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S&T Bancorp (STBA)
NASDAQ:STBA
US Market
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S&T Bancorp (STBA) AI Stock Analysis

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STBA

S&T Bancorp

(NASDAQ:STBA)

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Outperform 76 (OpenAI - 5.2)
Rating:76Outperform
Price Target:
$58.00
▲(11.26% Upside)
Action:Reiterated
Date:08/07/26
STBA scores well primarily on solid financial fundamentals (healthy margins, conservative leverage, and supportive cash generation) despite recent revenue contraction. The latest earnings call reinforces a positive near-term outlook with stable margin guidance, expected loan growth, and strong asset quality, while technicals support a constructive trend. Valuation is also favorable for the profile, helped by a moderate P/E and a ~2.7% dividend yield.
Positive Factors
Conservative Leverage
A low debt-to-equity (~0.20) and a sizable equity base materially strengthen balance sheet resilience. Over 2–6 months this conservative leverage supports loss absorption, preserves regulatory capital headroom for lending or buybacks, and reduces refinancing and liquidity risk during stress.
Negative Factors
Softer Revenue Growth
A negative TTM revenue trend signals slower top-line momentum that can persist absent new revenue drivers. Over 2–6 months weaker revenue constrains operating leverage, limits scope for margin expansion, and increases reliance on capital returns or cost control to sustain EPS growth.
Read all positive and negative factors
Positive Factors
Negative Factors
Conservative Leverage
A low debt-to-equity (~0.20) and a sizable equity base materially strengthen balance sheet resilience. Over 2–6 months this conservative leverage supports loss absorption, preserves regulatory capital headroom for lending or buybacks, and reduces refinancing and liquidity risk during stress.
Read all positive factors

S&T Bancorp (STBA) vs. SPDR S&P 500 ETF (SPY)

S&T Bancorp Business Overview & Revenue Model

Company Description
S&T Bancorp, Inc. operates as the parent company for S&T Bank, providing a comprehensive range of retail and commercial banking products and services. The company's business activities are structured into six main divisions: Commercial Real Estate...
How the Company Makes Money
S&T Bancorp makes money primarily through (1) net interest income and (2) noninterest income. Net interest income is earned from the spread between interest income generated on earning assets (such as commercial loans, consumer loans, residential ...

S&T Bancorp Earnings Call Summary

Earnings Call Date:Jul 23, 2026
(Q2-2026)
|
% Change Since: |
Next Earnings Date:Oct 15, 2026
Earnings Call Sentiment Positive
The call conveyed a largely positive performance: solid earnings growth (net income +8.5% QoQ, +22.9% YoY), expanding margin, loan growth, improving efficiency and strong asset quality. Management also demonstrated active capital management (significant buybacks) and continued investment in C&I capabilities. Key risks highlighted were competitive deposit pricing that could push funding costs higher after Q3, the headwind from permanent CRE payoffs, modest expense increases, and the capital/ratio effects of prior repurchases. These negatives were described as manageable and the company presented multiple levers (ongoing deposit growth, operating leverage, disciplined underwriting, selective buyback moderation and potential M&A) to address them.
Positive Updates
Strong Profitability and Return Metrics
Net income of $36.6M, or $1.20 per diluted share, up 8.5% QoQ and 22.9% YoY; ROA 1.49%, ROE 10.375% and ROTCE >14%, reflecting higher earnings, share repurchases and disciplined operations.
Negative Updates
Expense Pressures and Lumpiness
Non-interest expense increased by ~$2M in Q2, driven by higher salaries (merit increases effective April), higher medical costs, recruiting fees, T&E and other items. Management targets year-over-year non-interest expense growth up to ~3% and a quarterly run rate near $58M, indicating limited incremental cost flexibility in near term.
Read all updates
Q2-2026 Updates
Negative
Strong Profitability and Return Metrics
Net income of $36.6M, or $1.20 per diluted share, up 8.5% QoQ and 22.9% YoY; ROA 1.49%, ROE 10.375% and ROTCE >14%, reflecting higher earnings, share repurchases and disciplined operations.
Read all positive updates
Company Guidance
Management guided to mid-single-digit annualized loan growth for the remainder of 2026 (Q2 loan growth $99M, ~5% annualized; total loans >$8.0B) with average loan balances expected to grow and deposit growth (YTD deposits up ~8% annualized; DDA 28% of deposits) anticipated to self-fund that growth while broker deposits were reduced $100M in Q2 ($180M YTD). They expect net interest margin to remain stable in the high‑3.90s for the next several quarters (Q2 NIM 3.99; NII $90.4M) and believe they are roughly neutral to +/-25–50 bps of rate moves given swap tailwinds and back‑book repricing. For the back half of 2026 management expects non‑interest fee income of about $14M per quarter, will manage non‑interest expense to at most ~3% YoY (implying a quarterly run rate of ~ $58M), and expects continued asset‑quality stability (Q2 net charge‑offs $1M; NPAs down $9.7M to $40.2M, 0.5% of loans+OREO; ACL ~1.16%). Capital actions remain active—management has repurchased ~3.2M shares (~8%) for ~$133M over three quarters (Q2 repurchase 1.1M shares for $47.6M at $44.24 avg) and the board authorized an additional $100M, though buyback pace may be moderated at current prices; regulatory/size considerations include crossing the ~$10B threshold in H2 (management noted approximately a $6M impact phased into 2027–28).

