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Relative valuation derived from Financials sector median benchmarks. Model weights: EV/EBITDA (40%), P/B (35%), P/S (25%). Multiples adjusted for extreme outliers and non-recurring volatility.
Auditing capital efficiency...
Quality Profile Audit
Score: 50.3GRADE C+
Composite assessment of profitability, capital efficiency, and financial strength. Top-tier entities demonstrate sustainable cash flow generation.
Return on Equity
Profit generated per dollar of shareholder equity
6.0%
Sector: 8.5%
Dividend Analysis audit
INCOME
2.79%
Trailing Yield
$2.79
Per $100 Invested
Solid dividend yield for income-focused strategies.
Est. Payout Ratio
47%SAFE
Analyst Projections
Analyst Consensus
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Based on our 6-factor quantitative model, MID PENN BANCORP INC (MPB) receives a "Hold" rating with a composite score of 51.5/100, ranked #592 out of 4446 stocks. Key factor scores: Quality 50/100, Value 70/100, Momentum 54/100. This is quantitative analysis only — not investment advice.
MID PENN BANCORP INC (MPB) Stock Analysis — April 2026 Rating, Price, and Forecast
Company Overview — What Does MID PENN BANCORP INC Do?
Mid Penn Bancorp, Inc. operates as the bank holding company for Mid Penn Bank that provides commercial banking services to individuals, partnerships, non-profit organizations, and corporations. The company offers various time and demand deposit products, including checking accounts, savings accounts, clubs, money market deposit accounts, certificates of deposit, and IRAs. It also provides a range of loan products comprising mortgage and home equity loans, secured and unsecured commercial and consumer loans, lines of credit, construction financing, farm loans, community development loans, loans to non-profit entities, and local government loans. In addition, the company offers online banking, telephone banking, cash management, and automated teller services, as well as safe deposit boxes; and trust and wealth management services. As of December 31, 2021, it operated sixty full-service retail banking locations in Berks, Blair, Bucks, Centre, Chester, Clearfield, Cumberland, Dauphin, Fayette, Huntingdon, Lancaster, Lehigh, Luzerne, Lycoming, Montgomery, Northumberland, Perry, Schuylkill, and Westmoreland counties, Pennsylvania. The company was founded in 1868 and is headquartered in Harrisburg, Pennsylvania. MID PENN BANCORP INC (MPB) is classified as a small-cap stock in the Financials sector, specifically within the Banking industry. The company is led by CEO Rory G. Ritrievi and employs approximately 620 people, headquartered in MILLERSBURG, Pennsylvania. With a market capitalization of $819M, MPB is one of the notable companies in the Financials sector.
MID PENN BANCORP INC (MPB) Stock Rating — Hold (April 2026)
As of April 2026, MID PENN BANCORP INC receives a Hold rating with a composite score of 51.5/100 and 3 out of 5 stars from the Blank Capital Research quantitative model.MPB ranks #592 out of 4,446 stocks in our coverage universe. Within the Financials sector, MID PENN BANCORP INC ranks #180 of 891 stocks, placing it in the top quartile of its Financials peers. The rating is generated by a multi-factor model that weighs quality (30%), momentum (25%), value (15%), investment (10%), stability (10%), and short interest (10%).
MPB Stock Price and 52-Week Range
MID PENN BANCORP INC (MPB) currently trades at $33.86. The stock lost $0.23 (0.7%) in the most recent trading session. The 52-week high for MPB is $35.22, which means the stock is currently trading -3.9% from its annual peak. The 52-week low is $22.50, putting the stock 50.5% above its annual trough. Recent trading volume was 184K shares, suggesting relatively thin trading activity.
Is MPB Overvalued or Undervalued? — Valuation Analysis
MID PENN BANCORP INC (MPB) carries a value factor score of 70/100 in the Blank Capital model, suggesting the stock trades at a meaningful discount to its fundamental earning power. The trailing price-to-earnings ratio is 16.99x, compared to the Financials sector average of 14.88x — a premium of 14%. The price-to-book ratio stands at 1.02x, versus the sector average of 1.22x. The price-to-sales ratio is 2.67x, compared to 0.90x for the average Financials stock. On an enterprise value basis, MPB trades at 13.85x EV/EBITDA, versus 3.26x for the sector.
