Investar Q3 profit beats estimates on improved net interest margin

Investar Holding

20/10/2025 11:11

Overview

Investar Q3 adjusted EPS beats analyst expectations

Net interest margin improved to 3.16% in Q3

Investar progressing with Wichita Falls Bancshares acquisition

Investar anticipates closing Wichita Falls acquisition around January 1, 2026

Outlook

Company focuses on optimizing balance sheet for consistent, quality earnings

Investar aims for interest rate neutral balance sheet by increasing asset yield

Result Drivers

NET INTEREST MARGIN - Improved to 3.16% due to higher yields on interest-earning assets and reduced funding costs

LOAN PORTFOLIO GROWTH - Total loans increased 2.1% driven by new variable-rate loans at a 7.5% blended interest rate

DEPOSIT STRATEGY - Shift from higher-cost brokered deposits to lower-cost non-maturing deposits enhanced net interest margin

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Adjusted EPS
Beat
$0.54
$0.45 (3 Analysts)
Q3 EPS
$0.54
Q3 Net Income
$6.17 mln
Q3 Net Interest Income
$21.15 mln
Q3 Pretax Profit
Beat
$7.47 mln
$5.58 mln (3 Analysts)
Q3 Net Interest Margin (%)
3.16%
Q3 Provision for Credit Losses
$139,000


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

The average consensus recommendation for the banks peer group is "buy"

Wall Street's median 12-month price target for Investar Holding Corp is $27.00, about 20.3% above its October 17 closing price of $21.52

The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 9 three months ago

Press Release: ID:nACSkHYZLa

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)