Preferred Bank

PFBC · NASDAQ

$105.09+$1.50 (+1.45%)TodayMarket closed · Oct 20, 7:30 PM ET

Prev close $103.59

PFBC analyst rating

BuyConsensus of 4 analysts over the last 12 months. 50% rate it a buy.

Strong buy0
Buy2
Hold2
Underperform0
Sell0

12-month price target · 7 analysts

Average $116.48 (+10.8% upside)

Low: $111.10
Now: $105.09
High: $126.00

Upgrades and downgrades

The latest rating actions, newest first

PFBC analyst upgrades, downgrades and rating actions
Firm	Date	Action	Rating	Price target	Hit rate
Piper Sandler	Oct 1, 2026	Maintains	Overweight	$115.00 → $120.00	68%
StoneX	Sep 24, 2026	Initiates	Buy	$120.00	70%
Stephens & Co.	Jul 23, 2026	Maintains	Equal-Weight	$100.00 → $110.00	67%
Piper Sandler	Apr 27, 2026	Maintains	Overweight	$105.00 → $111.00	68%
Piper Sandler	Apr 2, 2026	Maintains	Overweight	$111.00 → $105.00	68%
Piper Sandler	Jan 26, 2026	Maintains	Overweight	$121.00 → $111.00	68%
Stephens & Co.	Jan 26, 2026	Maintains	Equal-Weight	$105.00 → $93.00	67%
Piper Sandler	Oct 22, 2025	Maintains	Overweight	$112.00 → $119.00	68%
DA Davidson	Oct 22, 2025	Maintains	Neutral	$108.00 → $104.00	78%

The case for and against

Updated Apr 10, 2026

Bull case

Preferred Bank has demonstrated positive financial metrics, with a notable increase in its net interest income driven by a 7 basis point expansion in net interest margin, reaching 3.92%, and a substantial growth in end-of-period deposits by 10.0% quarter-over-quarter. The bank's tangible book value (TBV) rose by 4.4%, reflecting strong balance sheet growth, while non-performing loans (NPL) coverage significantly strengthened to 424%, indicating improved asset quality management. Additionally, projections for earnings per share have been revised upward for 2025 and 2026, suggesting a favorable outlook based on robust loan growth and better cost control practices.

Bear case

Preferred Bank's outlook is negatively impacted by a decline in its allowance for loan losses (LLP), which was reported at $2.5 million, underperforming expectations, and a reduced allowance for credit losses (ACL) at 1.27%, suggesting potential deterioration in asset quality. Additionally, the competitive market environment is exerting downward pressure on both loan and deposit pricing, leading to a contraction in balance sheet growth and a less favorable earning asset mix, thereby affecting net interest margins (NIM). Core non-interest expenses (NIE) also fell by 4.3% quarter-over-quarter to $21.5 million, indicating challenges in revenue generation against their established guidance.

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