred strategy for finding strong stocks, utilizing fundamental analysis and traditional valuation metrics [2] - The Style Scores system is introduced, allowing investors to find stocks with specific traits, particularly in the "Value" category [3] Group 2 - Orange County Bancorp, Inc. (OBT) is currently ranked 2 (Buy) by Zacks and has an A rating for Value, indicating strong investor interest [4] - OBT's Forward P/E ratio is 7.98, significantly lower than the industry's average of 9.64, suggesting potential undervaluation [4] - The stock's P/CF ratio is 8.74, which is also lower than the industry's average of 15.13, further indicating that OBT may be undervalued [5] - The historical range of OBT's Forward P/E has been between 7.67 and 11.36 over the past year, with a median of 9.26 [4] - OBT's P/CF has fluctuated between 6.28 and 11.32, with a median of 8.86, reinforcing the notion of its solid cash outlook [5] - Overall, OBT is positioned as one of the market's strongest value stocks based on its earnings outlook and valuation metrics [6]

Core Insights - Orange Bank & Trust Company has promoted Carla Alfieri to Senior Vice President, Director of Private Banking, and Jacqueline Weimmer to Director of Trust Services to support the expansion of Orange Wealth Management [1][6] Group 1: Leadership Promotions - Carla Alfieri will lead the private banking division, focusing on high-net-worth client relationships and personalized financial solutions, with both northern and southern private banking departments reporting to her [2] - Jacqueline Weimmer will oversee the Trust Services division, managing client relationships and providing strategic direction for trust and estate planning solutions, with several departments reporting directly to her [4] Group 2: Background of Promoted Officers - Carla Alfieri has been with the Bank since 1988, advancing through various roles and has been instrumental in the private banking service, which now serves over 700 clients [3] - Jacqueline Weimmer joined the Trust Services Department in 2023 and has extensive experience in Special Needs Trust administration, previously working at Comerica Bank [5] Group 3: Company Overview - Orange County Bancorp, Inc. is the parent company of Orange Bank & Trust Company, which has grown to $2.5 billion in total assets and has expanded its branches in Rockland, Westchester, and the Bronx [6]

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]