The company has reported a notable increase in its tangible book value per common share, reaching $12.29 as of March 31, 2025. This marks an increment of $0.58 from $11.71 recorded on December 31, 2024. This growth is part of the financial outcomes following a merger last July.
In the first quarter, the company reported strong earnings of $16.9 million, reflecting a positive continuation of financial performance since the merger. The Executive Chairman, David Rainer, highlighted the company's strategic focus on minimizing risks by reducing exposure in its Sponsor Finance portfolio and decreasing reliance on brokered deposits.
The emphasis remains on building tangible book value, which has seen an increase of $1.37 over the eight months since the merger. This strategic approach is aligned with the company's goal of strengthening its balance sheet and enhancing shareholder value.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 3 analysts, the average target price for California BanCorp (BCAL, Financial) is $18.00 with a high estimate of $20.00 and a low estimate of $16.00. The average target implies an upside of 37.98% from the current price of $13.05. More detailed estimate data can be found on the California BanCorp (BCAL) Forecast page.
Based on the consensus recommendation from 3 brokerage firms, California BanCorp's (BCAL, Financial) average brokerage recommendation is currently 2.3, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for California BanCorp (BCAL, Financial) in one year is $17.02, suggesting a upside of 30.47% from the current price of $13.045. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the California BanCorp (BCAL) Summary page.
