Capital Bancorp Inc (NASDAQ:CBNK) shares are soaring 5.14% in Wednesday's intraday trading following the release of its impressive first-quarter 2025 financial results and an analyst's target price upgrade.
The company reported a substantial 48% year-over-year increase in revenue, reaching US$56.4 million for Q1 2025. Net income more than doubled, surging 112% to US$13.9 million, with the profit margin expanding to 25% from 17% in the same quarter last year. Earnings per share (EPS) also saw a significant boost, climbing to US$0.84 from US$0.47 in Q1 2024, surpassing analyst estimates by 18%.
Adding to the positive momentum, Stephens raised its target price for Capital Bancorp to $36 from $35, reflecting growing confidence in the company's financial performance and outlook. The strong quarterly results and the upgraded price target are likely driving investor enthusiasm, contributing to the stock's notable gains during the trading session.