BSBK

Bogota Financial is a tiny, single-market New Jersey savings institution (MHC structure, ~$905M assets, seven branches, 613 holders of record) whose earnings power has been gutted by the rate cycle. Net income fell from $7.52M (FY2021) to $643K (FY2023) to a -$2.17M loss (FY2024), and the FY2025 'recovery' to $2.09M — headline +196% — only restores it to a fraction of prior levels. The result is a 1.5% return on equity, which is the number that matters: at that level of profitability the 53.3x P/E on $0.17 of EPS is meaningless-high, and the stock cannot be justified on earnings. Assets are shrinking (-6.8%) and cash is down 31.8%, so this is a balance sheet being managed down, not grown.

What keeps this from being a 'sell/avoid' is the balance sheet and the price relative to book. Equity of $141M against $905M of assets is ~15.6% equity/assets — a heavily over-capitalized thrift, not a stressed one (liabilities/equity of 5.42x is low for a bank). Credit looks clean: the auditor flags the allowance for credit losses only as a qualitative-judgment matter, the ACL is $2.5M against a $650.2M loan book (~0.38%), and there are no material legal proceedings. Against $141M of equity on 12.9M shares (~$10.9 book value/share), the $9.06 price is roughly 0.83x book — a discount that provides a floor and reflects the poor ROE rather than distress.