Bankwell Financial Group (BWFG) Stock Overview
Operates as the bank holding company for Bankwell Bank that provides various banking services for individual and commercial customers. More details
| Snowflake Score | |
|---|---|
| Valuation | 5/6 |
| Future Growth | 1/6 |
| Past Performance | 5/6 |
| Financial Health | 6/6 |
| Dividends | 4/6 |
BWFG Community Fair Values
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Analyst Price Targets
Bankwell Financial Group, Inc. Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$51.41 |
| 52 Week High | US$53.86 |
| 52 Week Low | US$33.85 |
| Beta | 0.62 |
| 1 Month Change | 1.73% |
| 3 Month Change | 9.44% |
| 1 Year Change | 47.00% |
| 3 Year Change | 100.80% |
| 5 Year Change | 77.20% |
| Change since IPO | 634.36% |
Recent News & Updates
Narrative Update • Apr 27
BWFG: Raised Price View And Brooklyn Expansion Will Shape Forward Expectations
Narrative Update The analyst price target for Bankwell Financial Group has shifted from $52.00 to $54.50. Analysts point to recent Street research, including a $2 price target adjustment at Keefe Bruyette, as support for this updated view.Narrative Update • Apr 12
BWFG: Updated Assumptions And Brooklyn Expansion Will Shape Measured Forward Expectations
Analysts have raised their price target on Bankwell Financial Group by $2 to reflect updated assumptions around discount rates, modest changes to expected revenue growth and profit margins, and a slightly higher future P/E multiple. Analyst Commentary Analysts lifting their price target by $2 are signaling modestly stronger confidence in how Bankwell Financial Group can convert its current business mix into shareholder value, while still recognizing execution and valuation risks.Narrative Update • Mar 28
BWFG: Lower Risk Assumptions And Brooklyn Expansion Will Support Balanced Future Expectations
Analysts have raised their price target on Bankwell Financial Group by $2. This change reflects updated views on the bank's fair value, discount rate, revenue growth, profit margin, and future P/E assumptions.Recent updates
Narrative Update • Apr 27
BWFG: Raised Price View And Brooklyn Expansion Will Shape Forward Expectations
Narrative Update The analyst price target for Bankwell Financial Group has shifted from $52.00 to $54.50. Analysts point to recent Street research, including a $2 price target adjustment at Keefe Bruyette, as support for this updated view.Narrative Update • Apr 12
BWFG: Updated Assumptions And Brooklyn Expansion Will Shape Measured Forward Expectations
Analysts have raised their price target on Bankwell Financial Group by $2 to reflect updated assumptions around discount rates, modest changes to expected revenue growth and profit margins, and a slightly higher future P/E multiple. Analyst Commentary Analysts lifting their price target by $2 are signaling modestly stronger confidence in how Bankwell Financial Group can convert its current business mix into shareholder value, while still recognizing execution and valuation risks.Narrative Update • Mar 28
BWFG: Lower Risk Assumptions And Brooklyn Expansion Will Support Balanced Future Expectations
Analysts have raised their price target on Bankwell Financial Group by $2. This change reflects updated views on the bank's fair value, discount rate, revenue growth, profit margin, and future P/E assumptions.Narrative Update • Mar 13
BWFG: Lower Risk Assumptions And Brooklyn Expansion Will Support A Steady Outlook
Analysts have raised their price target for Bankwell Financial Group by $2, citing updated valuation work that reflects a modestly lower discount rate, stable fair value assumptions, and an adjusted future P/E outlook. Analyst Commentary Bullish Takeaways Bullish analysts see the modestly higher price target as consistent with a lower discount rate, which supports a view that the risk profile used in their models is more aligned with current conditions.Narrative Update • Feb 27
BWFG: Refreshed Assumptions And Brooklyn Expansion Will Support A Steady Outlook
Analysts have lifted their price target on Bankwell Financial Group by $2, reflecting refreshed assumptions around fair value, discount rate, revenue growth, profit margin, and future P/E after recent Street research. Analyst Commentary Street research around the refreshed fair value and P/E assumptions provides a clearer view of how analysts are framing the risk and reward in Bankwell Financial Group at the new price target level.Narrative Update • Feb 11
BWFG: Updated Fair Assumptions And 2026 Income Outlook Will Support Steady View
Analysts have increased their price target on Bankwell Financial Group by $1.50 to $52.00, citing updated fair value analysis and revised assumptions for the discount rate, revenue growth, profit margins, and future P/E expectations. Analyst Commentary Recent Street research on Bankwell Financial Group highlights a fresh look at fair value, with the revised US$52.00 target tying back to updated assumptions around discount rates, revenue trends, profit margins, and future P/E levels.Analysis Article • Feb 03
Bankwell Financial Group (NASDAQ:BWFG) Will Pay A Dividend Of $0.20
The board of Bankwell Financial Group, Inc. ( NASDAQ:BWFG ) has announced that it will pay a dividend on the 20th of...Analysis Article • Feb 01
