Carter Bank and Trust (CARE)
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symbol.quality_heading
The business works in principle, but one material question is open. As long as it stays open, our findings do not carry a quality verdict.
This light rates the company, not the share price. No documented substance finding is present: the Tier 1 capital ratio is 14.26 percent, total risk-based capital 15.51 percent, equity to assets 11.23 percent, the allowance covers nonperforming loans 146.88 percent, there are no Federal Home Loan Bank borrowings left, no going-concern doubt and no listing risk (all figures as of June 30, 2026). What is open is the decisive operating question, and it is open twice over. First, reported profit does not carry the business: of $114.7 million in the first half of 2026, $20.2 million remains adjusted, because roughly $100.9 million came from two sales that cannot be repeated. Second, it is unclear how durable the new 3.38 percent margin is: it draws on capital freed by the sold loan, on funding costs that fell 37 basis points, and on a securities repositioning that took a $12.5 million book loss to lift the yield on newly purchased paper from 2.28 to roughly 5.27 percent. Add a loan book that is roughly 71 percent commercial real estate and construction, and nonperforming loans that already climbed back from $24.0 million to $37.6 million. Expressly excluded from this color are price, valuation, float and volatility. Also excluded is the Altman-Z of -1.86 in our data: the formula is built for industrial and trading companies and carries no meaning at a deposit-funded bank. The decision is yours.
symbol.quality_note
For three years this Virginia regional bank carried a credit relationship that ended at $214 million and paid no interest at all — $91.2 million of forgone interest income over three years. On March 26, 2026 Carter Bankshares sold the judgments for $289.5 million in cash and booked an $80 million gain. Six weeks later came the sale of its insurance subsidiary. The result: $114.7 million of first-half net income — and $20.2 million once the one-off items come out. We read the 2025 annual report, the March 31, 2026 quarterly report and the numbers released on July 23, 2026 to find out what is left of this bank when the one-offs run out. What you get at the end is not a verdict on the share price but an arithmetic you can carry forward yourself.
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Stock Watch
This analysis is as of July 27, 2026. Stock Watch will tell you what's changed at CARE since then.
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Appears in These Scanners
This stock currently matches 21 of our scanner strategies — each hit links to the scanner.
Only genuine hits from verified scanners count; pure ranking metrics (P/E, P/S, and similar, which just sort the whole universe) don't count as a hit. View all scanners
Trading Day
Key levels of the most recently completed trading day — not a live quote.
52-Week Range
Current price 34.60 $ — 100% of the range above the low.
Lowest and highest closing price over the last 52 weeks. The marker shows where the current price sits within that range: close to the high speaks for strength, close to the low for weakness.
Basics
Performance
Technical Indicators
Calculated from the price history · as of 08/03/2026
Valuation
Profitability
Balance Sheet & Safety
Growth
Dividend
Quality & Screener
AI Rating
NeutralKünstliche Intelligenz kommt in den Berichten der Regionalbank ausschließlich als Risikohinweis vor; ein KI-Produkt, ein KI-Umsatz oder ein konkret benannter produktiver Einsatz wird nirgends belegt.
View the full file — quotes, sources, reviewed filings
„The Company, as well as or its third-party vendors, clients or counterparties may continue to develop or incorporate AI technologies into certain business processes, products, and services."
Das Unternehmen sowie seine externen Dienstleister, Kunden oder Vertragspartner könnten KI-Techniken weiterhin in bestimmte Geschäftsprozesse, Produkte und Dienstleistungen entwickeln oder einbinden.
„The development and use of Artificial Intelligence (“AI”) technologies present risks that could adversely affect the Company’s business, financial condition, and results of operations."
Die Entwicklung und Nutzung von Techniken der künstlichen Intelligenz („KI“) bringt Risiken mit sich, die sich nachteilig auf Geschäft, Finanzlage und Ertragslage des Unternehmens auswirken können.
Filings Reviewed: 10-K 2026-03-05 · 10-Q 2026-05-07 · 10-Q 2025-11-03 · 10-K 2025-03-07 · 8-K 2026-07-23
Rated on July 27, 2026 · How the Rating Is Built
Highlighted are things our editorial team noticed: green = stands out as strong, red = deserves a closer look. No single metric is a verdict on its own — always read it in context.
Analysts & Price Target
The price target sits 8.0% below the current price.
