Bank Safety Analysis
Is Stearns Bank N.A. Safe?
Stearns Bank N.A. shows stress on 1 of 5 regulatory safety dimensions and is currently outside well-capitalized thresholds on at least one measure. Analysis based on the Q2 2026 call report.
Noncurrent loans to total loans climbed 0.90 percentage points in Q2 2026, from 3.31% to 4.21%. It was the largest change from Q1 2026 among the key lines here. Within Minnesota, Stearns Bank N.A. is 62nd of 161 on CET1 ratio, 15.39% as of Q2 2026, above the middle of the field. The median for banks in the $1B-10B asset tier is 13.48% on CET1 ratio. Stearns Bank N.A. sits 1.91 points higher, at 15.39% (Q2 2026). From Q3 2023 to Q2 2026, Stearns Bank N.A.'s CET1 ratio ranged between 13.39% (Q2 2025) and 21.25% (Q3 2023) and its Texas ratio ranged between 7.99% (Q1 2024) and 28.59% (Q2 2026). Compared with Q2 2025, Stearns Bank N.A.'s CET1 ratio from 13.39% to 15.39%, noncurrent loans to total loans from 2.79% to 4.21%, Texas ratio from 20.11% to 28.59%, return on assets from 1.67% to 2.11% in Q2 2026.
Data as of · sourced from FFIEC call reports. How we update
A relative risk score, not a calibrated probability: it ranks this bank against every other filer. Model AUC 0.988 (v20261005_114304). Trained on credit-driven community-bank failures, it carries little signal for interest-rate or deposit-flight risk, and its accuracy above roughly $10B in assets is not established, so a low score is not evidence of safety. See the methodology. This is not investment advice or a credit rating.
Scorecard by dimension
Peer cohort: banks with $1B to $10B in assets (931 banks) · Industry averages as of Q2 2026.
CET1 of 15.39% sits comfortably above the 6.5% well-capitalized threshold under Prompt Corrective Action and the 7.0% level required once the capital conservation buffer is included.
Tier 1 leverage of 15.42% is above the 5% well-capitalized threshold.
Nonperforming loans at 4.21% are at a stress-band level above 3%.
Texas Ratio of 28.6% is well below the 100% historical failure threshold.
Efficiency ratio of 53.2% reflects competitive operating costs (lower is better).
Risk screens
Latest filing (Q2 2026), passing screens included.
| Screen | Value | Trigger | Result |
|---|---|---|---|
| CET1 capital ratio supervisory threshold | 15.39% | Flags below 7% | Within range |
| Texas ratio BankRegReports band | 28.59% | Watch at 50%, concern at 100% | Within range |
| Non-performing loan ratio BankRegReports band | 4.21% | Flags at 3% or above | Flagged |
| Uninsured deposit share BankRegReports band | 15.89% | Watch at 50%, concern at 70% | Within range |
| Loan-to-deposit ratio BankRegReports band | 118.22% | Flags at 100% or above | Flagged |
| Commercial real estate to capital supervisory threshold | 141.71% | Watch at 200%, concern at 300% | Within range |
| Held-to-maturity unrealized loss to equity BankRegReports band | 0.00% | Watch at 10%, concern at 25% | Within range |
Capital ratio: last 12 quarters
| Quarter | CET1 (%) |
|---|---|
| Q2 2026 | 15.39% |
| Q1 2026 | 14.94% |
| Q4 2025 | 15.38% |
| Q3 2025 | 14.63% |
| Q2 2025 | 13.39% |
| Q1 2025 | 15.91% |
| Q4 2024 | 17.48% |
| Q3 2024 | 16.76% |
| Q2 2024 | 17.21% |
| Q1 2024 | 19.08% |
| Q4 2023 | 19.61% |
| Q3 2023 | 21.25% |
Texas Ratio: last 12 quarters
| Quarter | Texas Ratio (%) |
|---|---|
| Q2 2026 | 28.59% |
| Q1 2026 | 24.45% |
| Q4 2025 | 20.10% |
| Q3 2025 | 21.79% |
| Q2 2025 | 20.11% |
| Q1 2025 | 19.26% |
| Q4 2024 | 16.10% |
| Q3 2024 | 14.66% |
| Q2 2024 | 14.61% |
| Q1 2024 | 7.99% |
| Q4 2023 | 8.83% |
| Q3 2023 | 9.79% |
Stearns Bank N.A. by quarter
| Quarter end | CET1 | Noncurrent loans | Texas ratio | ROA |
|---|---|---|---|---|
| Jun 30, 2026 | 15.39% | 4.21% | 28.59% | 2.11% |
| Mar 31, 2026 | 14.94% | 3.31% | 24.45% | 2.12% |
| Dec 31, 2025 | 15.38% | 2.71% | 20.10% | 2.57% |
| Sep 30, 2025 | 14.63% | 2.91% | 21.79% | 3.33% |
| Jun 30, 2025 | 13.39% | 2.79% | 20.11% | 1.67% |
| Mar 31, 2025 | 15.91% | 3.03% | 19.26% | -0.41% |
| Dec 31, 2024 | 17.48% | 2.64% | 16.10% | 2.47% |
| Sep 30, 2024 | 16.76% | 2.46% | 14.66% | 1.34% |
| Jun 30, 2024 | 17.21% | 2.21% | 14.61% | 1.80% |
| Mar 31, 2024 | 19.08% | 1.02% | 7.99% | 1.02% |
| Dec 31, 2023 | 19.61% | 1.06% | 8.83% | 3.04% |
| Sep 30, 2023 | 21.25% | 1.41% | 9.79% | -0.26% |
Banks with a similar risk profile
4 banks in the same asset tier with the same overall verdict.
Frequently asked
Is Stearns Bank N.A. FDIC insured?
Yes. Stearns Bank N.A. is an FDIC-insured commercial bank (FDIC Certificate #10988). Customer deposits are protected up to the standard FDIC insurance limit of $250,000 per depositor, per ownership category.
Is Stearns Bank N.A. well capitalized?
Yes. Stearns Bank N.A. reports a CET1 Ratio of 15.39%, comfortably above the regulatory well-capitalized threshold that its primary federal regulator, the OCC, applies under Prompt Corrective Action.
What is Stearns Bank N.A.'s nonperforming loan ratio?
As of the most recent call report, Stearns Bank N.A.'s nonperforming loan ratio is 4.21%. Nonperforming loans at 4.21% are at a stress-band level above 3%.
What is Stearns Bank N.A.'s Texas Ratio?
Stearns Bank N.A.'s Texas Ratio is 28.59%. It compares nonperforming assets with tangible equity plus reserves; above 100% has historically signaled elevated failure risk.
How safe is my money at any FDIC-insured bank?
FDIC insurance covers up to $250,000 per depositor, per insured bank, per ownership category. If an insured bank fails, the FDIC typically pays insured depositors within one business day.
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Methodology & disclaimer
Based on the latest FFIEC call report. Model output is an estimate, not a credit rating, and this page is not investment advice. FDIC insurance covers deposits up to $250,000 per depositor per ownership category at any FDIC-insured bank, whatever its safety profile. See the methodology and full profile.
Regulator records: FDIC BankFind (cert 10988) · FFIEC NIC profile (RSSD 141556)
Explore: Full Stearns Bank N.A. profile · Other banks in MN · Metric glossary · How the call report works