Analysts Are Updating Their Bankwell Financial Group, Inc. (NASDAQ:BWFG) Estimates After Its Full-Year Results
Bankwell Financial Group, Inc. ( NASDAQ:BWFG ) last week reported its latest annual results, which makes it a good time...Narrative Update • Jan 28
BWFG: Slight Model Refinements Will Likely Support Steady Fair Outlook
Analysts now set their price target for Bankwell Financial Group at $50.50, up from $49.75. They cite small model adjustments to fair value, discount rate, profit margin and future P/E assumptions.Narrative Update • Jan 12
BWFG: Stable Guidance And Completed Buyback Will Likely Support Fair Outlook
Narrative Update: Bankwell Financial Group Analyst Price Target Analysts now hold their fair value estimate for Bankwell Financial Group steady at $49.75, citing only marginal tweaks to inputs such as the discount rate, revenue growth outlook, profit margin assumptions, and future P/E expectations rather than any major shift in their view on the stock. What's in the News Bankwell Financial Group reported that from July 1, 2025 to September 30, 2025, it repurchased 0 shares for $0 million, while completing a total of 44,550 shares repurchased for $1.33 million under the buyback announced on October 28, 2024 (Key Developments).Seeking Alpha • Jan 05
Bankwell Financial Appears Well-Positioned For 2026
Summary Bankwell Financial Group (BWFG) remains a Buy, supported by robust net interest margin expansion, strong earnings growth, and disciplined loan repricing. BWFG's improving deposit mix, reduced brokered deposits, and healthy credit trends underpin continued profitability and risk management progress. CRE concentration remains a key risk, but ongoing efforts to diversify the loan portfolio and strong asset quality metrics mitigate near-term concerns. Trading at a forward PE of 8.8 and with acquisition appeal, BWFG offers attractive growth potential despite a below-median dividend yield. Read the full article on Seeking AlphaNarrative Update • Dec 25
BWFG: Future Earnings Guidance And Buyback Capacity Will Likely Support Fair Outlook
Analysts have modestly raised their price target on Bankwell Financial Group to 49.75 dollars, citing a slightly higher assumed future price to earnings multiple while keeping fair value and operating assumptions effectively unchanged. What's in the News Affirmed full year 2025 earnings guidance and reiterated net interest income expectations of 97 million dollars to 98 million dollars, signaling management confidence in the earnings outlook (company guidance) Updated share repurchase activity, noting that no shares were bought between July 1, 2025 and September 30, 2025, and confirming completion of 44,550 shares repurchased for 1.33 million dollars under the October 28, 2024 buyback authorization (company filing) Valuation Changes Fair Value: unchanged at 49.75 dollars per share, indicating no revision to the intrinsic value estimate.Narrative Update • Dec 11
BWFG: Stable Buyback Outlook And Earnings Guidance Will Likely Support Fair Valuation
Analysts have modestly reiterated their outlook on Bankwell Financial Group, leaving the fair value estimate essentially unchanged at approximately $49.75 per share, as a slightly lower discount rate and valuation assumptions offset stable growth and profitability expectations. What's in the News Bankwell Financial Group updated its share repurchase activity, reporting no shares bought between July 1 and September 30, 2025, and confirming that it has completed repurchasing 44,550 shares for $1.33 million under the October 28, 2024 authorization (Key Developments).Narrative Update • Nov 27
BWFG: Share Buyback and Earnings Guidance Will Likely Underpin Market Stability
Narrative Update on Bankwell Financial Group Analysts have adjusted their price target for Bankwell Financial Group and are maintaining it at $49.75, citing only minimal changes in underlying financial assumptions and model inputs. What's in the News The company completed the repurchase of 44,550 shares, representing 0.58 percent, for $1.33 million under the buyback announced on October 28, 2024 (Key Developments).Narrative Update • Nov 12
BWFG: Share Repurchase and Guidance Are Expected to Support Stability Ahead
Analysts have maintained their price target for Bankwell Financial Group at $49.75. This reflects continued confidence in the company's valuation despite minor adjustments to the discount rate and future price-to-earnings estimates.Narrative Update • Oct 29
Share Buybacks And 2025 Earnings Confidence Will Drive Further Upside
Analysts have raised their price target for Bankwell Financial Group from $45.00 to $49.75. This change is attributed to updated valuation models and adjustments to revenue growth and profit margin forecasts.Analysis Article • May 15
Here's Why We Think Bankwell Financial Group, Inc.'s (NASDAQ:BWFG) CEO Compensation Looks Fair for the time being
Key Insights Bankwell Financial Group will host its Annual General Meeting on 21st of May CEO Chris Gruseke's total...Analysis Article • Apr 27
Bankwell Financial Group's (NASDAQ:BWFG) Dividend Will Be $0.20
Bankwell Financial Group, Inc. ( NASDAQ:BWFG ) has announced that it will pay a dividend of $0.20 per share on the 20th...
