Recent Insider Transactions • Jun 07
Executive VP & CFO recently sold US$104k worth of stock On the 4th of June, Richard Vari sold around 5k shares on-market at roughly US$23.20 per share. This transaction amounted to 10% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. This was Richard's only on-market trade for the last 12 months. Annonce • May 22
Mainstreet Bancshares, Inc. Appoints Oliver James as Senior Vice President, Director of Commercial & Industrial and Government Contract Lending MainStreet Bancshares, Inc. announced the appointment of Oliver James as Senior Vice President, Director of Commercial & Industrial and Government Contract Lending. A 25-year veteran of the D.C. banking community, Mr. James’ is well-suited to lead the Bank’s specialized team. Mr. James started his career in banking in 2001 at Wachovia where he completed their leadership development and training program. He is Omega Commercial Credit Certified and holds a background in economics from Brooklands College in London. Beyond his professional achievements, he is an active member of the community, formerly serving on the board of directors for the Fairfax Symphony Orchestra. Declared Dividend • Apr 26
First quarter dividend of US$0.10 announced Dividend of US$0.10 is the same as last year. Ex-date: 4th May 2026 Payment date: 11th May 2026 Dividend yield will be 1.7%, which is lower than the industry average of 3.2%. Sustainability & Growth The dividend has increased by an average of 19% per year over the past 4 years and payments have been stable during that time. EPS is expected to grow by 11% over the next year, which should provide support to the dividend and adequate earnings cover. Annonce • Apr 25
MainStreet Bancshares, Inc. (NasdaqCM:MNSB) announces an Equity Buyback for $10 million worth of its shares. MainStreet Bancshares, Inc. (NasdaqCM:MNSB) announces a share repurchase program. Under the program, the company will repurchase up to $10 million worth of its shares. Reported Earnings • Apr 21
First quarter 2026 earnings released: EPS: US$0.48 (vs US$0.25 in 1Q 2025) First quarter 2026 results: EPS: US$0.48 (up from US$0.25 in 1Q 2025). Revenue: US$18.7m (up 7.3% from 1Q 2025). Net income: US$3.56m (up 86% from 1Q 2025). Profit margin: 19% (up from 11% in 1Q 2025). The increase in margin was primarily driven by higher revenue. Over the last 3 years on average, earnings per share has fallen by 62% per year but the company’s share price has increased by 5% per year, which means it is well ahead of earnings. Annonce • Apr 21
MainStreet Bancshares, Inc., Annual General Meeting, May 21, 2026 MainStreet Bancshares, Inc., Annual General Meeting, May 21, 2026. New Risk • Apr 20
New major risk - Revenue and earnings growth Earnings have declined by 33% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. This is currently the only risk that has been identified for the company. Annonce • Mar 29
Mainstreet Bancshares, Inc. Appoints Morgan Higgins as Director Mainstreet Bancshares, Inc. announced the appointment of Morgan Higgins, seasoned financial executive, as a Director of the Bank. Higgins brings over 20 years of experience in banking and government contracting, with a specific focus on strategic growth in the defense and government services markets. Higgins is a Partner at Blue Delta Capital Partners, a venture capital firm, where she leads equity investments in emerging government contracting businesses that are scaling in the U.S Federal Government market. Prior to Blue Delta, Higgins was an Executive Director at JP Morgan Chase where she helped grow and scale the Washington, D.C. Middle Market Aerospace and Government Service banking team with a focus on helping government contractors with all their banking needs including growth through mergers and acquisitions. Higgins also serves as a director of Core One Solutions, CSA, as well as the National Capital Chapter of Association for Corporate Growth, which focuses on building corporate expansion and value. Reported Earnings • Mar 16
Full year 2025 earnings released: EPS: US$1.76 (vs US$1.60 loss in FY 2024) Full year 2025 results: EPS: US$1.76 (up from US$1.60 loss in FY 2024). Revenue: US$73.6m (up 25% from FY 2024). Net income: US$13.5m (up US$25.6m from FY 2024). Profit margin: 18% (up from net loss in FY 2024). The move to profitability was primarily driven by higher revenue. Net interest margin (NIM): 3.46% (up from 3.13% in FY 2024). Cost-to-income ratio: 74.2% (down from 110.9% in FY 2024). Non-performing loans: 1.69% (up from 1.18% in FY 2024). Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 72 percentage points per year, which is a significant difference in performance. Annonce • Jan 28
Mainstreet Bancshares, Inc. Announces Cash Dividend, Payable on February 16, 2026 On January 27, 2026, the Board of Directors of MainStreet Bancshares, Inc. announced a $0.10 per share cash dividend to common shareholders. The dividend will be paid on February 16, 2026, to shareholders of record on February 9, 2026. Reported Earnings • Jan 26
