First Bank (FRBA) AI Stock Analysis

• Market Cap: $388.58M
• Dividend Yield: 1.54%
• Average Volume (3M): 48.77K
• Price to Earnings (P/E): 10.2
• Beta (1Y): 0.73
• Revenue Growth: 11.18%
• EPS Growth: 24.61%
• Country: US
• Employees: 315
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 0.47
• Shares Outstanding: 25,134,403
• 10 Day Avg. Volume: 38,783
• 30 Day Avg. Volume: 48,766
• PEG Ratio: 0.11
• Price to Book (P/B): 0.86
• Price to Sales (P/S): 1.54
• P/FCF Ratio: 14.30
• Enterprise Value/Market Cap: 1.92
• Enterprise Value/Revenue: 3.15
• Enterprise Value/Gross Profit: 5.70
• Enterprise Value/Ebitda: 13.48
• 1Y Price Target: $18.50
• Price Target Upside: 19.12% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 67 Neutral
• Price Target: $16.50 ▲(6.25% Upside)

First Bank's overall stock score reflects solid financial performance and attractive valuation, offset by bearish technical indicators and challenges highlighted in the earnings call. The company's strategic initiatives and strong loan and deposit growth are positive, but increased leverage and liquidity concerns warrant caution.

First Bank Business Overview & Revenue Model

Company Description

First Bank (FRBA) is a community bank headquartered in the United States, primarily serving the local markets through a range of financial products and services. The bank operates in the retail banking sector, focusing on personal banking, business banking, and wealth management services. Core offerings include savings and checking accounts, loans (such as mortgages, auto loans, and small business loans), and investment services, aimed at catering to both individual and commercial customers.

How the Company Makes Money

First Bank generates revenue through various channels primarily centered around interest income and fee-based services. The bank earns interest income by lending money to consumers and businesses at rates higher than the interest it pays on deposits. Key revenue streams include mortgage loans, personal loans, and commercial loans, which typically have longer repayment terms and higher interest rates. Additionally, First Bank collects fees from account maintenance, overdrafts, ATM usage, and transaction services. Strategic partnerships with local businesses and financial technology firms also enhance its service offerings and customer base, contributing to overall earnings.

First Bank Financial Statement Overview

Summary

First Bank demonstrates strong financial health with consistent revenue and profit growth, manageable debt levels, and solid cash flow generation. While there is some pressure on margins, the bank's growth trajectory remains positive, supported by a robust balance sheet and efficient cash management.

Income Statement

First Bank has shown strong revenue growth with a consistent rise in total revenue from $95.55 million in 2020 to $231.67 million TTM. The gross profit margin remains healthy at approximately 55.4% TTM. The net profit margin is solid at 16.9% TTM, indicating efficient cost management. However, there is a slight decline in EBIT and EBITDA margins compared to previous years, suggesting increased operational costs.

Balance Sheet

The balance sheet reflects a stable financial position with a debt-to-equity ratio of 0.75, indicating manageable leverage. The equity ratio stands at 10.7%, showing a stable equity base. Return on equity is robust at 9.4% TTM, but there is room for improvement. The growth in total assets over the years demonstrates expanding operations.

Cash Flow

First Bank's cash flow performance is commendable with a growing free cash flow from $24.15 million in 2020 to $34.58 million TTM. The operating cash flow to net income ratio is 0.96, suggesting strong cash generation relative to earnings. The free cash flow to net income ratio is 0.88, reflecting good conversion of earnings into free cash flow, although there is a notable increase in investing cash outflows.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	237.22M	229.44M	173.30M	112.38M	98.87M	95.55M
Gross Profit	131.20M	128.68M	95.86M	94.62M	89.64M	66.37M
EBITDA	55.48M	59.47M	30.01M	49.44M	48.30M	27.86M
Net Income	38.28M	42.24M	20.90M	36.29M	35.43M	19.45M
Balance Sheet
Total Assets	4.02B	3.78B	3.61B	2.73B	2.52B	2.35B
Cash, Cash Equivalents and Short-Term Investments	407.19M	326.07M	309.32M	212.59M	251.26M	161.57M
Total Debt	391.14M	276.89M	234.40M	120.66M	124.90M	190.64M
Total Liabilities	3.60B	3.37B	3.24B	2.44B	2.26B	2.11B
Stockholders Equity	422.38M	409.16M	370.90M	289.56M	266.67M	238.11M
Cash Flow
Free Cash Flow	15.45M	24.72M	140.72M	34.97M	27.85M	24.15M
Operating Cash Flow	18.87M	27.63M	143.84M	36.88M	28.04M	24.51M
Investing Cash Flow	-276.26M	-107.20M	20.33M	-233.07M	7.04M	-327.18M
Financing Cash Flow	361.52M	123.53M	-62.13M	167.60M	23.95M	316.36M

First Bank Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 15.53
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FRBA, the sentiment is Neutral. The current price of 15.53 is below the 20-day moving average (MA) of 15.71, below the 50-day MA of 16.19, and above the 200-day MA of 15.05, indicating a neutral trend. The MACD of -0.23 indicates Negative momentum. The RSI at 46.94 is Neutral, neither overbought nor oversold. The STOCH value of 55.28 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for FRBA.

First Bank Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CIVB	72 Outperform	$404.03M	8.28	10.02%	3.11%	6.20%	18.80%
CWBC	71 Outperform	$402.70M	11.82	8.91%	2.28%	32.03%	170.90%
OBT	70 Outperform	$323.78M	9.47	13.74%	2.11%	6.60%	-16.86%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
FRBA	67 Neutral	$388.58M	10.21	9.40%	1.54%	11.18%	24.61%
BMRC	62 Neutral	$379.27M	54.56	1.58%	4.22%	23.26%	―
MSBI	55 Neutral	$341.03M	10.95	-16.48%	7.59%	14.49%	-380.35%

First Bank Corporate Events

First Bank Reports Q2 2025 Financial Results

First Bank is a New Jersey state-chartered bank operating in the financial services sector, offering a comprehensive range of deposit and loan products across its 27 branches in New Jersey, Pennsylvania, and Florida. In its second quarter of 2025 earnings report, First Bank reported a net income of $10.2 million, a slight decrease from the previous year’s $11.1 million. The bank highlighted significant loan growth, a stable net interest margin, and strong operating efficiency as key performance indicators. Total loans increased to $3.33 billion, marking an 11.3% annualized growth from the previous quarter, while deposits rose to $3.17 billion, reflecting a 6.2% annualized increase. The bank maintained a stable net interest margin of 3.65% and reported a tangible book value per share increase of 11.1% annualized. Despite a rise in credit loss expenses due to loan growth, the bank’s asset quality remained strong with a decrease in nonperforming assets. Looking ahead, First Bank anticipates a moderation in loan growth in the latter half of 2025, focusing on relationship-building and profitability amidst competitive market conditions. The bank aims to enhance shareholder returns through prudent capital management and strategic investments.

First Bank’s Earnings Call: Growth Amid Challenges

First Bank’s recent earnings call revealed a balanced sentiment, highlighting both significant financial growth and underlying challenges. The company reported robust loan and deposit growth, increased net interest income, and a successful debt offering. However, concerns were raised regarding an elevated loan-to-deposit ratio, rising noninterest expenses, and increased credit loss expense, painting a picture of both optimism and caution.