ConnectOne Bancorp Inc
NASDAQ:CNOB
ConnectOne Bancorp Inc
ConnectOne Bancorp, Inc. is a holding company, which engages in the provision of financial services. The company is headquartered in Englewood Cliffs, New Jersey and currently employs 434 full-time employees. The Bank is a New Jersey-chartered commercial bank that offers a range of deposit and loan products and services to the general public primarily, to small and mid-sized businesses, local professionals and individuals residing, working and conducting business in the Northern New Jersey, the New York Metropolitan area and the South Florida market. Its products and services include personal and business checking accounts, retirement accounts, money market accounts, time and savings accounts, credit cards, wire transfers, access to automated teller services, Internet banking, treasury direct, automated clearing house (ACH) origination, and mobile banking by phone. In addition, it offers safe deposit boxes. The Bank, through its subsidiary, BoeFly, LLC, provides a fintech marketplace that connects borrowers in the franchise space with funding solutions through a network of partner banks.
ConnectOne Bancorp, Inc. is a holding company, which engages in the provision of financial services. The company is headquartered in Englewood Cliffs, New Jersey and currently employs 434 full-time employees. The Bank is a New Jersey-chartered commercial bank that offers a range of deposit and loan products and services to the general public primarily, to small and mid-sized businesses, local professionals and individuals residing, working and conducting business in the Northern New Jersey, the New York Metropolitan area and the South Florida market. Its products and services include personal and business checking accounts, retirement accounts, money market accounts, time and savings accounts, credit cards, wire transfers, access to automated teller services, Internet banking, treasury direct, automated clearing house (ACH) origination, and mobile banking by phone. In addition, it offers safe deposit boxes. The Bank, through its subsidiary, BoeFly, LLC, provides a fintech marketplace that connects borrowers in the franchise space with funding solutions through a network of partner banks.
Strong Profitability: ConnectOne closed 2025 with robust core earnings and margin expansion, delivering an 18.6% sequential increase in operating earnings and strong returns on assets and equity.
Deposit & Loan Growth: Client deposits and loans both increased by about 5% annualized in the second half of 2025, with a notable improvement in the quality of deposits and a reduced reliance on brokered deposits.
Margin Expansion: Net interest margin widened significantly, with management guiding for further expansion in 2026, expecting a margin in the 3.35% to 3.40% range by year-end.
Expense Discipline: Operating expenses are projected to rise by 4% over the course of 2026, with branch closures and staff optimization contributing to further efficiencies.
Capital & M&A: Tangible common equity ratio rose to 8.62% and is nearing the 9% target, providing flexibility for potential dividend increases, share buybacks, and further M&A.
Asset Quality: Asset quality remains strong, with a slight uptick in nonperforming assets explained by one multifamily loan, but levels are expected to remain stable.
Guidance Updates: Loan growth is now expected to be more modest, in the 3% to 5% range for 2026; margin expansion will be supported by Fed rate cuts and loan repricing, though competition is tempering growth outlook.
