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Simmons First National (SFNC)
NASDAQ:SFNC
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Simmons 1st Nat'l (SFNC) AI Stock Analysis

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SFNC

Simmons 1st Nat'l

(NASDAQ:SFNC)

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Neutral 61 (OpenAI - 5.2)
Rating:61Neutral
Price Target:
$24.50
â–²(13.85% Upside)
Action:Reiterated
Date:07/17/26
Overall score reflects pressured fundamentals from sharp TTM profitability deterioration and revenue decline, partially offset by strong cash generation and manageable leverage. Technicals are supportive with price above major moving averages and positive MACD. Valuation is balanced (good yield, but negative P/E), while the latest earnings call adds optimism via reiterated growth/expense targets despite funding-competition and credit/NPA risks.
Positive Factors
Strong cash generation
Sustained TTM operating cash flow and robust free cash flow provide an enduring source of internal funding for loan growth, provisions, investments and buybacks. This cash resilience cushions earnings volatility and supports strategic optionality even when GAAP profits are pressured.
Negative Factors
Severe recent profitability deterioration
A sharp drop to deeply negative net margins signals an earnings reset that undermines internal capital generation and return metrics. Unless revenue and margin trends reverse, the bank may need persistent cost cuts, capital actions or strategic shifts to restore durable profitability and ROE.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong cash generation
Sustained TTM operating cash flow and robust free cash flow provide an enduring source of internal funding for loan growth, provisions, investments and buybacks. This cash resilience cushions earnings volatility and supports strategic optionality even when GAAP profits are pressured.
Read all positive factors

Simmons 1st Nat'l (SFNC) vs. SPDR S&P 500 ETF (SPY)

Simmons 1st Nat'l Business Overview & Revenue Model

Company Description
Simmons First National Corporation serves as the parent organization for Simmons Bank, delivering a broad spectrum of banking and financial solutions to both individual and business clients. Its offerings include various deposit accounts such as c...
How the Company Makes Money
SFNC primarily makes money through its banking subsidiary by earning (1) net interest income and (2) noninterest income. Net interest income is generated from the spread between interest earned on loans and investment securities (e.g., commercial ...

Simmons 1st Nat'l Earnings Call Summary

Earnings Call Date:Jul 16, 2026
(Q2-2026)
|
% Change Since: |
Next Earnings Date:Oct 27, 2026
Earnings Call Sentiment Positive
Overall the call conveyed a constructive and improving operating picture: management highlighted tangible wins in deposit mix (notably non-interest-bearing and checking growth), strong loan production and a healthy pipeline, self-funding of investments through continued efficiency gains, and the expectation to beat expense and PPNR guidance. Headwinds were acknowledged — notably fierce deposit competition, potential upward pressure on deposit costs (especially if rates rise), a concentrated NPL migration including one construction loan with an 11% specific reserve, and competitive loan pricing — but management emphasized disciplined underwriting and confidence in credit metrics and capital. On balance, the positive execution items and reaffirmed guidance outweighed the risks discussed.
Positive Updates
Growth in High-Quality Deposits
Non-interest-bearing deposits grew 4% annualized in Q2; checking accounts increased over 1% year-over-year and quarter-over-quarter, and average interest-bearing money market/savings balances grew despite a lower period-end balance.
Negative Updates
Intense Deposit Competition and Cost Pressure
Management described deposit competition as 'very, very fierce.' Deposit cost exited the quarter around 190 basis points (quarter average 193 bps) with only one more quarter of potential benefit expected; modeled beta for deposit-cost sensitivity is ~45%, and a Fed rate increase would push costs higher.
Read all updates
Q2-2026 Updates
Negative
Growth in High-Quality Deposits
Non-interest-bearing deposits grew 4% annualized in Q2; checking accounts increased over 1% year-over-year and quarter-over-quarter, and average interest-bearing money market/savings balances grew despite a lower period-end balance.
Read all positive updates
Company Guidance
Management reiterated and updated 2026 targets: net interest income growth of 9%–11% YoY (comfortable at the top end mid‑year), loan growth of low‑to‑mid single digits (7% annualized YTD), and net charge‑offs around 25 bps annually; they expect to beat prior 2%–3% non‑interest expense growth guidance, driving >5% operating leverage and stronger PPNR. Deposit trends were highlighted (non‑interest‑bearing +4% annualized, checking +1% YoY/QoQ), deposit cost exited ≈190 bps (Q2 avg 193 bps) with a modeled beta ≈45% and an expected ~190–195 bps range if rates hold (one more quarter of benefit if no hike). Loan yields were essentially flat (‑1 bp Q/Q), with $1.8B of fixed‑rate loans repricing in 12 months at an average <4% providing a back‑book tailwind; capital remains ample (CET1 excess north of 10.5%, $161M buyback remaining) while efficiency moves continue (square footage ‑2.5% this quarter, ‑8.5% total, 15% target); a notable four‑family construction NPL carries an ~11% specific reserve.