- Consensus
- Strong Sell
- Analyst Ratings
- 3
Combined picture of the price targets and recommendations of every analyst covering the stock. Price targets are expectations for the next 12 months, not promises — and they often follow the price rather than predict it.
Estimates by Fiscal Year
| Fiscal Year | EPS Estimate ($) | EPS Range ($) | Revenue Estimate ($M) | Expected Growth | Analysts |
|---|---|---|---|---|---|
| 12/31/2026 | 5.50 | 5.45 – 5.55 | 260 | 295.7% | 2 |
| 12/31/2027 | 2.58 | 2.45 – 2.78 | 204 | -53.2% | 3 |
Average of the analyst estimates for the coming fiscal years. The range shows how far the most optimistic and the most cautious estimate sit apart — the wider it is, the less certain the expectation.
Next Reporting Date
- Expected Earnings per Share
- 0.54 $
Expected date of the next quarterly or annual figures. Dates do shift occasionally — only the invitation issued by the company is binding.
Revenue & Profit
Cash Flow
Balance Sheet
Margins
Per Share
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· Total · per year
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The figures could not be loaded right now.
Source: fundamental data
Quarterly Figures
| Quarter | EPS (Earnings Per Share) | EPS YoY (%) | Sales ($M) | Sales YoY (%) | Net Margin (%) | OCF ($M) | FCF ($M) |
|---|---|---|---|---|---|---|---|
| 2024: Q4 | 0.36 | – | 61 | 14.50 | 13.60 | 12 | 8 |
| 2025: Q1 | 0.39 | 53.40 | 62 | 6.10 | 14.50 | 6 | 5 |
| 2025: Q2 | 0.37 | 77.30 | 62 | 4.00 | 13.80 | 10 | 8 |
| 2025: Q3 | 0.24 | -0.40 | 64 | 4.00 | 8.50 | 12 | 10 |
| 2025: Q4 | 0.39 | 8.90 | 65 | 5.90 | 13.10 | 12 | 7 |
| 2026: Q1 | 3.93 | 902.90 | 130 | 110.20 | 65.90 | 304 | 302 |
- EPS (Earnings Per Share):
- Quarterly profit divided by the total share count — how much of the profit works out to a single share.
- YoY (Year over Year):
- Change versus the same quarter a year ago — this is how you compare without seasonal distortion (e.g. the holiday shopping season).
- Sales:
- All revenue for the quarter, before any costs are deducted — the top line of the income statement.
- Net Margin:
- What percentage of sales is left over as profit in the end. Negative means the company is posting a loss.
- OCF (Operating Cash Flow):
- The cash that actually flows into the till from the core business during the quarter — harder to dress up than book profit.
- FCF (Free Cash Flow):
- Operating cash flow minus capital expenditures — the money that's genuinely free to use, say for paying down debt, buybacks, or dividends.
Annual Figures
| Fiscal Year | Revenue ($M) | EBIT ($M) | Net Income ($M) | EPS ($) | Operating Cash Flow ($M) | Equity ($M) | Total Assets ($M) |
|---|---|---|---|---|---|---|---|
| 2016 | 147 | 18 | 16 | 0.61 | 33 | 435 | 4,506 |
| 2017 | 144 | -18 | -1 | -0.03 | 44 | 432 | 4,112 |
| 2018 | 158 | 14 | 12 | 0.45 | 49 | 436 | 4,040 |
| 2019 | 168 | 28 | 27 | 1.01 | 38 | 473 | 4,006 |
| 2020 | 164 | -45 | -46 | -1.74 | 8 | 440 | 4,179 |
| 2021 | 156 | 36 | 32 | 1.20 | 78 | 408 | 4,134 |
| 2022 | 179 | 62 | 50 | 2.04 | 71 | 329 | 4,205 |
| 2023 | 212 | 29 | 23 | 1.01 | 47 | 351 | 4,513 |
| 2024 | 240 | 31 | 25 | 1.06 | 37 | 384 | 4,659 |
| 2025 | 255 | 40 | 31 | 1.40 | 40 | 420 | 4,852 |
Fiscal years from the audited annual reports, oldest first. EBIT is the operating profit before interest and taxes; total assets are everything the company owns.
