MGYR

Magyar Bancorp is a small ($998M-asset) New Jersey savings institution that does one thing — gather retail deposits and lend them into real estate — and FY2025 was a genuinely strong year. Net income rose 25.4% to $9.76M and diluted EPS jumped 26.8% to $1.56, driven, per the MD&A, by higher net interest income as a $77.2M (9.9%) surge in loans receivable re-priced through the book. Operating cash flow grew 64.4% to $10.4M, retained earnings rose 13.5% to $66.6M, and stockholders' equity climbed 7.5% to $119M. The balance sheet is clean for a bank: 7.39x liabilities/equity is normal leverage, the dividend ($1.82M, +8.6%) is comfortably covered, and management calls outstanding legal matters immaterial.

Valuation is the supportive leg of the thesis. At $18.00 the stock trades at 11.5x EPS and right at tangible book — equity of $119M against 6.48M shares is ~$18.36/share, so you are buying a profitable, growing bank for roughly one times book. That is not expensive, and it is the main reason this is not a sell.