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Verdict
Quantitative factor alignment verified for current market regime.
Quant Score
Rank
#2828
Positioning
Market Dominance
Finance, Insurance, And Real Estate
Banking
$286M
Kenneth A. Martinek
Northeast Community Bancorp, Inc. operates as the holding company for NorthEast Community Bank. It accepts various deposit instruments, including checking accounts, money market accounts, regular savings accounts, and non-interest bearing demand accounts. The company also invests in various types of liquid assets, including U.S. Treasury obligations, municipal securities, deposits at the Federal Home Loan Bank of New York.
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Dates updated upon official exchange announcement.
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X-AXIS: EV/EBITDA (LOWER = CHEAPER) | Y-AXIS: ROE (HIGHER = ELITE) | RED CIRCLE = NECB ANALYSIS TARGET
| Stock | Rating | Score▼ | Quality | Value | Momentum | P/E | EV/EBITDA | ROE | ROA | Gross Mgn | Op Mgn | Net Mgn | Rev Growth | Div Yield | D/E | Mkt Cap | AUDIT |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
$SII SPROTT INC. | 75 | 91 | 87 | 98 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$PUK PRUDENTIAL PLC | 73 | 88 | 97 | 80 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$NMR NOMURA HOLDINGS INC | 72 | 81 | 92 | 87 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$PSLV Sprott Physical Silver Trust | 69 | 82 | 80 | 98 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$UFCS UNITED FIRE GROUP INC | 68 | 81 | 93 | 76 | 5.0x | 3.5x | 13.2% | 4.1% | 99.9% | 14.7% | 11.1% | 9.2% | 2.1% | 16.0x | $775M | VS | |
$SLF SUN LIFE FINANCIAL INC | 68 | 83 | 95 | 63 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$CBOE Cboe Global Markets, Inc. | 68 | 75 | 63 | 77 | 21.3x | 15.7x | 24.0% | 13.7% | 41.7% | 32.4% | 26.4% | 8.2% | 1.1% | 30.0x | $25.7B | VS | |
$VTMX Vesta Real Estate Corporation, S.A.B. de C.V. | 67 | 69 | 77 | 80 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$PHYS Sprott Physical Gold Trust | 67 | 64 | 82 | 91 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$GLDM World Gold Trust | 66 | 54 | 85 | 92 | 11.3x | 11.3x | - | 20.9% | 100.0% | 97.1% | 554.8% | -19.0% | 0.0% | - | $32.0B | VS | |
$NECB NorthEast Community Bancorp, Inc./MD/ | 45 | 26 | 44 | 48 | 6.9x | 7.6x | 13.5% | 2.3% | 0.0% | 41.0% | 29.5% | -2.4% | 5.2% | 49.0x | $286M | ||
| SECTOR BENCH | - | - | - | - | - | 11.9x | 7.8x | 9.0% | 1.3% | 77.7% | 18.1% | 21.9% | 10.7% | 2.0% | 0.5x | - | REF |
NorthEast Community Bancorp, Inc./MD/ (NECB) receives a "Reduce" rating with a composite score of 44.8/100. It ranks #2828 out of 7,333 stocks in our coverage universe and carries a 2-star rating. Ratings are driven by a 6-factor quantitative model measuring quality, value, momentum, investment, stability, and short interest.
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In-line with peers — no strong momentum signal
Fair valuation relative to peers
Weak fundamentals — higher risk of value trap
Average volatility — neutral timing signal
Moderate investment profile
Mid-range overall rating
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Relative valuation derived from Finance, Insurance, And Real Estate sector benchmarks. Model weights: EV/EBITDA (40%), P/B (35%), P/S (25%). Re-calculated daily.
Projection based on user-defined inputs. Re-calculated daily against current market data.
Reverse DCF Framework — Mauboussin Methodology
Institutional-grade Reverse DCF analysis. This model identifies the growth hurdles embedded in current market prices. When implied growth is significantly lower than historical or projected rates, a margin of safety may exist. Re-audited daily.
No analyst ratings for NECB.
View All Ratings| Factor | Global | Sector | Tilt |
|---|---|---|---|
| PROFITABILITY | 26 | 16 | +10ALPHA |
| MOMENTUM | 48 | 49 | -1NEUTRAL |
| VALUATION | 44 | 52 | -8DRAG |
| INVESTMENT | 35 | 60 | -25DRAG |
| STABILITY | 58 | 62 | -4NEUTRAL |
| SHORT INT | 50 | 57 | -7DRAG |
Global = full universe. Sector = relative to industry peers. Positive tilt indicates idiosyncratic strength.
ROIC 7.2% vs WACC 6.6% (spread +0.6%)
GM 0% vs sector 78%, OM 41% vs sector 18%
Capital turnover 0.25x
Rev growth -2%, 5yr history
Interest coverage 11.9x, Net debt/EBITDA 9.6x
Composite assessment of profitability, capital efficiency, and financial strength. Top-tier entities demonstrate sustainable cash flow generation and elite competitive moats.
