36.85 USD
+1.55 (+4.39%)
36.85 USD
0 (0%)
Overall FRME gets a fundamental rating of 4 out of 10. We evaluated FRME against 388 industry peers in the Banks industry. There are concerns on the financial health of FRME while its profitability can be described as average. FRME has a correct valuation and a medium growth rate. FRME also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
FRME had positive earnings in the past year.
In the past year FRME had a positive cash flow from operations.
Each year in the past 5 years FRME has been profitable.
In the past 5 years FRME always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 1.23%, FRME is in the better half of the industry, outperforming 78.41% of the companies in the same industry.
The Return On Equity of FRME (9.59%) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.23% | ||
| ROE | 9.59% | ||
| ROIC | N/A |
ROA(3y)1.18%
ROA(5y)1.18%
ROE(3y)9.79%
ROE(5y)9.61%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
FRME's Profit Margin of 34.65% is amongst the best of the industry. FRME outperforms 90.49% of its industry peers.
In the last couple of years the Profit Margin of FRME has declined.
The Operating Margin and Gross Margin are not available for FRME so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 34.65% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-7.92%
PM growth 5Y-3.62%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
FRME does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for FRME has been reduced compared to 1 year ago.
Compared to 5 years ago, FRME has more shares outstanding
FRME has a worse debt/assets ratio than last year.
2.2 Solvency
The Debt to FCF ratio of FRME is 1.40, which is an excellent value as it means it would take FRME, only 1.40 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of FRME (1.40) is comparable to the rest of the industry.
FRME has a Debt/Equity ratio of 0.16. This is a healthy value indicating a solid balance between debt and equity.
FRME has a Debt to Equity ratio (0.16) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 1.4 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC17.41%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
FRME shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 9.25%, which is quite good.
The Earnings Per Share has been decreasing by -0.72% on average over the past years.
Looking at the last year, FRME shows a small growth in Revenue. The Revenue has grown by 6.68% in the last year.
FRME shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.84% yearly.
EPS 1Y (TTM)9.25%
EPS 3Y-5.26%
EPS 5Y-0.72%
EPS Q2Q%3.16%
Revenue 1Y (TTM)6.68%
Revenue growth 3Y7.54%
Revenue growth 5Y7.84%
Sales Q2Q%6.52%
3.2 Future
FRME is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 12.84% yearly.
Based on estimates for the next years, FRME will show a quite strong growth in Revenue. The Revenue will grow by 8.82% on average per year.
EPS Next Y20.59%
EPS Next 2Y13.45%
EPS Next 3Y12.84%
EPS Next 5YN/A
Revenue Next Year3.06%
Revenue Next 2Y8.55%
Revenue Next 3Y8.82%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 10.07, the valuation of FRME can be described as very reasonable.
FRME's Price/Earnings ratio is a bit cheaper when compared to the industry. FRME is cheaper than 71.98% of the companies in the same industry.
When comparing the Price/Earnings ratio of FRME to the average of the S&P500 Index (25.45), we can say FRME is valued rather cheaply.
The Price/Forward Earnings ratio is 8.84, which indicates a very decent valuation of FRME.
Compared to the rest of the industry, the Price/Forward Earnings ratio of FRME indicates a somewhat cheap valuation: FRME is cheaper than 67.35% of the companies listed in the same industry.
FRME's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 34.46.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.07 | ||
| Fwd PE | 8.84 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, FRME is valued a bit cheaper than the industry average as 79.18% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.88 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
FRME's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as FRME's earnings are expected to grow with 12.84% in the coming years.
PEG (NY)0.49
PEG (5Y)N/A
EPS Next 2Y13.45%
EPS Next 3Y12.84%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.08%, FRME is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.35, FRME pays a bit more dividend than its industry peers.
FRME's Dividend Yield is rather good when compared to the S&P500 average which is at 2.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.08% |
5.2 History
The dividend of FRME is nicely growing with an annual growth rate of 7.59%!
FRME has paid a dividend for at least 10 years, which is a reliable track record.
FRME has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)7.59%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
FRME pays out 36.49% of its income as dividend. This is a sustainable payout ratio.