Full year 2025 earnings released: EPS: US$1.76 (vs US$1.60 loss in FY 2024) Full year 2025 results: EPS: US$1.76 (up from US$1.60 loss in FY 2024). Revenue: US$73.6m (up 25% from FY 2024). Net income: US$13.5m (up US$25.6m from FY 2024). Profit margin: 18% (up from net loss in FY 2024). The move to profitability was primarily driven by higher revenue. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 63 percentage points per year, which is a significant difference in performance. Annonce • Dec 20
Mainstreet Bancshares, Inc. and MainStreet Bank Announces Resignation of Ali Reza Manouchehri as Director, Effective January 1, 2026 MainStreet Bancshares, Inc. announced that Ali Reza Manouchehri, a director of MainStreet Bancshares, Inc. and MainStreet Bank, notified the Company and the Bank that he is resigning from the Boards of Directors of the Company and the Bank effective January 1, 2026. Mr. Manouchehri is the Chief Executive Officer of Metrostar Systems LLC, a high-growth government contracting company that was recently sold to Veritas Capital, and their strategic plan requires his full time and attention going forward. Following Mr. Manouchehri's resignation, the size of the Board of Directors of the Company will be reduced from eleven to ten. Recent Insider Transactions • Dec 10
Senior EVP recently sold US$470k worth of stock On the 8th of December, Thomas Chmelik sold around 24k shares on-market at roughly US$19.93 per share. This transaction amounted to 16% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. This was Thomas' only on-market trade for the last 12 months. New Risk • Dec 05
New minor risk - Insider selling There has been significant insider selling in the company's shares over the past 3 months. Total value of shares sold: US$0 This is considered a minor risk. There are several reasons why an insider may be selling, including to cover a tax obligation or pay for some other expense. However, we generally consider it a negative if insiders have been selling, especially if they do so below the current price. It implies that they considered a lower price to be reasonable. This is a weak signal, but if there is a pattern of unexplained selling, it can be a sign the insider believes the company's stock is overpriced. Note: We only include open market transactions and private dispositions of directly owned stock by individuals, not by corporations or trusts. Currently, the following risks have been identified for the company: Minor Risks Paying a dividend despite being loss-making. Significant insider selling over the past 3 months (US$0 sold). Annonce • Nov 27
MainStreet Bancshares, Inc. Announces CFO Changes, Effective December 31, 2025 MainStreet Bancshares, Inc. announced that Thomas J. Chmelik will retire as the Chief Financial Officer on December 31, 2025. He will continue to serve as the Senior Executive Vice President and Secretary of the Bank and Company through December 31, 2027. Mr. Chmelik is a co-founder of MainStreet Bank, which opened in May 2004. Chmelik is a career banker having served as the CFO of four successful community banks in the Washington, DC market as well as working on a World Bank initiative to restructure the National Bank of Commerce – the largest commercial bank in Tanzania, Africa. Alex Vari, CPA, CFO and Executive Vice President of MainStreet Bank, will assume the role as Company CFO upon Chmelik's planned retirement. Declared Dividend • Oct 31
Third quarter dividend of US$0.10 announced Dividend of US$0.10 is the same as last year. Ex-date: 10th November 2025 Payment date: 18th November 2025 Dividend yield will be 2.2%, which is lower than the industry average of 3.2%. Sustainability & Growth Dividend is being paid despite the company being loss-making over the last 12 months. However, the dividend is expected to be well covered in 3 years' time (18% forecast payout ratio). The dividend has increased by an average of 19% per year over the past 4 years and payments have been stable during that time. Annonce • Oct 29
MainStreet Bancshares, Inc. Announces Cash Dividend, Payable on November 18, 2025 On October 28, 2025, the Board of Directors of MainStreet Bancshares, Inc. announced a $0.10 per share cash dividend to common shareholders. The dividend will be paid on November 18, 2025, to shareholders of record on November 11, 2025. The Board of Directors will consider future dividends to common shareholders after its review of the Company’s financial condition, results of operations, and other factors. Reported Earnings • Oct 28
Third quarter 2025 earnings released: EPS: US$0.52 (vs US$0.036 loss in 3Q 2024) Third quarter 2025 results: EPS: US$0.52 (up from US$0.036 loss in 3Q 2024). Revenue: US$18.1m (up 36% from 3Q 2024). Net income: US$3.98m (up US$4.25m from 3Q 2024). Profit margin: 22% (up from net loss in 3Q 2024). Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 68 percentage points per year, which is a significant difference in performance. New Risk • Oct 27
New major risk - Revenue and earnings growth Earnings have declined by 24% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 24% per year over the past 5 years. Minor Risk Paying a dividend despite being loss-making. Annonce • Oct 21
MainStreet Bancshares, Inc. (NasdaqCM:MNSB) announces an Equity Buyback for $10 million worth of its shares. MainStreet Bancshares, Inc. (NasdaqCM:MNSB) announces a share repurchase program. Under the program, the company will repurchase up to $10 million worth of its shares. Board Change • Oct 18
