ALRS Stock Analysis: Alerus Financial | NASDAQ
Banks - Regional | NASDAQ, USA | Market Cap: 782m USD | 12M Return: 43.4% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 7.11M
EPS Trend: 60.1%
Qual. Beats: 2
Rev. Trend: 85.4%
Qual. Beats: 0
Warnings
No concerns identified
Tailwinds
Seasonality 10.5 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Alerus Financial Corporation (NASDAQ: ALRS) is a Grand Forks, North Dakota-based bank holding company founded in 1879, operating through Alerus Financial, National Association. It serves both businesses and consumers across the United States through three core segments: Banking, Retirement and Benefit Services, and Wealth. Its banking offerings span deposits (checking, savings, money market, and CDs), treasury management, commercial and consumer loans, mortgages, and digital banking channels. The Retirement and Benefit Services segment provides plan administration, HSAs, ESOPs, and COBRA recordkeeping, while the Wealth segment delivers investment advisory, trust, estate, and custody services. As a diversified financial services firm, Alerus combines traditional spread-based banking with fee-generating retirement administration and asset management, a structure that helps offset interest rate volatility with more stable recurring service revenues. The company, formerly First National Bank North Dakota, adopted its current name in 2000 and trades as a small-cap stock with a market capitalization of approximately $752 million.
- Net interest margin compresses as Fed cuts rates
- Retirement and Benefit Services segment drives fee income growth
- Commercial real estate loan portfolio faces credit quality headwinds
| Net Income: 27.1m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.02 > 0.02 and ΔFCF/TA 1.42 > 1.0 |
| NWC/Revenue: -15.35% < 20% (prev -1.14k%; Δ 1.12k% < -1%) |
| CFO/TA 0.02 > 3% & CFO 87.6m > Net Income 27.1m |
| Net Debt (215.6m) to EBITDA (54.5m): 3.95 < 3 |
| Current Ratio: 0.75 > 1.5 & < 3 |
| Outstanding Shares: last quarter (25.4m) vs 12m ago -0.99% < -2% |
| Gross Margin: 70.65% > 18% (prev 61.98%; Δ 8.67% > 0.5%) |
| Asset Turnover: 6.22% > 50% (prev 6.59%; Δ -0.37% > 0%) |
| Interest Coverage Ratio: 0.35 > 6 (EBIT TTM 35.3m / Interest Expense TTM 102.2m) |
| A: -0.01 (Total Current Assets 149.3m - Total Current Liabilities 200.0m) / Total Assets 5.29b |
| B: 0.05 (Retained Earnings 287.7m / Total Assets 5.29b) |
| C: 0.01 (EBIT TTM 35.3m / Avg Total Assets 5.31b) |
| D: 0.12 (Book Value of Equity 574.7m / Total Liabilities 4.71b) |
| Altman-Z'' = 0.29 = B |
| DSRI: 1.06 (Receivables 20.5m/20.5m, Revenue 330.4m/351.8m) |
| GMI: 0.88 (GM 61.98% / 70.65%) |
| AQI: 1.11 (AQ_t 0.96 / AQ_t-1 0.86) |
| SGI: 0.94 (Revenue 330.4m / 351.8m) |
| TATA: -0.01 (NI 27.1m - CFO 87.6m) / TA 5.29b) |
| Beneish M = -3.07 (Cap -4..+1) = AA |
As of July 08, 2026, the stock is trading at USD 31.04 with a total of 220,955 shares traded. Over the past week, the price has changed by +0.03%, over one month by +7.44%, over three months by +28.34% and over the past year by +43.41%.
Current recommended Stop Loss: 30.10 (which is 3% or 1.4 ATR below the current price).
Alerus Financial has received a consensus analysts rating of 3.60. Therefore, it is recommended to hold ALRS.
