Timberland Bancorp, Inc. (TSBK) Stock

Timberland Bancorp, Inc. (TSBK) is a Financials stock trading at $45.71 (as of 2026-09-02), with a market capitalization of $357.82M and a trailing P/E of 11.9. Figures are sourced from first-party U.S. SEC EDGAR filings and market data.

Timberland Bancorp, Inc. is the bank holding company for Timberland Bank, providing deposit products such as checking, savings, money market deposits, and certificates of deposit. It also offers residential and commercial real estate lending, construction and land development loans, and consumer and business loans including home equity, vehicle, and other unsecured loans through its branches and ATMs in Washington.

Understand Timberland Bancorp, Inc.: how it makes money

Timberland Bancorp is the holding company for Timberland Bank, a Washington community bank earning its income on the spread between deposit costs and loan yields across residential, commercial, and construction lending. The entire model rides on a single state's credit cycle, with limited diversification to offset local economic swings.

Every dollar of profit comes from the interest-rate spread on a small, locally concentrated Washington loan book; there is no fee, software, or geographic engine to offset a rate cycle.

Business quality (Solid): Solid-quality regional lender. ROE of 11.0%, clean credit metrics, and a disciplined local franchise, though the sub-billion balance sheet caps absolute growth.

Valuation: At 12× earnings, TSBK trades 8% below the Banking average (13×).

Bull case

Five-year discount to peers: TSBK trades at a P/E of 11.9x versus the banking industry average of 13x, an 8% discount, implying the market prices in more risk than the 0.47% non-performing-asset-to-total-assets ratio and 1.23% allowance-to-loans coverage would suggest.
Tight credit metrics locally: Non-performing assets sit at just 0.47% of total assets and the allowance for credit losses covers 1.23% of loans receivable, a cushion that argues the Washington construction and residential book is well underwritten relative to the rate environment.

Bear case

Cost base caps margin upside: The efficiency ratio of 55.38% means the bank spends more than 55 cents in overhead for every dollar of operating revenue, a level that leaves limited room to expand net interest margin unless loan volume scales meaningfully.
Modest top-line trajectory: Revenue grew 4.0% year over year and the ex-PPP loan portfolio expanded 6.0%, but on a sub-billion revenue base those rates translate to only incremental absolute earnings, capping how quickly ROE can compound.

Valuation — source: SEC EDGAR (first-party)
Price	$45.71
Market Cap	$357.82M
P/E Ratio	11.9
Price / Book	1.31
Price / Sales	3.40
FCF Yield	7.9%
DCF Value (model)	$72.14
DCF Upside vs Price	57.8%

Profitability & Growth — source: SEC EDGAR
Revenue (TTM)	$102.28M
Net Margin	28.5%
Revenue Growth (YoY)	4.4%
EPS Growth (YoY)	10.0%
FCF Growth (YoY)	-24.9%

Valuation vs Sector & Industry
Stock P/E	11.9
Sector P/E (Financials)	14.9
Industry P/E (Banking)	12.7
vs Sector	-20.5%
vs Industry	-6.6%

Smart-Money Activity — SEC Form 4 / 13F / Congressional disclosures
Top Institutional Holder	BlackRock, Inc. ($26.22M)
Institutional Holders Tracked	10

Company
Sector	Financials
Industry	Banking
CEO	Dean J. Brydon
Employees	274
Country	US
IPO Date	1998-01-13

Related Companies (Banking; 8 comparable banks)

Data as of 2026-09-02.

Figures sourced from U.S. Securities and Exchange Commission (SEC EDGAR) filings and market data. Not personalized investment advice.