High number of new directors Independent Director Wendy Hall was the last director to join the board, commencing their role in 2025. Annonce • Sep 25
MainStreet Bancshares, Inc. and Mainstreet Bank Appoint Wendy Adeler Hall as Director, Effective October 16, 2025 On September 18, 2025, the Boards of Directors Mainstreet Bancshares, Inc. (the "Company") and MainStreet Bank (the "Bank") appointed Wendy Adeler Hall as a director of the Company and the Bank, respectively, to fill the position vacated by Elizabeth Bennett in 2024. Ms. Adeler Hall's appointment will be effective as of October 16, 2025 and she will be up for election in 2026. Wendy Adeler Hall, age 55, is an accomplished leader in the jewelry industry with over three decades of experience in business development, marketing, and philanthropy. After founding her own successful gourmet food store, Memory Lane, she joined Adeler Jewelers in 1997 as Vice President of Marketing and Philanthropy. Under her leadership, the company grew into a premier custom design jeweler and became known for its community service. In 2011, she transitioned into business development, where she leveraged the brand's visibility by placing jewelry on over 300 celebrities and attracting national retailers. A George Mason University graduate, Wendy believes that community engagement is crucial for business success, a philosophy reflected in her extensive philanthropic work, which includes serving on the Advisory Board of CharityWorks and co-chairing the Brain & Behavior Research Foundation galas. In connection with Ms. Adeler Hall's appointment, the Board of the Company has appointed her to serve on the Nominating and Compensation Committee. The Board determined the Ms. Adeler Hall is an independent director under Nasdaq listing standards and the Company's corporate governance guidelines. Price Target Changed • Aug 01
Price target increased by 14% to US$24.75 Up from US$21.75, the current price target is provided by 1 analyst. New target price is 24% above last closing price of US$19.92. Stock is up 22% over the past year. The company is forecast to post earnings per share of US$1.84 next year compared to a net loss per share of US$1.60 last year. Declared Dividend • Jul 27
Second quarter dividend of US$0.10 announced Dividend of US$0.10 is the same as last year. Ex-date: 6th August 2025 Payment date: 13th August 2025 Dividend yield will be 1.9%, which is lower than the industry average of 3.2%. Sustainability & Growth The dividend has increased by an average of 19% per year over the past 4 years and payments have been stable during that time. Annonce • Jul 25
MainStreet Bancshares, Inc. announces Quarterly dividend, payable on August 13, 2025 MainStreet Bancshares, Inc. announced Quarterly dividend of USD 0.1000 per share payable on August 13, 2025, ex-date on August 06, 2025 and record date on August 06, 2025. Reported Earnings • Jul 22
Second quarter 2025 earnings released: EPS: US$0.60 (vs US$0.27 in 2Q 2024) Second quarter 2025 results: EPS: US$0.60 (up from US$0.27 in 2Q 2024). Revenue: US$20.4m (up 31% from 2Q 2024). Net income: US$4.59m (up 121% from 2Q 2024). Profit margin: 23% (up from 13% in 2Q 2024). Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 64 percentage points per year, which is a significant difference in performance. Declared Dividend • Apr 25
First quarter dividend of US$0.10 announced Dividend of US$0.10 is the same as last year. Ex-date: 9th May 2025 Payment date: 20th May 2025 Dividend yield will be 2.1%, which is lower than the industry average of 3.2%. Sustainability & Growth The dividend has increased by an average of 26% per year over the past 3 years and payments have been stable during that time. Annonce • Apr 24
MainStreet Bancshares, Inc. announces Quarterly dividend, payable on May 20, 2025 MainStreet Bancshares, Inc. announced Quarterly dividend of USD 0.1000 per share payable on May 20, 2025, ex-date on May 09, 2025 and record date on May 09, 2025. Reported Earnings • Apr 22
First quarter 2025 earnings released First quarter 2025 results: Net income: (down US$2.77m from profit in 1Q 2024). Over the last 3 years on average, earnings per share has fallen by 35% per year but the company’s share price has only fallen by 11% per year, which means it has not declined as severely as earnings. New Risk • Apr 22
New major risk - Revenue and earnings growth Earnings have declined by 3.1% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 3.1% per year over the past 5 years. Minor Risk Paying a dividend despite being loss-making. Annonce • Apr 19
MainStreet Bancshares, Inc., Annual General Meeting, May 21, 2025 MainStreet Bancshares, Inc., Annual General Meeting, May 21, 2025. Location: proxydocs.com/mnsb, United States Reported Earnings • Mar 19
Full year 2024 earnings released: US$1.60 loss per share (vs US$3.25 profit in FY 2023) Full year 2024 results: US$1.60 loss per share (down from US$3.25 profit in FY 2023). Revenue: US$59.1m (down 25% from FY 2023). Net loss: US$12.1m (down 150% from profit in FY 2023). Net interest margin (NIM): 3.13% (down from 4.15% in FY 2023). Cost-to-income ratio: 78.9% (up from 56.7% in FY 2023). Non-performing loans: 1.18% (up from 0.06% in FY 2023). Over the last 3 years on average, earnings per share has fallen by 28% per year but the company’s share price has only fallen by 11% per year, which means it has not declined as severely as earnings. New Risk • Mar 17
