FMCB

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Farmers & Merchants Bancorp (FMCB)Farmers & Merchants Bancorp is a locally owned and operated community bank with 32 locations in California. Due to its small market cap and its low liquidity, it passes under the radar of most investors.F&M Bank has paid uninterrupted dividends for 88 consecutive years and has raised its dividend for 59 consecutive years.In mid-October, F&M Bank reported (10/17/24) financial results for the third quarter of fiscal 2024. The bank grew its adjusted earnings-per-share 2.5% over the prior year’s quarter, from $29.23 to $29.96.It posted 4% growth of loans and flat deposits. Net interest income dipped -3% due to a contraction of net interest margin from 4.17% to 4.07% amid higher deposit costs.F&M Bank is a prudently managed bank, which has always targeted a conservative capital ratio. The bank currently has a total capital ratio of 14.95%, which results in the highest regulatory classification of “well capitalized.”Moreover, its credit quality remains exceptionally strong, as there are extremely few non-performing loans and leases in its portfolio.