Towne Bank (TOWN)
Market Price (6/17/2026): $35.135 | Market Cap: $3.2 BilSector: Financials | Industry: Regional Banks
Towne Bank (TOWN)
Market Price (6/17/2026): $35.135Market Cap: $3.2 BilSector: FinancialsIndustry: Regional Banks
Investment Highlights Why It Matters Detailed financial logic regarding cash flow yields vs trend-riding momentum.
Attractive yieldTotal YieldTotal Yield = Earnings Yield + Dividend Yield, Earnings Yield = Net Income / Market Cap Dividend Yield = Total Dividends / Market Cap is 7.6%, Dividend Yield is 2.6%, ERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is 3.4% Cash is significant % of market capNet D/ENet Debt/Equity. Debt net of cash. Negative indicates net cash. Equity is taken as the Market Capitalization is -40% Strong revenue growthRev Chg LTMRevenue Change % Last Twelve Months (LTM) is 25% Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 20%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 14% Low stock price volatilityVol 12M is 23% Megatrend and thematic driversMegatrends include Fintech & Digital Payments. Themes include Online Banking & Lending, and Wealth Management Technology. | Trading close to highsDist 52W High is -4.1%, Dist 3Y High is -4.1% Weak multi-year price returns3Y Excs Rtn is -19% |
| Attractive yieldTotal YieldTotal Yield = Earnings Yield + Dividend Yield, Earnings Yield = Net Income / Market Cap Dividend Yield = Total Dividends / Market Cap is 7.6%, Dividend Yield is 2.6%, ERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is 3.4% |
| Cash is significant % of market capNet D/ENet Debt/Equity. Debt net of cash. Negative indicates net cash. Equity is taken as the Market Capitalization is -40% |
| Strong revenue growthRev Chg LTMRevenue Change % Last Twelve Months (LTM) is 25% |
| Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 20%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 14% |
| Low stock price volatilityVol 12M is 23% |
| Megatrend and thematic driversMegatrends include Fintech & Digital Payments. Themes include Online Banking & Lending, and Wealth Management Technology. |
| Trading close to highsDist 52W High is -4.1%, Dist 3Y High is -4.1% |
| Weak multi-year price returns3Y Excs Rtn is -19% |
Qualitative Assessment
AI Analysis | Feedback
Towne Bank (TOWN) stock has gained about 5% since 2/28/2026 because of the following key factors:
1. Strategic Acquisition of Dogwood State Bank Significantly Expanded Operations.
Towne Bank successfully completed the acquisition of Dogwood State Bank in January 2026, which substantially increased the company's scale and market presence. This acquisition added $1.95 billion in loans and $1.93 billion in deposits to Towne Bank's portfolio. This strategic move contributed to a record total revenue for the company in fiscal Q1 2026.
2. Robust Fiscal Q1 2026 Financial Performance, Driven by Revenue and Core Earnings Growth.
For fiscal Q1 2026 (ended March 31, 2026), Towne Bank reported record total revenues of $246.45 million, marking a 34.60% increase compared to fiscal Q1 2025. Core earnings (non-GAAP) for the quarter were $66.73 million, or $0.74 per diluted share, a notable increase from $44.10 million, or $0.58 per diluted share, in fiscal Q1 2025. Net interest income also saw a significant rise of $52.46 million, indicating strong underlying operational performance.
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Towne Bank (TOWN) stock has gained about 5% since 2/28/2026 because of the following key factors:
1. Strategic Acquisition of Dogwood State Bank Significantly Expanded Operations.
Towne Bank successfully completed the acquisition of Dogwood State Bank in January 2026, which substantially increased the company's scale and market presence. This acquisition added $1.95 billion in loans and $1.93 billion in deposits to Towne Bank's portfolio. This strategic move contributed to a record total revenue for the company in fiscal Q1 2026.
2. Robust Fiscal Q1 2026 Financial Performance, Driven by Revenue and Core Earnings Growth.
For fiscal Q1 2026 (ended March 31, 2026), Towne Bank reported record total revenues of $246.45 million, marking a 34.60% increase compared to fiscal Q1 2025. Core earnings (non-GAAP) for the quarter were $66.73 million, or $0.74 per diluted share, a notable increase from $44.10 million, or $0.58 per diluted share, in fiscal Q1 2025. Net interest income also saw a significant rise of $52.46 million, indicating strong underlying operational performance.