New minor risk - Dividend sustainability The dividend is not well covered by earnings. The company is paying a dividend despite being loss-making. Current dividend yield: 2.3% This is considered a minor risk. Companies that pay out too much of their earnings are at risk of having to reduce or cut their dividend in future. If earnings growth slows or earnings fall, then there may not be enough earnings to maintain the same dividend. Or in extreme cases, companies may opt to dig into capital reserves or take on debt to maintain the dividend. For dividend paying companies, any reduction in the dividend can significantly impact the share price. This is currently the only risk that has been identified for the company. Declared Dividend • Jan 31
Fourth quarter dividend of US$0.10 announced Dividend of US$0.10 is the same as last year. Ex-date: 10th February 2025 Payment date: 17th February 2025 Dividend yield will be 2.4%, which is lower than the industry average of 3.2%. Sustainability & Growth Dividend is well covered by earnings (33% payout ratio) and is expected to be well covered in 3 years' time (32% forecast payout ratio). The dividend has increased by an average of 26% per year over the past 3 years and payments have been stable during that time. EPS is expected to grow by 343% over the next 2 years, which should provide support to the dividend and adequate earnings cover. Annonce • Jan 30
Mainstreet Bancshares, Inc. Declares Cash Dividend to Common Shareholders, Payable on February 17, 2025 On January 28, 2025, the Board of Directors of MainStreet Bancshares, Inc. announced a $0.10 per share cash dividend to common shareholders. The dividend will be paid on February 17, 2025, to shareholders of record on February 10, 2025. Reported Earnings • Jan 27
Full year 2024 earnings released: US$1.60 loss per share (vs US$3.25 profit in FY 2023) Full year 2024 results: US$1.60 loss per share (down from US$3.25 profit in FY 2023). Revenue: US$59.1m (down 24% from FY 2023). Net loss: US$12.1m (down 150% from profit in FY 2023). Over the last 3 years on average, earnings per share has fallen by 28% per year but the company’s share price has only fallen by 12% per year, which means it has not declined as severely as earnings. Annonce • Jan 27
MainStreet Bancshares, Inc. Reports Unaudited Impairment Charges for the Fourth Quarter Ended December 31, 2024 MainStreet Bancshares, Inc. reported unaudited impairment charges for the fourth quarter ended December 31, 2024. for the quarter, the company reported Computer software intangible impairment of $19,721,000. Recent Insider Transactions • Dec 13
Director of MainStreet Bank recently bought US$103k worth of stock On the 12th of December, Ali Manouchehri bought around 5k shares on-market at roughly US$20.69 per share. This transaction increased Ali's direct individual holding by 3x at the time of the trade. This was the largest purchase by an insider in the last 3 months. Insiders have collectively bought US$204k more in shares than they have sold in the last 12 months. Price Target Changed • Nov 25
Price target increased by 7.5% to US$21.50 Up from US$20.00, the current price target is provided by 1 analyst. New target price is 17% above last closing price of US$18.40. Stock is down 15% over the past year. The company is forecast to post earnings per share of US$0.83 for next year compared to US$3.25 last year. New Risk • Nov 24
New minor risk - Insider selling There has been significant insider selling in the company's shares over the past 3 months. Total value of shares sold: US$53k This is considered a minor risk. There are several reasons why an insider may be selling, including to cover a tax obligation or pay for some other expense. However, we generally consider it a negative if insiders have been selling, especially if they do so below the current price. It implies that they considered a lower price to be reasonable. This is a weak signal, but if there is a pattern of unexplained selling, it can be a sign the insider believes the company's stock is overpriced. Note: We only include open market transactions and private dispositions of directly owned stock by individuals, not by corporations or trusts. Currently, the following risks have been identified for the company: Minor Risks Profit margins are more than 30% lower than last year (15% net profit margin). Significant insider selling over the past 3 months (US$53k sold). Recent Insider Transactions • Nov 24
Chief Risk Officer recently sold US$53k worth of stock On the 21st of November, Michael Baboval sold around 3k shares on-market at roughly US$18.25 per share. This transaction amounted to 32% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. Despite this recent sale, insiders have collectively bought US$98k more than they sold in the last 12 months. Declared Dividend • Nov 01
Third quarter dividend of US$0.10 announced Dividend of US$0.10 is the same as last year. Ex-date: 12th November 2024 Payment date: 19th November 2024 Dividend yield will be 2.3%, which is lower than the industry average of 3.2%. Sustainability & Growth Dividend is well covered by earnings (8% payout ratio) and is expected to be well covered in 3 years' time (36% forecast payout ratio). The dividend has increased by an average of 26% per year over the past 3 years and payments have been stable during that time. EPS is expected to grow by 5.7% over the next 2 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Oct 29
