FB Financial (FBK) AI Stock Analysis

• Market Cap: $2.81B
• Dividend Yield: 1.42%
• Average Volume (3M): 482.22K
• Price to Earnings (P/E): 24.4
• Beta (1Y): 1.06
• Revenue Growth: 10.80%
• EPS Growth: -6.22%
• Country: US
• Employees: 1,490
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 1.07
• Shares Outstanding: 53,848,880
• 10 Day Avg. Volume: 640,640
• 30 Day Avg. Volume: 482,216
• PEG Ratio: -6.65
• Price to Book (P/B): 1.53
• Price to Sales (P/S): 3.13
• P/FCF Ratio: 18.17
• Enterprise Value/Market Cap: 1.12
• Enterprise Value/Revenue: 4.29
• Enterprise Value/Gross Profit: 7.58
• Enterprise Value/Ebitda: 27.17
• 1Y Price Target: $63.00
• Price Target Upside: 20.90% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5

• Rating: 64 Neutral
• Price Target: $56.00 ▲(7.46% Upside)

FB Financial's overall stock score reflects a stable financial position with strong profitability and successful strategic initiatives, such as the merger with Southern States Bankshares. However, recent revenue declines, low cash flow conversion, and challenges in deposit growth present risks. The technical analysis suggests mixed momentum, and the valuation indicates moderate pricing.

FB Financial Business Overview & Revenue Model

Company Description

FB Financial Corporation operates as a bank holding company for FirstBank that provides a suite of commercial and consumer banking services to businesses, professionals, and individuals. The company operates in two segments, Banking and Mortgage. It offers checking, demand, money market, and savings accounts; deposit and lending products and services to corporate, commercial, and consumer customers; and time deposits and certificates of deposits, as well as engages in the mortgage origination business. The company also provides owner-occupied and non-owner-occupied real estate commercial, residential real estate 1-4 family mortgage, multi-family residential, commercial and industrial, construction, land acquisition, residential lines of credit, and land development loans; and consumer and other loans, such as car, boat, and other recreational vehicle loans, as well as manufactured homes without real estate and personal lines of credit. In addition, the company offers mortgage banking services through its bank branch networks in the southeastern United States; an internet delivery channel; and trust, insurance, and investment services, as well as online and mobile banking services. As of December 31, 2021, it operated 82 full-service bank branches and 9 limited-service branches locations throughout Tennessee, North Alabama, Southern Kentucky, and North Georgia; and 23 mortgage offices throughout the southeastern United States. The company was formerly known as First South Bancorp, Inc. and changed its name to FB Financial Corporation in 2016. FB Financial Corporation was founded in 1906 and is headquartered in Nashville, Tennessee.

How the Company Makes Money

FB Financial generates revenue through multiple channels, primarily from net interest income, which is the difference between the interest earned on loans and the interest paid on deposits. This is a significant revenue stream for the company as it lends to consumers and businesses while maintaining a competitive interest rate on its deposit accounts. Additionally, FBK earns non-interest income through fees associated with various banking services, such as account maintenance, transaction services, and wealth management. The company also benefits from mortgage origination fees and gains from the sale of loans. Strategic partnerships with local businesses and community organizations enhance its market presence and drive customer acquisition, further contributing to its overall earnings.

FB Financial Financial Statement Overview

Summary

FB Financial demonstrates a stable financial position with strong profitability margins and a conservative leverage profile. However, recent revenue declines and low operating cash flow conversion are areas of concern. The company shows potential for improvement in cash flow management and return on equity.

Income Statement

FB Financial's income statement shows a mixed performance. The TTM data indicates a decline in revenue growth at -7.06%, which is concerning. However, the company maintains a healthy gross profit margin of 56.61% and a net profit margin of 12.37%. The EBIT and EBITDA margins are also solid at 13.77% and 15.29%, respectively. Despite the recent revenue decline, the company has demonstrated strong profitability metrics historically.

Balance Sheet

The balance sheet reflects a stable financial position with a low debt-to-equity ratio of 0.14 in the TTM period, indicating conservative leverage. The return on equity (ROE) is modest at 5.70%, suggesting room for improvement in generating returns on shareholder equity. The equity ratio is strong, indicating a solid capital structure with a significant portion of assets financed by equity.

