Richmond Mutual Bancorporation, Inc. (RMBI) 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.

Richmond Mutual Bancorporation, Inc. (RMBI) Financial Services Profile

Richmond Mutual Bancorporation, Inc., operating as First Bank Richmond, provides community banking services, including deposit accounts, loans, and wealth management, across Indiana and Ohio, leveraging a traditional banking model with a focus on local markets and a dividend yield of 3.96%.

What Is the Investment Thesis for RMBI?

Richmond Mutual Bancorporation presents a stable investment profile within the regional banking sector. With a P/E ratio of 12.63 and a dividend yield of 3.96%, the company offers potential value and income. The company's beta of 0.24 suggests lower volatility compared to the broader market. A profit margin of 13.6% and gross margin of 53.1% indicate reasonable profitability. Growth catalysts include expansion of fee-based financial services and strategic lending in its core markets. However, potential risks involve interest rate sensitivity and competition from larger financial institutions. The company's focus on community banking and established presence in Indiana and Ohio provide a solid foundation for continued performance.

Based on FMP financials and quantitative analysis

RMBI Key Highlights

Market capitalization of $251M indicates a small-cap regional bank.

• P/E ratio of 12.63 suggests a potentially undervalued stock compared to industry averages.
• Profit margin of 13.6% demonstrates reasonable profitability in the banking sector.
• Gross margin of 53.1% reflects the efficiency of the bank's operations.
• Dividend yield of 3.96% offers an attractive income stream for investors.

Who Are RMBI's Competitors?

RMBI 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 RMBI's Key Strengths?

Established presence in Indiana and Ohio.

• Strong community relationships.
• Diverse range of banking services.
• Experienced management team.

What Are RMBI's Weaknesses?

Limited geographic reach.

• Smaller size compared to national banks.
• Dependence on traditional banking model.
• Potential interest rate sensitivity.

What Could Drive RMBI Stock Higher?

Expansion of fee-based financial services, including trust and investment management.

• Strategic lending initiatives in core markets of Indiana and Ohio.
• Implementation of digital banking technologies to enhance customer experience.
• Branch optimization efforts to improve efficiency and reduce costs.

What Are the Key Risks for RMBI?

Financial-distress signal — its Altman Z-Score of -0.36 sits in the distress zone (elevated bankruptcy risk).

• Economic downturn in the region impacting loan performance.
• Increasing competition from larger banks and credit unions.
• Changes in interest rates affecting net interest margin.
• Regulatory compliance costs and scrutiny.

What Are the Growth Opportunities for RMBI?

• Expansion of Fee-Based Services: Richmond Mutual Bancorporation can grow its revenue by expanding its fee-based financial services, including trust and estate administration, investment management, retirement plan administration, and private banking services. The market for wealth management services is growing, presenting an opportunity to increase non-interest income. Timeline: Ongoing.
• Strategic Lending in Core Markets: The company can focus on strategic lending in its core markets of Indiana and Ohio, targeting multi-family and commercial real estate loans. By deepening relationships with local businesses and developers, Richmond Mutual Bancorporation can increase its loan portfolio and market share. Timeline: Ongoing.
• Digital Banking Initiatives: Investing in digital banking technologies can attract younger customers and improve operational efficiency. Offering mobile banking, online account management, and digital payment solutions can enhance customer experience and reduce costs. Market size for digital banking is expanding rapidly. Timeline: Upcoming.
• Branch Optimization: Optimizing the branch network by consolidating or relocating branches can improve efficiency and reduce overhead costs. Evaluating the performance of existing branches and identifying opportunities for improvement can enhance profitability. Timeline: Ongoing.
• Acquisitions and Partnerships: Exploring potential acquisitions of smaller banks or partnerships with fintech companies can expand the company's market reach and product offerings. Strategic acquisitions can provide access to new markets and customers. Timeline: Potential.

What Are RMBI's Competitive Advantages?

• Established presence in local markets.
• Long-standing relationships with customers.
• Community-focused banking model.
• Strong local brand recognition.

What Does RMBI Do?