S&T Bancorp Financial Statement Overview

Summary
Solid profitability and stability: TTM net margin (~25%) and EBIT margin (~29%) remain healthy, leverage is conservative (debt-to-equity ~0.20), and FCF slightly exceeds net income (FCF/NI ~1.01). The key offset is softer growth, with latest TTM revenue contracting (-2.503) and profitability below 2022–2023 peak levels, plus some variability in cash conversion (OCF/NI not consistently strong).
Income Statement
70
Positive
Balance Sheet
78
Positive
Cash Flow
74
Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue558.86M568.51M564.96M535.52M399.01M353.96M
Gross Profit390.94M394.70M383.76M389.14M365.68M324.59M
EBITDA160.90M175.05M175.68M186.32M177.96M147.15M
Net Income140.64M134.23M131.26M144.78M135.52M110.34M
Balance Sheet
Total Assets9.94B9.87B9.66B9.55B9.11B9.49B
Cash, Cash Equivalents and Short-Term Investments217.82M1.15B1.23B1.20B1.21B1.83B
Total Debt275.28M310.95M250.31M503.63M439.19M161.31M
Total Liabilities8.54B8.41B8.28B8.27B7.93B8.28B
Stockholders Equity1.40B1.46B1.38B1.28B1.18B1.21B
Cash Flow
Free Cash Flow147.73M128.85M170.37M165.53M236.57M211.24M
Operating Cash Flow147.87M133.62M173.37M171.75M240.43M214.85M
Investing Cash Flow-134.43M-314.80M-118.29M-444.22M-398.68M13.24M
Financing Cash Flow1.26M99.80M-43.87M296.07M-554.05M464.46M

S&T Bancorp Risk Analysis

S&T Bancorp disclosed 29 risk factors in its most recent earnings report. S&T Bancorp 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

S&T Bancorp Peers Comparison

Overall Rating
UnderperformOutperform
Sector (68)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
81
Outperform
$1.92B13.5612.17%2.48%21.78%43.92%
76
Outperform
$1.82B13.719.74%2.74%2.44%10.69%
73
Outperform
$1.86B13.6710.23%2.48%3.50%23.44%
68
Neutral
$1.87B52.854.09%9.21%234.88%
68
Neutral
$18.00B11.429.92%3.81%9.73%1.22%
66
Neutral
$1.94B16.946.47%2.94%8.27%-23.33%
63
Neutral
$2.54B11.0211.64%0.88%-5.27%9.27%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
STBA
S&T Bancorp
51.14
14.91
41.17%
GABC
German American Bancorp
51.38
13.11
34.26%
TCBK
Trico Bancshares
57.57
16.24
39.31%
TFIN
Triumph Financial
78.22
24.45
45.47%
NBHC
National Bank Holdings
43.53
7.01
19.19%
MBIN
Merchants Bancorp
54.88
23.24
73.45%

S&T Bancorp Corporate Events

DividendsFinancial Disclosures
S&T Bancorp Announces Increased Quarterly Cash Dividend
Positive
Aug 5, 2026
On August 5, 2026, ST Bancorp’s board of directors approved a cash dividend of $0.37 per share, marking an increase of $0.03, or 8.82 percent, compared with the same period a year earlier. Based on the August 4, 2026, closing share price of ...
Business Operations and StrategyFinancial Disclosures
S&T Bancorp Unveils Q2 2026 Strategic Investor Update
Positive
Jul 27, 2026
ST Bancorp has released an updated investor presentation for the second quarter of 2026 outlining its corporate profile, operating footprint and strategic roadmap. The materials, led by chief executive Christopher J. McComish and chief financial o...
Business Operations and StrategyExecutive/Board ChangesShareholder Meetings
S&T Bancorp shareholders back board, governance and committees
Positive
May 15, 2026
On May 12, 2026, ST Bancorp shareholders elected 11 directors to one-year terms, ratified Ernst Young LLP as the independent auditor for fiscal 2026, and approved on an advisory basis the compensation of the company’s named executive office...
Business Operations and StrategyRegulatory Filings and Compliance
S&T Bancorp Updates Bylaws and Governance Structure
Neutral
May 15, 2026
On May 12, 2026, ST Bancorp, Inc.’s board of directors amended and restated the company’s bylaws to update director eligibility and mandatory retirement provisions. The changes removed obsolete rules for so‑called Grandfathered D...
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: Aug 07, 2026