Profit generated per dollar of shareholder equity
Efficiency of asset utilization
Pricing power and cost efficiency
Core business profitability
Bottom-line profitability
The Quality factor evaluates the persistence and magnitude of realized cash flows. Companies with scores >70 exhibit superior pricing power and structural financial resilience through diverse economic regimes.
Our uncertainty rating tracks the predictability of future cash flows and potential for permanent capital loss. Moderate visibility with standard industry cyclicality.
We rate NorthEast Community Bancorp, Inc./MD/ (NECB) as a Reduce with a composite score of 44.8/100 at a current price of $23.93. The quantitative profile shows weakness across multiple dimensions, suggesting limited upside potential.
NorthEast Community Bancorp, Inc./MD/ holds a top-quartile position (#0 of 50) within the Finance, Insurance, And Real Estate sector, based on our composite quantitative scoring across quality, value, momentum, and stability factors. The composite score of 44.8/100 places it at rank #2828 in our full universe.
No Moat
Low
Standard
Fair Value
Stable competitive position in a defensive sector.
Below-average quality raises earnings sustainability concerns.
Vulnerability to macroeconomic shocks and interest rate volatility.
NorthEast Community Bancorp, Inc./MD/ represents a reduce based on multi-factor quantitative performance.
NorthEast Community Bancorp, Inc./MD/ receives a Reduce rating from our analysis, with a composite score of 44.8/100 and 2 out of 5 stars, ranking #2828 out of 7,333 stocks. NECB's factor profile shows weakness across multiple dimensions, suggesting the stock may underperform going forward. Existing holders may want to consider trimming positions or tightening stop-losses.
NECB's quality score of 26/100 is below average, suggesting challenges with profitability or capital efficiency. The company reports a return on equity of 13.5% (sector avg: 9.0%), gross margins of 0.0% (sector avg: 77.7%), net margins of 29.5% (sector avg: 21.9%). Investors should examine whether management is actively addressing these weaknesses or if they reflect structural industry headwinds.
With a value score of 44/100, NECB appears somewhat expensive relative to its fundamentals. Key valuation metrics include a P/E ratio of 6.87x, an EV/EBITDA of 7.60x, a P/B ratio of 0.92x. Investors paying a premium here are likely betting on above-average growth or margin expansion to justify current prices.
NorthEast Community Bancorp, Inc./MD/'s investment score of 35/100 suggests limited reinvestment activity. Key growth metrics include revenue growth of -2.4% vs. a sector average of 10.7% and a return on assets of 2.3% (sector: 1.3%). While this can be positive for mature, cash-generative businesses returning capital to shareholders, it may also signal a lack of growth opportunities or management conservatism.
NECB is currently showing below-average momentum at 48/100, which may indicate weakening institutional interest or negative sentiment shifts. Revenue growth stands at -2.4% year-over-year, while a beta of 0.71 reflects its sensitivity to broader market moves. Investors should note that declining momentum can precede further price weakness, though contrarian opportunities sometimes emerge at these levels.
With a stability score of 58/100, NECB exhibits average financial resilience. Key stability metrics include a beta of 0.71 and a debt-to-equity ratio of 49.00x (sector avg: 0.5x). While the balance sheet is not a major concern, the stock is subject to typical market volatility and may experience sharper drawdowns during risk-off episodes.
The short interest score of 50/100 for NECB suggests somewhat elevated bearish positioning by institutional traders. Specific risk factors include elevated leverage (D/E: 49.00x), micro-cap liquidity risk. With a $286M market cap (micro-cap), NorthEast Community Bancorp, Inc./MD/ may experience above-average volatility. Investors should consider whether the short thesis has merit or if it creates a potential short-squeeze opportunity.
NorthEast Community Bancorp, Inc./MD/ offers an attractive dividend yield of 5.2%, placing it among the higher-yielding stocks in its peer group. This compares to a sector average dividend yield of 2.0%. A yield this high can provide meaningful income, but investors should verify the payout is sustainable by examining the payout ratio, free cash flow coverage, and any history of dividend cuts.
NorthEast Community Bancorp, Inc./MD/ is a micro-cap company in the Finance, Insurance, And Real Estate sector, ranked #0 of 50 in its sector (100th percentile) and #2828 of 7,333 overall (61st percentile). Key comparisons include ROE of 13.5% exceeding the 9.0% sector median and operating margins of 41.0% above the 18.1% sector average. This top-quartile standing reflects exceptional competitive strength relative to Finance, Insurance, And Real Estate peers.
While NECB currently exhibits a REDUCE profile, superior opportunities exist within the FINANCE, INSURANCE, AND REAL ESTATE sector. Our model identifies several "Strong Buy" candidates with higher quality scores and more attractive valuations among direct industry competitors.
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Improvement in Quality (26) would have the largest impact on the composite score.
EV/EBITDA IN LINE WITH SECTOR BENCHMARKS
ROE 49% ABOVE SECTOR MEDIAN (FAVORABLE)
Gross Margin 100% BELOW SECTOR MEDIAN
Above 50MA
37.18%
Net New Highs
+51081
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