OFG Bancorp (NYSE:OFG) Releases Earnings Results

OFG Bancorp (NYSE:OFG) issued its quarterly earnings results on Thursday. The bank reported $1.27 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.16 by $0.11, Zacks reports. OFG Bancorp had a return on equity of 15.18% and a net margin of 22.26%.The company had revenue of $185.37 million for the quarter, compared to analyst estimates of $184.17 million. During the same quarter last year, the company posted $1.09 EPS. The company’s revenue for the quarter was up 1.9% compared to the same quarter last year.

Here are the key takeaways from OFG Bancorp’s conference call:

• EPS rose 17% year-over-year in Q4 (8.3% for 2025), driven by disciplined operations and a favorable discrete tax benefit, though part of the improvement reflects one-time tax items.
• OFG’s digital-first strategy (Libre, Elite and an omnichannel platform) drove deposit and customer growth—retail customers grew ~4%, with 75% of Libre openings as new customers and 40% of those ≤29 years old.
• Net interest margin pressure is expected: NIM was 5.27% in 2025 and is guided to a lower 4.95%–5.05% in 2026 due to Fed rate cuts and the partial exit of $500M in government deposits that will be replaced by higher‑cost wholesale funding.
• Credit remains largely controlled but a single Puerto Rico telecommunications commercial loan moved to non‑accrual, contributing to higher non-performing loans, a $31.9M provision (including a $5.1M specific reserve) and $27M of net charge-offs.
• Capital returns and expense plans: management repurchased ~$92M of shares in 2025 and raised the dividend 20%, expects to continue buybacks/dividends while keeping 2026 non‑interest expense roughly flat at $380–$385M as tech investments are expected to produce future efficiencies.

OFG Bancorp Stock Down 8.4%

Shares of OFG traded down $3.58 during trading hours on Thursday, hitting $39.00. The stock had a trading volume of 629,539 shares, compared to its average volume of 220,942. OFG Bancorp has a 1-year low of $33.15 and a 1-year high of $46.11. The firm has a market capitalization of $1.71 billion, a P/E ratio of 8.86 and a beta of 0.77. The firm has a 50 day simple moving average of $41.09 and a 200-day simple moving average of $42.25. The company has a debt-to-equity ratio of 0.33, a current ratio of 0.85 and a quick ratio of 0.85.

OFG Bancorp Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Thursday, January 15th. Investors of record on Wednesday, December 31st were given a dividend of $0.30 per share. This represents a $1.20 dividend on an annualized basis and a dividend yield of 3.1%. The ex-dividend date was Wednesday, December 31st. OFG Bancorp’s payout ratio is presently 27.27%.

Insider Transactions at OFG Bancorp

In related news, insider Cesar A. Ortiz sold 5,500 shares of the company’s stock in a transaction dated Monday, December 15th. The shares were sold at an average price of $42.17, for a total value of $231,935.00. Following the sale, the insider owned 351 shares in the company, valued at $14,801.67. This represents a 94.00% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, Director Jesus Nestor De sold 2,000 shares of OFG Bancorp stock in a transaction that occurred on Monday, December 22nd. The shares were sold at an average price of $42.31, for a total value of $84,620.00. Following the transaction, the director directly owned 22,690 shares in the company, valued at approximately $960,013.90. The trade was a 8.10% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders sold 62,500 shares of company stock worth $2,564,302. 3.11% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. California State Teachers Retirement System boosted its position in shares of OFG Bancorp by 1.2% in the second quarter. California State Teachers Retirement System now owns 42,955 shares of the bank’s stock valued at $1,838,000 after acquiring an additional 506 shares during the period. Schonfeld Strategic Advisors LLC increased its holdings in OFG Bancorp by 30.0% during the 3rd quarter. Schonfeld Strategic Advisors LLC now owns 37,942 shares of the bank’s stock worth $1,650,000 after acquiring an additional 8,750 shares during the period. Zurcher Kantonalbank Zurich Cantonalbank lifted its stake in OFG Bancorp by 16.3% in the 3rd quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 12,622 shares of the bank’s stock worth $549,000 after purchasing an additional 1,772 shares in the last quarter. Magnetar Financial LLC boosted its holdings in OFG Bancorp by 130.1% in the 3rd quarter. Magnetar Financial LLC now owns 12,450 shares of the bank’s stock valued at $541,000 after purchasing an additional 7,039 shares during the period. Finally, Squarepoint Ops LLC bought a new position in OFG Bancorp in the 3rd quarter valued at $406,000. 92.73% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

Several equities research analysts recently weighed in on OFG shares. UBS Group set a $50.00 price objective on OFG Bancorp in a report on Thursday, October 9th. Zacks Research raised OFG Bancorp from a “strong sell” rating to a “hold” rating in a research note on Wednesday, January 14th. Piper Sandler began coverage on OFG Bancorp in a research note on Thursday, January 15th. They issued a “neutral” rating and a $45.00 price objective for the company. Truist Financial dropped their price objective on shares of OFG Bancorp from $50.00 to $48.00 and set a “buy” rating for the company in a report on Thursday, October 23rd. Finally, Wells Fargo & Company reduced their target price on shares of OFG Bancorp from $48.00 to $43.00 and set an “equal weight” rating on the stock in a report on Monday, October 27th. Four equities research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company’s stock. According to data from MarketBeat, OFG Bancorp presently has a consensus rating of “Moderate Buy” and a consensus price target of $47.67.

More OFG Bancorp News

Here are the key news stories impacting OFG Bancorp this week:

• Positive Sentiment: Q4 beats — OFG reported $1.27 EPS vs. street $1.15 and revenue of $185.37M vs. ~$184M consensus, showing a small top- and bottom-line beat that underscores continued core profitability. OFG Bancorp Reports 4Q25 & 2025 Results
• Positive Sentiment: Solid profitability metrics — management reported a 22.26% net margin and 15.18% return on equity; EPS rose year-over-year (from $1.09 the prior-year quarter), which supports valuation given OFG’s ~8.9x P/E. Earnings & metrics
• Neutral Sentiment: Modest revenue growth — Q4 revenue was up ~1.9% year-over-year, signaling steady but slow top-line expansion that is unlikely to excite growth-focused investors. Zacks analysis
• Neutral Sentiment: Full disclosure available — the earnings press release, slide deck and conference-call transcript were published for review; investors can dig into the call for detail on margin drivers, reserves and guidance. Earnings call transcript
• Negative Sentiment: Market reaction and technical pressure — despite the beat, shares fell on the report (BayStreet and other outlets noted the sell-off). Elevated intraday volume and the stock trading below its 50- and 200-day moving averages suggest profit‑taking or concern about forward momentum/forward guidance. OFG Bancorp Sinks on Q4 Numbers

About OFG Bancorp

OFG Bancorp, through its principal subsidiary Oriental Bank, is a financial holding company headquartered in San Juan, Puerto Rico. The company provides a wide range of banking services, including commercial and consumer deposit accounts, small business loans, corporate lending, treasury management, and cash management solutions. Its consumer offerings encompass personal checking and savings accounts, credit cards, and electronic banking platforms designed to serve retail customers across its markets.

In addition to traditional banking products, OFG Bancorp offers mortgage origination and servicing, as well as wealth management and trust services for high‐net‐worth individuals and institutional clients.