New Narrative • Nov 03
Calculated Innovation And Technological Investments Drive Future Banking Success
Anticipated net interest margin expansion via deposit and loan repricing is expected to boost earnings and margins significantly.Analysis Article • Nov 01
Bankwell Financial Group, Inc. Just Reported A Surprise Profit And Analysts Updated Their Estimates
Bankwell Financial Group, Inc. ( NASDAQ:BWFG ) last week reported its latest third-quarter results, which makes it a...Analysis Article • Jul 28
Bankwell Financial Group (NASDAQ:BWFG) Is Due To Pay A Dividend Of $0.20
Bankwell Financial Group, Inc.'s ( NASDAQ:BWFG ) investors are due to receive a payment of $0.20 per share on 23rd of...Analysis Article • May 23
Increases to Bankwell Financial Group, Inc.'s (NASDAQ:BWFG) CEO Compensation Might Cool off for now
Key Insights Bankwell Financial Group to hold its Annual General Meeting on 29th of May Salary of US$630.0k is part of...Analysis Article • Apr 29
Bankwell Financial Group (NASDAQ:BWFG) Has Affirmed Its Dividend Of $0.20
The board of Bankwell Financial Group, Inc. ( NASDAQ:BWFG ) has announced that it will pay a dividend of $0.20 per...Analysis Article • Jan 28
Bankwell Financial Group (NASDAQ:BWFG) Has Affirmed Its Dividend Of $0.20
The board of Bankwell Financial Group, Inc. ( NASDAQ:BWFG ) has announced that it will pay a dividend on the 23rd of...Analysis Article • Jul 30
Bankwell Financial Group (NASDAQ:BWFG) Will Pay A Dividend Of $0.20
Bankwell Financial Group, Inc.'s ( NASDAQ:BWFG ) investors are due to receive a payment of $0.20 per share on 24th of...Seeking Alpha • Sep 22
Bankwell Financial: Growth Of Loan Volume To Counter Margin Compression
Summary The rapid rise in interest rates will hurt the net interest margin as liability repricing will outweigh asset repricing. Connecticut’s economic activity will likely keep loan growth at an elevated level. The December 2022 target price suggests a high upside from the current market price. Further, BWFG is offering a decent dividend yield. Earnings of Bankwell Financial Group, Inc. (BWFG) will surge this year on the back of heightened loan growth and extraordinary prepayment fees. On the other hand, future margin compression and heightened provisioning will restrict earnings growth. Overall, I'm expecting Bankwell Financial to report earnings of $4.60 per share for 2022, up 37% year-over-year. For 2023, I'm expecting earnings to dip by just 1% to $4.57 per share. The December 2022 target price suggests a high upside from the current market price. Therefore, I'm maintaining a buy rating on Bankwell Financial Group. Rising Interest Rates to Thrash the Margin The ongoing rate up-cycle has been steeper and longer than previously anticipated. The Federal Reserve has already increased the fed funds rate by 300 basis points so far this year and is projecting a further around 150 basis points hike till the end of next year. Such large monetary tightening is going to hurt Bankwell Financial this year and the next. This is because the company's balance sheet is currently in an unfavorable position. More liabilities than assets are subject to repricing as interest rates change, according to details given in the 10-Q filing. Negotiable order of withdrawal, money market, and savings accounts made up 58% of total deposits at the end of June 2022. These deposits will reprice soon after every rate hike. In comparison, only around 22% of the loan portfolio is either floating or set to reprice in the next twelve months, as mentioned in the earnings presentation. The results of the management's interest-rate sensitivity analysis given in the 10-Q filing showed that a 200-basis points ramp in interest rates can decrease the net interest income by 4.0% over twelve months. 2Q 2022 10-Q Filing Despite the liability sensitivity, the net interest margin actually increased during the second quarter to 4.01% from 3.30% in the first quarter of this year. This expansion was attributable to elevated loan prepayment fees, which the management doesn't expect to recur, as mentioned in the earnings release. Further, strong loan growth during the quarter contributed to the margin expansion. The effect of the loan growth gives me hope that Bankwell Financial will be able to ride out this up-rate cycle without too much damage. However, unlike most other banks, Bankwell Financial will most certainly not benefit from rising interest rates. Considering these factors, I'm expecting the margin to plunge by 50 basis points in the second half of 2022 and then remain somewhat stable in 2023. Compared to my last report on Bankwell Financial Group, I've increased the margin estimate for 2022 because of the second quarter's surprisingly good performance. Excluding the elevated prepayment fees, I've reduced my margin estimate. Healthy Pipelines, Regional Economic Activity to Sustain Loan Growth The strong loan growth trend that started last year continued in the second quarter of 2022, with the portfolio