Third quarter 2024 earnings: EPS and revenues miss analyst expectations Third quarter 2024 results: US$0.036 loss per share (down from US$0.77 profit in 3Q 2023). Revenue: US$13.3m (down 31% from 3Q 2023). Net loss: US$274.0k (down 105% from profit in 3Q 2023). Revenue missed analyst estimates by 1.6%. Earnings per share (EPS) were also behind analyst expectations. Revenue is forecast to grow 14% p.a. on average during the next 3 years, compared to a 6.6% growth forecast for the Banks industry in the US. Over the last 3 years on average, earnings per share has fallen by 8% per year whereas the company’s share price has fallen by 11% per year. Major Estimate Revision • Oct 13
Consensus EPS estimates fall by 14% The consensus outlook for fiscal year 2024 has been updated. 2024 EPS estimate fell from US$1.07 to US$0.915. Revenue forecast unchanged from US$66.6m at last update. Net income forecast to shrink 49% next year vs 9.5% growth forecast for Banks industry in the US . Consensus price target of US$20.00 unchanged from last update. Share price was steady at US$18.00 over the past week. Annonce • Oct 10
MainStreet Bancshares, Inc. to Report Q3, 2024 Results on Oct 28, 2024 MainStreet Bancshares, Inc. announced that they will report Q3, 2024 results Pre-Market on Oct 28, 2024 Valuation Update With 7 Day Price Move • Sep 19
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to US$19.60, the stock trades at a forward P/E ratio of 17x. Average forward P/E is 12x in the Banks industry in the US. Total loss to shareholders of 12% over the past three years. Annonce • Aug 24
MainStreet Bancshares, Inc. and MainStreet Bank Announce Resignation of Elizabeth S. Bennett as Member of the Board of Directors and from All Committees On August 21, 2024, during a regularly scheduled meeting of the Board of Directors of MainStreet Bancshares, Inc. (the Company") and MainStreet Bank (the Bank"), long-time director Elizabeth S. Bennett announced her retirement and resignation as a member of the Board of Directors of the Company and the Bank, and from all committees. Ms. Bennett's resignation was effective on that date. Ms. Bennett stated that with her business interests behind her and having moved out of the Bank's market area, it was a fitting time to depart from her director role as well. Major Estimate Revision • Aug 05
Consensus EPS estimates fall by 19% The consensus outlook for earnings per share (EPS) in fiscal year 2024 has deteriorated. 2024 revenue forecast decreased from US$69.5m to US$67.3m. EPS estimate also fell from US$1.32 per share to US$1.07 per share. Net income forecast to shrink 34% next year vs 9.4% growth forecast for Banks industry in the US . Consensus price target down from US$20.75 to US$19.75. Share price fell 8.0% to US$16.30 over the past week. Declared Dividend • Aug 02
Second quarter dividend of US$0.10 announced Dividend of US$0.10 is the same as last year. Ex-date: 9th August 2024 Payment date: 16th August 2024 Dividend yield will be 2.5%, which is lower than the industry average of 3.2%. Sustainability & Growth The dividend has increased by an average of 26% per year over the past 3 years and payments have been stable during that time. EPS is expected to decline by 33% over the next year. However, it would need to fall by 89% to increase the payout ratio to a potentially unsustainable range. Board Change • Aug 01
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 5 experienced directors. 7 highly experienced directors. Independent Director Ralph DeLeon was the last director to join the board, commencing their role in 2021. The following issues are considered to be risks according to the Simply Wall St Risk Model: Insufficient board refreshment. Reported Earnings • Jul 30
Second quarter 2024 earnings: EPS and revenues miss analyst expectations Second quarter 2024 results: EPS: US$0.27 (down from US$0.85 in 2Q 2023). Revenue: US$15.5m (down 20% from 2Q 2023). Net income: US$2.08m (down 68% from 2Q 2023). Profit margin: 13% (down from 33% in 2Q 2023). The decrease in margin was primarily driven by lower revenue. Revenue missed analyst estimates by 3.8%. Earnings per share (EPS) also missed analyst estimates by 6.9%. Revenue is forecast to grow 9.3% p.a. on average during the next 2 years, compared to a 6.4% growth forecast for the Banks industry in the US. Over the last 3 years on average, earnings per share has remained flat but the company’s share price has fallen by 10% per year, which means it is significantly lagging earnings. Major Estimate Revision • Apr 29
Consensus EPS estimates fall by 33% The consensus outlook for earnings per share (EPS) in fiscal year 2024 has deteriorated. 2024 revenue forecast decreased from US$75.1m to US$69.5m. EPS estimate also fell from US$1.97 per share to US$1.32 per share. Net income forecast to shrink 43% next year vs 1.5% growth forecast for Banks industry in the US . Consensus price target down from US$24.00 to US$20.75. Share price was steady at US$15.90 over the past week. Declared Dividend • Apr 28
