Ames National Corporation (ATLO) Stock Analysis

Why this analysis is different

• A sector-relative MoonshotScore — five pillars (business quality, financial safety, valuation, growth durability, momentum) re-ranked nightly against the full universe of US-listed common stocks.
• An AI Council read across up to eight perspectives — value, macro, quantitative, and momentum lenses — that shows where they disagree instead of averaging the tension away.
• Figures come straight from FMP and Yahoo Finance filings data. The AI writes the narrative around the numbers — it never edits the numbers.

Ames National Corporation (ATLO) Financial Services Profile

Ames National Corporation, established in 1903, operates as a multi-bank holding company in central Iowa, offering a range of banking and wealth management services. With a focus on community banking, Ames National Corporation provides deposit accounts, loans, and online banking solutions, serving individuals, businesses, and non-profit organizations.

What Is the Investment Thesis for ATLO?

Ames National Corporation presents a stable investment opportunity within the regional banking sector, supported by its established presence in central Iowa and a diversified range of banking and wealth management services. With a market capitalization of $286M and a P/E ratio of 12.49, the company demonstrates consistent profitability, reflected in its 21.6% profit margin and 69.5% gross margin. A dividend yield of 2.94% offers an appealing income stream for investors. Growth catalysts include expanding digital banking services and capitalizing on agricultural lending opportunities in its operating regions. Potential risks involve navigating regulatory changes and managing credit risk within its loan portfolio. The company's low beta of 0.34 suggests lower volatility compared to the broader market.

Based on FMP financials and quantitative analysis

ATLO Key Highlights

Market capitalization of $286M, indicating a solid valuation within the regional banking sector.

• P/E ratio of 12.49, suggesting the company is reasonably valued compared to its earnings.
• Profit margin of 21.6%, reflecting efficient operations and strong profitability.
• Gross margin of 69.5%, demonstrating effective cost management and revenue generation.
• Dividend yield of 2.94%, providing an attractive income stream for investors.

Who Are ATLO's Competitors?

ATLO is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.

AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance

What Are ATLO's Key Strengths?

Strong presence in central Iowa.

• Diversified range of banking and wealth management services.
• Established customer relationships.
• Experienced management team.

What Are ATLO's Weaknesses?

Limited geographic reach.

• Reliance on traditional banking services.
• Smaller size compared to national banks.
• Vulnerability to local economic conditions.

What Could Drive ATLO Stock Higher?

Launch of enhanced mobile banking platform in Q3 2026.

• Expansion of agricultural lending activities in central Iowa.
• Implementation of a new CRM system to improve customer engagement.

What Are the Key Risks for ATLO?

Financial-distress signal — its Altman Z-Score of -0.30 sits in the distress zone (elevated bankruptcy risk).

• Increased competition from larger national banks and fintech companies.
• Regulatory changes impacting capital requirements and lending practices.
• Economic downturn in Iowa affecting loan demand and credit quality.
• Interest rate fluctuations impacting net interest margin.

What Are the Growth Opportunities for ATLO?

• Expansion of Digital Banking Services: Ames National Corporation can capitalize on the growing demand for digital banking by enhancing its online and mobile platforms. Investing in user-friendly interfaces, secure transaction capabilities, and personalized financial tools can attract and retain tech-savvy customers. The digital banking market is projected to reach $9 trillion by 2027, offering a substantial growth opportunity. Timeline: Ongoing.
• Increased Agricultural Lending: With a strong presence in agricultural regions of Iowa, Ames National Corporation can expand its lending activities to farmers and agribusinesses. Offering tailored loan products, such as equipment financing and operating lines of credit, can support the growth of the agricultural sector. The agricultural lending market is expected to grow at a rate of 4% annually. Timeline: Ongoing.
• Wealth Management Services: Ames National Corporation can further develop its wealth management services to cater to high-net-worth individuals and families. Offering comprehensive financial planning, investment management, and estate planning services can generate recurring revenue and build long-term client relationships. Timeline: Ongoing.
• Strategic Acquisitions: Ames National Corporation can pursue strategic acquisitions of smaller community banks or financial institutions in adjacent markets. This can expand its geographic footprint, increase its customer base, and diversify its revenue streams. The consolidation trend in the banking industry presents opportunities for growth through acquisitions. Timeline: Upcoming.
• Enhanced Customer Relationship Management: Implementing a robust CRM system can improve customer engagement, personalize service offerings, and enhance customer loyalty. By leveraging data analytics, Ames National Corporation can identify customer needs and tailor its products and services accordingly. Effective CRM can lead to increased customer retention and cross-selling opportunities. Timeline: Ongoing.

What Are ATLO's Competitive Advantages?

• Established presence and brand recognition in central Iowa.
• Strong relationships with local customers and communities.
• Diversified range of banking and wealth management services.
• Experienced management team with local market expertise.

