National Bankshares Inc. Common Stock (NKSH)

FairStock Score: 66/100 — STEADY

Key Financials

AI Analysis

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

National Bankshares is a 245-employee community bank holding company, so its economic moat rests on local deposits and lending relationships rather than scale. At the 2026-10-26 close of $40.71, FairStock puts it at 12.12x earnings and 1.47x book, with a 12.03% ROE and a 3.68% dividend yield. That is not an extravagant price, but a bank earning about 12% on equity should not automatically command a 47% premium to book; I want a clearer margin of safety. The recent filed results look encouraging: in fiscal Q2 2026, the quarter ended 2026-06-30, net income was $5.0M and diluted EPS $0.79, versus $2.3M and $0.36 in fiscal Q2 2025. FairStock also shows 19.44% revenue growth and 53.92% profit growth, with a PEG of 0.23. Yet the computed Lynch category is SLOW GROWER — Shrinking, because profit has fallen 0.3% a year over five years and revenue grew only 7.7%; the Piotroski F-score is a mediocre 4/9. I also note the filed revenue line of $2.2M for fiscal Q2 2026 does not match the separate latest-quarter revenue figure, so I would verify that before relying on growth. As a bank, it must be judged on ROE, book value, earnings consistency, leverage and credit risk. CET1, net interest margin and detailed loan-loss data are not in the provided figures, so I cannot underwrite the balance sheet fully. This looks like a fair-to-full price for a small, rate-sensitive community bank, not a Buffett-style bargain.

In plain English: National Bankshares is a small community bank holding company that takes deposits and makes loans to people and local businesses. Recent profits have improved, but the longer-term record is uneven, and the stock does not look like a bargain at today's price. The dividend is helpful, but the business still depends heavily on local lending conditions.

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Data as of 2026-10-26 close · note generated 2026-10-28 · 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) · FY2023 10-K (period ended 2023-12-31)

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