Based on these multiples, MID PENN BANCORP INC appears attractively valued relative to both its sector peers and the broader market. Value-oriented investors may find the current entry point compelling, particularly if the company's fundamental quality metrics also score well.
MID PENN BANCORP INC Profitability — ROE, Margins, and Quality Score
MID PENN BANCORP INC (MPB) earns a quality factor score of 50/100, indicating solid business quality with consistent operational execution. The return on equity (ROE) is 6.0%, compared to the Financials sector average of 8.5%, which is below typical expectations for high-quality companies. Return on assets (ROA) comes in at 0.8% versus the sector average of 1.2%.
On a margin basis, MID PENN BANCORP INC reports gross margins of 0.0%. The operating margin is 19.2% (sector: 21.8%). Net profit margin stands at 15.7%, versus 17.7% for the average Financials stock. Revenue growth is running at 21.9% on a trailing basis, compared to 9.4% for the sector. The overall profitability profile is adequate, though there may be room for margin expansion.
MPB Debt, Balance Sheet, and Financial Health
MID PENN BANCORP INC has a debt-to-equity ratio of 653.0%, compared to the Financials sector average of 121.0%. This elevated leverage warrants close monitoring, as it increases the company's sensitivity to rising interest rates and economic downturns. The current ratio is 1.15x, suggesting adequate working capital coverage. Total debt on the balance sheet is $60M. Cash and equivalents stand at $18M.
MPB has a beta of 0.68, meaning it is less volatile than the S&P 500, making it a relatively defensive holding. The stability factor score for MID PENN BANCORP INC is 84/100, indicating low-volatility characteristics and consistent price behavior that appeals to risk-averse investors.
MID PENN BANCORP INC Revenue and Earnings History — Quarterly Trend
In TTM 2026, MID PENN BANCORP INC reported revenue of $312M and earnings per share (EPS) of $2.59. Net income for the quarter was $49M. Gross margin was 0.0%. Operating income came in at $60M.
In FY 2025, MID PENN BANCORP INC reported revenue of $324M and earnings per share (EPS) of $2.59. Net income for the quarter was $56M. Revenue grew 80.7% year-over-year compared to FY 2024. Operating income came in at $72M.
In Q3 2025, MID PENN BANCORP INC reported revenue of $87M and earnings per share (EPS) of $0.80. Net income for the quarter was $18M. Revenue grew 17.6% year-over-year compared to Q3 2024. Operating income came in at $24M.
In Q2 2025, MID PENN BANCORP INC reported revenue of $80M and earnings per share (EPS) of $0.22. Net income for the quarter was $5M. Revenue grew 12.3% year-over-year compared to Q2 2024. Operating income came in at $4M.
Over the past 8 quarters, MID PENN BANCORP INC has demonstrated a growth trajectory, with revenue expanding from $71M to $312M. Investors analyzing MPB stock should weigh these quarterly trends alongside the valuation and quality metrics discussed above.
MPB Dividend Yield and Income Analysis
MID PENN BANCORP INC (MPB) currently pays a dividend yield of 2.8%. At this yield, a $10,000 investment in MPB stock would generate approximately $$279.00 in annual dividend income. This compares to the Financials sector average dividend yield of 2.5%, meaning MPB offers above-average income for its sector. With a net margin of 15.7%, the dividend appears well-covered by earnings, suggesting sustainable payouts going forward.
MPB Momentum and Technical Analysis Profile
MID PENN BANCORP INC (MPB) has a momentum factor score of 54/100, reflecting neutral trend characteristics. The stock is neither significantly outperforming nor underperforming the broader market on a momentum basis. The investment factor score is 25/100, which measures capital allocation efficiency and asset growth patterns. The short interest score of 17/100 signals elevated short interest, which can indicate bearish sentiment among institutional investors.