What Does ATLO Do?

Ames National Corporation, founded in 1903 and headquartered in Ames, Iowa, operates as a multi-bank holding company that provides an array of banking products and services. The company’s primary market is in central, north-central, and south-central Iowa, specifically within Boone, Clarke, Hancock, Marshall, Polk, Story, and Union counties. Ames National Corporation offers traditional banking services, including a variety of deposit accounts such as checking, savings, money market accounts, and certificates of deposit. The company also provides a diverse portfolio of loans, encompassing short-term and medium-term commercial and agricultural real estate loans, residential real estate loans, equipment, vehicle, and home improvement loans. Additionally, Ames National Corporation offers personal loans and lines of credit, agricultural and business operating loans and lines of credit, and originates mortgage loans for sale into the secondary market. Beyond traditional banking, Ames National Corporation provides cash management, merchant credit card processing, safe deposit box, wire transfer, direct deposit, and automated/video teller machine access services. The company also offers wealth management services, including farm management, investment, and custodial services for individuals, businesses, and non-profit organizations. Ames National Corporation delivers its services through online, mobile, and private banking platforms, emphasizing customer convenience and accessibility.

What Products and Services Does ATLO Offer?

• Accepts deposits, including checking and savings accounts.
• Offers time deposits, such as money market accounts and certificates of deposit.
• Provides commercial and agricultural real estate loans.
• Offers residential real estate loans.
• Provides equipment, vehicle, and home improvement loans.
• Offers personal loans and lines of credit.
• Provides agricultural and business operating loans and lines of credit.
• Originates mortgage loans for sale into the secondary market.

How Does ATLO Make Money?

• Generates revenue from interest income on loans.
• Earns fees from cash management and merchant credit card processing services.
• Provides wealth management services for a fee.
• Originates mortgage loans for sale into the secondary market, generating fee income.

What Industry Does ATLO Operate In?

Ames National Corporation operates within the regional banking industry, which is characterized by increasing competition from larger national banks and fintech companies. The industry is also influenced by regulatory changes and interest rate fluctuations. Market trends include a growing demand for digital banking services and personalized financial advice. Ames National Corporation's focus on community banking and wealth management positions it to capitalize on local market opportunities and build long-term customer relationships. The regional banking sector is expected to see moderate growth, driven by economic expansion in local markets and increased lending activity.

Who Are ATLO's Key Customers?

• Individuals residing in central Iowa.
• Small and medium-sized businesses in the region.
• Agricultural businesses and farmers.
• Non-profit organizations.

Over the past six months, Ames National Corporation insiders filed 8 SEC Form 4 transactions — 0 sales and 8 purchases. On net that is roughly 2K shares acquired (about $46K) — insiders putting money in tends to read as conviction.

Wall Street analysts project Ames National Corporation revenue of about $76.4M for fiscal 2026, with EPS near $2.72.

Ames National Corporation's Piotroski F-Score is 8/9, a 9-point checklist of profitability, leverage and efficiency — signaling solid underlying fundamentals. Its Altman Z-Score of -0.30 places it in the distress zone, a signal of elevated financial risk.

Return on equity for Ames National Corporation stands at 10.7%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is 1.0%, showing how much profit it generates from its asset base. ATLO trades at a trailing price-to-earnings ratio of 12.49, below the Financial Services sector average of ~17.50x. Its free cash flow yield is 8.4%, a gauge of the cash the business throws off relative to its market value. A current ratio of 53.78 indicates the company holds enough short-term assets to cover its near-term obligations. Its earnings yield is 8.0%, the inverse of the P/E and a quick read on earnings relative to price.

Ames National Corporation (ATLO) Valuation Context

Valued at $286M, ATLO is classified as a micro-cap stock. Analyst price targets span from $31.00 to $31.00, with a consensus of $31.00. At the current price of $32.34, that implies roughly 4% downside from the consensus target. Relative to its peer group, ATLO's quantitative score of 91/100 is roughly in line with the peer average of 83/100.

ATLO Revenue & Earnings Trend

In Jun 2026, ATLO generated $26.0M in top-line revenue, marking a sequential increase of 3.9%. The company recorded net income of $5.9M, with diluted EPS of $0.67. Quarter-over-quarter revenue has been mixed, typical for a micro-cap company operating in Financial Services. Across the four most recent quarters, ATLO averaged $0.64 in diluted EPS.

Company Profile

Ames National Corporation operates in the Banks - Regional industry within the Financial Services sector. It is headquartered in Ames, US. The company is led by CEO John Nelson. ATLO has traded publicly since 2000.

ATLO Financials

ATLO Latest News

ATLO Analyst Consensus

ATLO MoonshotScore

Common Questions About ATLO (Financial Services)

Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.

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