Tompkins Financial (TMP) opened 2026 with Q1 results that build on a strong finish to 2025, with trailing 12 month revenue of US$435.1 million and basic EPS of US$11.30 supported by Q4 2025 net income of US$96.2 million on revenue of US$193.8 million. Over the past year, revenue has moved from US$292.6 million to US$435.1 million on a trailing basis while basic EPS climbed from US$4.98 to US$11.30, alongside net profit margin at 37% versus 24.2% the prior year. This sets up a quarter where higher profitability is front and center for investors.

See our full analysis for Tompkins Financial.

With the headline numbers on the table, the next step is to see how this profitability story lines up with the most common narratives around Tompkins Financial and where those storylines may need updating.

Net Interest Margin Edges Up To 3.17%

• On a trailing basis, net interest margin sits at 3.17%, compared with 2.79% in the earlier 12 month snapshot, with interim quarterly points of 2.98%, 3.08% and 3.2% through 2025. This gives you a clear view of where the spread on lending and funding has been.
• What stands out for a more bullish take is that this margin profile sits alongside trailing 12 month revenue of US$435.1 million and net profit margin of 37%. Together, these figures show that interest income and costs have produced solid profitability.
  • Supporters who focus on steady banking franchises will likely pay attention to the combination of a 3.17% margin and US$6.5b of loans at Q4 2025, because it anchors earnings in a large earning asset base.
  • At the same time, the earlier margin level of 2.79% on revenue of US$292.6 million provides context for how current profitability is being earned, rather than relying only on one quarter’s outcome.

Loan Book Grows To US$6.5b With Risk In Check

• Total loans increased from US$5,886.5 million in Q3 2024 to US$6,450.7 million in Q4 2025, while non performing loans moved within a band of US$47.9 million to US$71.1 million across the same period, ending the latest quarter at US$47.9 million.
• Investors who lean cautious often worry about credit risk when a bank’s loan book grows, and here the data offers a mixed but measurable picture.
  • Critics may point to the Q1 2025 non performing balance of US$71.1 million as a period where stressed loans were higher relative to earlier quarters like Q4 2024 at US$50.9 million.
  • What is equally clear is that by Q4 2025, non performing loans of US$47.9 million sit below that earlier peak, while loans are higher in absolute terms. This gives you a concrete reference point for how credit quality has trended through the year.

P/E Of 7.4x And 3.26% Dividend Yield

• The shares trade at US$82.33, which works out to a trailing P/E of 7.4x versus peer and industry averages of 11.6x and 11.7x. This sits alongside a 3.26% dividend yield and a DCF fair value of roughly US$132.16 based on the provided figure.
• What is interesting for anyone looking at a more optimistic angle is how the valuation metrics line up against the recent profit strength.
  • Trailing net income of US$161.1 million and basic EPS of US$11.30 are paired with that 7.4x P/E, which is materially lower than the peer and industry levels given in the data.
  • The gap between the current price of US$82.33 and the DCF fair value of about US$132.16, together with the 3.26% dividend yield, gives income oriented and value focused investors a concrete set of numbers to compare against other financial stocks.

To see how other investors are turning these numbers into full stories about quality, risk and value, check out the growing set of community views on Tompkins Financial Curious how numbers become stories that shape markets? Explore Community Narratives.

Next Steps

Don't just look at this quarter; the real story is in the long-term trend. We've done an in-depth analysis on Tompkins Financial's growth and its valuation to see if today's price is a bargain. Add the company to your watchlist or portfolio now so you don't miss the next big move.

With both encouraging metrics and flagged concerns in view, this is a moment to move quickly, review the details yourself and form a clear opinion. To see the balance of potential upsides and the issues that could hold the story back, take a close look at the 3 key rewards and 1 important warning sign.

See What Else Is Out There

While Tompkins Financial shows higher profitability and a 7.4x P/E, the earlier non performing loan peak and lower relative valuation raise questions about risk and market confidence.

If that mix of credit concerns and uncertainty around how risk is priced feels uncomfortable, you can quickly compare it with companies in the 72 resilient stocks with low risk scores.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.