CVB Financial (CVBF) Stock Forecast & Price Target

CVB Financial Corp is projected to see an increase in earnings per share, with estimates raised to $1.47 and $1.51 for 2025 and 2026, respectively, driven by a higher net interest margin (NIM), improved fee income, and lower non-interest expense (NIE). The company's proactive management of asset quality is highlighted by a slight rise in non-performing assets (NPAs), linked to a singular past-due SBA credit, while simultaneously making strides in enhancing classified asset quality through significant upgrades. Additionally, the expectation to meet low-single-digit NIE growth targets for FY25, coupled with modest fee income growth, reinforces the positive financial trajectory anticipated for CVB Financial.

CVB Financial's recent reports reveal a concerning decline in core noninterest income, which fell by 9% quarter-over-quarter to $14.7 million, despite some positive contributions from BOLI and trust/investment services. The net interest margin (NIM) experienced a slight decrease to 3.31%, driven by a reduction in average earning asset yields, which declined by 1 basis point to 4.27%. Additionally, net interest expense also saw a marginal decline of 2.7% quarter-over-quarter, culminating in reduced overall profitability and signaling potential challenges ahead for the bank.