OFG Bancorp Reports Q4 EPS of $1.27, Beating Estimates
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 22 2026
0mins
Source: seekingalpha
- Strong Earnings Performance: OFG Bancorp reported a Q4 GAAP EPS of $1.27, exceeding estimates by $0.12, indicating a sustained enhancement in profitability that is likely to positively impact the stock price.
- Stable Revenue Growth: The company achieved revenues of $185.4 million in Q4, reflecting a 1.9% year-over-year increase and beating market expectations by $1.23 million, demonstrating its ability to maintain stable revenue growth in a competitive market.
- Improved Return Metrics: OFG's return on average assets stood at 1.81%, with a net interest margin of 5.12%, showcasing effective strategies in asset management and profitability that may attract more investor interest.
- Increased Credit Loss Provisions: The total provision for credit losses in Q4 was $31.9 million, up from $28.3 million in Q3, primarily due to increased loan volume and specific reserve needs, reflecting the company's cautious approach to potential risks.
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Analyst Views on OFG
Wall Street analysts forecast OFG stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for OFG is 47.00 USD with a low forecast of 43.00 USD and a high forecast of 50.00 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.
3 Analyst Rating
2 Buy
1 Hold
0 Sell
Moderate Buy
Current: 37.730
Low
43.00
Averages
47.00
High
50.00
Current: 37.730
Low
43.00
Averages
47.00
High
50.00
About OFG
OFG Bancorp is a financial holding company. The Company is engaged in providing banking and financial services through its subsidiaries. The Company operates through three segments: Banking, Wealth Management and Treasury. The Company provides banking and financial services to its clients through a range of banking and financial solutions, including commercial, consumer, auto, and mortgage lending; checking and savings accounts; financial planning, insurance, financial service, and investment brokerage, and corporate and individual trust and retirement services. The Company provides these services through various subsidiaries, including a commercial bank, Oriental Bank; a securities broker-dealer, Oriental Financial Services Corp. (Oriental Financial Services); an insurance agency, Oriental Insurance, LLC (Oriental Insurance), and a retirement plan administrator, Oriental Pension Consultants, Inc. (OPC).
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.
OFG Bancorp Reports 17% EPS Growth in Q4 2025 Amid Strategic Digital Initiatives
- Earnings Growth: OFG Bancorp reported a 17% year-over-year increase in diluted earnings per share to $1.27 for Q4 2025, driven by a 2% growth in core revenues to $185 million, reflecting disciplined operations and favorable tax benefits.
- Digital Strategy Progress: The launch of an omnichannel platform and intelligent banking model signifies a major advancement in the company's 'Digital First' strategy, which is expected to further drive customer growth and business transformation.
- Capital Return Plan: The company repurchased $40 million of common shares in Q4, demonstrating robust business activity in Puerto Rico and a continued focus on capital return, which is anticipated to enhance shareholder confidence.
- Expense Control and Outlook: Projected noninterest expenses for 2026 are expected to range between $380 million and $385 million, with management emphasizing ongoing focus on expense control and technology investments to achieve long-term efficiency gains and sustainable growth.
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OFG Bancorp (OFG) Q4 2025 Earnings Call Transcript
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