BHB

Bar Harbor Bankshares

Fundamental data last updated:April 13, 2026

company profile

SECTOR

Financial Services

industry

Banks - Regional

Exchange

NYSE

County of HQ

United States

Next Earnings Date

04/16/26

Business Summary

Bar Harbor Bankshares operates as a regional bank generating revenue primarily through net interest income and fee-based banking services. Its model depends on gathering deposits at attractive costs and deploying that capital into loans and investment securities to earn spreads. At 1.1x book value, the market views its asset base as roughly fairly valued, implying limited franchise premium. Its moat is localized relationship banking rather than scale or technology dominance, meaning customer stickiness and underwriting discipline determine long-term cash generation more than structural competitive barriers.

VALUATION

P/E

15.2

Market Cap ($M USD)

$587

Forward P/E

9.3

PEG

371.8

PRICE TO SALES

3.3

PRICE TO BOOK

1.1

EV / EBITDA

-

5-Year Average P/E

DIVIDEND

Yield

3.70%

Annual Payout

$1.28

Payout Ratio

54.30%

Consecutive Years of Dividend Growth

10+

5-Year Dividend Growth Rate

7.80%

Financial Health & Profitability

Earnings Per Share

$2.32

Next Year EPS Growth Estimate

$3.78

Next Year Revenue Growth Estimate

4.50%

Return on Equity (ROE)

6.90%

Operating Margin

37.00%

Debt-to-Equity

0.5

Piotroski F-Score

3

Altman Z-Score

0.3

Return on Invested Capital (ROIC)

14.00%%

Current Ratio

-

Quick Ratio

Gainseekers Quantitative Analysis

Summary

At 15.2x trailing earnings and just 9.3x forward earnings, the market is clearly pricing in stabilization or recovery despite weak current profitability metrics. However, an Altman Z-Score of 0.3 signals extreme financial stress risk, and a Piotroski F-Score of 3 confirms deteriorating fundamentals rather than strength. A 371.8 forward PEG ratio completely disconnects valuation from growth, implying negligible earnings acceleration relative to price. The stock screens optically cheap on forward earnings and near book value at 1.1x, but the balance sheet risk implied by the Z-score makes this far from a clean value opportunity. This is not an obvious mispricing; it is a stressed regional bank trading at a discount for a reason.

AI Exposure / Tech Reliance

As a regional bank within Financial Services, its AI exposure is indirect and operational rather than transformational. Efficiency gains would likely come through cost automation and underwriting analytics, which could support its 6.90% operating margin over time. However, banks of this size typically lack scale advantages in proprietary technology, limiting structural AI upside relative to larger peers.

The Bull Case

A value-oriented investor could argue the 9.3 forward P/E offers asymmetric upside if earnings normalize to the $2.32 EPS estimate next year. Trading at just 1.1x book with a 14.00% ROIC suggests capital can still be deployed productively despite a weak 4.50% ROE. The 37.00% debt-to-equity ratio is manageable for a bank, and institutional ownership at 36.50% indicates some professional conviction. If operating margins expand from 6.90% and earnings inflect as projected, the multiple could re-rate materially given the modest $587M market cap. In a stabilization scenario, this becomes a classic small-cap regional bank recovery play.

The Bear Case

The bear case is dominated by fragility signals: an Altman Z-Score of 0.3 is deep in distress territory, and a Piotroski F-Score of 3 reflects weak fundamental momentum. A 371.8 PEG ratio suggests growth is either negligible or misaligned with valuation expectations, while 7.80% short interest signals meaningful skepticism. Return on equity at 4.50% is subpar for a bank, indicating poor shareholder capital efficiency. With a payout ratio listed at $1.28 and conflicting dividend metrics, capital allocation clarity is questionable, and thin profitability leaves little room for credit deterioration. This profile resembles a balance-sheet-risk story more than a compounding franchise.

Market Sentiment & Smart Money

Short Interest %

1.20%

Analyst Consensus

2.33

Average Analyst Price Target

$36.50

Institutional Ownership %

56.70%

1-Year Beta

0.86

Insider Buying % (6 Mo)

3.30%%

Distance to 52-Week High

97.40%%

Distance to 52-Week Low

130.80%%