increasing by 3.7% during the quarter, or 14.7% annualized. Loan growth will likely remain elevated in the near term as the management mentioned in the earnings release that the third quarter's loan pipeline is at record levels. Further, economic activity will help with loan growth. Bankwell Financial serves businesses and residents of Connecticut. While the state's unemployment rate is higher than the national average, it is still at a very good level from a historical perspective. Data by YCharts As more than 91% of total loans are to commercial borrowers (including commercial real estate), the coincident economic activity index is another good indicator of credit demand. This index includes the unemployment rate, average hours worked, and wages and salaries. As shown below, economic activity in Connecticut is back to the pre-pandemic level. Federal Reserve Bank of Philadelphia Bankwell Financial closed its Wilton branch in July, which leaves just nine branches in total. The branch closing could have a negative effect on loan growth. Further, high interest rates are likely to reduce the credit demand for projects that are not urgent. Considering these factors, I'm expecting the loan portfolio to increase by 3% every quarter till the end of 2023. Meanwhile, I'm expecting other balance sheet items to grow somewhat in line with loans. The following table shows my balance sheet estimates. FY18 FY19 FY20 FY21 FY22E FY23E Financial Position Net Loans 1,587 1,589 1,602 1,875 2,161 2,432 Growth of Net Loans 4.3% 0.1% 0.8% 17.1% 15.2% 12.6% Other Earning Assets 119 101 111 161 140 151 Deposits 1,502 1,492 1,827 2,124 2,157 2,428 Borrowings and Sub-Debt 185 175 200 84 145 157 Common equity 174 182 177 202 218 246 Book Value Per Share ($) 22.4 23.4 22.8 26.0 28.6 32.3 Tangible BVPS ($) 22.1 23.1 22.5 25.7 28.2 31.9 Source: SEC Filings, Author's Estimates (In USD million unless otherwise specified) Higher than Average Provisioning Likely for the Second Half Bankwell Financial surprised me in the second quarter by reporting a large reversal of the previous provisioning. Nonperforming loans were 0.74% of total loans, while allowances were 0.77% of total loans at the end of the last quarter. Bankwell Financial Group is not yet subject to the Current Expected Credit Losses accounting standard, CECL, and still provisions based on incurred losses. Therefore, such a tight allowance coverage is not too problematic. Nevertheless, I'm expecting provisioning to be higher than the historical average in future quarters. Apart from the thin coverage, I'm expecting a worsening credit quality to keep provisioning elevated. The high-inflation environment will likely be one of the biggest contributors to financial stress for borrowers. Further, according to management's estimates, if the company had used the CECL method of accounting, then earnings would have been lower by $0.09 per share in the second quarter of 2022, as mentioned in the earnings release. This means that the company is currently facing greater risk than what's incorporated in the existing allowances. Overall, I'm expecting the net provision expense to be 0.23% of total loans (annualized) in the second half of 2022 and 0.16% of total loans in 2023. In comparison, the net provision expense averaged 0.16% in the last five years. In my last report on Bankwell Financial, I estimated a net provision expense of $2 million for 2022. Due to the second quarter's surprise, I've now reduced my full-year estimate to $1 million. Earnings to Surge by 37% Robust loan growth will likely be the biggest driver of earnings growth this year. Further, the elevated prepayment fees booked in the second quarter will keep earnings elevated for this year. On the other hand, future margin compression and elevated provisioning will likely limit earnings growth. Overall, I'm expecting Bankwell Financial Group to report earnings of $4.60 per share for 2022, up 37% year-over-year. For 2023, I'm expecting earnings to be somewhat flattish at around $4.57 per share. The following table shows my income statement estimates. FY18 FY19 FY20 FY21 FY22E FY23E Income Statement Net interest income 56 54 55 68 88 97 Provision for loan losses 3 0 8 (0) 1 4 Non-interest income 4 5 3 6 4 5 Non-interest expense 36 36 43 40 45 52 Net income - Common Sh. 17 18 6 26 35 35 EPS - Diluted ($) 2.21 2.31 0.75 3.36 4.60 4.57 Source: SEC Filings, Earnings Releases, Author's Estimates (In USD million unless otherwise specified) In my last report on Bankwell Financial, I estimated earnings of $4.07 per share for 2022. I've increased my earnings estimate because the margin increased by more than I expected in the second quarter of 2022. Further, I've reduced my provisioning estimate following the second quarter's surprise.Shareholder Returns
| BWFG | US Banks | US Market | |
|---|---|---|---|
| 7D | -2.4% | -0.02% | 0.3% |
| 1Y | 47.0% | 18.9% | 26.2% |
Return vs Industry: BWFG exceeded the US Banks industry which returned 19.1% over the past year.
