McHenry Bancorp, Inc. (MCHN)
For informational purposes only. Not financial advice. Analysis by Sedat ANAK, Founder & Editor-in-Chief | AI-powered analysis. Data sourced from SEC filings and institutional-grade financial providers. Editorially reviewed. Not financial advice.
McHenry Bancorp, Inc. (MCHN) trades at $19.00 with AI Score 49/100 (Grade C). McHenry Bancorp, Inc. , operating as the holding company for Mchenry Savings Bank, provides a range of banking products and services in Illinois. Market cap: $17.70M, Sector: Financial services.
Price live · AI analysis from Mar 16, 2026Analyst Coverage for MCHN: MCHN does not currently have published analyst price targets in our coverage universe. This is common for smaller-cap names with limited Wall Street coverage. In the absence of analyst consensus, our AI model evaluates MCHN against Financial Services peers across nine fundamental dimensions and assigns an underweight signal based on the underlying data.
MCHN: the 1 perspectives are evenly split.
How is this calculated? →McHenry Bancorp, Inc. (MCHN) Financial Services Profile
McHenry Bancorp, Inc., a regional bank holding company for Mchenry Savings Bank, offers diverse banking products and services, including personal and commercial accounts, loans, and investment services, primarily in the Illinois market, demonstrating a traditional banking model with a focus on local community needs and a P/E ratio of 9.76.
What Is the Investment Thesis for MCHN?
McHenry Bancorp, Inc. presents a focused investment case centered on its established community banking model and consistent profitability, indicated by a profit margin of 14.7%. The company's strength lies in its deep-rooted presence in the Illinois market and its comprehensive suite of banking products, which cater to both individual and commercial clients. Growth catalysts include potential expansion of its digital banking services to attract a younger demographic and increased commercial lending activity driven by local economic development. However, investors may want to evaluate the risks associated with its OTC market listing, including liquidity constraints and disclosure requirements. The company's ability to maintain its net interest margin and manage credit risk will be crucial for sustaining profitability. The current P/E ratio of 9.76 may represent a value opportunity if the company can demonstrate sustainable growth and operational efficiency.
Based on FMP financials and quantitative analysis
MCHN Key Highlights
- Market capitalization of $17.70M, indicating a small-cap company with potential for growth.
- P/E ratio of 9.76, suggesting the company may be undervalued compared to its earnings.
- Profit margin of 14.7%, reflecting efficient operations and profitability.
- Gross margin of 100.0%, indicating strong control over the cost of services.
- No dividend yield, suggesting the company is reinvesting earnings for growth.
Who Are MCHN's Competitors?
MCHN is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.
| Company | Price | Change | Market Cap | AI Score |
|---|---|---|---|---|
| BRBW Brunswick Bancorp | $16.00 | +0.00% | $23.62M | 49 |
| CBOF CBOA Financial, Inc. | $2.27 | -1.30% | $23.19M | 49 |
| CFIC Cornerstone Financial Corporation | $8.32 | +21.82% | $18.24M | 49 |
| CNBA Chester Bancorp, Inc. | $5.80 | +0.00% | $25.91M | 45 |
| EFBI Eagle Financial Bancorp, Inc. | $17.32 | -0.52% | $20.78M | 46 |
| MCHB Mechanics Bank | $16.24 | +0.50% | $3.58B | 71 |
| STLE Steele Bancorp Inc. | $43.05 | -0.67% | $80.01M | 69 |
| NASB NASB Financial, Inc. | $40.30 | +0.00% | $289.22M | 68 |
AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance
What Are MCHN's Key Strengths?
- Strong local presence and brand recognition.
- Established relationships with local customers.
- Personalized customer service.
- Comprehensive suite of banking products and services.
What Are MCHN's Weaknesses?
- Limited geographic reach.
- Smaller size compared to national banks.
- Dependence on the local economy.
- Limited resources for technology investment.
What Could Drive MCHN Stock Higher?
- Potential expansion of digital banking services to attract younger customers.
- Local economic development initiatives that may drive increased commercial lending activity.
- Strategic partnerships with fintech companies to enhance service offerings.
- Geographic expansion into adjacent markets to diversify revenue streams.
