ConnectOne Bancorp (NASDAQ:CNOB) Posts Earnings Results, Beats Expectations By $0.02 EPS

ConnectOne Bancorp (NASDAQ:CNOB) issued its quarterly earnings data on Thursday. The financial services provider reported $0.84 EPS for the quarter, topping the consensus estimate of $0.82 by $0.02, Zacks reports. ConnectOne Bancorp had a net margin of 13.21% and a return on equity of 10.17%. The firm had revenue of $121.57 million for the quarter, compared to analyst estimates of $121.55 million.

Here are the key takeaways from ConnectOne Bancorp’s conference call:

• Earnings and profitability accelerated in Q2, with net income available to common rising to $40.2 million, or $0.80 per share, and operating PPNR improving to 1.94% from 1.81% last quarter.
• Net interest margin expanded for the seventh straight quarter to 3.42%, helped by loan repricing; management said the trend should continue through 2026 and into 2027, even as deposit costs edge higher.
• Core growth remained solid, with loans growing at a mid-single-digit annualized pace and client deposits up 8% annualized, including 20% annualized growth in non-interest-bearing demand deposits.
• Credit costs were impacted by one large rent-stabilized multifamily relationship, which led to a $13.8 million charge-off, a $8.3 million total provision for loan losses, and higher non-performing assets at 0.55% of total assets.
• Capital management remains active, with tangible book value per share up 3.1% sequentially to $24.66, 90,000 shares repurchased year-to-date, and the board maintaining the quarterly dividend at $0.195 per share while considering future preferred share actions.

ConnectOne Bancorp Stock Performance

CNOB traded up $0.21 on Friday, reaching $31.61. The company had a trading volume of 20,172 shares, compared to its average volume of 366,233. The company has a quick ratio of 0.97, a current ratio of 0.97 and a debt-to-equity ratio of 0.14. ConnectOne Bancorp has a 1 year low of $22.07 and a 1 year high of $34.14. The stock has a market capitalization of $1.59 billion, a PE ratio of 18.29 and a beta of 1.05. The stock has a 50-day moving average price of $31.74 and a 200-day moving average price of $28.99.

ConnectOne Bancorp Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Tuesday, September 1st. Stockholders of record on Friday, August 14th will be issued a $0.195 dividend. The ex-dividend date is Friday, August 14th. This represents a $0.78 annualized dividend and a dividend yield of 2.5%. ConnectOne Bancorp’s dividend payout ratio is presently 45.09%.

Institutional Trading of ConnectOne Bancorp

Several institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Wellington Management Group LLP raised its stake in shares of ConnectOne Bancorp by 76.8% during the third quarter. Wellington Management Group LLP now owns 2,882,584 shares of the financial services provider’s stock worth $71,517,000 after purchasing an additional 1,252,614 shares during the last quarter. Charles Schwab Investment Management Inc. lifted its holdings in ConnectOne Bancorp by 0.7% in the fourth quarter. Charles Schwab Investment Management Inc. now owns 415,844 shares of the financial services provider’s stock valued at $10,903,000 after acquiring an additional 2,946 shares during the period. Bridgeway Capital Management LLC lifted its holdings in ConnectOne Bancorp by 4.9% in the fourth quarter. Bridgeway Capital Management LLC now owns 336,710 shares of the financial services provider’s stock valued at $8,829,000 after acquiring an additional 15,771 shares during the period. Alliancebernstein L.P. grew its stake in shares of ConnectOne Bancorp by 1.2% during the 3rd quarter. Alliancebernstein L.P. now owns 262,100 shares of the financial services provider’s stock worth $6,503,000 after purchasing an additional 3,000 shares during the period. Finally, Empowered Funds LLC grew its stake in shares of ConnectOne Bancorp by 8.0% during the 4th quarter. Empowered Funds LLC now owns 212,496 shares of the financial services provider’s stock worth $5,572,000 after purchasing an additional 15,771 shares during the period. 67.70% of the stock is owned by hedge funds and other institutional investors.

Analyst Ratings Changes

Several research analysts have recently commented on CNOB shares. Hovde Group raised their price target on ConnectOne Bancorp from $32.00 to $34.00 and gave the stock an “outperform” rating in a research report on Friday, April 24th. Raymond James Financial reiterated a “market perform” rating on shares of ConnectOne Bancorp in a report on Wednesday, July 1st. Keefe, Bruyette & Woods raised their target price on ConnectOne Bancorp from $32.00 to $34.00 and gave the company an “outperform” rating in a report on Friday, April 24th. Weiss Ratings raised ConnectOne Bancorp from a “buy (b-)” rating to a “buy (b)” rating in a research report on Wednesday, May 20th. Finally, Piper Sandler boosted their price target on shares of ConnectOne Bancorp from $34.00 to $38.00 and gave the stock an “overweight” rating in a research note on Friday, June 26th. Four research analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company’s stock. Based on data from MarketBeat, ConnectOne Bancorp has an average rating of “Moderate Buy” and an average price target of $35.00.

Key Headlines Impacting ConnectOne Bancorp

Here are the key news stories impacting ConnectOne Bancorp this week:

• Positive Sentiment: ConnectOne Bancorp reported Q2 2026 EPS of $0.84, topping consensus estimates, while revenue of $121.57 million was also slightly ahead of expectations. ConnectOne Bancorp, Inc. Reports Second Quarter 2026 Results
• Positive Sentiment: The company said operating performance improved, with sequential loan growth of 5%, core deposit growth of 8%, and an annualized net interest margin widening to 3.42%, all signs of healthier core banking trends. ConnectOne Bancorp, Inc. Reports Second Quarter 2026 Results
• Positive Sentiment: ConnectOne declared a quarterly dividend of $0.195 per share, reinforcing capital return to shareholders and yielding about 2.5% on an annualized basis. ConnectOne Bancorp, Inc. Reports Second Quarter 2026 Results
• Neutral Sentiment: Analysts and market recaps focused on the earnings beat and key operating metrics, but the overall move may be tempered because the results were only modestly above expectations. ConnectOne Bancorp Inc (CNOB) Q2 2026 Earnings Call Highlights: Strong Revenue Growth Amid Loan …
• Neutral Sentiment: The company also declared a dividend on its 5.25% perpetual preferred stock, which is routine income-related news rather than a major stock-price driver. ConnectOne Bancorp, Inc. 5.25 DP RT PFD A declares $0.3281 dividend

About ConnectOne Bancorp

ConnectOne Bancorp is a New Jersey‐based bank holding company whose primary subsidiary, ConnectOne Bank, offers a suite of commercial banking services to small and medium‐sized businesses, professionals and individuals. Established in 2005 and headquartered in Englewood Cliffs, New Jersey, the company seeks to deliver customized lending and deposit solutions through a network of branches across northern New Jersey and the New York metropolitan area.

The company’s lending portfolio centers on commercial real estate financing, construction lending, owner‐occupied real estate loans and working capital lines of credit.