C&F Financial (CFFI) AI Stock Analysis

• Market Cap: $219.07M
• Dividend Yield: 2.69%
• Average Volume (3M): 6.70K
• Price to Earnings (P/E): 9.0
• Beta (1Y): 0.95
• Revenue Growth: 11.71%
• EPS Growth: 32.12%
• Country: US
• Employees: 545
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 2.38
• Shares Outstanding: 3,238,301
• 10 Day Avg. Volume: 4,825
• 30 Day Avg. Volume: 6,697
• PEG Ratio: -0.90
• Price to Book (P/B): 1.04
• Price to Sales (P/S): 1.41
• P/FCF Ratio: 6.72
• Enterprise Value/Market Cap: 1.50
• Enterprise Value/Revenue: 1.87
• Enterprise Value/Gross Profit: 2.77
• Enterprise Value/Ebitda: 9.67
• 1Y Price Target: $73.00
• Price Target Upside: 7.91% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 68 Neutral
• Price Target: $73.00 ▲(7.91% Upside)

C&F Financial's overall stock score reflects a solid financial performance with strong revenue growth and profitability, despite some leverage risks. The valuation is attractive, with a low P/E ratio and a decent dividend yield. However, technical indicators suggest a lack of momentum, which slightly offsets the positive financial and valuation aspects.

C&F Financial Business Overview & Revenue Model

Company Description

C&F Financial Corporation operates as a bank holding company for Citizens and Farmers Bank that provides banking services to individuals and businesses. The company's Retail Banking offers various banking services, including checking and savings deposit accounts, as well as business, real estate, development, mortgage, home equity, and installment loans. It also provides ATMs, Internet and mobile banking, and debit and credit cards, as well as safe deposit box rentals, notary public, electronic transfer, and other customary bank services. This segment offers its services through its main office in West Point, Virginia, as well as through 30 Virginia branches located 1 each in Albermarle, Goochland, Hanover, Middlesex, Powhatan, Stafford, York, Charlottesville, Hampton, Montross, Newport News, Richmond, Warsaw, and Williamsburg; 2 each in the counties of Cumberland, James City, King George, and New Kent; and four each in the counties of Chesterfield and Henrico. The company's Mortgage Banking segment provides various residential mortgage loans; originates conventional mortgage loans, mortgage loans insured by the Federal Housing Administration, and mortgage loans guaranteed by the United States Department of Agriculture and the Veterans Administration; and ancillary mortgage loan origination services for residential appraisals, as well as various mortgage origination functions to third parties. It provides mortgage loan origination services through 11 offices in Virginia, 1 office in Maryland, and 2 offices in North Carolina, as well as through 1 each in South Carolina and West Virginia. The company's Consumer Finance segment provides automobile loans through its offices in Richmond and Hampton, Virginia. It also offers brokerage and wealth management services; and insurance products. In addition, the company provides title and settlement agency, and insurance services. C&F Financial Corporation was founded in 1927 and is headquartered in West Point, Virginia.

How the Company Makes Money

C&F Financial generates revenue through several key streams. The primary source is net interest income from its banking operations, which includes interest earned on loans and other financial products, minus interest paid on customer deposits and borrowings. Additionally, the company earns non-interest income from its mortgage banking segment, which includes fees from mortgage origination, servicing, and secondary market activities. Investment services also contribute to revenue through advisory fees and commissions. Strategic partnerships with other financial institutions and service providers help enhance C&F Financial's product offerings and expand its customer base, further driving profitability.

C&F Financial Financial Statement Overview

Summary

C&F Financial exhibits strong revenue and profit margins, with an effective cost structure and steady growth. The balance sheet reflects a moderate debt level but a low equity ratio, highlighting leverage risks. Cash flow generation is stable, with good conversion of income to cash, although negative investing cash flows may impact liquidity. Overall, the financial health is solid but requires careful monitoring of leverage and investment activities.

Income Statement

C&F Financial has demonstrated consistent revenue growth with a TTM growth rate of 9.53% from the previous year. The Gross Profit Margin stands at 80.65%, indicating strong profitability in core operations. However, there is a decline in EBIT Margin to 19.39%, suggesting rising operational costs. The Net Profit Margin is healthy at 14.28%, reflecting efficient cost management and profitability.

Balance Sheet

The company's Debt-to-Equity Ratio is 0.51, which indicates a manageable level of debt. The Return on Equity (ROE) is 9.30%, showcasing decent returns for shareholders. The Equity Ratio is 8.98%, relatively low, suggesting higher leverage risk which is typical in the banking industry but warrants attention.

