Magyar Bancorp, Inc. (NASDAQ:MGYR) Posts Momentum, Poised For Measured Near-Term Gains

Modestly bullish technical momentum meets a conservative fundamental profile: the company shows short-term upside potential while core earnings and cash-flow metrics point to steady, not explosive, valuation support.

Recent News

On May 7, 2026 Magyar Bancorp announced inclusion on KBW’s 2026 Bank Honor Roll for consistent long-term earnings growth. The KBW list publication followed KBW’s April announcement naming 17 banks to the 2026 Honor Roll, which included Magyar Bancorp.

Technical Analysis

Directional indicators show bullish bias: DI+ registers 35.57 and trends higher while DI- sits at 23.71 and trends lower, a configuration that favors near-term upside momentum. ADX at 17.52 signals no established trend, implying moves may rely on momentum bursts rather than a sustained directional trend.

MACD reads 0.06 with a dip-and-reversal pattern and stands above its signal line (0.03), indicating a resumption of bullish momentum; that crossover supports the case for continued short-term upside if momentum sustains.

MRO sits positive at 16.37 with a peak-and-reversal characteristic; because the oscillator is positive, price sits above its target and faces a higher probability of pullback toward fair value, adding a moderating influence on momentum-driven gains.

RSI at 52.4 and rising confirms mild buying pressure without overbought extremes. Price (close $18.29) trades above the 20-day average ($17.58) and 200-day average ($17.28); the 12-day EMA shows a dip-and-reversal pattern aligned with MACD. Price slightly exceeds the upper 2x Bollinger band ($18.13), signaling short-term stretch that often precedes consolidation or a shallow retracement.

Volume today (12,778) runs well above the 10-day average (3,628) and the 200-day average (3,817), suggesting the recent move carries participation; higher-than-normal volume supports continuation of the momentum signal but raises sensitivity to follow-through or reversal on subsequent sessions.

 


Fundamental Analysis

WMDST values the stock as fair-valued. Price-to-book stands at 0.91, below the industry peer mean (1.12) and slightly below the industry peer median (0.998), reflecting a modest valuation discount versus peers. Price-to-sales at 11.23 sits essentially in line with the industry peer mean (11.33) and near the industry peer median (11.01), indicating revenue multiple parity with peers.

Profitability remains modest: return on assets equals 0.29% and return on equity equals 2.44%; return on assets falls marginally above the industry peer mean (0.27%). QoQ profitability shows contraction — ROA QoQ down 6.515% and ROE QoQ down 5.28% — while both ROA and ROE show positive YoY improvements of 8.712% and 4.007% respectively.

Top-line dynamics show mixed signals: revenue growth reads 4.37% on the presented metric but the YoY revenue growth figure shows a -50.69% comparison; QoQ revenue declined about -11.92%. Asset growth sits at 2.19% year-over-year while asset turnover remains low at 0.96% but aligns with the industry peer mean (approximately 1.00%).

Leverage and liquidity present conservative profiles: debt-to-assets equals 4.59%, below the industry peer mean of 9.74%, and debt-to-equity equals 0.395. Cash on the balance sheet totals $47,643,000 with operating cash flow of $3,232,000 and free cash flow of $2,903,000; free cash flow yield equals 2.56%, modestly below the industry peer mean (3.15%). Free cash flow yield declined QoQ by ~19.9% but improved YoY by ~20.85%.

Capital return metrics remain intact: dividend yield equals 0.55% with a payout ratio of 20.73% and dividend coverage near 4.82, showing the dividend remains covered by earnings under current conditions. Cost of debt measures ~8.52%, reflecting funding expense that compresses net interest margin pressure if interest income does not expand.

Brief valuation synthesis: fair-valued status reflects a mix of modest profitability, below-mean leverage, and near-peer revenue multiples. Valuation carries limited upside absent a sustained pick-up in revenue growth or a material expansion in free cash flow yield; conversely, balance-sheet strength reduces downside severity relative to more leveraged peers.

MOST-RECENT QUARTERLY REPORT
REPORT PERIOD ENDING: 2026-03-31
REPORT DATE: 2026-05-22
NEXT REPORT DATE: 2026-08-21
CASH FLOW  Begin Period Cash Flow $ 34.1 M
 Operating Cash Flow $ 3.2 M
 Capital Expenditures $ -329.00 K
 Change In Working Capital $ -67.00 K
 Dividends Paid $ -628.00 K
 Cash Flow Delta $ 13.5 M
 End Period Cash Flow $ 47.6 M
 