3. Announced Sale of Resort Property Management Segment Bolstered Future Capital.
On April 3, 2026, Towne Bank announced the sale of its Resort Property Management segment for $250 million, with an anticipated pre-tax gain of approximately $195 million. This divestiture is a significant capital event expected to positively impact the company's financial position and investor sentiment.
4. Increased Quarterly Cash Dividend Reflected Management Confidence.
Towne Bank's Board of Directors demonstrated confidence in the company's financial health and future outlook by raising the quarterly cash dividend. On May 20, 2026, the company announced an increase in its quarterly dividend to $0.28 per share from the previous $0.27 per share, payable on July 10, 2026. This increase signals a commitment to returning value to shareholders.
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Stock Movement Drivers
Fundamental Drivers
The 5.4% change in TOWN stock from 2/28/2026 to 6/16/2026 was primarily driven by a 23.0% change in the company's P/E Multiple.| (LTM values as of) | 2282026 | 6162026 | Change |
|---|---|---|---|
| Stock Price ($) | 33.32 | 35.12 | 5.4% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 825 | 888 | 7.7% |
| Net Income Margin (%) | 19.7% | 18.0% | -8.7% |
| P/E Multiple | 16.1 | 19.9 | 23.0% |
| Shares Outstanding (Mil) | 79 | 90 | -12.8% |
| Cumulative Contribution | 5.4% |
Market Drivers
2/28/2026 to 6/16/2026| Return | Correlation | |
|---|---|---|
| TOWN | 5.4% | |
| Market (SPY) | 9.7% | 33.6% |
| Sector (XLF) | 6.2% | 57.0% |
Fundamental Drivers
The 8.5% change in TOWN stock from 11/30/2025 to 6/16/2026 was primarily driven by a 30.4% change in the company's P/E Multiple.| (LTM values as of) | 11302025 | 6162026 | Change |
|---|---|---|---|
| Stock Price ($) | 32.37 | 35.12 | 8.5% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 782 | 888 | 13.6% |
| Net Income Margin (%) | 20.8% | 18.0% | -13.3% |
| P/E Multiple | 15.2 | 19.9 | 30.4% |
| Shares Outstanding (Mil) | 76 | 90 | -15.5% |
| Cumulative Contribution | 8.5% |
Market Drivers
11/30/2025 to 6/16/2026| Return | Correlation | |
|---|---|---|
| TOWN | 8.5% | |
| Market (SPY) | 10.4% | 26.3% |
| Sector (XLF) | 2.8% | 54.8% |
Fundamental Drivers
The 7.0% change in TOWN stock from 5/31/2025 to 6/16/2026 was primarily driven by a 37.1% change in the company's P/E Multiple.| (LTM values as of) | 5312025 | 6162026 | Change |
|---|---|---|---|
| Stock Price ($) | 32.83 | 35.12 | 7.0% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 708 | 888 | 25.4% |
| Net Income Margin (%) | 24.1% | 18.0% | -25.2% |
| P/E Multiple | 14.5 | 19.9 | 37.1% |
| Shares Outstanding (Mil) | 75 | 90 | -16.9% |
| Cumulative Contribution | 7.0% |
Market Drivers
5/31/2025 to 6/16/2026| Return | Correlation | |
|---|---|---|
| TOWN | 7.0% | |
| Market (SPY) | 28.8% | 35.8% |
| Sector (XLF) | 8.3% | 58.0% |
Fundamental Drivers
The 70.7% change in TOWN stock from 5/31/2023 to 6/16/2026 was primarily driven by a 135.9% change in the company's P/E Multiple.| (LTM values as of) | 5312023 | 6162026 | Change |
|---|---|---|---|
| Stock Price ($) | 20.57 | 35.12 | 70.7% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 705 | 888 | 26.0% |
| Net Income Margin (%) | 25.8% | 18.0% | -30.1% |
| P/E Multiple | 8.4 | 19.9 | 135.9% |
| Shares Outstanding (Mil) | 74 | 90 | -17.8% |
