| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 56 | 14.8x | 17.8x | Around median | |
Growth | 49 | 7.8% | 7.1% | Around median | |
Quality | 48 | — | — | Around median | |
Safety | 22 | — | — | Bottom tier | |
Capital Return | 46 | 3.57% | 2.12% | Around median | |
Momentum | 81 | 12.0% | 2.9% | Top tier | |
Sentiment | 84 | 5 | 3 | Top tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
CVB Financial Corp., through Citizens Business Bank, provides relationship-based banking services to small and medium-sized businesses and their owners in key California markets. The revenue model relies on net interest income from loans and securities, along with banking service fees and income from trust, investment, international banking, and bank-owned life insurance services. Following the acquisition of Heritage Bank of Commerce on April 17, 2026, total assets increased from $15.5 billion as of March 31, 2026, to $21.2 billion as of June 30, 2026, while loans reached $12.1 billion and customer deposits and repurchase agreements reached $16.9 billion.
In fiscal Q2 2026, the company reported net income of $48.3 million and earnings per share of $0.29, compared with $51.0 million and $0.38 in fiscal Q1 2026. Pre-tax income was $65.0 million, but would have reached $100.7 million after excluding $31.4 million in acquisition expenses and a $4.25 million provision for unfunded commitments inherited from Heritage. The provided data did not include a total revenue figure for the quarter, but showed that net interest income increased by $44.6 million sequentially, the net interest margin expanded by 28 basis points to 3.72%, and noninterest income reached $17.0 million.
The business mix in fiscal Q2 2026 was driven by balance-sheet expansion following the Heritage transaction; average earning assets increased by $3.7 billion to $17.6 billion. The average loan yield rose to 5.53% from 5.32% in the previous quarter, while the core loan yield, excluding fees and discount accretion on acquired loans, was 5.37%. On the expense side, noninterest expenses were $114.4 million, or $75.2 million on a core basis, while the adjusted efficiency ratio improved to 43.9% from 44.6% in the previous quarter.
Automated analysis for informational purposes only — not investment advice.
The average analyst price target is $26.67, within a range of $25 to $28, compared with a 52-week share-price range of $17.95 to $23.41; therefore, all targets, even the lowest one, are above the high end of the 52-week range. However, the consensus remains neutral, and the provided data do not include a valid comparable price-to-earnings ratio, making the achievement of the targeted earnings-per-share accretion of 13% or more in fiscal 2027 and the containment of Heritage integration costs critical factors in justifying the valuation targets.
Figures in the text are as of 2026-08-31; the live price is shown at the top of the page.
The transaction closed on April 17, 2026, for total consideration of approximately $845 million and added $3.8 billion of loans at fair value and $4.75 billion of deposits. CVB Financial's total assets increased from $15.5 billion as of March 31, 2026, to $21.2 billion as of June 30, 2026. The systems conversion was also completed from June 19 to 21, 2026, and the two institutions now operate as one bank. Management sees additional opportunities in lending, wealth management, mortgages, and international banking services.
Net income was $48.3 million and earnings per share were $0.29 in fiscal Q2 2026, compared with $51.0 million and $0.38 in the previous quarter. The results included $31.4 million in acquisition expenses and a $4.25 million provision for unfunded commitments inherited from Heritage. The company said pre-tax income would have been $100.7 million excluding these two items, instead of the reported $65.0 million. The issuance of 40.6 million shares to complete the transaction also expanded the share base used to calculate earnings per share.
Management targets earnings-per-share accretion of 13% or more in fiscal 2027. It also targets a return on average assets of 1.50% and a return on tangible common equity of 17%. The company expects to achieve 90% to 95% of the announced cost savings by fiscal Q4 2026, with the full impact recognized at the beginning of fiscal 2027. Management expressed confidence in its ability to achieve the targets, while acknowledging that the return on tangible common equity target may take longer due to the multiple factors affecting it.
The net interest margin expanded by 28 basis points to 3.72%, and net interest income increased by $44.6 million compared with fiscal Q1 2026. The average loan yield rose to 5.53% from 5.32%, while the core loan yield improved to 5.37% from 5.14%. The adjusted efficiency ratio also improved to 43.9% from 44.6% in the previous quarter. Conversely, the cost of deposits and repurchase agreements increased to 86 basis points from 82 basis points.
Net charge-offs were $137 thousand in fiscal Q2 2026, and the company recorded no provision for credit losses during the quarter. Nonperforming assets were $16.8 million, or 8 basis points of total assets, as of June 30, 2026, after increasing by $10.5 million. Classified loans were $109.7 million, or 0.91% of loans, including the addition of $29 million in classified Heritage loans. The allowance for credit losses increased to $126.7 million, or 1.05% of loans, compared with $80.2 million and 0.93% as of March 31, 2026.
Loan originations in fiscal Q2 2026 increased by approximately 85% from fiscal Q2 2025 and by approximately 40% from the previous quarter, with an average yield of nearly 6%. Management identified investor commercial real estate as the main driver of the increase, while utilization of commercial and industrial credit lines rose to 32% from 30%. Noninterest income increased to $17.0 million from $14.3 million, supported by growth in banking service fees and trust, investment, and international services income. Expected quarterly cash flow from the securities portfolio was also between $150 million and $200 million, providing additional capacity to fund loans or reinvest.