Assessment: Opportunities & Risks
The exposure that made up 87.7 percent of all nonperforming loans was sold on March 26, 2026, finally and without recourse: $289.5 million in cash for $209.5 million of principal. Nonperforming loans fell from $250.6 million (June 30, 2025) to $37.6 million (June 30, 2026), and their share of the loan book from 6.69 to 1.01 percent.
As of June 30, 2026 the Tier 1 capital ratio stood at 14.26 percent, total risk-based capital at 15.51 percent, the leverage ratio at 11.65 percent and equity to assets at 11.23 percent — a year earlier those figures were 10.87, 12.12, 9.46 and 8.48 percent. Federal Home Loan Bank borrowings were repaid in full (December 31, 2025: $178.5 million).
Of $114.7 million of first-half 2026 net income, $20.2 million remains on an adjusted basis. Roughly $100.9 million came from two one-off sales — the loan sale in the first quarter and the sale of the insurance subsidiary on May 1, 2026 — against a $12.5 million loss from repositioning the securities portfolio.
The net interest margin rose from 2.80 percent (second quarter of 2025) through 3.07 to 3.38 percent (second quarter of 2026), with quarterly net interest income up from $32.4 million to $40.0 million. Adjusted quarterly profit grew from $9.3 million to $11.6 million and the adjusted efficiency ratio improved from 75.55 to 62.66 percent.
As of March 31, 2026, of $3,728.5 million of loans, $2,127.9 million were commercial real estate and $513.6 million construction — roughly 71 percent, concentrated in Virginia and North Carolina. Nonperforming loans already rose again during the second quarter of 2026 from $24.0 million to $37.6 million, triggered by three loans of one relationship totaling $13.4 million.
As of June 30, 2026, $1,846.4 million of deposits were certificates of deposit; as of December 31, 2025, 71.7 percent of them matured within twelve months. That helped as rates fell — the cost of interest-bearing liabilities dropped from 3.06 to 2.74 percent during 2025 — but works the other way if rates rise.
Carter Bankshares is a $4.8 billion regional bank in Virginia that spent three years blocked by a single problem loan: $214 million at the end, 87.7 percent of all nonperforming loans and $91.2 million of forgone interest income. On March 26, 2026 it was sold for $289.5 million in cash — more than the $209.5 million of principal. Together with the sale of the insurance subsidiary that produced roughly $100.9 million of one-off gains in the first half and reported net income of $114.7 million against $20.2 million adjusted. What remains operationally is still an improvement: net interest margin from 2.80 to 3.38 percent, adjusted quarterly profit from $9.3 million to $11.6 million, Tier 1 capital from 10.87 to 14.26 percent. The open question is how much of that was the loan and how much the rate market — and the share price has already answered, up roughly 93 percent in twelve months. Not investment advice.
- Carter Bankshares reached the research list through our in-house stock scanner "K/FCF ranking" (U.S. selection), measured July 27, 2026 on both brands: 545 U.S. hits, CARE at a K/FCF of 2.2229 in place 49 — identical on boersenlotse.de and tickerguard.com. The detail page shows only the 25 strongest hits, so CARE is not visible there; anyone wanting to find the name uses the screener and sets the P/FCF filter to its lowest band. These lists are recomputed daily.
- The ratio is distorted twice over for this name and is therefore recomputed in the piece. First, free cash flow at a bank measures the interest margin before credit losses: released loan-loss provisions sit in operating cash flow, while the actual capital deployment — lending — sits in investing ($255.3 million in 2025, $61.4 million in the first quarter of 2026 alone). Second, the $289.5 million of loan sale proceeds also runs through operating activities as its own line, "Proceeds From the Transaction", because the loans were reclassified to held-for-sale beforehand (supplementary disclosure in the quarterly report: $209,484 thousand). Own calculation: market value of roughly $753.5 million divided by roughly $329 million of trailing four-quarter free cash flow gives 2.3; excluding the one-off, roughly 19; measured on fiscal 2025, roughly 24.
- The Altman-Z of -1.86 in our data is expressly not used as a safety argument. In the Z" variant used here the thresholds are 1.1 (distress zone) and 2.6 (safe zone); the formula was, however, developed for industrial and trading companies and measures working capital, asset turnover and retained earnings against total assets — quantities that carry no economic meaning at a deposit-funded bank. Two other banks have already been removed from a scanner in this analysis series for the same reason. The assessment runs on bank metrics instead (as of 2026-06-30): Tier 1 capital ratio 14.26 percent, total risk-based capital 15.51 percent, leverage ratio 11.65 percent, equity to assets 11.23 percent, allowance for credit losses 1.48 percent of loans, nonperforming loans 1.01 percent, coverage 146.88 percent, net interest margin 3.38 percent.
