Stock fact sheet · data as of
Unity Bancorp, Inc. (UNTY): fair value, margin of safety and Wheel Score
Financial Services · Banks - Regional · United States · Value
Is UNTY undervalued?
UNTY closed at 54.53 on 16 Oct 2026, 26% below the GLS average fair value of 73.48 from 9 models (7 of them above the price). That is a moderate margin of safety: the stock passes the "below fair value" rule of the Sunday Scan, and the Wheel Score gives it 23 of the 25 Value points.
The 9 models disagree widely: DDM gives 9.42 while GLS Growth gives 122.33. A spread that wide means the average is sensitive to which methods you trust; the model table below shows where each one lands, and the Quote page lets you switch any of them off.
The nightly engine files UNTY under Value: positive earnings at a P/E of 18 or less.
Nine valuation models for UNTY
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | 95.45 | +75% | Present value of the projected free cash flows, discounted at the cost of capital |
| Graham Number | 72.96 | +34% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 104.81 | +92% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 27.56 | -49% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 122.33 | +124% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 84.99 | +56% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 75.75 | +39% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | 9.42 | -83% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | 68.06 | +25% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -223.37 | -510% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 68.00 | +25% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
Financial health is weak: UNTY passes 4 of the nine Piotroski tests. Our screens drop the stock at the health rule; a low score is often the reason a stock looks cheap on the valuation models. The GLS Moat score is 6.7 out of 10: a ten-year record that is consistent in some of the metrics the score tracks (revenue, earnings, margins, cash flow, returns on capital) and patchy in others.
Returns on capital are moderate - ROIC 9.5%, ROE 16.8%, ROA 2.0% - with debt at 0.77 times equity and a free-cash-flow yield of 4.9%.
The dividend yield is 1.17% with a payout ratio of 10% - a small yield that leaves most of the earnings in the business. Revenue comes mainly from Branch Fee Income 100% (quarter Q2 FY2026).
Institutional ownership scores 6/10, insider activity 2/10 and Congressional trading 5/10 on the GLS smart-money scales.
| Piotroski F-score | 4 / 9 | ROIC | 9.5% |
|---|---|---|---|
| GLS Moat | 6.7 / 10 | ROE | 16.8% |
| Debt / equity | 0.77 | ROA | 2.0% |
| Free-cash-flow yield | 4.9% | Payout ratio | 10% |
| Institutions | 6 / 10 | Insiders · Congress | 2 · 5 / 10 |
Wheel Score 69: Good
UNTY scores 69 out of 100 on the Wheel Score (Good band, 65-79). The score blends the margin of safety (Value, 23/25), Piotroski health (9/20), the GLS moat (10/15), the option premium on offer (20/20) and how easily the stock trades (7/20). Stability (7/20) is the part holding the score back.
Implied volatility is 42% on the near-the-money contracts 20-60 days out - inside the 35-60% range the Wheel Score pays full marks for: enough premium to be worth selling, not so much that the risk is unpaid. Chain open interest is thin - 61 contracts across every expiry - so fills at a fair price are not guaranteed; a 30-45-day put may not exist at a usable strike.
Volume runs at 63k shares a day on a market cap of $548M, with a beta of 0.65 - a low beta, so day-to-day moves are smaller than the market's; the Stability part of the Wheel Score gives that 7 of 20.
| Part | Points | From | |
|---|---|---|---|
| Value | 23 / 25 | 26% margin of safety | |
| Health | 9 / 20 | Piotroski 4/9 | |
| Moat | 10 / 15 | moat 6.7/10 | |
| Premium | 20 / 20 | implied volatility 42% | |
| Stability | 7 / 20 | 63k shares/day, $548M cap, beta 0.65 |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls; it is updated nightly and is not a recommendation. The walkthrough lesson shows how the score fits into a trade, start to finish.
Upcoming events
The next earnings report is due on 12 Jan 2027, 88 days away - outside the window of a 30-45-day put sold today.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Banks - Regional
The 12 companies below are the closest to Unity Bancorp, Inc. by market cap within the Banks - Regional industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| NRIM Northrim BanCorp, Inc. | 24.43 | 82.21 | +70% | 76Good | $543M |
| CWBC Community West Bancshares | 25.77 | 46.09 | +44% | 70Good | $543M |
| NPB Northpointe Bancshares, Inc. | 15.62 | 47.93 | +67% | 39No options | $540M |
| CIVB Civista Bancshares, Inc. | 26.85 | 37.06 | +28% | 71Good | $558M |
| SFST Southern First Bancshares, Inc. | 59.22 | 74.22 | +20% | 69Good | $561M |
| BSVN Bank7 Corp. | 55.49 | 109.57 | +49% | 39No options | $529M |
| BWB Bridgewater Bancshares, Inc. | 20.37 | 25.80 | +21% | 65Good | $568M |
| KRNY Kearny Financial Corp. | 9.01 | 18.53 | +51% | 77Good | $569M |
| BWBBP Bridgewater Bancshares, Inc. | 19.38 | 25.09 | +23% | 39No options | $575M |
| BWFG Bankwell Financial Group, Inc. | 65.17 | 98.46 | +34% | 39No options | $520M |
| HBCP Home Bancorp, Inc. | 65.87 | 90.49 | +27% | 80Prime | $518M |
| FFMR First Farmers Financial Corporation | 37.25 | 61.90 | +40% | 39No options | $517M |
⚖ Compare UNTY with 7 of them All Financial Services stocks →
Screen the whole market the same way
A free GLS Equity account gets you nightly fair value and the Wheel Score on ~7,400 US stocks, a watchlist, the scanner preview and the Sunday Scan - the same eight-rule screen, emailed every week. Pro adds the full put and call scanners, unlimited watchlists with alerts and the trade journal.
Start free See the Sunday ScanQuestions about UNTY
Is UNTY undervalued right now?
By the GLS models, moderately: at 54.53 the stock trades 26% below the average fair value of 73.48 (data as of 16 Oct 2026).
What is the Wheel Score of UNTY and what does it mean?
UNTY scores 69 out of 100 (Good). The Wheel Score blends the margin of safety (25 points), Piotroski health (20), the GLS moat (15), the option premium on offer (20) and trading stability (20) into one number that ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned. 80 and above is Prime, 65-79 Good, 50-64 Fair, under 50 Weak.
What is the GLS fair value for UNTY?
73.48 per share as of 16 Oct 2026 - the simple average of the 9 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does Unity Bancorp, Inc. report earnings next?
The next earnings report is due on 12 Jan 2027, 88 days from the data date of 16 Oct 2026. The Calendars page lists every upcoming report with its time of day.
Does UNTY have listed options, and how liquid are they?
Yes. The nightly snapshot found 116 listed contracts with 61 open interest across all expiries and implied volatility of 42% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.