Net Interest Margin Reaches 2.51% in Q4 2025
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 20 2026
0mins
Net interest margin was 2.51% for the fourth quarter of 2025, an increase of 4 basis points compared to 2.47% in the third quarter of 2025 and an increase of 24 basis points compared to 2.27% in the fourth quarter of 2024. The increases from both comparable periods was driven primarily by a decrease in the average rate paid on interest-bearing deposits, consistent with the decrease in the federal funds rate in each period, which outpaced the decrease in the yield earned on interest-earning assets. "In our first year as a public company, we delivered robust balance sheet growth and consistent earnings, driven by sustained momentum and strengthened results across each of our key business lines," remarked Chuck Williams, Chairman and CEO. "Our improved financial performance was anchored by the success of the Mortgage Purchase Program business, where we increased balances by $1.7 billion over the prior year and grew total loans funded to $36.9 billion for 2025. In the residential lending channel, mortgage originations increased by 18% year-over-year, and all-in-one loan balances increased by 20% compared with 2024."
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy NPB?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on NPB
Wall Street analysts forecast NPB stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for NPB is 20.50 USD with a low forecast of 20.00 USD and a high forecast of 21.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
2 Analyst Rating
2 Buy
0 Hold
0 Sell
Moderate Buy
Current: 17.520
Low
20.00
Averages
20.50
High
21.00
Current: 17.520
Low
20.00
Averages
20.50
High
21.00
About NPB
Northpointe Bancshares, Inc. is the holding company of Northpointe Bank, a client-focused company that provides home loans and retail banking products to communities across the nation. Its segments include Retail Banking and MPP. The MPP segment provides a collateralized mortgage purchase facility marketed to independent mortgage bankers nationwide. The Retail Banking segment provides a range of financial products and services to consumers nationwide. These include residential mortgages, all-in-one (AIO) equity loans, other consumer loans, and loan servicing, as well as various types of deposit products, including checking, savings and time deposit accounts. Its residential lending business provides a comprehensive range of financing options nationwide through two main channels: consumer direct and traditional retail. These channels combine the convenience of online, self-service platforms with the personalized service of an experienced residential mortgage loan officer.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Northpointe Bancshares (NPB) Q4 2025 Assets Surge to $7 Billion
- Significant Asset Growth: Northpointe Bancshares has increased its total assets from $5.2 billion to over $7 billion since its IPO, primarily driven by strong performance in its Mortgage Purchase Program (MPP), showcasing the company's expansion capabilities in the market.
- Enhanced Profitability: Earnings per diluted share rose 15% to $2.11 in 2025, reflecting sustained growth across key business lines and robust financial performance, which bolsters investor confidence in future results.
- Strong Mortgage Business: Residential mortgage originations increased by 20% to $2.5 billion in 2025, with MPP balances up over $1.7 billion year-over-year, indicating the company's competitiveness and market share growth in the mortgage sector.
- Optimistic Outlook: The net interest margin is projected to range between 2.45% and 2.55% in 2026, with MPP loan balances expected to reach between $4.1 billion and $4.3 billion, demonstrating the company's confidence in future growth and effective strategic planning.
Continue Reading
Northpointe Bancshares Q4 Earnings Miss Expectations with $0.52 EPS
- Disappointing Earnings: Northpointe Bancshares, Inc. reported a GAAP EPS of $0.52 for Q4, missing expectations by $0.11, indicating pressure on profitability that may affect investor confidence.
- Revenue Shortfall: The company's Q4 revenue of $65.14 million fell short of expectations by $0.14 million, reflecting weak market demand that could lead to a slowdown in future growth.
- Increased Valuation Appeal: Despite the earnings miss, Seeking Alpha's Quant Rating indicates that Northpointe Bancshares' valuation has become more compelling, potentially attracting value investors' interest.
- Historical Financial Data: Analysis of the company's historical financial data shows that while the current quarter's performance is disappointing, long-term trends should be monitored to assess its future financial health.
Continue Reading