ChoiceOne Financial Services, Inc.
$30.52
-3.4%ChoiceOne Financial Services, Inc. operates as the bank holding company for ChoiceOne Bank that provides community banking services to corporations, partnerships, and individuals in Michigan. The company offers various deposit products, including time, savings, and demand deposits, safe deposit, and automated transaction machine services. It also provides commercial loans, such as business, industry, agricultural, construction, inventory, and real estate loans; and consumer loans comprising direct and indirect loans to consumers and purchasers of residential and real properties. In addition, the company offers safe deposit and automated transaction machine services; and alternative investment products, including annuities and mutual funds, as well as sells insurance policies, such as life and health for commercial and consumer clients. It operates 32 full-service offices in Kent, Muskegon, Newaygo, and Ottawa, Lapeer, Macomb, and St. Clair counties, Michigan. The company also operates three loan production offices. ChoiceOne Financial Services, Inc. was founded in 1898 and is headquartered in Sparta, Michigan.
At a Glance
Live SnapshotIntrinsic Alpha Methodology
Thesis Lenses
Signal
High confidenceValuation multiple is mid-range (P/E 15.1).
Valuation inputs: P/E 15.1, earnings yield +6.6%, momentum -3.4%.
If multiples stay elevated while momentum fades, downside repricing risk rises.
Driver
High confidenceReturn profile is soft (ROE +6.0%, ROIC +3.5%).
Profitability stack: net margin +14.6%, ROE +6.0%, ROIC +3.5%.
Quality deterioration often appears in margins before it shows up in headline EPS.
Risk
High confidenceDownside profile is elevated and scenario stress-testing is essential.
Risk factors: liabilities/assets +89.4%, momentum -3.4%, net margin +14.6%.
Higher leverage with weak momentum and thin margins can amplify drawdown severity.
ChoiceOne Financial Services, Inc. Market vs Earnings Trajectory
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ChoiceOne Financial Services, Inc. Fair Value Envelope
ChoiceOne Financial Services, Inc. Profit Bridge
Profitability Analysis
Gross Margin
Exceptional pricing power and cost management. The company retains over half of revenue after direct costs.
Operating Margin
Healthy operating margins demonstrate effective cost control and strong business fundamentals.
Net Profit Margin
Strong net margins indicate efficient operations and favorable tax/interest management.
Effective Tax Rate
Moderate tax rate typical for most corporations. Represents standard tax burden on profits.
Profitability Insight
High margin compression: Large gap between gross and net margins suggests operational inefficiencies or heavy debt burden. Focus on expense management and deleveraging.
ChoiceOne Financial Services, Inc. Cash Conversion Engine
Cash Flow Quality Analysis
FCF Conversion Rate
Strong cash conversion. Most reported earnings translate into actual cash flow, suggesting solid fundamentals.
CapEx Intensity
Moderate capital requirements typical of many stable businesses. Healthy balance between reinvestment and cash generation.
FCF Growth Trend
Significant FCF decline raises concerns. Urgent review needed of operational performance and capital allocation.
Working Capital Impact
Significant working capital drain. Growth may be consuming cash through inventory buildup or receivables extension—monitor closely.
Cash Flow Quality Insight
Working capital strain: Significant cash tied up in operations. Monitor receivables collection, inventory turns, and payment terms to optimize cash conversion cycle.
ChoiceOne Financial Services, Inc. Funding & Solvency Profile
Financial Health Analysis
Debt-to-Equity Ratio
High financial leverage. Heavy reliance on debt may indicate increased financial risk and potential solvency concerns.
Working Capital
Strong working capital position provides significant operational flexibility and financial cushion.
Asset Composition
Capital-intensive business with significant long-term investments in property, equipment, or intangibles.
ChoiceOne Financial Services, Inc. Street Expectations Map
Wall Street analysts project that COFS stock may rise significantly over the coming 12 months. The consensus 1-year price target stands at 34.00, with estimates ranging from a low of 34.00 to a high of 34.00.
The consensus 1-year price target stands at 34.00, with estimates ranging from a low of 34.00 to a high of 34.00.
Analyst Consensus Analysis
Upside Potential
Moderate upside. Analysts expect positive returns but with limited margin of safety. Consider entry timing.
Analyst Agreement
High analyst agreement. Narrow target range indicates strong consensus on valuation, suggesting clear investment thesis and predictable outlook.
Analyst Conviction
Positive outlook with reasonable agreement. Analysts generally optimistic about prospects with manageable uncertainty.
Market Sentiment Insight
Monitor and evaluate: Current analyst consensus suggests limited conviction or near-term catalysts. Stay informed on company developments and reassess positioning as new information emerges.
ChoiceOne Financial Services, Inc. Insider Positioning
During the last 12 months, insiders have purchased $551K and sold $559K worth of COFS shares, resulting in $8K of net selling activity.
3 Months
6.5K
180.54K
0
0.00
+181K
+$181K
3-6 Months
2.3K
65.30K
15.0K
443.40K
-378K
-$378K
6-9 Months
10.6K
305.05K
0
0.00
+305K
+$305K
9-12 Months
0
0.00
4.0K
115.62K
-116K
-$116K
Top Buyers
Burrough Eric E
Director
$297K
Mcconnell Gregory A
Director
$65K
Mcginnis Bradley F.
Director
$46K
Burns Harold J
Director
$17K
Armock Greg L.
Director
$17K
Top Sellers
Petty Brian P
Director
$443K
Krause Steven Theodore
Director
$116K
Insider Activity Analysis
Net Insider Sentiment
Slightly bearish with $8K net selling. Selling modestly exceeds buying, which could be routine diversification rather than concern.
Buy/Sell Ratio
Moderately negative ratio. Selling is roughly double the buying, which may be routine or signal caution.
Recent Trend (3 Months)
Very strong recent buying momentum. Recent insider purchases significantly outpace sales, suggesting near-term optimism.
Insider Participation
5 insider buyers vs. 2 sellers. Broad-based buying across management team suggests widespread confidence.
Insider Activity Insight
Balanced insider activity: Roughly equal buying and selling suggests normal portfolio management rather than strong directional signals. Look to other metrics for clearer investment insights.
cofs Dividend History
Learning Layer
Related Guides
Build conviction on COFS by pairing this stock hub with focused valuation guides.
Research Paths
Snapshot
Start with context, operating signals, and key market metrics.
Value Model
Stress test fair value across bear, base, and bull assumptions.
Statements
Validate revenue quality, margins, and balance sheet durability.
Earnings Call
Read management commentary and compare it with reported outcomes.
Dividends
Check payout sustainability and long-term distribution behavior.
Analyst Expectations
Review consensus spread and where estimate risk is concentrated.