First quarter dividend of US$0.10 announced Dividend of US$0.10 is the same as last year. Ex-date: 2nd May 2024 Payment date: 10th May 2024 Dividend yield will be 2.5%, which is lower than the industry average of 3.2%. Sustainability & Growth The dividend has increased by an average of 41% per year over the past 2 years and payments have been stable during that time. EPS is expected to decline by 34% over the next year. However, it would need to fall by 87% to increase the payout ratio to a potentially unsustainable range. Reported Earnings • Apr 23
First quarter 2024 earnings released: EPS: US$0.36 (vs US$1.01 in 1Q 2023) First quarter 2024 results: EPS: US$0.36 (down from US$1.01 in 1Q 2023). Revenue: US$16.5m (down 25% from 1Q 2023). Net income: US$2.77m (down 64% from 1Q 2023). Profit margin: 17% (down from 35% in 1Q 2023). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 8.6% p.a. on average during the next 2 years, compared to a 5.8% growth forecast for the Banks industry in the US. Over the last 3 years on average, earnings per share has increased by 9% per year but the company’s share price has fallen by 8% per year, which means it is significantly lagging earnings. Price Target Changed • Apr 16
Price target decreased by 8.6% to US$24.00 Down from US$26.25, the current price target is an average from 2 analysts. New target price is 42% above last closing price of US$16.87. Stock is down 26% over the past year. The company is forecast to post earnings per share of US$1.97 for next year compared to US$3.25 last year. Annonce • Apr 09
MainStreet Bancshares, Inc., Annual General Meeting, May 15, 2024 MainStreet Bancshares, Inc., Annual General Meeting, May 15, 2024, at 11:00 US Eastern Standard Time. Valuation Update With 7 Day Price Move • Jan 31
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to US$18.52, the stock trades at a forward P/E ratio of 9x. Average forward P/E is 11x in the Banks industry in the US. Total returns to shareholders of 11% over the past three years. Declared Dividend • Jan 25
Fourth quarter dividend of US$0.10 announced Dividend of US$0.10 is the same as last year. Ex-date: 1st February 2024 Payment date: 9th February 2024 Dividend yield will be 1.8%, which is lower than the industry average of 3.2%. Sustainability & Growth The dividend has increased by an average of 41% per year over the past 2 years and payments have been stable during that time. EPS is expected to decline by 40% over the next 2 years. However, it would need to fall by 88% to increase the payout ratio to a potentially unsustainable range. Annonce • Jan 24
MainStreet Bancshares, Inc. Declares Cash Dividend, Payable on February 9, 2024 The Board of Directors of MainStreet Bancshares, Inc. announced a $0.10 per share cash dividend to common shareholders. The dividend will be paid on February 9, 2024, to shareholders of record on February 2, 2024. Reported Earnings • Jan 22
Full year 2023 earnings: EPS in line with expectations, revenues disappoint Full year 2023 results: EPS: US$3.25 (down from US$3.26 in FY 2022). Revenue: US$77.9m (up 7.6% from FY 2022). Net income: US$24.4m (flat on FY 2022). Profit margin: 31% (down from 34% in FY 2022). The decrease in margin was driven by higher expenses. Revenue missed analyst estimates by 2.2%. Earnings per share (EPS) were mostly in line with analyst estimates. Revenue is forecast to grow 5.4% p.a. on average during the next 2 years, compared to a 5.3% growth forecast for the Banks industry in the US. Over the last 3 years on average, earnings per share has increased by 17% per year but the company’s share price has only increased by 6% per year, which means it is significantly lagging earnings growth. Annonce • Dec 13
MainStreet Bancshares, Inc. Appoints Tom Floyd to Executive Vice President MainStreet Bancshares, Inc. promoted Tom Floyd to Executive Vice President. Floyd remains the Bank's Chief Lending Officer. The promotion underscores Floyd's achievements as a farsighted strategist at the $2 billion-asset Bank. Floyd, previously a Senior Vice President, oversees a team of seasoned lenders and a $1.7 billion loan portfolio. He maintains a keen focus on cultivating client success through smart lending strategies and has played a pivotal role in positioning both the Bank and its clients to navigate changing interest rate dynamics. Floyd has worked in banking across the Washington metropolitan area for more than 16 years and has been with MainStreet Bank since 2013. He has consistently been one of MainStreet Bank's top performing lenders, with a special focus on real estate and construction lending. Floyd earned a Bachelor of Science in finance from Virginia Tech. He is also a graduate of the Virginia Bankers Association School of Bank Management. Upcoming Dividend • Oct 30
Upcoming dividend of US$0.10 per share at 2.1% yield Eligible shareholders must have bought the stock before 06 November 2023. Payment date: 14 November 2023. Payout ratio is a comfortable 2.8% and this is well supported by cash flows. Trailing yield: 2.1%. Lower than top quartile of American dividend payers (5.4%). Lower than average of industry peers (4.1%). Reported Earnings • Oct 25
