Bridgewater Bank Reports Strong Q2 Earnings Amid Market Volatility

Bridgewater Bank reported strong Q2 performance, driven by a widened net interest margin, high fee income, and loan growth. The bank's asset quality remained solid, with minimal nonperforming assets and no net charge-offs. Analysts forecast an average target price of $17.67, indicating a 9.53% upside from the current price. The bank's average brokerage recommendation is 2.0, indicating "Outperform" status.

Bridgewater Bancshares, Inc. (BWB) delivered a robust second-quarter (Q2) performance, marking another quarter of earnings and revenue growth that surpassed expectations. The company reported earnings per share (EPS) of $0.37, exceeding the Zacks Consensus Estimate of $0.35 per share [1]. This represents a 5.71% earnings surprise, following a similar 10.34% surprise in the previous quarter. Over the last four quarters, Bridgewater has consistently exceeded consensus EPS estimates four times.

Revenue for the quarter ended June 2025 was $36.08 million, surpassing the Zacks Consensus Estimate by 5.80%. This compares favorably to the year-ago revenue of $26.76 million. The company has now topped consensus revenue estimates four times over the past four quarters [1].

The bank's net interest margin (NIM) widened, contributing to the strong financial performance. This was supported by high fee income and robust loan growth. Additionally, the bank's asset quality remained solid, with minimal non-performing assets and no net charge-offs [1].

Analysts forecast an average target price of $17.67 for Bridgewater, indicating a 9.53% upside from the current price. The average brokerage recommendation is 2.0, indicating an "Outperform" status [1].

In comparison, Bank OZK (OZK) also reported strong Q2 results, with earnings per share of $1.58, surpassing the Zacks Consensus Estimate of $1.51. The bank's net income available to common shareholders increased to $178.9 million, up 3.1% year-over-year. Loan balances and deposits grew, while non-performing loans decreased [2].

Despite the positive outlook, investors should be cautious about the potential impact of industry trends and management commentary. The Zacks Rank for Bridgewater is currently #4 (Sell), indicating a potential underperformance in the near future [1].

References:
[1] https://www.nasdaq.com/articles/bridgewater-bwb-surpasses-q2-earnings-and-revenue-estimates
[2] https://www.tradingview.com/news/zacks:36037ff0d094b:0-bank-ozk-s-q2-earnings-beat-on-higher-fee-income-nii-stock-up-1-5/