| Cumulative Contribution | 70.7% |
Market Drivers
5/31/2023 to 6/16/2026| Return | Correlation | |
|---|---|---|
| TOWN | 70.7% | |
| Market (SPY) | 86.6% | 43.8% |
| Sector (XLF) | 79.6% | 64.4% |
Price Returns Compared
| 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Total [1] | |
|---|---|---|---|---|---|---|---|
| Returns | |||||||
| TOWN Return | 38% | 1% | 0% | 18% | 1% | 8% | 80% |
| Peers Return | 25% | -19% | 22% | 6% | 42% | 12% | 107% |
| S&P 500 Return | 27% | -19% | 24% | 23% | 16% | 10% | 101% |
Monthly Win Rates [3] | |||||||
| TOWN Win Rate | 67% | 25% | 42% | 50% | 58% | 50% | |
| Peers Win Rate | 42% | 52% | 53% | 50% | 67% | 53% | |
| S&P 500 Win Rate | 75% | 42% | 67% | 75% | 67% | 50% | |
Max Drawdowns [4] | |||||||
| TOWN Max Drawdown | -14% | -21% | -31% | -13% | -18% | -14% | |
| Peers Max Drawdown | -17% | -32% | -32% | -23% | -21% | -20% | |
| S&P 500 Max Drawdown | -5% | -25% | -10% | -8% | -19% | -9% | |
[1] Cumulative total returns since the beginning of 2021
[2] Peers: NEWT, ATLO, CBC, NU, FITB.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2026 data is for the year up to 6/16/2026 (YTD)
How Low Can It Go
| Event | TOWN | S&P 500 |
|---|---|---|
| 2025 US Tariff Shock | ||
| % Loss | -18.3% | -18.8% |
| % Gain to Breakeven | 22.4% | 23.1% |
| Time to Breakeven | 127 days | 79 days |
| Summer-Fall 2023 Five Percent Yield Shock | ||
| % Loss | -13.6% | -9.5% |
| % Gain to Breakeven | 15.7% | 10.5% |
| Time to Breakeven | 10 days | 24 days |
| 2023 SVB Regional Banking Crisis | ||
| % Loss | -28.6% | -6.7% |
| % Gain to Breakeven | 40.1% | 7.1% |
| Time to Breakeven | 216 days | 31 days |
| 2022 Inflation Shock & Fed Tightening | ||
| % Loss | -15.4% | -24.5% |
| % Gain to Breakeven | 18.2% | 32.4% |
| Time to Breakeven | 106 days | 427 days |
| 2020 COVID-19 Crash | ||
| % Loss | -43.1% | -33.7% |
| % Gain to Breakeven | 75.6% | 50.9% |
| Time to Breakeven | 322 days | 140 days |
| Q4 2018 Fed Policy Error / Growth Scare | ||
| % Loss | -24.4% | -19.2% |
| % Gain to Breakeven | 32.2% | 23.8% |
| Time to Breakeven | 791 days | 105 days |
In The Past
Towne Bank's stock fell -18.3% during the 2025 US Tariff Shock. Such a loss loss requires a 22.4% gain to breakeven.
Preserve Wealth
Limiting losses and compounding gains is essential to preserving wealth.
Asset Allocation
Actively managed asset allocation strategies protect wealth. Learn more.
| Event | TOWN | S&P 500 |
|---|---|---|
| 2023 SVB Regional Banking Crisis | ||
| % Loss | -28.6% | -6.7% |
| % Gain to Breakeven | 40.1% | 7.1% |
| Time to Breakeven | 216 days | 31 days |
| 2020 COVID-19 Crash | ||
| % Loss | -43.1% | -33.7% |
| % Gain to Breakeven | 75.6% | 50.9% |
| Time to Breakeven | 322 days | 140 days |
| Q4 2018 Fed Policy Error / Growth Scare | ||
| % Loss | -24.4% | -19.2% |
| % Gain to Breakeven | 32.2% | 23.8% |
| Time to Breakeven | 791 days | 105 days |
| 2011 US Debt Ceiling Crisis & European Contagion | ||
| % Loss | -25.8% | -17.9% |
| % Gain to Breakeven | 34.8% | 21.8% |
| Time to Breakeven | 167 days | 123 days |
| 2008-2009 Global Financial Crisis | ||
| % Loss | -22.9% | -53.4% |
| % Gain to Breakeven | 29.6% | 114.4% |
| Time to Breakeven | 3 days | 1085 days |
In The Past
Towne Bank's stock fell -18.3% during the 2025 US Tariff Shock. Such a loss loss requires a 22.4% gain to breakeven.
