Magyar Bancorp, Inc. (MGYR) AI Stock Analysis

Magyar Bancorp, Inc. operates as the bank holding company for Magyar Bank, serving individuals, businesses, and nonprofit organizations throughout New Jersey. Founded in 1922 and based in New Brunswick, New Jersey, the bank provides consumer and commercial banking products. Its deposit offerings include demand, savings, money market, NOW, retirement accounts, and certificates of deposit. The company specializes in lending services such as residential mortgages, commercial real estate loans, multi-family loans, home equity loans and lines of credit, construction loans, commercial business loans, and Small Business Administration loans. It also provides insurance products, annuities, and retirement planning solutions.

Revenue expanded from $31.6M in FY2021 to $58.4M in FY2025, reflecting a 5-year revenue CAGR of 15.6%. Annual net income grew from $6.1M in FY2021 to $9.8M in FY2025, although net margin shifted from 19.4% to 16.7% over the same period. Operating margin in FY2025 was 23.6%, down from 35.3% in FY2023. For the trailing twelve months, revenue was $38.3M with an operating margin of 45.3% and EPS of $1.87. In the latest quarter ended June 30, 2026, quarterly revenue grew 13.5% year-over-year while quarterly earnings increased 23.3%.

As of June 30, 2026, Magyar Bancorp held $39.4M in cash and short-term investments against total debt of $49.1M, yielding net debt of $9.6M. Total assets stood at $1.05B and shareholders' equity was $126.6M, resulting in a debt-to-equity ratio of 0.39 and a current ratio of 0.05. In FY2025, operating cash flow reached $10.4M and free cash flow was $9.8M. Cash deployment in FY2025 included $574,000 in capital expenditures, $844,000 in share buybacks, and $1.8M in dividends paid, while the 5-year share count decreased 7.1%.

At $19.84 per share, Magyar Bancorp holds a market cap of $128.1M and an enterprise value of $167.7M. The stock trades at a trailing P/E of 10.6x and a price-to-book ratio of 0.9x, compared to a trailing P/E of 12.1x for the median of its US-listed Financial Services peers. Its price-to-sales ratio of 3.3x is near the peer group median of 3.2x. Over the past year, MGYR generated a 19.7% return, outpacing the 16.8% return of the S&P 500 (SPY). Over five years, the stock gained 89.9% versus 83.0% for the benchmark.

Magyar Bancorp pays an annual forward dividend of $0.40 per share, representing a 2.01% dividend yield. The company distributes dividends quarterly and has paid dividends for 6 consecutive years. Its payout ratio sits at 20.3%, and the last ex-dividend date was August 6, 2026.

Analysts have established a mean price target of $13.00 for Magyar Bancorp, which is 34.5% below its last close of $19.84. In the latest quarter ended June 30, 2026, the company posted quarterly earnings growth of 23.3%. The company's next earnings date is scheduled for October 29, 2026.

This page is an AI-written research summary of Magyar Bancorp, Inc. (MGYR). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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