MPB vs Competitors — Financials Sector Ranking and Peer Comparison
Comparing MPB against the S&P 500 benchmark is also instructive for understanding relative performance. Investors can view the full MPB vs S&P 500 (SPY) comparison to assess how MID PENN BANCORP INC stacks up against the broader market across all factor dimensions.
MPB Next Earnings Date
No upcoming earnings date has been announced for MID PENN BANCORP INC (MPB) at this time. Check the earnings calendar for the latest scheduling updates across all stocks in our coverage universe.
Should You Buy MPB? — Investment Thesis Summary
MID PENN BANCORP INC presents a balanced picture with arguments on both sides. The value score of 70/100 suggests attractive pricing relative to fundamentals. Low volatility (stability score 84/100) reduces downside risk.
In summary, MID PENN BANCORP INC (MPB) earns a Hold rating with a composite score of 51.5/100 as of April 2026. The rating is derived from the Blank Capital Research methodology, which combines six factor dimensions into a single quantitative ranking. Investors should consider these quantitative signals alongside their own fundamental research, risk tolerance, and investment time horizon before making buy or sell decisions on MPB stock.
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Institutional Research Dossier
MID PENN BANCORP INC (MPB) Deep Dive Analysis
Published on March 24, 2026
Action RatingHold
Sections
Executive Summary
We maintain a Hold rating on Mid Penn Bancorp (MPB). While the company exhibits attractive valuation metrics relative to the financial sector, particularly its lower P/E and EV/EBITDA ratios, concerns regarding its profitability and capital allocation strategies temper our enthusiasm. The company's high debt-to-equity ratio and negative free cash flow raise questions about its long-term financial sustainability and ability to generate shareholder value.
The primary takeaway is that MPB presents a mixed bag of value and risk. Its strong revenue growth is encouraging, but its lower ROE compared to the sector and the volatile quarterly earnings suggest operational inefficiencies or strategic missteps. Investors should closely monitor the company's ability to improve its profitability metrics and manage its debt burden before considering a more bullish stance.
Business Strategy & Overview
Mid Penn Bancorp operates as a community bank, providing a range of financial services to individuals, businesses, and organizations across Pennsylvania. The bank's core business revolves around attracting deposits and extending loans, generating revenue from the interest rate spread. Its strategic focus appears to be on expanding its geographic footprint through acquisitions and organic growth, as evidenced by its sixty full-service retail banking locations across multiple counties. The company also offers wealth management and trust services, diversifying its revenue streams beyond traditional banking activities.
MPB's business model is heavily reliant on the local economy and interest rate environment. As a community bank, it faces competition from larger national banks and smaller regional players. To differentiate itself, MPB likely emphasizes personalized customer service and local market expertise. The company's investment score of 25/100 suggests potential issues with capital allocation or growth strategies. Further investigation into their acquisition strategy and organic growth initiatives is warranted to assess their effectiveness.
The bank's product pipeline likely consists of incremental improvements to existing loan and deposit products, as well as enhancements to its online and mobile banking platforms. Given the increasing importance of technology in banking, MPB must invest in digital capabilities to remain competitive. The company's revenue growth of 21.9% significantly outpaces the sector average of 9.3%, indicating successful expansion or market share gains. However, it is crucial to determine if this growth is sustainable and translates into improved profitability.
The banking industry is currently facing challenges related to rising interest rates, increased regulatory scrutiny, and evolving customer preferences. MPB must navigate these challenges effectively to maintain its profitability and market position. Its ability to adapt to changing market conditions and invest in technology will be critical to its long-term success. The company's focus on community banking provides a degree of stability, but it also limits its growth potential compared to larger, more diversified financial institutions.
Execution Benchmarks audit
Revenue Growth
YOY expansion rate
21.9%
Sector: 9.4%
+134% VS SCTR
Economic Moat Analysis
Mid Penn Bancorp's economic moat is likely None to Narrow. As a community bank, it lacks the scale and brand recognition of larger national banks, limiting its ability to generate significant cost advantages or network effects. While it may benefit from customer relationships and local market knowledge, these advantages are not insurmountable and can be easily replicated by competitors.
