Fidelity D & D Bancorp Inc. Common Stock (FDBC)

FairStock Score: 72/100 — STEADY

Key Financials

Strengths

• Solid return on equity of 13.0% above cost of capital
• Attractive 3.8% dividend yield providing steady income returns
• FairStock composite score of 72/100 places it in the top tier across value, quality, and momentum factors

Concerns

• Altman Z-Score of 0.2 places it in the financial distress zone—elevated bankruptcy risk

AI Analysis

Fidelity D & D Bancorp Inc. Common Stock is a micro-cap financial services company valued at $270 million. Revenue stands at $94 million. From a quality standpoint, Fidelity shows solid Piotroski F-Score of 6/9 and distressed Altman Z-Score of 0.2 warrants caution. On valuation, the stock is deeply undervalued on a P/E basis at 8.8x, with offers a 33% margin of safety vs Graham Number of $69. Growth dynamics show revenue growing at 15.0% and profit growth of 36.1%. The 3.8% dividend yield adds an income component for patient holders. Our composite FairStock Score of 72/100 reflects above-average fundamentals overall. Investors should weigh the business quality against the current price and their own margin of safety requirements.

Bull Case

The market underappreciates Fidelity's consistent 13% ROE at just 9x earnings—a re-rating toward sector peers could unlock 30-50% upside. Operational leverage in the business model means incremental revenue growth could disproportionately boost bottom-line profitability.

Bear Case

Macro headwinds or sector-specific disruption could pressure margins, particularly if competitive intensity increases in the financial services space. Regulatory changes, input cost inflation, or demand normalization represent underappreciated risks that could materially impact forward estimates.

Data from SEC filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer