MCHB
Mechanics Bancorp
Next earnings Jul 27, 2026 · consensus $0.27 EPS, $207M rev
Last earnings -2.7% on 2026-04-30
$15.98
▲ +1.20%$15.98▲ +38.65%
over 1Y
L $11.21EODHDH $15.98
Earnings Dividend Split Congress buy Congress sellGrouped by date · hover a pin to expand
Today+1.2%
1W+7.3%
1M+10.8%
3M+16.7%
YTD+17.0%
1Y+38.7%
Hold
Conviction
Horizon
Medium (3–12mo)
12-mo target
$•••
Street · 9 analysts
Buy
Post-HomeStreet merger optically cheap at 12x P/E, but $266M net income is largely a reverse-acquisition accounting artifact, not run-rate earnings.
Price / FY diluted EPS 12.3x · FY2025
The read
Middling fundamentals offset by an attractive price (~202% below fair value) — worth a look on the value angle.
Mechanics Bancorp is a 121-year-old California community bank that just tripled in size via the September 2, 2025 reverse merger with HomeStreet Bank, taking total assets from $16.5B to $22.7B (+37.7% YoY) and branch count to 166 across CA/WA/OR/HI. The headline FY2025 numbers are dramatically distorted by this transaction: net income leapt from $29M to $266M (+816%) and diluted EPS from $0.14 to $1.27 (+807%), while revenue (using the narrow XBRL RevenueFromContractWithCustomerExcludingAssessedTax tag, which captures only fee income — not net interest income, the dominant earning stream for a bank) crept only 3.3% to $49.7M. The 534% net margin on that revenue line confirms the figure is non-comparable; the earnings surge reflects bargain-purchase/fair-value remeasurement gains the MD&A explicitly flags as 'preliminary as of December 31, 2025, subject to change for up to one year after the Merger date, and any changes could be material.' Treating the 12.3x P/E as a normalized multiple is therefore a trap.
Financials · annual, by fiscal year
| Line item | FY21 | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|---|
| Revenue | — | — | — | $48.1M | $49.7M |
| Gross profit | — | — | — | — | — |
| Operating income | — | — | — | — | — |
| Net income | $115M | $66.5M | -$27.5M | $29.0M | $266M |
| Diluted EPS | $5.46 | $3.49 | -$1.46 | $0.14 | $1.27 |
| Net margin | — | — | — | 60.3% | 534.4% |
Annual figures from SEC 10-K XBRL filings. Open the filing links below for full statement detail.
Key statistics
Valuation
Enterprise value—
EV / EBITDA—
EV / Sales—
EV / FCF—
P / FCF1.6
PEG (trailing)0.02
Earnings yield87.9%
FCF yield61.9%
Quality & risk
ROIC (est.)—
Free cash flow$187M
Total debt$1.19B
Net cash-$162M
Piotroski F-Score3/7
Capital returns
Buyback yield0.0%
Dividend yield (est.)16.1%
Shareholder yield16.1%
Shares Δ YoY+0.3%
Computed from SEC XBRL annual figures + the current quote. EV and ROIC use long-term + current debt where filed; estimates, not investment advice.
Disclosure timeline
SEC · 8-Ks + reportsRecent disclosure tone has been improving.
- 8-K Shareholder vote2026-06-01
Annual meeting vote results disclosed; routine governance, no material changes.
- 8-K Other event2026-05-13
Other-events disclosure with exhibits; likely DUS sale/merger integration update.
- 10-Q Quarterly report2026-05-08
Q1'26 10-Q: $22.7B-asset combined bank; DUS sale to Fifth Third pending close.
- 8-K Other event2026-05-05
Other-events disclosure; no earnings or governance trigger flagged.
- 8-K Earnings results2026-04-30
Q1 2026 earnings release — first full post-merger quarter as combined Mechanics.
- DEF 14A Proxy statement2026-04-16
Annual proxy for the post-merger Mechanics Bancorp; routine board/comp items.
- NT 10-K Late filing notice2026-03-17
FY25 10-K: HomeStreet merger closed 9/2/25; 166 branches, $130M DUS sale pending.
- 10-K Annual report2026-03-17
FY25 10-K: HomeStreet merger closed 9/2/25; 166 branches, $130M DUS sale pending.
- 8-K Charter / bylaws change2026-02-27
Articles/bylaws amendment filed alongside other-events exhibits; charter housekeeping.
Recent filings
all on EDGAR ↗11-KPeriod ending 2025-12-312026-06-24open ↗4Period ending 2026-06-152026-06-17open ↗8-KPeriod ending 2026-05-282026-06-01open ↗4Period ending 2026-05-282026-05-29open ↗4Period ending 2026-05-282026-05-29open ↗4Period ending 2026-05-272026-05-29open ↗4Period ending 2026-05-272026-05-29open ↗4Period ending 2026-05-272026-05-29open ↗4Period ending 2026-05-272026-05-29open ↗4Period ending 2026-05-272026-05-29open ↗8-KPeriod ending 2026-05-132026-05-13open ↗10-QPeriod ending 2026-03-312026-05-08open ↗
Frequently asked
- Is Mechanics Bancorp (MCHB) a buy?
- MCHB currently carries a Hold rating with 3/5 conviction, derived from its latest SEC filings. Post-HomeStreet merger optically cheap at 12x P/E, but $266M net income is largely a reverse-acquisition accounting artifact, not run-rate earnings.
- What is MCHB's fair value?
- A Modified-Graham model based on MCHB's SEC fundamentals estimates a fair value of about $48.26. It is an estimate from reported earnings, not a price target.
- Is MCHB overvalued or undervalued?
- Against a Modified-Graham fair-value estimate, MCHB currently appears undervalued relative to its SEC-grounded earnings power.
- What is Mechanics Bancorp's quality score?
- MCHB scores 77.29411764705881/100 (grade B+) on a SEC-grounded quality model spanning value, growth, profitability, financial health and momentum.
Sources: SEC EDGAR (CIK 0001518715, latest 10-Q filed 2026-05-08) · EODHD · analysis by claude-code · as of 6/25/2026, 1:32:59 PM.
Research and education only — not financial advice. EDGAR is not a registered investment adviser or broker-dealer and gives no personalized advice. Every call is impersonal — identical for all users, generated on a schedule from SEC filings plus a delayed/third-party price feed — may be wrong or out of date, and is not a recommendation to buy or sell any security. The operator and an affiliated trading operation may hold or trade the securities EDGAR rates; see Disclosures. Past performance does not guarantee future results. Do your own research.