The company's switching costs are relatively low, as customers can easily move their accounts to other banks. While some customers may value the personalized service offered by community banks, this is not a strong enough differentiator to create a wide moat. MPB's intangible assets, such as its brand name and reputation, are likely localized and do not provide a significant competitive advantage on a broader scale.
Efficient scale is not a major factor in the community banking industry, as there are numerous players of varying sizes. While larger banks may benefit from economies of scale in certain areas, such as technology and compliance, smaller banks can still compete effectively by focusing on niche markets and providing personalized service. MPB's cost advantages, if any, are likely marginal and do not create a significant barrier to entry for competitors.
The bank's ability to maintain its profitability and market share will depend on its ability to differentiate itself from competitors and provide superior customer service. However, without a strong economic moat, it will be vulnerable to competitive pressures and economic downturns. The company's investment score of 25/100 suggests that it may be struggling to create a sustainable competitive advantage.
The increasing consolidation in the banking industry poses a threat to smaller players like MPB. Larger banks may acquire smaller banks to expand their geographic footprint and gain access to new markets. MPB may need to consider strategic partnerships or acquisitions to remain competitive in the long run. The company's ability to adapt to changing market conditions and invest in technology will be crucial to its survival.
Financial Health & Profitability
Mid Penn Bancorp's financial health presents a mixed picture. The company's revenue growth of 21.9% significantly exceeds the sector average of 9.3%, indicating strong top-line performance. However, its ROE of 6.0% is lower than the sector average of 8.5%, suggesting that it is not generating as much profit from its equity as its peers. The company's operating margin of 19.2% and net margin of 15.7% are also below the sector averages of 22.0% and 17.8%, respectively, indicating potential inefficiencies in its operations.
The company's debt-to-equity ratio of 653.00 is significantly higher than the sector average of 115.00, raising concerns about its leverage and financial risk. While debt can be used to fuel growth, excessive leverage can make a company vulnerable to economic downturns and interest rate increases. The company's total cash of $18.01M is relatively low compared to its total debt of $60.41M, further highlighting its reliance on debt financing.
The quarterly financial history reveals some volatility in the company's earnings. While revenue has generally been increasing, net income has fluctuated significantly from quarter to quarter. For example, net income in Q2 FY2025 was only $4.76M, compared to $18.30M in Q3 FY2025. This volatility could be due to various factors, such as changes in interest rates, loan losses, or acquisition-related expenses. The company's free cash flow is negative at $-81.67M, which is concerning and suggests that it is not generating enough cash from its operations to cover its capital expenditures and other obligations.
The current ratio of 1.15 indicates that the company has sufficient current assets to cover its current liabilities. However, this ratio is not particularly high, and the company may need to improve its liquidity position to mitigate potential risks. The company's gross margin is reported as 0.0%, which is unusual for a bank and suggests a data error or a unique accounting treatment. Further investigation is needed to understand the company's gross profitability.
Overall, MPB's financial health is a cause for concern. While its revenue growth is impressive, its lower profitability metrics, high debt-to-equity ratio, and negative free cash flow raise questions about its long-term sustainability. Investors should closely monitor the company's ability to improve its financial performance and manage its debt burden.
Valuation Assessment
Mid Penn Bancorp's valuation appears attractive based on several key metrics. The company's P/E ratio of 12.0x is lower than the sector average of 15.5x, suggesting that it is undervalued relative to its earnings. Similarly, its EV/EBITDA ratio of 2.7x is significantly lower than the sector average of 3.5x, indicating that it is undervalued relative to its enterprise value and operating cash flow. These metrics suggest that the market may be undervaluing MPB's earnings potential and asset base.
However, it is important to consider the company's growth prospects and financial health when assessing its valuation. While its revenue growth is strong, its lower profitability metrics and high debt-to-equity ratio may warrant a lower valuation multiple. The company's negative free cash flow is also a concern, as it suggests that it is not generating enough cash to cover its capital expenditures and other obligations. A discounted cash flow analysis would be necessary to determine the company's intrinsic value and assess whether it is truly undervalued.
