Choiceone Finl Svcs Stock Price, News & Analysis

ChoiceOne Financial Services, Inc. (NASDAQ: COFS) is a financial holding company in the commercial banking industry and part of the finance and insurance sector. According to company disclosures, ChoiceOne is the parent corporation of ChoiceOne Bank, a community-focused bank that operates an extensive branch network across Michigan. ChoiceOne is headquartered in Sparta, Michigan, and its common stock is quoted on the Nasdaq Capital Market under the symbol COFS.

ChoiceOne functions as the holding company for a full-service banking institution. Based on the company’s description, it is engaged in providing personal and business banking solutions, borrowing solutions, and treasury notes and bonds services. Its product and services portfolio includes time, savings and demand deposits, safe deposit services, automated transaction machine services, and a range of commercial and consumer loans. These loans include commercial lending to business, industry, agricultural, construction, inventory, and real estate categories.

The bank’s primary market area, as described in prior information, includes Kent, Muskegon, Newaygo, and Ottawa counties in western Michigan, and Lapeer, Macomb, and St. Clair counties in southeastern Michigan in the communities where the bank’s offices are located. More recent company communications state that ChoiceOne Bank operates 56 offices in West, Central and Southeast Michigan, reflecting an expanded footprint following corporate transactions.

Corporate Structure and Subsidiaries

ChoiceOne Financial Services, Inc. is identified as a financial holding company and the parent of ChoiceOne Bank. ChoiceOne Bank is a Member FDIC. The bank also offers insurance and investment products through its subsidiary, ChoiceOne Insurance Agencies, Inc. This structure allows the organization to provide traditional banking services alongside insurance and investment products within the same corporate family.

Market Footprint and Community Banking Focus

Company news releases describe ChoiceOne as operating a community bank franchise with a network of offices across Michigan. Following the merger with Fentura Financial, Inc. and the consolidation of The State Bank into ChoiceOne Bank, the combined organization is described as having assets over $4 billion and 56 offices in West, Central and Southeast Michigan

ChoiceOne emphasizes serving its communities through local banking offices and expanded capabilities. In connection with the Fentura merger, the company highlighted that the combination is a geographical and cultural fit and that it allows the organization to extend its footprint into additional Michigan counties and enhance its ability to serve customers and communities.

Growth Through Merger with Fentura Financial, Inc.

On March 1, 2025, ChoiceOne completed the merger of Fentura Financial, Inc., the former parent company of The State Bank, with and into ChoiceOne, with ChoiceOne surviving the merger. On March 14, 2025, the consolidation of The State Bank with and into ChoiceOne Bank was completed, with ChoiceOne Bank surviving the consolidation. Company disclosures state that the total assets, loans and deposits acquired in the merger were approximately $1.8 billion, $1.4 billion and $1.4 billion, respectively.

After this merger and consolidation, ChoiceOne described the combined organization as a financial holding company with assets over $4 billion and 56 offices in West, Central and Southeast Michigan. The merger is also described as expanding ChoiceOne’s community bank franchise further into Central and Southeastern Michigan and offering greater range and capacity for commercial and consumer lending, as well as advancements in technology. The State Bank name was changed to ChoiceOne Bank as part of the consolidation.

Core Banking Products and Services

According to prior company descriptions, ChoiceOne’s banking operations include:

• Deposit products: time deposits, savings deposits and demand deposits.
• Banking services: safe deposit services and automated transaction machine services.
• Lending activities: commercial and consumer loans, and commercial lending to business, industry, agricultural, construction, inventory, and real estate categories.

These activities align with its classification in the commercial banking industry. Company communications also emphasize that the bank offers insurance and investment products through ChoiceOne Insurance Agencies, Inc.

Regulatory Status and Capital Position

ChoiceOne Bank is repeatedly described in company news releases as well-capitalized under applicable regulatory standards, with references to its total risk-based capital ratio at various dates. The organization is regulated as a financial holding company and bank holding company, with its banking subsidiaries being Members FDIC. The company also files periodic and current reports with the U.S. Securities and Exchange Commission, including Forms 10-K, 10-Q, and 8-K, and has referenced risk factors described in Item 1A of its Annual Report on Form 10-K and subsequent SEC filings.