Preserve Wealth
Limiting losses and compounding gains is essential to preserving wealth.
Asset Allocation
Actively managed asset allocation strategies protect wealth. Learn more.
Latest Trefis Analyses
| Title | Date | |
|---|---|---|
| DASHBOARDS | ||
| TOWN Dip Buy Analysis | 07/10/2025 | |
| Time To Buy Towne Bank Stock? | 02/28/2025 | |
| Towne Bank (TOWN) Operating Cash Flow Comparison | 02/17/2025 | |
| Towne Bank (TOWN) Net Income Comparison | 02/16/2025 | |
| Fundamental Metrics: ... | 06/19/2024 |
| Title | |
|---|---|
| ARTICLES |
Research & Analysis
Invest in Strategies
Wealth Management
Peer Comparisons
| Peers to compare with: |
Financials
| Median | |
|---|---|
| Name | |
| Mkt Price | 28.79 |
| Mkt Cap | 23.6 |
| Rev LTM | 944 |
| Op Inc LTM | - |
| FCF LTM | 293 |
| FCF 3Y Avg | 157 |
| CFO LTM | 335 |
| CFO 3Y Avg | 207 |
Growth & Margins
| Median | |
|---|---|
| Name | |
| Rev Chg LTM | 21.7% |
| Rev Chg 3Y Avg | 8.7% |
| Rev Chg Q | 30.3% |
| QoQ Delta Rev Chg LTM | 7.3% |
| Op Inc Chg LTM | - |
| Op Inc Chg 3Y Avg | - |
| Op Mgn LTM | - |
| Op Mgn 3Y Avg | - |
| QoQ Delta Op Mgn LTM | - |
| CFO/Rev LTM | 21.6% |
| CFO/Rev 3Y Avg | 27.9% |
| FCF/Rev LTM | 14.8% |
| FCF/Rev 3Y Avg | 21.3% |
Segment Financials
Revenue by Segment| $ Mil | 2025 | 2024 | 2023 | 2019 | 2018 |
|---|---|---|---|---|---|
| Banking | 619 | 489 | 500 | 386 | 364 |
| Insurance | 103 | 100 | 91 | 65 | 55 |
| Resort Vacation Management | 58 | ||||
| Mortgage | 56 | ||||
| Realty | 104 | 104 | 113 | 114 | |
| Total | 836 | 694 | 694 | 564 | 533 |
| $ Mil | 2014 | 2013 | 2012 |
|---|---|---|---|
| Banking | 56 | 55 | 45 |
| Insurance | 12 | 8 | 6 |
| Realty | 9 | 11 | 14 |
| Total | 77 | 74 | 65 |
| $ Mil | 2025 | 2024 | 2023 | 2022 | 2021 |
|---|---|---|---|---|---|
| Banking | 137 | 135 | 135 | 177 | 170 |
| Insurance | 22 | 22 | 19 | 14 | 10 |
| Resort Vacation Management | 10 | ||||
| Mortgage | 0 | ||||
| Realty | 5 | -0 | -2 | 36 | |
| Total | 170 | 162 | 154 | 189 | 215 |
| $ Mil | 2025 | 2024 | 2023 | 2022 | 2021 |
|---|---|---|---|---|---|
| Banking | 18,430 | 16,046 | 15,767 | 14,905 | 15,228 |
| Insurance | 849 | 727 | 615 | 500 | 442 |
| Mortgage | 305 | 342 | |||
| Resort Vacation Management | 103 | 133 | |||
| Realty | 453 | 441 | 692 | ||
| Total | 19,687 | 17,247 | 16,835 | 15,845 | 16,361 |
Price Behavior
| Market Price | $35.12 | |
| Market Cap ($ Bil) | 3.2 | |
| Distance from 52W High | -4.1% | |
| 50 Days | 200 Days | |
| DMA Price | $34.58 | $33.62 |
| DMA Trend | indeterminate | up |
| Distance from DMA | 1.6% | 4.4% |
| 3M | 1YR | |
| Volatility | 20.0% | 22.9% |
| Downside Capture | 49.08 | 70.42 |
| Upside Capture | 61.25 | 65.14 |
| Correlation (SPY) | 32.4% | 34.8% |
| 1M | 2M | 3M | 6M | 1Y | 3Y | |
|---|---|---|---|---|---|---|
| Beta | 0.66 | 1.01 | 0.64 | 0.56 | 0.77 | 0.80 |
| Up Beta | 0.51 | 1.05 | 0.83 | 0.96 | 1.13 | 0.83 |
