Mechanics Bancorp Balance Sheet Health
Financial Health criteria checks 6/6
Mechanics Bancorp has total assets of $21.2B and total equity of $2.7B. Total deposits are $18.1B, and total loans are $13.4B. It earns a Net Interest Margin of 3.4%. It has sufficient allowance for bad loans, which are currently at 0.4% of total loans. Cash and short-term investments are $603.7M.
Key information
7.9x
Asset to equity ratio
3.4%
Net interest margin
| Total deposits | US$18.09b |
| Loan to deposit ratio | Appropriate |
| Bad loans | 0.4% |
| Allowance for bad loans | Sufficient |
| Current ratio | Low |
| Cash & equivalents | US$603.71m |
Recent financial health updates
Recent updates
Mechanics Bancorp: Looking Like A More Interesting Option For Income Investors
Summary Mechanics Bancorp is rated Hold due to a stretched valuation despite robust dividend prospects post-HomeStreet merger. MCHB projects a sector-leading ~7% dividend yield for FY 2027, appealing to income investors amid modest earnings growth and asset repricing tailwinds. Loan portfolio contraction and declining yields pose near-term growth challenges, though asset repricing could expand net interest margins over time. Ford Financial Fund’s 77% voting control positions MCHB as a potential future takeover target, but premium upside appears limited at current valuation. Read the full article on Seeking Alpha
MCHB: HomeStreet Integration And Takeout Interest Will Shape Balanced Future Outlook
Analysts have adjusted the fair value estimate for Mechanics Bancorp to about $17.33 per share from $16.50, reflecting updated assumptions on growth, profitability and future P/E following recent research that highlights the accretive HomeStreet deal and potential long term takeout interest, alongside a $17 price target from new coverage. Analyst Commentary Recent research on Mechanics Bancorp gives you a clearer picture of how professionals are framing the stock after the HomeStreet acquisition and the updated fair value estimate.HomeStreet Integration And Stable Core Deposits Will Support Stronger Future Earnings Power
Catalysts About Mechanics Bancorp Mechanics Bancorp operates a West Coast focused community bank with US$21.4b in assets, offering consumer, commercial and wealth management services. What are the underlying business or industry changes driving this perspective?Financial Position Analysis
Debt to Equity History and Analysis
Balance Sheet
Financial Institutions Analysis
Asset Level: MCHB's Assets to Equity ratio (7.9x) is low.
Allowance for Bad Loans: MCHB has a sufficient allowance for bad loans (277%).
Low Risk Liabilities: 98% of MCHB's liabilities are made up of primarily low risk sources of funding.
Loan Level: MCHB has an appropriate level of Loans to Assets ratio (63%).
Low Risk Deposits: MCHB's Loans to Deposits ratio (74%) is appropriate.
Level of Bad Loans: MCHB has an appropriate level of bad loans (0.4%).
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Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2026/08/16 05:50 |
| End of Day Share Price | 2026/08/14 00:00 |
| Earnings | 2026/06/30 |
| 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
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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
Mechanics Bancorp is covered by 5 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 |
|---|---|
| David Rochester | Cantor Fitzgerald & Co. |
| Christopher McGratty | Keefe, Bruyette, & Woods |
| Wood Lay | Keefe, Bruyette, & Woods |