Risk Management and Balance Sheet Management

ChoiceOne’s public communications describe several aspects of its balance sheet and risk management approach. The company has discussed managing its liquidity position by using brokered deposits and Federal Home Loan Bank (FHLB) advances, and by maintaining borrowing capacity secured by pledged assets, with the ability to increase capacity by utilizing unsecured federal fund lines and pledging additional assets.

The company has also described the use of interest rate swaps to manage interest rate exposure to certain fixed rate assets and variable rate liabilities. These pay-fixed interest rate swaps are designed to change in value as interest rates rise or fall, in a manner that offsets changes in unrealized losses on securities available for sale. The company has also indicated that it employs back-to-back swaps on select commercial loans, with the impact reflected in interest income.

Asset Quality and Loan Portfolio

In multiple quarterly results releases, ChoiceOne has stated that asset quality remains strong, with low levels of annualized net loan charge-offs to average loans and nonperforming loans to total loans (excluding loans held for sale). The company reports on its core loans, defined as loans excluding held for sale loans and loans to other financial institutions, and has highlighted both organic core loan growth and growth from the Fentura merger.

The company has also described loans to other financial institutions as consisting of a warehouse line of credit used to facilitate mortgage loan originations, with balances and rates that fluctuate in line with the national mortgage market. In addition, ChoiceOne has discussed valuation marks and accretion income related to loans acquired in the Fentura merger, including loans purchased with credit deterioration and loans purchased without credit deterioration, and how these marks are expected to be accreted into interest income over time.

Dividends and Shareholder Returns

ChoiceOne has announced cash dividends on its common stock in multiple news releases. For example, the company disclosed that its Board of Directors declared cash dividends on the corporation’s common stock, with specified per-share amounts and record and payment dates. These announcements note that the dividends are paid on the corporation’s common stock quoted on the Nasdaq Capital Market under the symbol COFS.

The company has also described equity capital actions, including the sale of additional shares of common stock that generated aggregate gross proceeds, and has noted how such transactions affected diluted earnings per share and shareholders’ equity.

Leadership and Governance

ChoiceOne has reported changes in its Board of Directors and leadership roles in SEC filings and press releases. For example, the company disclosed the retirement of its Chairman of the Boards of Directors pursuant to a mandatory retirement policy and the appointment of a new Chairman and Vice Chairwoman of the Boards of Directors. In a separate SEC filing, the company reported the appointment of a new director to fill a vacancy on the Board, and noted that the director was determined to be independent under Nasdaq listing standards and would serve on the Audit and Risk Committees.

Investor Communications and SEC Filings

ChoiceOne regularly furnishes information to investors through SEC filings, including Forms 8-K that attach press releases with quarterly and annual financial results, dividend announcements, merger updates, and investor presentation materials. For example, the company filed a Form 8-K on November 6, 2025, to furnish investor presentation materials as Exhibit 99.1, and Forms 8-K on multiple dates in 2025 to furnish press releases reporting quarterly results.

These filings are identified as being furnished to, and not filed with, the Commission for certain purposes, and they reference the availability of risk factor disclosures in the company’s Annual Report on Form 10-K and subsequent SEC filings.

Geographic Reach and Market Areas

ChoiceOne’s disclosures describe its geographic reach in Michigan. Earlier descriptions noted that ChoiceOne Bank operated offices in parts of Kent, Ottawa, Muskegon, Newaygo, Lapeer, St. Clair, Macomb, and Oakland counties. Following the merger with Fentura, the combined organization is described as operating 56 offices in West, Central and Southeast Michigan, and as extending its footprint into additional counties such as Genesee, Jackson, Livingston, Ingham, Saginaw, Shiawassee, and Bay counties through The State Bank prior to consolidation.

The company positions itself as a community bank franchise serving these regions, with references to community involvement, donations, and volunteer activities in connection with events such as the consolidation and name change of The State Bank to ChoiceOne Bank.