- StrongBuy: 1
- Buy: 1
- Hold: 3
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 29.8 | -4.2% |
P/E Trailing = 29.6286
P/S = 3.305
P/B = 1.3808
Revenue TTM = 330.4m USD
EBIT TTM = 35.3m USD
EBITDA TTM = 54.5m USD
Long Term Debt = 59.2m USD (from longTermDebt, last quarter)
Short Term Debt = 200.0m USD (from shortTermDebt, last quarter)
Debt = 344.4m USD (from shortLongTermDebtTotal, last quarter) + Leases 42.6m
Net Debt = 215.6m USD (calculated: Debt 344.4m - CCE 128.8m)
Enterprise Value = 997.3m USD (781.8m + Debt 344.4m - CCE 128.8m)
Interest Coverage Ratio = 0.35 (Ebit TTM 35.3m / Interest Expense TTM 102.2m)
EV/FCF = 11.52x (Enterprise Value 997.3m / FCF TTM 86.6m)
FCF Yield = 8.68% (FCF TTM 86.6m / Enterprise Value 997.3m)
FCF Margin = 26.21% (FCF TTM 86.6m / Revenue TTM 330.4m)
Net Margin = 8.20% (Net Income TTM 27.1m / Revenue TTM 330.4m)
Gross Margin = 70.65% ((Revenue TTM 330.4m - Cost of Revenue TTM 97.0m) / Revenue TTM)
Gross Margin QoQ = 82.44% (prev 22.85%)
Tobins Q-Ratio = 0.19 (Enterprise Value 997.3m / Total Assets 5.29b)
Interest Expense / Debt = 29.67% (Interest Expense 102.2m / Debt 344.4m)
Taxrate = 23.20% (8.19m / 35.3m)
NOPAT = 27.1m (EBIT 35.3m * (1 - 23.20%))
Current Ratio = 0.75 (Total Current Assets 149.3m / Total Current Liabilities 200.0m)
Debt / Equity = 0.60 (Debt 344.4m / totalStockholderEquity, last quarter 574.7m)
Debt / EBITDA = 3.95 (Net Debt 215.6m / EBITDA 54.5m)
Debt / FCF = 2.49 (Net Debt 215.6m / FCF TTM 86.6m)
Total Stockholder Equity = 555.9m (last 4 quarters mean from totalStockholderEquity)
RoA = 0.51% (Net Income 27.1m / Total Assets 5.29b)
RoE = 4.87% (Net Income TTM 27.1m / Total Stockholder Equity 555.9m)
RoCE = 5.74% (EBIT 35.3m / Capital Employed (Equity 555.9m + L.T.Debt 59.2m))
RoIC = 0.51% (NOPAT 27.1m / Invested Capital 5.27b)
WACC = 13.19% (E(781.8m)/V(1.13b) * Re(8.96%) + D(344.4m)/V(1.13b) * Rd(29.67%) * (1-Tc(0.23)))
Discount Rate = 8.96% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 65.93 | Cagr: 11.21%
[DCF] Terminal Value 63.96% ; FCFF base≈56.5m ; Y1≈64.8m ; Y5≈95.4m
[DCF] Fair Price = 22.06 (EV 769.8m - Net Debt 215.6m = Equity 554.2m / Shares 25.1m; r=13.19% [WACC]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 60.06 | EPS CAGR: 22.45% | SUE: 2.15 | # QB: 2
Revenue Correlation: 85.41 | Revenue CAGR: 17.47% | SUE: 0.71 | # QB: 0
EPS current Quarter (2026-06-30): EPS=0.76 | Chg30d=+0.00% | Revisions=+57% | Analysts=1
EPS next Quarter (2026-09-30): EPS=0.66 | Chg30d=+0.00% | Revisions=-25% | Analysts=1
EPS current Year (2026-12-31): EPS=2.98 | Chg30d=+0.00% | Revisions=+57% | GrowthEPS=+7.2% | GrowthRev=+4.7%
EPS next Year (2027-12-31): EPS=2.69 | Chg30d=+0.00% | Revisions=+0% | GrowthEPS=-9.7% | GrowthRev=+2.8%