- Implementation of a more robust CRM system to improve customer service.
What Are the Key Risks for MCHN?
- Increased competition from larger national banks and credit unions.
- Economic downturn in the local market affecting loan performance.
- Regulatory changes impacting the banking industry.
- Cybersecurity risks and data breaches.
- Limited liquidity due to OTC market listing.
What Are the Growth Opportunities for MCHN?
- Expansion of Digital Banking Services: McHenry Bancorp can capitalize on the growing demand for digital banking by enhancing its mobile and online platforms. This includes offering more user-friendly interfaces, expanding mobile payment options, and providing personalized financial management tools. The digital banking market is projected to reach $9.0 trillion in transaction value by 2027, presenting a significant opportunity for McHenry Bancorp to attract and retain customers. Timeline: Within the next 2-3 years.
- Increased Commercial Lending Activity: With local economic development initiatives underway in the McHenry area, there is an opportunity for McHenry Bancorp to increase its commercial lending activity. By offering competitive loan products and personalized service to local businesses, the bank can support their growth and expansion, thereby driving its own revenue growth. The small business lending market is estimated at $800 billion annually, providing a substantial market for McHenry Bancorp to tap into. Timeline: Ongoing.
- Strategic Partnerships with Fintech Companies: McHenry Bancorp can explore strategic partnerships with fintech companies to enhance its service offerings and reach a broader customer base. This could involve integrating fintech solutions into its existing platform or collaborating on new products and services. Fintech partnerships can help McHenry Bancorp to innovate more quickly and efficiently, while also gaining access to new technologies and expertise. Timeline: Within the next 1-2 years.
- Expansion into Adjacent Markets: McHenry Bancorp can consider expanding its operations into adjacent markets with similar demographic profiles and economic characteristics. This could involve opening new branches or acquiring smaller community banks in nearby areas. Geographic expansion can help McHenry Bancorp to diversify its revenue streams and reduce its reliance on the McHenry market. Timeline: Within the next 3-5 years.
- Enhanced Customer Relationship Management (CRM): By implementing a more robust CRM system, McHenry Bancorp can improve its customer service and personalize its interactions with customers. This includes tracking customer preferences, anticipating their needs, and providing tailored financial advice. Enhanced CRM can lead to increased customer loyalty and retention, which is crucial for long-term growth. Timeline: Within the next 1 year.
What Opportunities Does MCHN Have?
- Expansion of digital banking services.
- Increased commercial lending activity.
- Strategic partnerships with fintech companies.
- Expansion into adjacent markets.
What Threats Does MCHN Face?
- Competition from larger national banks and credit unions.
- Economic downturn in the local market.
- Regulatory changes.
- Cybersecurity risks.
What Are MCHN's Competitive Advantages?
- Strong local presence and brand recognition in the McHenry area.
- Established relationships with local businesses and residents.
- Personalized customer service that differentiates it from larger banks.
- Deep understanding of the local market and its unique needs.
What Does MCHN Do?
Founded in 1955 and based in McHenry, Illinois, McHenry Bancorp, Inc. functions as the holding company for Mchenry Savings Bank. The bank provides a comprehensive suite of banking products and services tailored to individuals and businesses within its community. These offerings include a variety of personal accounts such as checking, savings, health savings accounts, and personal online accounts, alongside business and commercial accounts designed to meet the specific needs of local enterprises. The bank also provides EZdeposits, personal and commercial CDs and savings, money market products, and sweep accounts. McHenry Savings Bank extends credit through home equity, consumer, commercial, and construction loans, as well as lines of credit and mortgages. This broad lending portfolio supports both individual consumers and commercial clients, fostering local economic growth. Complementing its lending and deposit services, McHenry Savings Bank offers investment services, mobile banking, fund management, deposit ATM, safe deposit box, teller, check imaging and ordering, direct depositing, and ATM/debit and commercial card services. McHenry Bancorp's strategy emphasizes personalized customer service and community involvement, distinguishing it from larger national banks. The bank's commitment to its local market is reflected in its tailored product offerings and its focus on building long-term relationships with its customers. While the company operates primarily within the Illinois region, its stability and consistent performance have allowed it to maintain a steady presence in a competitive banking landscape.
