ISTR:NASDAQInvestar Holding Corporation Analysis
Data as of 2026-05-25 - not real-time
$28.56
Latest Price
6/10Risk
Risk Level: Medium
Executive Summary
Investar Holding shows a clear bullish technical setup – the 20‑day SMA (28.05) sits above the 50‑day (27.82) and 200‑day (25.94) averages, MACD is bullish, and price is trading above the key support of $27.31 while still below the $29 resistance. RSI at 56.7 indicates room for upside, though volume is trending down and 30‑day volatility is high at ~27%, reflected in the "Extreme Greed" market sentiment.
Fundamentally, the bank is delivering rapid top‑line growth (57.6% YoY revenue increase) and strong profitability (44% operating margin, 26.7% net margin). The stock trades at a PE of 12.6 versus an industry average of 16.8 and a forward PE of 8.8, while the DCF‑derived fair value of $34.23 suggests roughly 15% upside from the current $28.56 price. With a dividend yield of 1.54% and a modest 19% payout, dividend sustainability looks solid, and the balance sheet shows $90.9 M cash offsetting $209 M debt. Overall, the combination of technical momentum, attractive valuation, and strong earnings growth supports a positive outlook.
Fundamentally, the bank is delivering rapid top‑line growth (57.6% YoY revenue increase) and strong profitability (44% operating margin, 26.7% net margin). The stock trades at a PE of 12.6 versus an industry average of 16.8 and a forward PE of 8.8, while the DCF‑derived fair value of $34.23 suggests roughly 15% upside from the current $28.56 price. With a dividend yield of 1.54% and a modest 19% payout, dividend sustainability looks solid, and the balance sheet shows $90.9 M cash offsetting $209 M debt. Overall, the combination of technical momentum, attractive valuation, and strong earnings growth supports a positive outlook.
Market Outlook
Short Term
< 1 yearPositive
Model confidence: 7/10
Key Factors
- Bullish SMA crossover and MACD alignment
- Current price below DCF fair value with ~15% upside
- Strong operating margins supporting near‑term earnings
Medium Term
1–3 yearsPositive
Model confidence: 8/10
Key Factors
- Sustained revenue growth of 57.6% YoY
- Forward PE compression to 8.8 indicating earnings acceleration
- Dividend yield of 1.54% with low payout ratio
Long Term
> 3 yearsPositive
Model confidence: 9/10
Key Factors
- Undervalued relative to peers and DCF estimate
- High ROE (8.6%) and consistent cash flow generation
- Stable regional market position with limited geographic concentration
Key Metrics & Analysis
Financial Health
Revenue Growth57.60%
Profit Margin26.73%
P/E Ratio12.6
ROE8.59%
ROA0.87%
P/B Ratio1.0
Op. Cash Flow$23.7M
Industry P/E16.8
Technical Analysis
TrendBullish
RSI56.7
Support$27.31
Resistance$29.00
MA 20$28.05
MA 50$27.82
MA 200$25.94
MACDBullish
VolumeDecreasing
Fear & Greed Index91.8
Valuation
Fair Value$34.23
Target Price$33.00
Upside/Downside15.55%
GradeUndervalued
TypeBlend
Dividend Yield1.54%
Risk Assessment
Beta0.96
Volatility26.96%
Sector RiskMedium
Reg. RiskMedium
Geo RiskMedium
Currency RiskLow
Liquidity RiskMedium
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This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.