Preferred Bank (PFBC) Stock

About Preferred Bank

Preferred Bank offers a wide array of commercial banking products and services throughout the United States. Its primary clients include small and mid-sized businesses and their owners, entrepreneurs, real estate developers and investors, various professionals, and high-net-worth individuals. The institution provides diverse deposit options, such as checking, savings, and money market accounts. They also feature fixed-rate and fixed-maturity certificates of deposit for both retail and non-retail clients, along with individual retirement accounts. On the lending side, Preferred Bank extends real estate mortgage loans secured by a variety of properties, including retail, industrial, office, special purpose, and residential (single and multi-family) assets. They also finance real estate construction projects and offer commercial loans like working capital lines of credit, term loans for capital expenditures, and both commercial and standby letters of credit, in addition to SBA loans. Furthermore, the bank provides extensive trade finance solutions. These encompass commercial and export letters of credit, import lines of credit, international wire transfers, documentary collections, acceptance/trust receipt financing products, export financing, and bills purchase programs. Specialized high-wealth banking services are available for affluent individuals residing in the Pacific Rim region. The bank also supports modern financial management through remote deposit capture, as well as online and mobile banking platforms. Dedicated banking services are provided to professionals such as physicians, accountants, attorneys, and business managers. Manufacturing, service, and distribution companies can benefit from safe deposit boxes, account reconciliation, courier services, and comprehensive cash management solutions. As of December 31, 2021, Preferred Bank operated eleven full-service branch locations across California, including Alhambra, Century City, City of Industry, Torrance, Arcadia, Irvine, Diamond Bar, Pico Rivera, Tarzana, and San Francisco. An additional branch is situated in Flushing, New York. The bank was established in 1991 and maintains its headquarters in Los Angeles, California.

Preferred Bank is headquartered in US.

Preferred Bank (PFBC) stock trades at $106.76 with a market capitalization of $1.26B. The stock is valued at a price-to-earnings (P/E) ratio of 9.77, price-to-book of 1.68, price-to-sales of 2.50. Over the past 52 weeks the stock has ranged between $81.50 and $112.26, and currently trades 4.9% below its 52-week high. It pays a dividend yielding 3.00%.

On profitability, Preferred Bank generates a return on equity (ROE) of 17.48%, above the typical market range of roughly 12-15%, return on capital employed of 2.50%, an operating margin of 37.94%, a net profit margin of 26.69%.

Official website: www.preferredbank.com

Preferred Bank by the numbers, 2016–2025

Between 2016 and 2025 Preferred Bank reported revenue of $128.0M rising to $499.0M, a change of +289.8% across 10 years. Compounded, revenue has grown 17.8% a year over five years, 18.4% over three, -4.0% over the last twelve months. Net profit rose to $134.0M.

Operating margin went from 46.8% in 2016 to 38.0% in 2025, a fall of 8.8 percentage points. The most recent net margin is 26.69%. On a trailing twelve-month basis to Mar '26, revenue is $505.0M and net profit $135.0M.

Borrowings rose from $130.0M to $384.0M, cash on hand is $805.2M, cash from operations was $168.0M in the latest year, positive in 10 of the last 10.

Return on equity has averaged 18.5% over five years, and was 17.0% in the most recent year.

The share price itself has compounded at 16.0% a year over five years, 27.0% over three, 22.0% over the last year. Past price movement is history, not a forecast.

Figures are as reported and in the company's own reporting currency. They describe what has already happened and carry no implication about what follows.

Preferred Bank (PFBC) — frequently asked questions