Compared to its historical valuation, MPB's current P/E and EV/EBITDA ratios may be lower than their historical averages, suggesting that the stock is currently trading at a discount. However, it is important to consider any changes in the company's business model, financial performance, or industry conditions that may justify a different valuation multiple. The company's volatile earnings history may also contribute to its lower valuation, as investors may be hesitant to pay a premium for a company with inconsistent profitability.
Overall, MPB's valuation appears attractive on the surface, but a deeper analysis is needed to determine whether it is truly undervalued. Investors should consider the company's growth prospects, financial health, and historical valuation when assessing its fair value. The company's negative free cash flow and high debt-to-equity ratio are potential red flags that warrant further investigation. A more conservative valuation approach may be warranted given the company's financial challenges.
Risk & Uncertainty
Mid Penn Bancorp faces several specific risks that could negatively impact its business and financial performance. One of the most significant risks is its high debt-to-equity ratio, which makes it vulnerable to interest rate increases and economic downturns. If interest rates rise, the company's borrowing costs will increase, reducing its profitability. In an economic downturn, the company's loan portfolio could suffer from increased defaults, leading to higher loan losses and lower earnings.
Another risk is the increasing competition in the banking industry. MPB faces competition from larger national banks, smaller regional banks, and non-bank financial institutions. These competitors may offer lower interest rates, better products, or more convenient services, attracting customers away from MPB. The company must differentiate itself from competitors and provide superior customer service to maintain its market share.
Regulatory risk is also a concern for MPB. The banking industry is heavily regulated, and changes in regulations could increase the company's compliance costs or restrict its business activities. For example, new regulations related to capital requirements or lending practices could negatively impact the company's profitability. The company must stay abreast of regulatory changes and adapt its business practices accordingly.
Acquisition risk is also present. While MPB has grown through acquisitions, integrating acquired companies can be challenging and may not always result in the expected synergies. The company must carefully evaluate potential acquisitions and ensure that they are a good fit with its existing business. Failure to successfully integrate acquired companies could lead to lower earnings and a decline in shareholder value.
Bulls Say / Bears Say
The Bull Case
BULL VIEWMid Penn Bancorp's strong revenue growth indicates successful market penetration and positions it for future earnings expansion.
BULL VIEWThe company's low P/E and EV/EBITDA ratios suggest it is undervalued, offering a potential margin of safety for investors.
BULL VIEWMPB's focus on community banking fosters strong customer relationships, providing a stable deposit base and loyal customer base.
The Bear Case
BEAR VIEWMid Penn Bancorp's high debt-to-equity ratio exposes it to significant financial risk, particularly in a rising interest rate environment.
BEAR VIEWThe company's negative free cash flow raises concerns about its ability to fund future growth and maintain its dividend.
BEAR VIEWMPB's lower ROE compared to the sector indicates operational inefficiencies and a potential lack of competitive advantage.
About the Author
Marques Blank
Founder & Chief Investment Officer, Blank Capital
Marques brings 15 years of institutional finance and investing experience, having overseen financial planning for a $1.6B defense business unit. He developed the proprietary 6-factor quantitative model used to score MPB and 4,400+ other equities.
MID PENN BANCORP INC exhibits a 130% valuation premium relative to institutional benchmarks. This represents a potential valuation overextension based on current multiples.
Return on Assets
Efficiency of asset utilization
0.8%
Sector: 1.2%
Gross Margin
Pricing power and cost efficiency
0.0%
Sector: 0.0%
Operating Margin
Core business profitability
19.2%
Sector: 21.8%
Net Margin
Bottom-line profitability
15.7%
Sector: 17.7%
Factor Methodology
The Quality factor evaluates the persistence and magnitude of cash flows. Companies with scores >70 exhibit superior competitive moats and financial resilience through economic cycles.
Sector Avg Yield2.48%
Yield Delta+13%
Income Projection audit
A $10,000 investment would generate approximately $279 annually in dividends at the current trailing rate.