Return vs Market: BWFG exceeded the US Market which returned 27% over the past year.
Price Volatility
| BWFG volatility | |
|---|---|
| BWFG Average Weekly Movement | 3.5% |
| Banks Industry Average Movement | 3.2% |
| Market Average Movement | 7.2% |
| 10% most volatile stocks in US Market | 16.8% |
| 10% least volatile stocks in US Market | 3.0% |
Stable Share Price: BWFG has not had significant price volatility in the past 3 months compared to the US market.
Volatility Over Time: BWFG's weekly volatility (4%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 2002 | 167 | Chris Gruseke | www.mybankwell.com |
Bankwell Financial Group, Inc. operates as the bank holding company for Bankwell Bank that provides various banking services for individual and commercial customers. It provides various traditional depository products, including checking, savings, money market, and certificates of deposit. The company also offers first mortgage loans secured by one-to-four family owner occupied residential properties for personal use; home equity loans and home equity lines of credit secured by owner occupied one-to-four family residential properties; loans secured by commercial real estate, multi-family dwellings, owner-occupied commercial real estate, and investor-owned one-to-four family dwellings; commercial construction loans for commercial development projects, including apartment buildings and condominiums, as well as office buildings, retail, and other income producing properties; land loans; commercial business loans secured by assignments of corporate assets and personal guarantees of the business owners; loans to finance insurance premiums; overdraft lines of credit; and personal loans.
Bankwell Financial Group, Inc. Fundamentals Summary
| BWFG fundamental statistics | |
|---|---|
| Market cap | US$409.60m |
| Earnings (TTM) | US$39.04m |
| Revenue (TTM) | US$115.43m |
10.2x
P/E Ratio1.3x
P/B RatioIs BWFG overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| BWFG income statement (TTM) | |
|---|---|
| Revenue | US$115.43m |
| Cost of Revenue | US$0 |
| Gross Profit | US$115.43m |
| Other Expenses | US$76.39m |
| Earnings | US$39.04m |
Last Reported Earnings
Mar 31, 2026
Next Earnings Date
n/a
| Earnings per share (EPS) | 5.02 |
| Gross Margin | 100.00% |
| Net Profit Margin | 33.82% |
| Debt/Equity Ratio | 42.6% |
How did BWFG perform over the long term?
See historical performance and comparisonDividends
1.6%
Current Dividend Yield16%
Payout RatioCompany Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2026/06/03 12:34 |
| End of Day Share Price | 2026/06/03 00:00 |
| Earnings | 2026/03/31 |
| Annual Earnings | 2025/12/31 |
Data Sources
The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.
| Package | Data | Timeframe | Example US Source * |
|---|---|---|---|
| Company Financials | 10 years |
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| Analyst Consensus Estimates | +3 years |
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| Market Prices | 30 years |
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| Ownership | 10 years |
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| Management | 10 years |
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| Key Developments | 10 years |
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* Example for US securities, for non-US equivalent regulatory forms and sources are used.
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.
Analysis Model and Snowflake
Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.
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Industry and Sector Metrics
Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.
Analyst Sources
Bankwell Financial Group, Inc. is covered by 4 analysts. 3 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.
| Analyst | Institution |
|---|---|
| Feddie Strickland | Hovde Group, LLC |
| David Konrad | Keefe, Bruyette, & Woods |
| Matthew Breese | Piper Sandler Companies |