Overview
U.S. bank holding company's Q4 adjusted EPS beat analyst expectations
Net interest margin improved to 3.38%, up from Q4 2024
Company entered Texas market with new team of commercial bankers
Outlook
ServisFirst Bancshares expects solid financial performance in 2026
Result Drivers
NET INTEREST MARGIN - Improvement to 3.38% driven by reduction in interest-bearing deposit costs and strategic focus on margin expansion, per CFO David Sparacio
LOAN GROWTH - Loans grew by $384.9 mln, or 12% annualized, during the quarter, reflecting improved outlook and efforts of banking team, per CEO Tom Broughton
NON-INTEREST INCOME - Significant increase driven by bank-owned life insurance income, which rose by $6.0 mln, or 282.4%, from Q4 2024
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q4 Adjusted EPS | Beat | $5.25 | $1.38 (3 Analysts) |
Q4 EPS | $1.58 | ||
Q4 Net Income | $86.38 mln | ||
Q4 Net Interest Income | $146.52 mln | ||
Q4 Credit Loss Provision | $7.92 mln |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the banks peer group is "buy"
Wall Street's median 12-month price target for ServisFirst Bancshares Inc is $89.00, about 13.7% above its January 16 closing price of $78.26
The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 13 three months ago
Press Release: ID:nGNX9fnYwM
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)