10 Best Small Cap Bank Stocks To Invest In Now

2. Eagle Bancorp Inc. (NASDAQ:EGBN)

Market Capitalization as of March 28: $626.87 million

Number of Hedge Fund Holders: 27

Eagle Bancorp Inc. (NASDAQ:EGBN) is the bank holding company for EagleBank that provides commercial and consumer banking services in the US. It offers commercial and consumer lending products, online and mobile banking services, and insurance products and services. It serves a diverse clientele that ranges from sole proprietors to non-profit organizations and associations.

The company focuses on its Commercial Real Estate (CRE) lending segment, particularly the office loan portfolio. One of the company’s office loans worth $74.9 million was reclassified in Q4 2024 because it was not bringing in substantial income due to a big drop in its appraisal value. However, the borrower continues to make contractual payments. The company is managing risks associated with its office loan portfolio such as moving excess cash flow and building additional reserves for new payment reserves.

The company has worked with borrowers to secure loan extensions and principal curtailment. This includes a 3-year extension on an office loan with planned principal reductions. Eagle Bancorp Inc. (NASDAQ:EGBN) operates with transparency and risk management within its CRE portfolio while navigating a challenging office loan environment.