Cash Flow

Cash flow analysis shows a significant improvement in free cash flow growth at 50.32% in the TTM period, indicating better cash management. However, the operating cash flow to net income ratio is low at 0.01, suggesting potential challenges in converting income into cash. The free cash flow to net income ratio is strong at 93.91%, reflecting efficient cash generation relative to net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	729.93M	766.77M	748.98M	596.35M	613.25M	616.50M
Gross Profit	412.97M	445.74M	475.25M	508.19M	616.62M	459.55M
EBITDA	115.20M	161.58M	165.13M	172.18M	256.94M	95.32M
Net Income	90.38M	116.03M	120.22M	124.56M	190.28M	63.62M
Balance Sheet
Total Assets	13.35B	13.16B	12.60B	12.85B	12.60B	11.21B
Cash, Cash Equivalents and Short-Term Investments	1.36B	1.74B	1.71B	2.29B	3.35B	2.37B
Total Debt	223.77M	246.55M	468.35M	494.99M	226.52M	299.69M
Total Liabilities	11.74B	11.59B	11.15B	11.52B	11.16B	9.92B
Stockholders Equity	1.61B	1.57B	1.45B	1.33B	1.43B	1.29B
Cash Flow
Free Cash Flow	119.48M	132.25M	190.84M	789.08M	48.78M	-275.94M
Operating Cash Flow	127.23M	138.80M	211.07M	799.71M	54.88M	-270.00M
Investing Cash Flow	-422.69M	-294.00M	-55.22M	-1.75B	-849.56M	309.42M
Financing Cash Flow	660.28M	386.76M	-371.98M	184.10M	1.27B	1.05B

FB Financial Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 52.11
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FBK, the sentiment is Neutral. The current price of 52.11 is below the 20-day moving average (MA) of 56.18, below the 50-day MA of 53.78, and above the 200-day MA of 48.45, indicating a neutral trend. The MACD of 0.34 indicates Positive momentum. The RSI at 38.71 is Neutral, neither overbought nor oversold. The STOCH value of 10.28 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for FBK.

FB Financial Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CVBF	71 Outperform	$2.56B	12.69	9.30%	4.31%	-5.14%	-0.70%
SBCF	69 Neutral	$2.57B	17.96	6.31%	2.46%	5.70%	18.72%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
BKU	67 Neutral	$2.72B	10.64	8.98%	3.37%	-2.80%	51.85%
PRK	67 Neutral	$2.49B	15.08	13.49%	3.08%	10.28%	22.73%
FBK	64 Neutral	$2.81B	24.37	5.85%	1.42%	10.80%	-6.22%
TOWN	64 Neutral	$2.74B	14.64	8.07%	3.08%	8.34%	14.44%

FB Financial Corporate Events

FB Financial Redeems Subordinated Notes on September 2

On September 2, 2025, FB Financial Corporation redeemed all of its outstanding 4.50% Fixed-to-Floating Rate Subordinated Notes due 2030. This redemption was executed at a price equal to 100% of the principal amount plus accrued interest, aligning with the terms set in August 2020.

FB Financial Discusses Merger at Bank Conference

On September 3, 2025, FB Financial Corporation’s management team presented at the Raymond James U.S. Bank Conference, discussing the company’s strategies and expectations, including the merger with Southern States Bancshares, Inc. The presentation highlighted potential impacts on operations and market positioning, while also addressing risks and uncertainties related to economic conditions and the merger.

FB Financial Reports Q2 2025 Financial Results

FB Financial Corporation reported its financial results for the second quarter of 2025, showing a net income of $2.9 million, or $0.06 per diluted share, a decrease from the previous quarter and the same quarter last year. However, the adjusted net income was significantly higher at $40.8 million, or $0.88 per diluted share. The company experienced growth in loans and deposits, with loans held for investment increasing to $9.87 billion and deposits rising to $11.40 billion. The net interest margin improved to 3.68%, and the company repositioned its balance sheet by selling low-yielding securities, resulting in a GAAP loss but enhancing liquidity and margin. The recent merger with Southern States Bancshares, Inc. positions FB Financial well for the second half of the year.

FB Financial Completes Merger with Southern States

On July 1, 2025, FB Financial completed its merger with Southern States Bancshares, resulting in FB Financial continuing as the surviving corporation and FirstBank as the surviving bank. Southern States shareholders received 0.800 shares of FB Financial stock per share, with the transaction valued at approximately $368.4 million. The merger expands FB Financial’s market presence and is expected to deliver long-term value for stakeholders. Additionally, J. Henry Smith IV was appointed to the board of directors, bringing extensive business management and bank governance experience.

FB Financial Shareholders Approve Merger Proposals

On June 26, 2025, FB Financial Corporation held a special shareholder meeting to discuss two key proposals related to a merger with Southern States Bancshares, Inc. The shareholders approved both the issuance of common stock for the merger and the potential adjournment of the meeting to gather additional votes if necessary, indicating strong support for the merger plan.

FB Financial Secures Approval for Southern States Merger

On June 12, 2025, FB Financial Corporation announced it had received all necessary regulatory approvals for its merger with Southern States Bancshares, Inc., with the transaction expected to close on July 1, 2025. This merger is anticipated to enhance FB Financial’s market position, although it carries potential risks related to integration and market conditions.