Third quarter 2023 earnings: EPS in line with expectations, revenues disappoint Third quarter 2023 results: EPS: US$0.77 (down from US$0.96 in 3Q 2022). Revenue: US$19.3m (flat on 3Q 2022). Net income: US$5.80m (down 20% from 3Q 2022). Profit margin: 30% (down from 37% in 3Q 2022). Revenue is forecast to grow 3.0% p.a. on average during the next 3 years, compared to a 4.3% growth forecast for the Banks industry in the US. Over the last 3 years on average, earnings per share has increased by 23% per year but the company’s share price has only increased by 9% per year, which means it is significantly lagging earnings growth. Annonce • Oct 25
MainStreet Bancshares, Inc. Announces Cash Dividend, Payable on November 14, 2023 On October 24, 2023, the Board of Directors of MainStreet Bancshares, Inc. announced a $0.10 per share cash dividend to common shareholders. The dividend will be paid on November 14, 2023, to shareholders of record on November 7, 2023. Annonce • Oct 20
Mainstreet Bank Inaugurates Its Avenu Software as A Service (Saas) Technology with Its First Client, Safaripay MainStreet Bancshares, Inc. announced the launch of Avenu's fully integrated Software as a Service (SaaS) technology along with its first client on the new solution--SafariPay. The Avenu team announced that SafariPay's global money transmittance service known as PaySii is its first onboarded client. The SafariPay relationship links MainStreet Bank's deposit and payments capabilities with a community of U.S. residents who want a U.S. banking relationship that also provides a convenient, secure, and reliable way to send money to friends and family in Africa, the UK, the European Union, and the Middle East. The Avenu team relied upon its collective experience with traditional Banking as a Service (BaaS) clients as a baseline to design and build its new SaaS technology. The design fully integrated digital tools into Avenu's SaaS technology that are aligned with best practices for safety and soundness and compliance purposes. The team also designed a purpose-built training program to provide a scalable and reliable solution to meet the needs of BaaS clients now and into the future. Upcoming Dividend • Jul 27
Upcoming dividend of US$0.10 per share at 1.6% yield Eligible shareholders must have bought the stock before 03 August 2023. Payment date: 11 August 2023. Payout ratio is a comfortable 5.3% and this is well supported by cash flows. Trailing yield: 1.6%. Lower than top quartile of American dividend payers (4.7%). Lower than average of industry peers (3.4%). Reported Earnings • Jul 24
Second quarter 2023 earnings: EPS in line with expectations, revenues disappoint Second quarter 2023 results: EPS: US$0.85 (up from US$0.71 in 2Q 2022). Revenue: US$19.4m (up 15% from 2Q 2022). Net income: US$6.41m (up 19% from 2Q 2022). Profit margin: 33% (up from 32% in 2Q 2022). The increase in margin was driven by higher revenue. Revenue missed analyst estimates by 11%. Earnings per share (EPS) were mostly in line with analyst estimates. Revenue is forecast to grow 5.0% p.a. on average during the next 2 years, compared to a 4.4% growth forecast for the Banks industry in the US. Over the last 3 years on average, earnings per share has increased by 28% per year but the company’s share price has only increased by 21% per year, which means it is significantly lagging earnings growth. Annonce • Jul 23
MainStreet Bancshares, Inc. Declares Cash Dividend, Payable on August 11, 2023 On July 19, 2023, the board of directors of MainStreet Bancshares, Inc. declared a $0.10 per share cash dividend to common shareholders. The dividend will be paid on August 11, 2023, to shareholders of record on August 4, 2023. Price Target Changed • Jul 17
Price target decreased by 7.9% to US$26.13 Down from US$28.38, the current price target is an average from 2 analysts. New target price is 15% above last closing price of US$22.70. Stock is down 0.2% over the past year. The company is forecast to post earnings per share of US$3.25 for next year compared to US$3.26 last year. Recent Insider Transactions • Apr 29
President recently bought US$234k worth of stock On the 26th of April, Jeff Dick bought around 11k shares on-market at roughly US$21.40 per share. This transaction amounted to 5.2% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. Jeff has been a buyer over the last 12 months, purchasing a net total of US$268k worth in shares. Price Target Changed • Apr 12
Price target decreased by 10% to US$28.38 Down from US$31.63, the current price target is an average from 2 analysts. New target price is 25% above last closing price of US$22.65. Stock is down 2.1% over the past year. The company is forecast to post earnings per share of US$3.39 for next year compared to US$3.26 last year. Reported Earnings • Mar 27
Full year 2022 earnings: EPS and revenues exceed analyst expectations Full year 2022 results: EPS: US$3.26 (up from US$2.65 in FY 2021). Revenue: US$72.4m (up 19% from FY 2021). Net income: US$24.5m (up 23% from FY 2021). Profit margin: 34% (in line with FY 2021). Net interest margin (NIM): 4.19% (up from 3.35% in FY 2021). Cost-to-income ratio: 52.2% (down from 55.1% in FY 2021). Revenue exceeded analyst estimates by 1.8%. Earnings per share (EPS) also surpassed analyst estimates by 1.2%. Revenue is forecast to grow 13% p.a. on average during the next 2 years, compared to a 6.3% growth forecast for the Banks industry in the US. Over the last 3 years on average, earnings per share has increased by 25% per year but the company’s share price has only increased by 16% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Mar 13