- Identity checked strictly, because the CARE ticker is ambiguous: the SEC ticker registry maps CARE to CIK 0001829576, and the cover page of the quarterly report for March 31, 2026 reads "CARTER BANKSHARES, INC.", Virginia, Commission File Number 001-39731, trading symbol CARE on the Nasdaq Global Select Market. No former names are recorded in the SEC entity data. Not to be confused: some data sets list the name "Carter Bank and Trust" — that is the subsidiary bank, not the listed holding company.
- Price and valuation figures are dated anchors, not buy arguments: price $34.00 as of July 24, 2026, ratio data as of July 27, 2026. The market value of roughly $753.5 million is computed from 22,162,213 shares (balance sheet at June 30, 2026). After a roughly 93 percent gain over twelve months the stock sits at the highest level in company history, while the average analyst price target in the same data set is $28.
- The most recent periodic report is the quarterly report 10-Q for March 31, 2026 (filed May 7, 2026). Filed after that, through the data date of July 27, 2026: current reports 8-K of May 1, 2026 (Item 8.01, completion of the insurance sale), May 1, 2026 (Items 7.01 and 9.01), May 29, 2026 (Item 5.07, annual meeting results), May 29, 2026 (Item 7.01), June 24, 2026 (Item 5.02, employment and change-of-control agreements), July 23, 2026 (Item 2.02, second-quarter 2026 results) and July 23, 2026 (Item 8.01, dividend), plus ownership filings (Schedule 13G) and insider reports (Form 4). All June 30, 2026 figures in this analysis come from the July 23, 2026 release; the corresponding quarterly report 10-Q had not been filed as of the data date and will carry those figures in reviewed form for the first time.
About the Company
Carter Bankshares, Inc. ist die Bankholding der Carter Bank & Trust, die verschiedene Privat- und Geschäftskundenbankprodukte sowie Versicherungsdienstleistungen in den USA anbietet.
| Employees | 687 |
|---|---|
| Headquarters | Martinsville, VA |
| Address | 1300 Kings Mountain Road, 24112 Martinsville, United States |
| Phone | 276 656 1776 |
| Website | carterbank.com |
| IPO Date | 27. Aug 2012 |
| ISIN | US1461031064 |
| Stock Split | 1:1 on 11/23/2020 |
Management
| Name | Title | Birth Year |
|---|---|---|
| Litz H. Van Dyke | CEO & Director | 1964 |
| Phyllis Q. Karavatakis | Vice Chairman | 1956 |
| Wendy S. Bell | Senior EVP & Chief Financial Officer | 1964 |
| Kimberly Dempsey Schaufenbuel | Executive VP & Chief Human Resources Officer | – |
| A. Loran Adams | Executive VP & Director of Regulatory Risk Management | 1962 |
| Jayson Philbeck | Senior Vice President of Commercial Banking | – |
| Brad Wilson | Senior VP & Commercial Market Executive | – |
| Joyce A. Parker | Secretary | – |
| Misty Powell | Assistant Vice President | – |
| Bill Hubble | Vice President and Managing Officer of Blacksburg Office | – |
Executives per the latest required filings; titles kept in their original language. Source: fundamental data.
Insider Transactions
| Date | Person | Role | Type | Shares | Price | Value |
|---|---|---|---|---|---|---|
| 30. Jul 2026 | Langs Bradford N. | PRESIDENT, CHIEF STRATEGY OFCR | Sell | 2,500 | 34.54 | 86,340 |
| 30. Jul 2026 | Bolton Robert M. | Director | Sell | 1,500 | 34.60 | 51,900 |
Reportable transactions by officers and major shareholders from SEC Form 4 filings. "Other" includes things like stock grants and option exercises without a buy/sell character.
View all insider transactions →Chart
Interactive price chart (TradingView).
Data as of: July 31, 2026 · Source: fundamental data & SEC filings (annual and quarterly reports, 10-K/10-Q)
Note: pure fact-based analysis, not investment advice and not a solicitation to buy or sell. All figures without guarantee.