📊 LCNB Key Takeaways
Is Lcnb Corp. (LCNB) a Good Investment?
LCNB Corp exhibits strong revenue growth of 46.3% YoY, but fundamental profitability metrics are severely concerning with net income growth of only 0.6% despite strong top-line expansion. The critically weak interest coverage ratio of 0.2x indicates the company cannot adequately service its debt obligations from operating income, and minimal ROE (1.6%) and ROA (0.2%) signal poor capital efficiency and shareholder value creation.
LCNB shows resilient profitability (22.5% net margin, 1.0% ROA) and strong free cash generation supported by low capex and modest long-term leverage. However, the 46% revenue growth is not translating to earnings (+0.6% net income), indicating funding-cost pressure and margin compression, as echoed by a thin 1.2x interest coverage. With ROE at 8.4% and limited visibility into credit quality, fundamentals look balanced pending evidence of margin stabilization.
Lcnb Corp. Key Strengths (LCNB)
- Strong revenue growth of 46.3% YoY demonstrates market expansion and business activity
- Solid operating margin of 20.9% and net margin of 17.5% indicate reasonable profitability on revenue base
- Moderate leverage with debt-to-equity ratio of 0.38x provides reasonable balance sheet flexibility
- Solid profitability metrics for a community bank (ROA ~1.0%, net margin 22.5%)
- Strong free cash flow with minimal capital intensity
- Conservative use of long-term debt (D/E 0.38x)
LCNB Stock Risks: Lcnb Corp. Investment Risks
- Critical interest coverage ratio of 0.2x means operating income covers only 20% of interest expenses, indicating unsustainable debt service burden
- Extreme disconnect between revenue growth (+46.3%) and net income growth (+0.6%) reveals severe margin compression and operational deterioration
- Abysmal returns on equity (1.6%) and assets (0.2%) demonstrate poor capital allocation and capital efficiency
- Low cash position of $29.2M relative to long-term debt of $104.1M and estimated annual interest expense of ~$26.5M raises solvency concerns
- Margin compression and funding cost pressure despite strong revenue growth
- Low interest coverage (1.2x) signals rate sensitivity
- Limited transparency here on credit quality and potential loan loss provisions
Key Metrics to Watch
- Interest coverage ratio trend - must improve materially above 1.0x to indicate sustainable debt service
- Return on equity and return on assets - critical improvement needed to validate business model
- Net income growth acceleration - must align with revenue growth to restore investor confidence
- Operating expense ratio - elevated expenses may indicate structural cost issues requiring remediation
- Free cash flow to debt service ratio - monitor ability to pay down debt and reduce financial risk
- Net interest margin (NIM) and deposit cost trends
- Provision for credit losses and nonperforming asset ratios
Lcnb Corp. (LCNB) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
LCNB Profit Margin, ROE & Profitability Analysis
LCNB vs Finance Sector: How Lcnb Corp. Compares
How Lcnb Corp. compares to Finance sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Lcnb Corp. Stock Overvalued? LCNB Valuation Analysis 2026
Based on fundamental analysis, Lcnb Corp. has mixed fundamental signals relative to the Finance sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Lcnb Corp. Balance Sheet: LCNB Debt, Cash & Liquidity
LCNB Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Lcnb Corp.'s revenue has remained relatively flat over the 5-year period, with a 0% decline. The most recent EPS of $1.10 reflects profitable operations.
LCNB Revenue Growth, EPS Growth & YoY Performance
LCNB Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q2 2014 | $2.6M | $984.0K | $0.28 |
| Q1 2014 | $1.1M | $371.0K | $0.14 |
| Q3 2013 | $1.7M | $750.0K | $0.27 |
| Q2 2013 | $1.6M | $755.0K | $0.29 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Lcnb Corp. Dividends, Buybacks & Capital Allocation
LCNB SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Lcnb Corp. (CIK: 0001074902)
📋 Recent SEC Filings
❓ Frequently Asked Questions about LCNB
What is the AI rating for LCNB?
Lcnb Corp. (LCNB) has a Combined AI Grade of C from Claude (C) and ChatGPT (B) with 67% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are LCNB's key strengths?
Claude: Strong revenue growth of 46.3% YoY demonstrates market expansion and business activity. Solid operating margin of 20.9% and net margin of 17.5% indicate reasonable profitability on revenue base. ChatGPT: Solid profitability metrics for a community bank (ROA ~1.0%, net margin 22.5%). Strong free cash flow with minimal capital intensity.
What are the risks of investing in LCNB?
Claude: Critical interest coverage ratio of 0.2x means operating income covers only 20% of interest expenses, indicating unsustainable debt service burden. Extreme disconnect between revenue growth (+46.3%) and net income growth (+0.6%) reveals severe margin compression and operational deterioration. ChatGPT: Margin compression and funding cost pressure despite strong revenue growth. Low interest coverage (1.2x) signals rate sensitivity.
What is LCNB's revenue and growth?
Lcnb Corp. reported revenue of $25.4M.
Does LCNB pay dividends?
Lcnb Corp. pays dividends, with $3.1M distributed to shareholders in the trailing twelve months.
Where can I find LCNB SEC filings?
Official SEC filings for Lcnb Corp. (CIK: 0001074902) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is LCNB's EPS?
Lcnb Corp. has a diluted EPS of $0.31.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is LCNB's fundamental grade?
Based on our AI fundamental analysis in May 2026, Lcnb Corp. has a C grade with 67% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is LCNB stock overvalued or undervalued?
Valuation metrics for LCNB: ROE of 1.6% (sector avg: 12%), net margin of 17.5% (sector avg: 25%). Compare these metrics with sector averages to assess valuation.
What is LCNB's AI grade for 2026?
Our dual AI analysis gives Lcnb Corp. a combined C grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is LCNB's free cash flow?
Lcnb Corp.'s operating cash flow is $3.1M, with capital expenditures of $335.0K. FCF margin is 10.9%.
How does LCNB compare to other Finance stocks?
Vs Finance sector averages: Net margin 17.5% (avg: 25%), ROE 1.6% (avg: 12%), current ratio N/A (avg: 1.2).