Plumas Bancorp combines a 5.13% NIM, 17.9% CET1 capital, and low-cost deposits with an asymmetric five-year valuation opportunity.
Overview
Plumas Bancorp is the holding company for Plumas Bank, a relationship-based community bank established in 1980 with 19 branches across Northern California and Western Nevada. Its differentiated model combines localized underwriting and high-touch SME, agricultural, CRE, and SBA relationships with a granular, low-cost deposit franchise. **The key competitive advantage is funding: non-interest-bearing deposits represented 46% of total deposits and total deposit cost was only 1.59% as of June 30, 2026.** Q2 2026 revenue increased 43% year over year to $28.2 million, net income rose 57.1% to $9.96 million, and diluted EPS increased 34.3% to $1.41, exceeding consensus of $1.35. NIM expanded 30 basis points to 5.13%, while ROAA and ROAE reached 1.79% and 15.0%. Cornerstone integration added meaningful scale and management retired expensive funding liabilities. The stock trades at 12.2x trailing earnings and 1.6x book value, broadly reasonable against peers, while Stephens and Piper Sandler raised targets to $64 and $69. The principal near-term catalysts are agricultural workout resolution, buybacks, operating synergies, and follow-on M&A.