Orrstown Financial Services, Inc. (ORRF) - Stock Analysis
Last updated: Jan 14, 2026
Research Idea
Research content for general circulation. Not individualized advice. Methodology & Disclosures
Orrstown Financial Services exhibits compelling near-term pressure relief with Q2 earnings growth, share repurchase authorization, dividend increase, and strong technical uptrend, supported by expanding loan pipelines and a solid cash flow profile, driving a hot idea classification for the coming days.
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AI Analyst Overview
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Valuation Metrics
Fundamental Analysis
Key Financial Insights: ⢠Margin expansion ⢠Shrinking liquidity ⢠Concentrated deposits ORRF's Q3 2025 results show materially higher margins and lower EV multiples versus FY2024âbacked by positive FCF and moderate leverageâbut falling cash, earnings volatility and heavy deposit/investment concentration raise liquidity and risk concerns.
Price Behavior
Key Price Behavior Insights: ⢠Narrow range ⢠Resistance ~38 ⢠Support ~34 Support Level: $34 Resistance Level: $38 Over the last month ORRF traded a narrow $35â$36 range, holding support near $34 but stalling at resistance around $38 (peak $38.07 on 2025-12-11), signaling limited near-term upside.
Sentiment & News
Key News Insights: ⢠Institutional stake ⢠200-day breakout ⢠Wealth leadership Assenagon's purchase of 195,055 ORRF shares (~$6.63M), the stock's move above its 200âday MA, and a senior wealth-management hire together point to rising investor confidence and a strengthened strategic focus at Orrstown entering 2026.
AI Summary
ORRF has shifted from a pure rateâcycle trade to a leaner, diversified community bank where sustained margin improvement and scalable fee growth (wealth + mortgage) â not just higher rates â will determine whether its recent earnings stepâup is durable and justifies its cheap multiples. Monitor three actionable triggers: multiâquarter NIM âĽ4.1% with deposit repricing controlled, sequential fee income growth materially reducing NII reliance, and stabilization of cash/nonaccruals (or else downside risk rises).
Description
Orrstown Financial Services, Inc. is the holding company for Orrstown Bank, which provides retail and commercial banking products including deposit accounts and a range of lending solutions spanning commercial, residential mortgage, consumer and construction financing. The firm also offers fiduciary and trust services, investment advisory and insurance, and provides retail brokerage through a third-party broker/dealer. Founded in 1919 and based in Shippensburg, Pennsylvania, it operates branches across multiple counties in Pennsylvania and in several jurisdictions in Maryland, including Baltimore City.
Idea History
| Date | Close | Ticker | Company | Summary | Status | P/L |
|---|---|---|---|---|---|---|
| Sep 15 | Sep 22 | ORRF | Orrstown Financial Services, Inc. | Orrstown Financial Services exhibits compelling near-term pressure relief with Q2 earnings growth, share repurchase authorization, dividend increase, and strong technical uptrend, supported by expanding loan pipelines and a solid cash flow profile, driving a hot idea classification for the coming days. | Closed | +0.3% |