Lake Shore Bancorp Inc. Common Stock (LSBK)

FairStock Score: 62/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

As a value investor, I begin with the bank's economics. Lake Shore is a tiny New York bank holding company with 87 employees and a $136.3M market cap at the close on 2026-10-13. It takes deposits and makes loans, a simple model. The filed figures show that in fiscal year 2025, ended 2025-12-31, net income was $7.3M, or $0.97 per diluted share, up from $4.9M, or $0.65, in fiscal year 2024, ended 2024-12-31. Quarterly results are also improving: in fiscal Q2 2026, the quarter ended 2026-06-30, net income was $2.2M, or $0.29, versus $1.9M, or $0.25, in fiscal Q2 2025, the quarter ended 2025-06-30. In fiscal Q1 2026, the quarter ended 2026-03-31, net income was $1.9M, or $0.26; in fiscal Q3 2025, the quarter ended 2025-09-30, net income was $2.4M, or $0.32. At the 2026-10-13 close, FairStock shows a P/E of 15.10 and P/B of 0.88. That is not expensive, but not a giveaway either. FairStock's ROE of 7.06% is the key weakness; a bank earning only mid-single-digit returns on equity probably deserves to trade below book. The 2.11% dividend yield and beta of 0.29 add defensiveness, while Piotroski 5/9 is neutral. The FY2024-to-FY2025 net income increase was about 49%, but only two years of filed annual results reduce confidence. More importantly, the data lacks CET1 capital, net interest margin, nonperforming loans, reserves, and loan-loss provisions, so I cannot judge credit or capital adequacy. Combined ratio is not relevant for a bank. At 0.88 times book, the thesis rests on durable earnings improvement and clean credit. If ROE rises and credit holds, the discount can narrow; if credit deteriorates, the discount is warranted. I would need the missing bank metrics before seeing a true margin of safety.

In plain English: Lake Shore Bancorp is a small New York bank that takes deposits and makes loans. It has been profitable and earnings have grown, but the bank earns only moderate returns on its equity and has a short reporting history. The stock looks modestly cheap compared with its accounting value, but not so cheap that the business quality is obviously strong.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer