First US Bancshares (FUSB) AI Stock Analysis

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First US Bancshares

(NASDAQ:FUSB)

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Rating:60Neutral

Price Target:$17.50▲(3.88% Upside)

Action:reiterated

Date:11/06/26

FUSB scores near the middle of the range. Financial performance is the dominant driver: the bank is growing steadily, has rebounded to $7.8 million in TTM net income, and generates reliable free cash flow, but profitability metrics remain modest, margins have compressed under higher funding costs, and the combination of declining equity and sharply higher borrowings warrants monitoring. Valuation is supportive, with a reasonable 11.9x P/E and a 1.7% dividend yield that is comfortably covered. Technicals are neutral, with the stock trading flat against its short-term averages though still above its 200-day line. A positive strategic update on growth, credit discipline, and digital expansion provides a small additional lift.

Positive Factors

Solid profitabilityHealthy profitability provides an earnings base for continued investment in banking operations and customer growth. Improvement versus 2025 indicates some operating recovery, while positive margins support resilience if lending conditions or funding costs remain challenging.

Negative Factors

Revenue contractionThe recent revenue decline signals weaker top-line momentum and could limit operating leverage if it persists. Margins remain profitable, but their deterioration from prior stronger years suggests that earnings power is not yet operating at its historical best.

First US Bancshares (FUSB) vs. SPDR S&P 500 ETF (SPY)

Market Cap: $85.87M
Dividend Yield: 1.66%
Average Volume (3M): 15.97K
Price to Earnings (P/E): 12.2
Beta (1Y): -0.02
Revenue Growth: 3.74%
EPS Growth: 43.52%
Country: US
Employees: 152
Sector: Financial
Sector Strength: 68
Industry: Banks - Regional

First US Bancshares Business Overview & Revenue Model

Company Description

First US Bancshares, Inc. functions as the holding company for First US Bank, which delivers a comprehensive suite of commercial banking products and services. Its deposit offerings encompass demand accounts, including non-interest-bearing options, i...

How the Company Makes Money

FUSB primarily makes money through its bank subsidiary by earning (1) net interest income and (2) noninterest income. Net interest income is generated by collecting interest and fees on loans and other interest-earning assets (such as certain securit...

First US Bancshares Financial Statement Overview

Summary

Blending the income statement (59), balance sheet (58), and cash flow (62) scores, First US Bancshares looks like a stable but unspectacular community bank. Revenue has grown nearly 50% since 2021 to $64.1 million TTM, net income rebounded to $7.8 million (12.2% margin), and free cash flow rose about 31% to $8.7 million. However, gross profitability has eroded from 88.6% to 62.6% on higher funding costs, return on equity of 7.6% is only mid-single-digit-plus, equity fell from $105.6 million to $96.6 million while borrowings jumped from $10.9 million to $41.0 million, and an 8.3% capital-to-assets ratio leaves a modest cushion.

Income Statement

59Neutral

Balance Sheet

58Neutral

Cash Flow

62Positive

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	64.09M	62.99M	61.84M	56.17M	44.35M	43.42M
Gross Profit	40.11M	37.01M	39.11M	40.40M	36.78M	38.46M
EBITDA	11.51M	9.68M	12.47M	13.05M	10.89M	7.76M
Net Income	7.79M	5.99M	8.17M	8.48M	6.86M	4.45M
Balance Sheet
Total Assets	1.16B	1.15B	1.10B	1.07B	994.67M	958.30M
Cash, Cash Equivalents and Short-Term Investments	205.21M	83.95M	71.10M	185.84M	160.95M	192.13M
Total Debt	41.00M	10.95M	20.87M	20.80M	30.70M	20.70M
Total Liabilities	1.07B	1.05B	1.00B	982.35M	909.53M	868.24M
Stockholders Equity	96.62M	105.65M	98.62M	90.59M	85.14M	90.06M
Cash Flow
Free Cash Flow	6.74M	9.08M	5.66M	11.60M	11.27M	9.00M
Operating Cash Flow	11.12M	12.32M	7.76M	13.07M	12.53M	9.82M
Investing Cash Flow	-16.13M	-28.12M	-30.35M	-60.45M	-80.20M	-108.31M
Financing Cash Flow	11.90M	42.13M	19.52M	67.51M	36.58M	65.32M

First US Bancshares Technical Analysis

Technical Analysis SentimentPositive

Last Price16.85

Price Trends

50DMA16.48Positive

100DMA16.48Positive

200DMA16.00Positive

Market Momentum

MACD0.05Negative

RSI61.59Neutral

STOCH83.56Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FUSB, the sentiment is Positive. The current price of 16.85 is above the 20-day moving average (MA) of 16.54, above the 50-day MA of 16.48, and above the 200-day MA of 16.00, indicating a bullish trend. The MACD of 0.05 indicates Negative momentum. The RSI at 61.59 is Neutral, neither overbought nor oversold. The STOCH value of 83.56 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FUSB.

First US Bancshares Risk Analysis

First US Bancshares disclosed 37 risk factors in its most recent earnings report. First US Bancshares 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

3 New Risks

1.Digital banking trends may create deposit volatility, which could adversely affect our operations, profitability and competitive position.Q4, 2025

2.The development and use of Artificial Intelligence ("AI") presents risks and challenges that may adversely impact our business.Q4, 2024

3.We are subject to numerous laws designed to protect consumers, including the CRA and fair lending laws, and a failure to comply with these laws could lead to a wide variety of sanctions.Q4, 2024

First US Bancshares Peers Comparison

Overall Rating

UnderperformOutperform

Sector (68)

Financial Indicators

FUSB against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BOTJ	72Outperform	$113.04M	9.39	14.94%	1.61%	7.06%	52.33%
Sector *	68Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
FUSB	60Neutral	$85.87M	12.21	7.58%	1.66%	3.74%	43.52%
UBCP	59Neutral	$83.19M	10.87	11.35%	6.52%	6.48%	-0.99%
SSBI	54Neutral	$79.60M	195.92	0.33%	―	-7.24%	―
BYFC	53Neutral	$107.82M	60.77	1.80%	―	16.69%	―
FNWB	42Neutral	$92.99M	-1051.61	-0.03%	―	-6.23%	99.32%

* Financial Sector Average

Performance Comparison

FUSB and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
FUSB	First Us Bancshares	16.85	3.69	28.04%
BOTJ	Bank Of The James Financial Group, Inc.	24.88	8.49	51.78%
BYFC	Broadway Financial	11.62	5.60	93.02%
SSBI	Summit State Bank	11.76	1.01	9.35%
UBCP	United Bancorp	14.56	2.50	20.74%
FNWB	First Northwest Bancorp	9.78	0.51	5.50%

First US Bancshares Corporate Events

Business Operations and StrategyFinancial Disclosures

First US Bancshares Highlights Strategic Growth and Expansion Plans

Positive

Oct 28, 2026

As of Sept. 30, 2026, First US Bancshares presented an investor update highlighting its status as a $1.165 billion-asset Nasdaq-listed community bank with 16 branches and a loan-to-deposit ratio of 83 percent. The release underscored the bank’s relia...

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: Nov 06, 2026

First US Bancshares AI Stock Analysis