Founded in 1887 and headquartered in Richmond, Indiana, Richmond Mutual Bancorporation, Inc. functions as the holding company for First Bank Richmond. The bank offers a comprehensive suite of financial services tailored to individuals and businesses within its operational footprint. Its deposit products include savings accounts, money market accounts, NOW and demand accounts, and certificates of deposit. On the lending side, First Bank Richmond provides multi-family and commercial real estate loans, commercial and industrial loans, construction and development loans, residential real estate loans, and consumer loans. Beyond traditional banking, Richmond Mutual Bancorporation engages in lease financing and provides fee-based financial services. These services encompass trust and estate administration, investment management, retirement plan administration, and private banking. The company's operational network consists of 12 full-service and one limited-service banking offices. Seven full-service and one limited-service offices are located in Indiana, while five offices are situated in Ohio. The bank maintains a local presence with multiple branches in key cities, including Richmond, Cambridge City, Centerville, and Shelbyville in Indiana, and Sidney, Piqua, and Troy in Ohio. Additionally, it operates a loan production office in Columbus, Ohio, extending its reach within the region. Richmond Mutual Bancorporation's long history and community focus have established it as a key player in the regional banking sector.

What Products and Services Does RMBI Offer?

• Accepts deposits, including savings, money market, and checking accounts.
• Offers multi-family and commercial real estate loans.
• Provides commercial and industrial loans.
• Offers construction and development loans.
• Provides residential real estate loans.
• Provides consumer loans.
• Engages in lease financing.
• Offers trust and estate administration, investment management, retirement plan administration, and private banking services.

How Does RMBI Make Money?

• Generates revenue from interest income on loans.
• Earns fees from deposit accounts and other banking services.
• Provides wealth management and trust services for a fee.
• Engages in lease financing.

What Industry Does RMBI Operate In?

Richmond Mutual Bancorporation operates within the regional banking industry, which is characterized by community-focused services and relationship-based lending. The industry faces increasing competition from larger national banks and fintech companies. Market trends include a shift towards digital banking and increased regulatory scrutiny. Richmond Mutual Bancorporation's focus on local markets and traditional banking services positions it as a community-oriented player in a consolidating industry.

Who Are RMBI's Key Customers?

• Individuals and families in Indiana and Ohio.
• Small and medium-sized businesses.
• Commercial real estate developers.
• High-net-worth individuals seeking wealth management services.

Over the past six months, Richmond Mutual Bancorporation, Inc. insiders filed 14 SEC Form 4 transactions — 1 sales and 13 purchases. On net that is roughly 254K shares acquired (about $61K) — insiders putting money in tends to read as conviction.

Richmond Mutual Bancorporation, Inc.'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 -0.36 places it in the distress zone, a signal of elevated financial risk.

Return on equity for Richmond Mutual Bancorporation, Inc. stands at 8.8%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is 0.8%, showing how much profit it generates from its asset base. RMBI trades at a trailing price-to-earnings ratio of 12.63, below the Financial Services sector average of ~17.50x. Its free cash flow yield is 9.8%, a gauge of the cash the business throws off relative to its market value. A current ratio of 0.12 means current liabilities exceed short-term assets, a liquidity point worth watching. Its earnings yield is 8.2%, the inverse of the P/E and a quick read on earnings relative to price.

Richmond Mutual Bancorporation, Inc. (RMBI) Valuation Context

Valued at $251M, RMBI is classified as a micro-cap stock. Relative to its peer group, RMBI's quantitative score of 84/100 is roughly in line with the peer average of 91/100.

RMBI Revenue & Earnings Trend

In Q2 FY2026, RMBI generated $23.5M in top-line revenue, marking a sequential increase of 4.5%. The company recorded net income of $2.2M, with diluted EPS of $0.22. Quarter-over-quarter revenue has been mixed, typical for a micro-cap company operating in Financial Services. Across the four most recent quarters, RMBI averaged $0.30 in diluted EPS.

Company Profile

Richmond Mutual Bancorporation, Inc. operates in the Banks - Regional industry within the Financial Services sector. It is headquartered in Richmond, US. The company is led by CEO Garry D. Kleer. RMBI has traded publicly since 2019.

RMBI Financials

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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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