Investor sentiment deteriorates as stock falls 18% After last week's 18% share price decline to US$23.84, the stock trades at a forward P/E ratio of 6x. Average forward P/E is 9x in the Banks industry in the US. Total returns to shareholders of 56% over the past three years. Buying Opportunity • Mar 02
Now 20% undervalued Over the last 90 days, the stock is up 2.1%. The fair value is estimated to be US$36.68, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 19% over the last 3 years. Earnings per share has grown by 25%. Revenue is forecast to grow by 31% in 2 years. Earnings is forecast to grow by 32% in the next 2 years. Annonce • Feb 16
MainStreet Bancshares Names Two Senior Technology Executives MainStreet Bancshares, Inc. announced two key appointments to its technology team. Andrew Stoutenburgh has joined the $1.9 billion-asset community bank as Senior Vice President and Chief Technology Officer, and Matt McCrory has been promoted to Senior Vice President and Chief Information Security Officer. As CTO, Stoutenburgh drives MainStreet Bank's technology vision and implementation, including technology investment, architecture, and engineering. His strong understanding of the technological forces that are transforming financial services has been shaped by more than 25 years of progressive experience in the banking industry. Most recently, he was Vice President and Technical Services Manager for a regional financial services company with operations in seven states and the District of Columbia. Earlier in his career, Stoutenburgh worked in bank branch and credit operations in various Northern Virginia community banks before shifting his focus to information systems. As CISO, McCrory leads efforts to maintain a strong data privacy and security culture and ensure the Bank's resilience against ever-increasing cyber, data and information security risks. A 15-year veteran of MainStreet Bank, he was previously Senior Vice President and Information Security Officer. McCrory's strengths include IT governance and risk management. He has designed, implemented, and managed a best-in-class cybersecurity program, and works across all information security domains. He holds multiple professional certifications, including CRISC and CISSP. Major Estimate Revision • Jan 30
Consensus revenue estimates increase by 13% The consensus outlook for revenues in fiscal year 2023 has improved. 2023 revenue forecast increased from US$79.9m to US$90.1m. EPS estimate increased from US$3.56 to US$4.02 per share. Net income forecast to grow 31% next year vs 9.9% growth forecast for Banks industry in the US. Consensus price target broadly unchanged at US$32.13. Share price was steady at US$28.89 over the past week. Buying Opportunity • Jan 26
Now 20% undervalued Over the last 90 days, the stock is up 2.3%. The fair value is estimated to be US$36.12, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 19% over the last 3 years. Earnings per share has grown by 25%. Revenue is forecast to grow by 31% in 2 years. Earnings is forecast to grow by 32% in the next 2 years. Price Target Changed • Jan 25
Price target increased by 8.4% to US$32.13 Up from US$29.63, the current price target is an average from 2 analysts. New target price is 11% above last closing price of US$29.00. Stock is up 19% over the past year. The company is forecast to post earnings per share of US$4.02 for next year compared to US$3.26 last year. Reported Earnings • Jan 24
Full year 2022 earnings released: EPS: US$3.26 (vs US$2.65 in FY 2021) Full year 2022 results: EPS: US$3.26 (up from US$2.65 in FY 2021). Revenue: US$72.4m (up 19% from FY 2021). Net income: US$24.5m (up 23% from FY 2021). Profit margin: 34% (in line with FY 2021). Revenue is forecast to grow 9.9% p.a. on average during the next 2 years, compared to a 6.4% growth forecast for the Banks industry in the US. Over the last 3 years on average, earnings per share has increased by 25% per year but the company’s share price has only increased by 7% per year, which means it is significantly lagging earnings growth. Annonce • Jan 20
Mainstreet Bancshares, Inc. Declares Cash Dividend, Payable on February 10, 2023 On January 18, 2023, the Board of Directors of MainStreet Bancshares, Inc. declared $0.10 per share cash dividend to common shareholders. The dividend will be paid on February 10, 2023, to shareholders of record on February 3, 2023. The Board of Directors will consider future dividends to common shareholders after its review of the Company’s financial condition, results of operations, and other factors. Any subsequent dividend declaration will be subject to the discretion of the Board of Directors. Buying Opportunity • Dec 09
Now 20% undervalued Over the last 90 days, the stock is up 18%. The fair value is estimated to be US$35.15, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 18% over the last 3 years. Earnings per share has grown by 23%. Revenue is forecast to grow by 29% in 2 years. Earnings is forecast to grow by 41% in the next 2 years. 