Simmons 1st Nat'l Financial Statement Overview

Summary
Mixed fundamentals: cash flow is strong (TTM operating cash flow $459M; free cash flow $425M) and leverage appears manageable (TTM debt-to-equity 0.22) with stable equity, but the income statement has deteriorated sharply in TTM with revenue down ~8% and deeply negative profitability (net margin -63.5%), creating meaningful near-term earnings risk.
Income Statement
24
Negative
Balance Sheet
62
Positive
Cash Flow
68
Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue568.83M626.80M1.45B1.34B1.02B847.94M
Gross Profit44.96M36.36M715.97M750.42M861.07M799.62M
EBITDA-426.47M-474.97M217.42M248.48M355.52M379.68M
Net Income-361.40M-397.55M152.69M175.06M256.41M271.16M
Balance Sheet
Total Assets24.69B24.54B26.88B27.35B27.46B24.72B
Cash, Cash Equivalents and Short-Term Investments3.49B3.65B2.08B3.77B4.54B8.77B
Total Debt771.16M641.35M1.15B1.41B1.39B1.91B
Total Liabilities21.26B21.12B23.35B23.92B24.19B21.48B
Stockholders Equity3.44B3.42B3.53B3.43B3.27B3.25B
Cash Flow
Free Cash Flow421.75M423.05M380.42M507.89M286.93M229.92M
Operating Cash Flow456.00M461.19M425.92M540.98M322.20M277.78M
Investing Cash Flow1.26B1.56B369.51M-183.59M-946.23M-2.54B
Financing Cash Flow-1.80B-2.00B-722.15M-425.42M-344.50M438.46M

Simmons 1st Nat'l Technical Analysis

Technical Analysis Sentiment
Positive
Last Price21.52
Price Trends
50DMA
21.79
Positive
100DMA
20.82
Positive
200DMA
19.74
Positive
Market Momentum
MACD
0.37
Positive
RSI
63.62
Neutral
STOCH
71.28
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SFNC, the sentiment is Positive. The current price of 21.52 is below the 20-day moving average (MA) of 22.70, below the 50-day MA of 21.79, and above the 200-day MA of 19.74, indicating a bullish trend. The MACD of 0.37 indicates Positive momentum. The RSI at 63.62 is Neutral, neither overbought nor oversold. The STOCH value of 71.28 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SFNC.

Simmons 1st Nat'l Risk Analysis

Simmons 1st Nat'l disclosed 49 risk factors in its most recent earnings report. Simmons 1st Nat'l reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Simmons 1st Nat'l Peers Comparison

Overall Rating
UnderperformOutperform
Sector (68)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
78
Outperform
$3.11B16.077.50%1.34%43.33%94.72%
77
Outperform
$3.73B17.2311.11%3.14%6.86%13.91%
74
Outperform
$3.96B13.038.00%4.35%49.44%102.42%
68
Neutral
$18.00B11.429.92%3.81%9.73%1.22%
64
Neutral
$3.41B18.506.38%3.04%13.97%-15.75%
61
Neutral
$3.37B-7.67-10.51%4.41%-57.23%-320.45%
59
Neutral
$3.59B13.749.02%2.71%-5.12%11.35%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
SFNC
Simmons 1st Nat'l
23.25
4.02
20.92%
BKU
BankUnited
49.34
12.41
33.62%
CBU
Community Bank System
70.99
14.35
25.33%
TOWN
TowneBank
36.99
2.86
8.37%
WSBC
WesBanco
41.18
9.77
31.10%
FBK
FB Financial
60.42
12.35
25.70%

Simmons 1st Nat'l Corporate Events

Business Operations and StrategyStock BuybackFinancial Disclosures
Simmons First National Reports Solid Second Quarter Results
Positive
Jul 17, 2026
On July 16, 2026, Simmons First National Corporation reported second quarter 2026 results showing net income of $66.7 million, down modestly from the prior quarter but above the year-earlier period, with diluted EPS of $0.46 and adjusted diluted E...
Business Operations and StrategyShareholder Meetings
Simmons First Shareholders Approve Expanded Long-Term Incentive Plan
Positive
May 13, 2026
At its May 13, 2026 annual meeting in Little Rock, Simmons First National Corporation shareholders approved an amended and restated 2023 Stock and Incentive Plan, expanding the share pool available for equity awards to 7,350,000 shares and extendi...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 17, 2026