What Products and Services Does MCHN Offer?
- Offers personal banking accounts including checking, savings, and health savings accounts.
- Provides business and commercial accounts tailored to local enterprises.
- Extends credit through home equity, consumer, commercial, and construction loans.
- Offers mortgage products for residential and commercial properties.
- Provides investment services to help customers manage their wealth.
- Offers mobile banking and online banking platforms for convenient access to accounts.
- Provides fund management services to individuals and businesses.
- Offers ATM and debit card services for easy access to funds.
How Does MCHN Make Money?
- Generates revenue through interest income from loans.
- Earns fees from deposit accounts and other banking services.
- Manages risk by diversifying its loan portfolio and maintaining adequate capital reserves.
- Focuses on building long-term relationships with customers to foster loyalty.
What Industry Does MCHN Operate In?
McHenry Bancorp, Inc. operates within the regional banking sector, which is characterized by intense competition from larger national banks, credit unions, and fintech companies. The industry is currently navigating a period of evolving customer expectations, driven by technological advancements and increasing demand for digital banking solutions. Regional banks like McHenry Bancorp must adapt to these trends by investing in technology and enhancing their online service offerings to remain competitive. The market is also influenced by regulatory changes and interest rate fluctuations, which impact profitability and lending activity. Despite these challenges, community banks play a vital role in supporting local economies by providing tailored financial services to individuals and small businesses.
Who Are MCHN's Key Customers?
- Individuals seeking personal banking services.
- Small businesses requiring commercial banking solutions.
- Real estate developers needing construction loans.
- Homebuyers looking for mortgage financing.
- Investors seeking wealth management services.
How McHenry Bancorp, Inc. Is Valued
McHenry Bancorp, Inc. carries a market capitalization of $17.70M, placing it in the micro-cap category. Relative to its peer group, MCHN's quantitative score of 49/100 is roughly in line with the peer average of 48/100.
ROE 7%Key Financial Metrics
Return on equity for McHenry Bancorp, Inc. stands at 6.9%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is 0.5%, showing how much profit it generates from its asset base. MCHN trades at a trailing price-to-earnings ratio of 9.76, below the Financial Services sector average of ~18x. Its free cash flow yield is 13.9%, a gauge of the cash the business throws off relative to its market value. A current ratio of 0.13 means current liabilities exceed short-term assets, a liquidity point worth watching. Its earnings yield is 10.2%, the inverse of the P/E and a quick read on earnings relative to price.
MCHN Financials
Fundamental Snapshot
Based on FMP financials and quantitative analysis
Bull Case vs Bear Case
Bull Case
- Recent insider buying suggests confidence in the company's future, indicating that those closest to the business believe in its potential.
- Community sentiment has been increasingly positive, with discussions highlighting McHenry's solid community presence and customer loyalty.
- Analysts are noting improvements in operational efficiency, which could lead to better profit margins and overall financial health.
- The local banking sector is experiencing growth, and McHenry is well-positioned to capitalize on this trend, appealing to both customers and investors.
Bear Case
- Some recent reports indicate concerns over rising competition in the regional banking sector, which may pressure McHenry's market share.
- There have been discussions around potential regulatory changes that could impact profitability for smaller banks like McHenry.
- Community sentiment has also seen some skepticism, with a segment of investors questioning the sustainability of recent growth trends.
- Market perception remains cautious due to broader economic uncertainties, which could affect consumer spending and lending activity.
AI-generated arguments based on insider flow, news sentiment and technicals — not financial advice · March 2026
MCHN Latest News
No recent news available for MCHN.
MCHN Analyst Consensus
Consensus Rating
Aggregated Buy/Hold/Sell recommendations from Benzinga, Yahoo Finance, and Finnhub for MCHN.
Price Targets
Wall Street price target analysis for MCHN.
MCHN MoonshotScore
What does this score mean?
The MoonshotScore rates MCHN's growth potential on a scale of 0-100 across multiple factors including innovation, market disruption, financial health, and momentum.
Leadership: Donald H. Wilson
Unknown
Information on Donald H. Wilson's background is not available in the provided data. Further research would be needed to provide details on his career history, education, and previous roles.
