DA Davidson initiated coverage on Unity Bancorp Inc. (NASDAQ:UNTY) with a buy rating and a $68.00 price target.
The firm highlighted the company's organic growth capabilities and strong profitability metrics. Unity Bancorp boasts an 18% return on equity, a P/E ratio of 8.82, and a PEG ratio of 0.22, indicating attractive valuation.
Its net interest margin exceeds peers, driven by relationship-based loan growth. According to Bond.az, the company has raised its dividend for 13 consecutive years.
DA Davidson projects loan and deposit growth of 10% and 9%, respectively, in 2026. The bank reported 24.6% revenue growth over the last twelve months.
Unity Bancorp recently beat Q1 earnings estimates with adjusted EPS of $1.40, above the consensus of $1.37.