INCOME STATEMENT REVENUE
 Total Revenue $ 10.1 M
 Forward Revenue —
COSTS
 Cost Of Revenue —
 Depreciation $ 213.0 K
 Depreciation and Amortization $ 213.0 K
 Research and Development —
 Total Operating Expenses —
PROFITABILITY
 Gross Profit —
 EBITDA —
 EBIT —
 Operating Income —
 Interest Income $ 15.0 M
 Interest Expense $ 5.7 M
 Net Interest Income $ 9.2 M
 Income Before Tax $ 4.3 M
 Tax Provision $ 1.2 M
 Tax Rate 29.0 %
 Net Income $ 3.0 M
 Net Income From Continuing Operations $ 3.0 M
EARNINGS
 EPS Estimate —
 EPS Actual —
 EPS Difference —
 EPS Surprise —
 Forward EPS —
 
BALANCE SHEET ASSETS
 Total Assets $ 1.1 B
 Intangible Assets —
 Net Tangible Assets $ 124.2 M
 Total Current Assets —
 Cash and Short-Term Investments —
 Cash $ 47.6 M
 Net Receivables $ 5.9 M
 Inventory —
 Long-Term Investments —
LIABILITIES
 Accounts Payable $ 1.2 M
 Short-Term Debt —
 Total Current Liabilities —
 Net Debt $ 1.4 M
 Total Debt $ 49.1 M
 Total Liabilities $ 944.2 M
EQUITY
 Total Equity $ 124.2 M
 Retained Earnings $ 71.6 M
VALUATION & PER-SHARE METRICS EQUITY & PER-SHARE METRICS
 Book Value Per-Share $ 19.19
 Shares Outstanding 6.469 M
 Revenue Per-Share $ 1.56
VALUATION
 Market Capitalization $ 113.3 M
 Enterprise Value $ 162.4 M
 Enterprise Multiple —
Enterprise Multiple QoQ —
Enterprise Multiple YoY —
Enterprise Multiple IPRWA —
 EV/R 16.093
CAPITAL STRUCTURE
 Asset To Equity 8.605
 Asset To Liability 1.131
 Debt To Capital 0.283
 Debt To Assets 0.046
Debt To Assets QoQ -2.153 %
Debt To Assets YoY 38.283 %
Debt To Assets IPRWA high: 0.311
median: 0.101
mean: 0.097
MGYR: 0.046
low: 0.008
 Debt To Equity 0.395
Debt To Equity QoQ -1.938 %
Debt To Equity YoY 33.111 %
Debt To Equity IPRWA high: 2.929
mean: 0.837
MGYR: 0.395
median: 0.344
low: 0.07
PRICE-BASED VALUATION
 Price To Book (P/B) 0.913
Price To Book QoQ -3.223 %
Price To Book YoY -2.933 %
Price To Book IPRWA high: 2.252
mean: 1.118
median: 0.998
MGYR: 0.913
low: 0.488
 Price To Earnings (P/E) —
Price To Earnings QoQ —
Price To Earnings YoY —
Price To Earnings IPRWA —
 PE/G Ratio —
 Price To Sales (P/S) 11.231
Price To Sales QoQ -5.554 %
Price To Sales YoY -4.431 %
Price To Sales IPRWA high: 27.157
mean: 11.332
MGYR: 11.231
median: 11.008
low: 1.382
FORWARD MULTIPLES
Forward P/E —
Forward PE/G —
Forward P/S —
EFFICIENCY OPERATIONAL
 Operating Leverage —
ASSET & SALES
 Asset Turnover Ratio 0.01
Asset Turnover Ratio QoQ 1.058 %
Asset Turnover Ratio YoY 5.993 %
Asset Turnover Ratio IPRWA high: 0.017
mean: 0.01
median: 0.01
MGYR: 0.01
low: 0.001
 Receivables Turnover 1.759
Receivables Turnover Ratio QoQ 3.766 %
Receivables Turnover Ratio YoY 0.88 %
Receivables Turnover Ratio IPRWA high: 3.934
median: 2.178
mean: 2.104
MGYR: 1.759
low: 0.48
 Inventory Turnover —
Inventory Turnover Ratio QoQ —
Inventory Turnover Ratio YoY —
Inventory Turnover Ratio IPRWA —
 Days Sales Outstanding (DSO) 51.879
CASH CYCLE
 Cash Conversion Cycle Days (CCC) —
Cash Conversion Cycle Days QoQ —
Cash Conversion Cycle Days YoY —
Cash Conversion Cycle Days IPRWA —
CAPITAL DEPLOYMENT
 Cash Conversion Ratio —
 CapEx To Revenue -0.033
 CapEx To Depreciation -1.545
 
