First Citizens BancShares (FCNCA) AI Stock Analysis

• Market Cap: $24.63B
• Dividend Yield: 0.42%
• Average Volume (3M): 74.47K
• Price to Earnings (P/E): 10.7
• Beta (1Y): 1.09
• Revenue Growth: 0.34%
• EPS Growth: -3.13%
• Country: US
• Employees: 17,191
• Sector: Financial
• Sector Strength: 77
• Industry: Banks - Regional
• EPS (TTM): 37.79
• Shares Outstanding: 12,283,675
• 10 Day Avg. Volume: 83,248
• 30 Day Avg. Volume: 74,473
• PEG Ratio: 0.43
• Price to Book (P/B): 1.22
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 6.32
• Enterprise Value/Market Cap: 0.26
• Enterprise Value/Revenue: 0.11
• Enterprise Value/Gross Profit: 0.70
• Enterprise Value/Ebitda: 0.45
• 1Y Price Target: $2,215.00
• Price Target Upside: 18.43% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 10

• Rating: 81 Outperform
• Price Target: $2,158.00 ▲(15.38%Upside)

First Citizens BancShares shows strong financial performance, robust valuation, and strategic management capabilities, despite a few challenges in noninterest income and macroeconomic uncertainties. The overall score reflects confidence in the company's ability to maintain its position and navigate future challenges effectively.

Positive Factors

Interest Rate Environment

A stronger jobs report and a 'hawkish cut' have led to increased bank exposure, benefiting FCNCA's stock performance.

Net Interest Income

Analysts expect a positive reaction in FCNCA's stock due to the potential for nearly 5% net interest income upside based on current rate expectations.

Stock Rating

Analysts have assigned an Outperform rating for FCNCA, reflecting confidence in its future performance.

Negative Factors

Earnings Estimates

Earnings estimates for 4Q24E have been adjusted downward due to modestly lower net interest income and higher expenses.

Stock Price Movement

FCNCA's stock experienced a 7% pullback, which may concern investors about short-term performance.

First Citizens BancShares Business Overview & Revenue Model

Company Description

First Citizens BancShares, Inc. operates as the holding company for First-Citizens Bank & Trust Company that provides retail and commercial banking services to individuals, businesses, and professionals. The company's deposit products include checking, savings, money market, and time deposit accounts. Its loan product portfolio comprises commercial construction and land development, commercial mortgage, commercial and industrial, and lease financing loans, as well as small business administration paycheck protection program loans; and consumer loans, such as residential and revolving mortgage, construction and land development, consumer auto, and other consumer loans. The company also offers treasury services products, cardholder and merchant services, wealth management services, and various other products and services; investment products, including annuities, discount brokerage services, and third-party mutual funds, as well as investment management and advisory services; and defined benefit and defined contribution, insurance, private banking, trust, fiduciary, philanthropy, and special asset services. The company provides its products and services through its branch network, as well as through digital banking, telephone banking, and various ATM networks. As of December 31, 2021, it operated 529 branches in Arizona, California, Colorado, Florida, Georgia, Kansas, Maryland, Missouri, North Carolina, New Mexico, Oklahoma, Oregon, South Carolina, Tennessee, Texas, Virginia, Washington, Wisconsin, and West Virginia. First Citizens BancShares, Inc. was founded in 1898 and is headquartered in Raleigh, North Carolina.

How the Company Makes Money

First Citizens BancShares generates revenue primarily through interest income from its lending activities, which include personal, commercial, and real estate loans. The interest earned on these loans, minus the interest paid on deposits, forms a significant portion of the company's net interest income. Additionally, the company earns non-interest income through fees and service charges related to deposit accounts, transaction processing, and other banking services. Wealth management and investment services also contribute to the company's revenue through advisory fees and commissions. Moreover, First Citizens BancShares benefits from strategic acquisitions and partnerships that expand its customer base and enhance its service offerings, further supporting its revenue growth.

First Citizens BancShares Financial Statement Overview

Summary

First Citizens BancShares exhibits strong financial health with consistent revenue growth and profitability. The balance sheet is well-managed, though the high leverage warrants close monitoring. Cash flows are positive and managed well, supporting the company's growth trajectory.

