Customers Bancorp’s Full Series F Redemption Might Change the Case for Investing in CUBI

• On October 30, 2025, Customers Bancorp announced it will redeem all 3,400,000 shares (US$85.0 million) of its 9.06% Series F Preferred Stock on December 15, 2025, and separately declared a US$0.5726314 quarterly dividend per share on the series, payable to holders on record as of November 30, 2025.
• This move, supported by Customers Bancorp’s strong capital and liquidity positions, aims to reduce funding costs and optimize the company’s capital structure for greater long-term profitability.
• We’ll look at how Customers Bancorp’s full redemption of its high-cost preferred stock reshapes the company’s investment narrative going forward.

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Customers Bancorp Investment Narrative Recap

Shareholders in Customers Bancorp typically need confidence in the bank’s ability to capture growth from the digitization of commercial banking, especially through its proprietary cubiX platform and expansion in high-growth verticals. The recent decision to redeem its high-cost Series F Preferred Stock, while supportive of long-term margin goals and capital efficiency, is not expected to materially affect the near-term catalyst of robust digital deposit growth, or mitigate the concentration risk in digital asset-related deposits.

Among recent announcements, Customers Bancorp’s third quarter earnings stand out, showing healthy net interest income and net income increases. While these results highlight fundamental business momentum, they remain closely tied to the company’s ongoing execution in digital banking and the ability to manage liquidity given rising deposit concentrations.

Yet, in contrast, investors also need to watch for how a potential shift in digital asset market stability could impact...

Read the full narrative on Customers Bancorp (it's free!)

Customers Bancorp's outlook anticipates $977.5 million in revenue and $424.9 million in earnings by 2028. This scenario assumes 17.9% annual revenue growth and a $293.3 million increase in earnings from the current level of $131.6 million.

Uncover how Customers Bancorp's forecasts yield a $80.12 fair value, a 19% upside to its current price.

Exploring Other Perspectives

Simply Wall St Community members estimated fair values for Customers Bancorp between US$80.13 and US$155.96, reflecting three distinct viewpoints. Some focus on the surge in digital asset-related deposits, underlining how market shifts could rapidly change growth and risk exposure.

Explore 3 other fair value estimates on Customers Bancorp - why the stock might be worth over 2x more than the current price!

Build Your Own Customers Bancorp Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Customers Bancorp research is our analysis highlighting 3 key rewards that could impact your investment decision.
• Our free Customers Bancorp research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Customers Bancorp's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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