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Alerus Financial (ALRS) Hits Fresh High: Is There Still Room to Run?
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Have you been paying attention to shares of Alerus (ALRS - Free Report) ? Shares have been on the move with the stock up 7.3% over the past month. The stock hit a new 52-week high of $25.45 in the previous session. Alerus has gained 11.3% since the start of the year compared to the 1.7% move for the Zacks Finance sector and the -3.5% return for the Zacks Financial - Miscellaneous Services industry.
What's Driving the Outperformance?
The stock has an impressive record of positive earnings surprises, having beaten the Zacks Consensus Estimate in each of the last four quarters. In its last earnings report on January 28, 2026, Alerus reported EPS of $0.85 versus consensus estimate of $0.57 while it missed the consensus revenue estimate by 10.9%.
For the current fiscal year, Alerus is expected to post earnings of $2.59 per share on $306.65 in revenues. This represents a -6.83% change in EPS on a 3.99% change in revenues. For the next fiscal year, the company is expected to earn $2.76 per share on $316.3 in revenues. This represents a year-over-year change of 6.31% and 3.15%, respectively.
Valuation Metrics
Alerus may be at a 52-week high right now, but what might the future hold for the stock? A key aspect of this question is taking a look at valuation metrics in order to determine if the company has run ahead of itself.
On this front, we can look at the Zacks Style Scores, as these give investors a variety of ways to comb through stocks (beyond looking at the Zacks Rank of a security). The individual style scores for Value, Growth, Momentum and the combined VGM Score run from A through F. The idea behind the style scores is to help investors pick the most appropriate Zacks Rank stocks based on their individual investment style.
Alerus has a Value Score of B. The stock's Growth and Momentum Scores are C and C, respectively, giving the company a VGM Score of B.
In terms of its value breakdown, the stock currently trades at 9.7X current fiscal year EPS estimates, which is not in-line with the peer industry average of 11.7X. On a trailing cash flow basis, the stock currently trades at 13.5X versus its peer group's average of 11X. This isn't enough to put the company in the top echelon of all stocks we cover from a value perspective.
Zacks Rank
We also need to consider the stock's Zacks Rank, as this supersedes any trend on the style score front. Fortunately, Alerus currently has a Zacks Rank of #1 (Strong Buy) thanks to a solid earnings estimate revision trend.
Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if Alerus passes the test. Thus, it seems as though Alerus shares could have potential in the weeks and months to come.
How Does ALRS Stack Up to the Competition?
Shares of ALRS have been soaring, and the company still appears to be a decent choice, but what about the rest of the industry? One industry peer that looks good is Community West Bancshares (CWBC - Free Report) . CWBC has a Zacks Rank of #1 (Strong Buy) and a Value Score of B, a Growth Score of C, and a Momentum Score of C.
Earnings were strong last quarter. Community West Bancshares beat our consensus estimate by 5.26%, and for the current fiscal year, CWBC is expected to post earnings of $2.59 per share on revenue of $196.6 million.
Shares of Community West Bancshares have gained 10.1% over the past month, and currently trade at a forward P/E of 9.61X and a P/CF of 18.47X.
The Financial - Miscellaneous Services industry is in the top 36% of all the industries we have in our universe, so it looks like there are some nice tailwinds for ALRS and CWBC, even beyond their own solid fundamental situation.
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Alerus Financial (ALRS) Hits Fresh High: Is There Still Room to Run?
Have you been paying attention to shares of Alerus (ALRS - Free Report) ? Shares have been on the move with the stock up 7.3% over the past month. The stock hit a new 52-week high of $25.45 in the previous session. Alerus has gained 11.3% since the start of the year compared to the 1.7% move for the Zacks Finance sector and the -3.5% return for the Zacks Financial - Miscellaneous Services industry.
What's Driving the Outperformance?
The stock has an impressive record of positive earnings surprises, having beaten the Zacks Consensus Estimate in each of the last four quarters. In its last earnings report on January 28, 2026, Alerus reported EPS of $0.85 versus consensus estimate of $0.57 while it missed the consensus revenue estimate by 10.9%.
For the current fiscal year, Alerus is expected to post earnings of $2.59 per share on $306.65 in revenues. This represents a -6.83% change in EPS on a 3.99% change in revenues. For the next fiscal year, the company is expected to earn $2.76 per share on $316.3 in revenues. This represents a year-over-year change of 6.31% and 3.15%, respectively.
Valuation Metrics
Alerus may be at a 52-week high right now, but what might the future hold for the stock? A key aspect of this question is taking a look at valuation metrics in order to determine if the company has run ahead of itself.
On this front, we can look at the Zacks Style Scores, as these give investors a variety of ways to comb through stocks (beyond looking at the Zacks Rank of a security). The individual style scores for Value, Growth, Momentum and the combined VGM Score run from A through F. The idea behind the style scores is to help investors pick the most appropriate Zacks Rank stocks based on their individual investment style.
Alerus has a Value Score of B. The stock's Growth and Momentum Scores are C and C, respectively, giving the company a VGM Score of B.
In terms of its value breakdown, the stock currently trades at 9.7X current fiscal year EPS estimates, which is not in-line with the peer industry average of 11.7X. On a trailing cash flow basis, the stock currently trades at 13.5X versus its peer group's average of 11X. This isn't enough to put the company in the top echelon of all stocks we cover from a value perspective.
Zacks Rank
We also need to consider the stock's Zacks Rank, as this supersedes any trend on the style score front. Fortunately, Alerus currently has a Zacks Rank of #1 (Strong Buy) thanks to a solid earnings estimate revision trend.
Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if Alerus passes the test. Thus, it seems as though Alerus shares could have potential in the weeks and months to come.
How Does ALRS Stack Up to the Competition?
Shares of ALRS have been soaring, and the company still appears to be a decent choice, but what about the rest of the industry? One industry peer that looks good is Community West Bancshares (CWBC - Free Report) . CWBC has a Zacks Rank of #1 (Strong Buy) and a Value Score of B, a Growth Score of C, and a Momentum Score of C.
Earnings were strong last quarter. Community West Bancshares beat our consensus estimate by 5.26%, and for the current fiscal year, CWBC is expected to post earnings of $2.59 per share on revenue of $196.6 million.
Shares of Community West Bancshares have gained 10.1% over the past month, and currently trade at a forward P/E of 9.61X and a P/CF of 18.47X.
The Financial - Miscellaneous Services industry is in the top 36% of all the industries we have in our universe, so it looks like there are some nice tailwinds for ALRS and CWBC, even beyond their own solid fundamental situation.