Income Statement

First Citizens BancShares demonstrates strong profitability with a consistent increase in total revenue over the years. The net profit margin and EBIT margin show robust performance, enhancing the overall financial strength. However, fluctuations in revenue growth rates indicate some volatility, which needs attention.

Balance Sheet

The company's balance sheet is solid with a low debt-to-equity ratio and strong equity levels. The return on equity is impressive, indicating efficient use of shareholders' capital. However, the equity ratio suggests that the company is highly leveraged, which could pose risks if not managed carefully.

Cash Flow

The cash flow position is generally positive, with a notable free cash flow growth, reflecting efficient cash management. The operating cash flow to net income ratio indicates healthy cash conversion. However, variations in free cash flow to net income ratios suggest potential instability in cash flow generation.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
14.94B	12.64B	5.10B	1.90B	1.92B
	Gross Profit
9.30B	7.58B	3.98B	1.88B	1.76B
	EBIT
3.59B	12.08B	1.36B	701.00M	618.00M
	EBITDA
3.72B	12.02B	1.90B	844.00M	751.00M
	Net Income Common Stockholders
2.78B	11.47B	1.10B	547.00M	492.00M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
56.09B	54.93B	14.54B	18.66B	11.72B
	Total Assets
223.72B	213.76B	109.30B	58.31B	49.96B
	Total Debt
37.41B	38.05B	7.00B	1.78B	1.89B
	Net Debt
15.23B	3.53B	1.45B	-7.67B	1.53B
	Total Liabilities
201.49B	192.50B	99.64B	53.57B	45.73B
	Stockholders Equity
22.23B	21.25B	9.66B	4.74B	4.23B
Cash Flow		Free Cash Flow
1.88B	1.23B	1.86B	-391.15M	206.63M
	Operating Cash Flow
2.99B	2.66B	2.79B	-283.78M	340.01M
	Investing Cash Flow
-10.15B	2.43B	75.00M	-7.57B	-9.87B
	Financing Cash Flow
7.07B	-4.70B	-2.69B	7.83B	9.52B

First Citizens BancShares Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1870.32
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FCNCA, the sentiment is Positive. The current price of 1870.32 is above the 20-day moving average (MA) of 1839.54, above the 50-day MA of 1818.67, and below the 200-day MA of 1970.90, indicating a neutral trend. The MACD of 4.42 indicates Negative momentum. The RSI at 57.34 is Neutral, neither overbought nor oversold. The STOCH value of 86.62 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FCNCA.

First Citizens BancShares Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FCNCA	81 Outperform	$24.63B	10.71	11.46%	0.42%	0.34%	-3.13%
FITB	77 Outperform	$26.26B	12.50	11.71%	3.76%	5.75%	0.68%
HBAN	77 Outperform	$23.08B	12.21	10.30%	3.91%	7.55%	17.46%
MTB	77 Outperform	$29.71B	12.40	9.39%	2.92%	1.20%	1.12%
RF	75 Outperform	$19.96B	10.72	11.33%	4.50%	1.05%	12.14%
CFG	72 Outperform	$18.09B	13.28	6.37%	4.03%	-2.37%	13.92%
Sector *	67 Neutral	$16.17B	10.98	9.72%	4.07%	11.95%	-10.49%

First Citizens BancShares Corporate Events

First Citizens BancShares Q1 2025 Earnings Report

First Citizens BancShares reported its first quarter 2025 earnings, highlighting solid financial results with loan and deposit growth across several segments. Despite a decrease in net income compared to the previous quarter due to increased income tax expenses, the company maintained strong capital and liquidity positions, returning $613 million to stockholders through share repurchases and issuing $1.25 billion in notes. The report also noted a decrease in net interest income and noninterest income, alongside a slight reduction in noninterest expenses, reflecting the company’s strategic financial management amidst market uncertainties.

First Citizens Ends Shared-Loss Agreement with FDIC

On April 7, 2025, First-Citizens Bank & Trust Company entered into a Termination Agreement with the FDIC to end the commercial shared-loss agreement related to its acquisition of Silicon Valley Bridge Bank’s assets. The termination was driven by the low likelihood of reaching the $5 billion loss threshold and will eliminate associated reporting responsibilities, impacting the company’s operational focus and simplifying its financial obligations.