| Down Beta | 0.80 | 0.07 | 0.17 | 0.05 | 0.45 | 0.65 |
| Up Capture | 20% | 62% | 55% | 51% | 55% | 64% |
| Bmk +ve Days | 13 | 28 | 36 | 67 | 141 | 432 |
| Stock +ve Days | 9 | 17 | 27 | 58 | 121 | 368 |
| Down Capture | 139% | 202% | 81% | 63% | 90% | 95% |
| Bmk -ve Days | 7 | 13 | 27 | 57 | 109 | 318 |
| Stock -ve Days | 11 | 24 | 36 | 66 | 128 | 377 |
[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
Based On 1-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with TOWN | |
|---|---|---|---|---|
| TOWN | 11.2% | 22.9% | 0.39 | - |
| Sector ETF (XLF) | 10.5% | 14.6% | 0.47 | 57.2% |
| Equity (SPY) | 27.2% | 12.4% | 1.66 | 34.7% |
| Gold (GLD) | 25.8% | 27.4% | 0.82 | 2.6% |
| Commodities (DBC) | 23.3% | 18.9% | 0.98 | -20.2% |
| Real Estate (VNQ) | 13.6% | 13.5% | 0.69 | 38.4% |
| Bitcoin (BTCUSD) | -37.7% | 42.4% | -1.00 | 16.6% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Based On 5-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with TOWN | |
|---|---|---|---|---|
| TOWN | 5.7% | 26.8% | 0.21 | - |
| Sector ETF (XLF) | 9.5% | 18.6% | 0.38 | 66.6% |
| Equity (SPY) | 13.8% | 17.1% | 0.63 | 48.6% |
| Gold (GLD) | 17.6% | 18.2% | 0.78 | 0.5% |
| Commodities (DBC) | 7.8% | 19.4% | 0.30 | 7.9% |
| Real Estate (VNQ) | 2.5% | 18.8% | 0.04 | 49.0% |
| Bitcoin (BTCUSD) | 12.1% | 54.2% | 0.42 | 16.2% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Based On 10-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with TOWN | |
|---|---|---|---|---|
| TOWN | 7.8% | 30.5% | 0.31 | - |
| Sector ETF (XLF) | 13.1% | 22.2% | 0.54 | 74.2% |
| Equity (SPY) | 15.4% | 18.0% | 0.73 | 56.0% |
| Gold (GLD) | 12.8% | 16.1% | 0.66 | -5.0% |
| Commodities (DBC) | 6.2% | 18.0% | 0.27 | 17.2% |
| Real Estate (VNQ) | 5.6% | 20.7% | 0.23 | 52.5% |
| Bitcoin (BTCUSD) | 60.7% | 66.8% | 1.00 | 12.4% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Earnings Returns History
Updated 6/2/2026| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| SUMMARY STATS | |||
| # Positive | 0 | 0 | 0 |
| # Negative | 0 | 0 | 0 |
| Median Positive | |||
| Median Negative | |||
| Max Positive | |||
| Max Negative | |||
| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| SUMMARY STATS | |||
| # Positive | 0 | 0 | 0 |
| # Negative | 0 | 0 | 0 |
| Median Positive | |||
| Median Negative | |||
| Max Positive | |||
| Max Negative | |||
Industry Resources
| Financials Resources |
| Federal Reserve Economic Data |
| Federal Reserve |
| FDIC Data |
| American Banker |
| The Banker |
| Banking Technology |
| Regional Banks Resources |
| Bank Director |
| Independent Banker |
| S&P Global Market Intelligence |
External Quote Links
| Y Finance | Barrons |
| TradingView | Morningstar |
| SeekingAlpha | ValueLine |
| Motley Fool | Robinhood |
| CNBC | Etrade |
| MarketWatch | Unusual Whales |
| YCharts | Perplexity Finance |
| FinViz |
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