Cash Flow

C&F Financial's Free Cash Flow increased by 7.23%, showcasing positive cash generation. The Operating Cash Flow to Net Income Ratio of 1.87 indicates robust cash earnings relative to reported profits. However, the company's cash flows from investing activities are negative, primarily due to capital expenditures, which could affect future cash reserves.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	176.24M	166.51M	149.76M	123.45M	139.97M	148.21M
Gross Profit	118.86M	110.44M	115.05M	112.39M	131.04M	123.75M
EBITDA	34.00M	27.99M	33.04M	41.32M	42.82M	33.41M
Net Income	24.48M	19.83M	23.60M	29.16M	28.67M	22.12M
Balance Sheet
Total Assets	2.69B	2.56B	2.44B	2.33B	2.26B	2.09B
Cash, Cash Equivalents and Short-Term Investments	373.69M	132.04M	537.60M	539.25M	640.82M	373.06M
Total Debt	146.13M	122.61M	109.54M	92.08M	90.46M	76.17M
Total Liabilities	2.45B	2.34B	2.22B	2.14B	2.05B	1.89B
Stockholders Equity	240.31M	226.36M	216.88M	195.63M	210.32M	193.81M
Cash Flow
Free Cash Flow	31.43M	35.00M	37.35M	87.17M	152.60M	-90.60M
Operating Cash Flow	34.72M	38.49M	38.81M	90.56M	157.39M	-80.37M
Investing Cash Flow	-166.03M	-148.64M	-56.34M	-411.28M	-138.69M	-183.29M
Financing Cash Flow	166.84M	100.58M	66.03M	79.64M	162.38M	184.90M

C&F Financial Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 67.65
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CFFI, the sentiment is Neutral. The current price of 67.65 is below the 20-day moving average (MA) of 69.10, below the 50-day MA of 68.08, and below the 200-day MA of 68.11, indicating a bearish trend. The MACD of -0.53 indicates Positive momentum. The RSI at 45.97 is Neutral, neither overbought nor oversold. The STOCH value of 28.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for CFFI.

C&F Financial Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CBNA	80 Outperform	$210.35M	9.76	17.07%	―	―	―
LCNB	73 Outperform	$212.50M	10.03	8.28%	5.87%	14.84%	169.99%
HWBK	71 Outperform	$209.73M	10.26	14.00%	2.57%	2.03%	390.32%
CFFI	68 Neutral	$219.07M	8.95	10.67%	2.69%	11.71%	32.12%
FSFG	68 Neutral	$219.37M	10.14	12.26%	2.00%	7.93%	134.03%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
FCCO	67 Neutral	$210.27M	12.29	11.85%	2.22%	16.07%	57.29%

C&F Financial Corporate Events

C&F Financial Declares Regular Cash Dividend

On August 20, 2025, C&F Financial Corporation announced that its board of directors declared a regular cash dividend of 46 cents per share, payable on October 1, 2025, to shareholders of record as of September 15, 2025. The board regularly reviews dividend amounts in consideration of economic conditions, capital requirements, and future earnings, indicating a strategic approach to maintaining shareholder value.

C&F Financial Reports Strong Q2 2025 Net Income Growth

On July 24, 2025, C&F Financial Corporation announced a significant increase in its net income for the second quarter and first six months of 2025, compared to the same periods in 2024. The company’s net income rose by 54.3% for the second quarter and 55.4% for the first six months, driven by loan and deposit growth in its community banking segment and increased loan originations in its mortgage banking segment. Despite challenges in the auto loan market, the company is optimistic about its operational efficiency initiatives and technology investments. The expansion into Southwest Virginia is expected to strengthen its position as a leading community bank in the region.

C&F Financial Issues $40M Subordinated Notes

On June 6, 2025, C&F Financial Corporation entered into a Subordinated Note Purchase Agreement, issuing $40 million in subordinated notes due 2035. These notes, initially bearing a 7.50% interest rate, are structured to qualify as Tier 2 capital and will be used to refinance existing subordinated debt. Concurrently, the company repurchased $20 million of its 4.875% notes due 2030, thereby managing its debt obligations effectively.

C&F Financial Declares Regular Cash Dividend

On May 21, 2025, C&F Financial Corporation announced that its board of directors declared a regular cash dividend of 46 cents per share, payable on July 1, 2025, to shareholders of record as of June 13, 2025. This decision reflects the board’s ongoing assessment of economic conditions, capital requirements, and anticipated earnings, indicating a stable financial outlook for the company and its commitment to returning value to shareholders.