CAPITAL, LIQUIDITY & COVERAGE CAPITAL STRUCTURE
 Total Capital $ 173.2 M
 Net Invested Capital $ 173.2 M
 Invested Capital $ 173.2 M
 Net Tangible Assets $ 124.2 M
 Net Working Capital —
LIQUIDITY
 Cash Ratio —
 Current Ratio —
Current Ratio QoQ —
Current Ratio YoY —
Current Ratio IPRWA —
 Quick Ratio —
Quick Ratio QoQ —
Quick Ratio YoY —
Quick Ratio IPRWA —
COVERAGE & LEVERAGE
 Debt To EBITDA —
 Cost Of Debt 8.517 %
 Interest Coverage Ratio —
Interest Coverage Ratio QoQ —
Interest Coverage Ratio YoY —
Interest Coverage Ratio IPRWA —
 Operating Cash Flow Ratio —
TIMING / LIQUIDITY
 Days Payables Outstanding (DPO) —
DIVIDENDS
 Dividend Coverage Ratio 4.825
 Dividend Payout Ratio 0.207
 Dividend Rate $ 0.10
 Dividend Yield 0.006
PERFORMANCE GROWTH
 Asset Growth Rate 2.19 %
 Revenue Growth 4.367 %
Revenue Growth QoQ -11.92 %
Revenue Growth YoY -50.694 %
Revenue Growth IPRWA high: 17.724 %
MGYR: 4.367 %
mean: 0.985 %
median: 0.677 %
low: -18.037 %
 Earnings Growth —
Earnings Growth QoQ —
Earnings Growth YoY —
Earnings Growth IPRWA —
MARGINS
 Gross Margin —
Gross Margin QoQ —
Gross Margin YoY —
Gross Margin IPRWA —
 EBIT Margin —
EBIT Margin QoQ —
EBIT Margin YoY —
EBIT Margin IPRWA —
 Return On Sales (ROS) —
Return On Sales QoQ —
Return On Sales YoY —
Return On Sales IPRWA —
CASH FLOW
 Free Cash Flow (FCF) $ 2.9 M
 Free Cash Flow Yield 2.562 %
Free Cash Flow Yield QoQ -19.887 %
Free Cash Flow Yield YoY 20.849 %
Free Cash Flow Yield IPRWA high: 11.345 %
median: 3.439 %
mean: 3.154 %
MGYR: 2.562 %
low: -3.242 %
 Free Cash Growth -20.921 %
Free Cash Growth QoQ -166.651 %
Free Cash Growth YoY 107.818 %
Free Cash Growth IPRWA high: 223.01 %
MGYR: -20.921 %
median: -45.338 %
mean: -80.432 %
low: -365.339 %
 Free Cash To Net Income 0.958
 Cash Flow Margin 29.735 %
 Cash Flow To Earnings 0.99
VALUE & RETURNS
 Economic Value Added $ 0.05
 Return On Assets (ROA) 0.287 %
Return On Assets QoQ -6.515 %
Return On Assets YoY 8.712 %
Return On Assets IPRWA high: 0.624 %
MGYR: 0.287 %
mean: 0.27 %
median: 0.252 %
low: -0.225 %
 Return On Capital Employed (ROCE) —
 Return On Equity (ROE) 0.024
Return On Equity QoQ -5.28 %
Return On Equity YoY 4.007 %
Return On Equity IPRWA high: 0.045
median: 0.024
MGYR: 0.024
mean: 0.019
low: -0.037
 DuPont ROE 2.466 %
 Return On Invested Capital (ROIC) —
Return On Invested Capital QoQ —
Return On Invested Capital YoY —
Return On Invested Capital IPRWA —

Six-Week Outlook

Expect a consolidation phase with a mild bullish skew: momentum indicators (DI+ rising, MACD crossover) favor incremental gains, but a low ADX and a positive MRO that recently peaked temper the pace of advance. Near-term price action will likely revolve around current averages and the upper Bollinger threshold, with elevated volume episodes determining whether momentum extends or prompts a corrective pullback. Monitor earnings- and macro-driven headlines for catalysts; absent a new fundamental catalyst, price should trade in a relatively narrow band with occasional momentum-driven tests of the short-term upper range.

About Magyar Bancorp, Inc.

Magyar Bancorp, Inc. (NASDAQ:MGYR) serves as the holding company for Magyar Bank, delivering a range of consumer and commercial banking services across New Jersey. The company accepts a variety of deposit accounts, such as demand, savings, NOW, money market, and retirement accounts, alongside certificates of deposit. Magyar Bancorp extends its financial services to include one-to four-family residential mortgage loans, multi-family and commercial real estate mortgage loans, home equity loans, and lines of credit. Additionally, it provides commercial business loans, construction loans, and small business administration loans. Beyond traditional banking, the company offers non-deposit investment products and financial planning services. These services encompass insurance products, fixed and variable annuities, and retirement planning for both individual and commercial clients. Magyar Bancorp also engages in buying, selling, and holding investment securities. Established in 1922, the company maintains its headquarters in New Brunswick, New Jersey, continuing to support the financial needs of its community through a diverse portfolio of banking and investment solutions.



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