Track Record: Information on Donald H. Wilson's track record is not available in the provided data. Further research would be needed to provide details on his key achievements, strategic decisions, and company milestones under his leadership.
MCHN OTC Market Information
The OTC Other tier represents the lowest tier of the OTC market, encompassing stocks that may not meet the minimum financial standards or have chosen not to comply with the reporting requirements of higher tiers like OTCQX or OTCQB. Companies in this tier may be newly formed, distressed, or have limited operating history. Investing in OTC Other stocks carries a higher degree of risk due to the lack of regulatory oversight and potential for fraud or manipulation. These securities are often more speculative and may not provide reliable financial information.
- OTC Tier: OTC Other
- Disclosure Status: Unknown
- Limited liquidity due to low trading volume.
- Lack of regulatory oversight and transparency.
- Potential for price manipulation.
- Higher volatility compared to exchange-listed stocks.
- Limited financial information available.
- Verify the company's registration and legal standing.
- Review available financial statements and disclosures.
- Assess the company's business model and competitive position.
- Evaluate the management team's experience and track record.
- Understand the risks associated with the company's industry and operations.
- Monitor trading volume and price activity.
- Consult with a qualified financial advisor.
- Established history of operations since 1955.
- Focus on community banking and local relationships.
- Positive profit margin of 14.7%.
- Operation as a holding company for a savings bank.
- Existence of a physical headquarters in McHenry, Illinois.
MCHN Financial Services Stock FAQ
What does McHenry Bancorp, Inc. do?
McHenry Bancorp, Inc. operates as the holding company for Mchenry Savings Bank, providing a range of banking products and services to individuals and businesses in the McHenry, Illinois area. These services include personal and commercial accounts, loans, mortgages, and investment services. The bank focuses on building long-term relationships with its customers and supporting the local community through its lending and deposit activities. McHenry Bancorp's business model centers around traditional community banking principles, emphasizing personalized service and local market expertise.
What do analysts say about MCHN stock?
As of 2026-03-16, there is no available analyst coverage for McHenry Bancorp, Inc. (MCHN). Given its small market capitalization of $17.70M and OTC listing, the stock may not attract significant attention from major research firms. Investors should conduct their own due diligence and consider the company's fundamentals, growth prospects, and risk factors before making any investment decisions. The P/E ratio of 9.76 and profit margin of 14.7% may warrant further investigation.
What are the main risks for MCHN?
McHenry Bancorp, Inc. faces several risks, including competition from larger banks and credit unions, economic downturns in the local market, regulatory changes, and cybersecurity threats. As an OTC-listed company, MCHN also faces risks related to limited liquidity, lack of regulatory oversight, and potential for price manipulation. The company's dependence on the local economy makes it vulnerable to regional economic conditions. Investors should carefully consider these risks before investing in MCHN.
What are the key factors to evaluate for MCHN?
McHenry Bancorp, Inc. (MCHN) holds an AI score of 49/100 (low). Not financial advice.
How frequently does MCHN data refresh on this page?
MCHN prices update in real time during U.S. market hours. Fundamentals refresh after quarterly filings; analyst ratings and AI insights update daily; news is aggregated continuously.
What has driven MCHN's recent stock price performance?
McHenry Bancorp, Inc. (MCHN) moves on earnings results, analyst revisions, sector rotation, and market sentiment. Notable catalyst: Strong local presence and brand recognition. See the News tab for the latest drivers. Past performance does not predict future results.
Should investors consider MCHN overvalued or undervalued right now?
Valuing McHenry Bancorp, Inc. (MCHN) requires multiple metrics. Compare P/E, P/S, and EV/EBITDA against sector peers for a full view.
What research should beginners do before buying MCHN?
Before investing in McHenry Bancorp, Inc. (MCHN), research these four areas: (1) the company's revenue model and competitive position (see Company Overview), (2) financial health through revenue growth, margins, and cash flow (see MoonshotScore), (3) what Wall Street analysts recommend and their price targets (see Analyst tab), and (4) specific risk factors that could impact the stock (see Risk Factors section).
Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.
Official Resources
Data provided for informational purposes only.
- Limited information available for CEO profile and track record.
- OTC analysis based on general understanding of OTC markets due to limited company-specific data.