Alerus Financial Corporation (ALRS) Dividend Safety Gauge & 10-Year DRIP Compounder

Per the Roarable RQD rating, ALRS carries an RQD Score of 63 out of 100, a letter grade of C, and a verdict label of "Roarable Hold — Fair / Balanced Risk-Reward." Across the five pillars, the Fundamental Cash Engine scores 12 of 20, with ROIC of 3.1% and an FCF yield of 7.15%, indicating modest capital efficiency relative to the cash the company generates. The Whale 13F Flow pillar scores 14 of 20, reflecting institutional accumulation and options positioning, which is the strongest pillar in the rating. Insider Conviction scores 12 of 20 based on SEC Form 4 and Congressional PTR cluster flow, a middling reading. Macro Regime Fit scores 12 of 20, with Beta of 1.0 and sector sensitivity as the stated basis. Forensic Balance Sheet scores 13 of 20, supported by an Altman Z-Score of 2.5, a Piotroski F-Score of 4/9, and a Debt/Equity ratio of 0.5.

For a prospective investor evaluating the stock today, the upside drivers in this rating are the institutional flow signal and the cash-flow yield, while the valuation tradeoff is significant: the trailing P/E of 47.2 against a stated EPS (TTM) of 0.7 means the price embeds expectations well above current reported earnings power. The Piotroski F-Score of 4/9 and ROIC of 3.1% argue against treating the business as a high-quality compounder on the present evidence. The rating frames the stock as balanced rather than attractive or unattractive, and the distribution of pillar scores (none above 14 of 20) is consistent with that middle verdict.

Per the SEC financials, reported net income was $17.4M for FY 2025, $17.8M for FY 2024, and $11.7M for FY 2023, while FCF was $58.8M, $9.4M, and $26.8M respectively. Revenue and operating income are reported as $0.0M in each period and cannot be interpreted from the source data. Per the market data, gross, operating, and net margins are each reported as 0%, and ROIC is 3.1%. The Altman Z-Score of 2.5 and Piotroski F-Score of 4/9 are cited in the Roarable RQD rating, and Debt/Equity of 0.5 is also cited there. Balance sheet posture is characterized by the source as moderate on these metrics, though debt in the financials table is not available in source data.

The news wire contains six items, all tagged to ALRS and marked YELLOW, covering Alerus's Q3 2026 results and earnings call: a Yahoo Finance item on the Q3 earnings call, a TradingView estimates item, a Seeking Alpha item on the Q3 2026 earnings call presentation dated 2026-10-29, a Yahoo Finance headline reporting Q3 2026 net income of $19.2 Million, a MarketScreener item on Q3 and nine-month results, and a Quiver Quantitative item on the same $19.2 Million figure. The most consequential catalyst in the wire is the reported third-quarter 2026 net income of $19.2 Million, which is higher than the FY 2025 full-year net income figure in the SEC financials, though the wire does not provide the comparison basis. Risk watch items are not specified in the source data. The butterfly supply-chain graph reports no supply chain, no butterfly links, and no proprietary signals.

Supply chain: NONE. Butterfly links: none listed. Proprietary signals: none listed. Upstream and downstream dependencies, sector correlations, and second-order bottlenecks are not available in source data. The only sector-level information is the Financials / Major Banks classification and a stated Beta of 1.0.

• What is the revenue and operating income for each reported period, given that the financials table shows $0.0M for both?
• What is the basis for the reported $19.2 Million Q3 2026 net income relative to the FY 2025 and FY 2024 figures?
• What is the debt balance behind the Debt/Equity ratio of 0.5, since the debt field is N/A in every period?
• What drives the 47.2 trailing P/E given EPS (TTM) of 0.7, and how does the forward P/E of 43.9 reflect expected earnings?
• What specific institutional 13F, insider Form 4, and Congressional trades underlie the Whale and Insider pillar scores?