Piper Sandler maintained its 'Overweight' rating on Unity Bancorp (UNTY). Following the robust fourth-quarter 2025 earnings report, the firm raised its price target to $65, up from $64.
The bank reported a solid earnings beat for the quarter. Core EPS reached $1.41, exceeding consensus estimates. This performance was driven by better net interest margin expansion and lower operating expenses.
Unity Bancorp achieved a record net income of $58.0 million for the full year 2025, marking a significant increase from the prior year. The fourth quarter also saw strong loan and deposit growth.
However, the quarter registered an increase in non-performing assets. This rise stemmed from a single large commercial real estate loan. Management remains confident in the collateral and expects minimal resulting losses.