FRME's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP36.49%
EPS Next 2Y13.45%
EPS Next 3Y12.84%
36.85
+1.55 (+4.39%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)
Earnings (Next)
Inst Owners78.64%
Inst Owner Change-0.65%
Ins Owners1.62%
Ins Owner Change6.01%
Market Cap2.13B
Revenue(TTM)667.89M
Net Income(TTM)231.41M
Analysts80
Price Target46.92 (27.33%)
Short Float %2.21%
Short Ratio3.77
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.08% |
Yearly Dividend1.42
Dividend Growth(5Y)7.59%
DP36.49%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)1.17%
Min EPS beat(2)0.05%
Max EPS beat(2)2.3%
EPS beat(4)3
Avg EPS beat(4)-3.54%
Min EPS beat(4)-17.32%
Max EPS beat(4)2.3%
EPS beat(8)5
Avg EPS beat(8)-3.48%
EPS beat(12)6
Avg EPS beat(12)-3.21%
EPS beat(16)8
Avg EPS beat(16)-2.63%
Revenue beat(2)0
Avg Revenue beat(2)-6.04%
Min Revenue beat(2)-6.41%
Max Revenue beat(2)-5.68%
Revenue beat(4)1
Avg Revenue beat(4)-4.16%
Min Revenue beat(4)-8.02%
Max Revenue beat(4)3.45%
Revenue beat(8)1
Avg Revenue beat(8)-5.21%
Revenue beat(12)1
Avg Revenue beat(12)-5.53%
Revenue beat(16)1
Avg Revenue beat(16)-5.32%
PT rev (1m)-2.95%
PT rev (3m)-1.78%
EPS NQ rev (1m)-0.32%
EPS NQ rev (3m)-1.37%
EPS NY rev (1m)0.08%
EPS NY rev (3m)0.76%
Revenue NQ rev (1m)-0.05%
Revenue NQ rev (3m)-1.03%
Revenue NY rev (1m)-0.13%
Revenue NY rev (3m)-0.84%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.07 | ||
| Fwd PE | 8.84 | ||
| P/S | 3.19 | ||
| P/FCF | 7.88 | ||
| P/OCF | 7.88 | ||
| P/B | 0.88 | ||
| P/tB | 1.26 | ||
| EV/EBITDA | N/A |
EPS(TTM)3.66
EY9.93%
EPS(NY)4.17
Fwd EY11.32%
FCF(TTM)4.68
FCFY12.69%
OCF(TTM)4.68
OCFY12.69%
SpS11.55
BVpS41.72
TBVpS29.14
PEG (NY)0.49
PEG (5Y)N/A
Graham Number58.61
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.23% | ||
| ROE | 9.59% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | 34.65% | ||
| GM | N/A | ||
| FCFM | 40.49% |
ROA(3y)1.18%
ROA(5y)1.18%
ROE(3y)9.79%
ROE(5y)9.61%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-7.92%
PM growth 5Y-3.62%
GM growth 3YN/A
GM growth 5YN/A
F-Score9
Asset Turnover0.04
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 1.4 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | 116.87% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score9
WACC17.41%
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)123.83%
Profit Quality(5y)121.91%
High Growth Momentum
Growth
EPS 1Y (TTM)9.25%
EPS 3Y-5.26%
EPS 5Y-0.72%
EPS Q2Q%3.16%
EPS Next Y20.59%
EPS Next 2Y13.45%
EPS Next 3Y12.84%
EPS Next 5YN/A
Revenue 1Y (TTM)6.68%
Revenue growth 3Y7.54%
Revenue growth 5Y7.84%
Sales Q2Q%6.52%
Revenue Next Year3.06%
Revenue Next 2Y8.55%
Revenue Next 3Y8.82%
Revenue Next 5YN/A
EBIT growth 1YN/A
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-8.64%
FCF growth 3Y8.68%
FCF growth 5Y8.54%
OCF growth 1Y-8.64%
OCF growth 3Y8.68%
OCF growth 5Y8.54%
FIRST MERCHANTS CORP / FRME FAQ
Can you provide the ChartMill fundamental rating for FIRST MERCHANTS CORP?
ChartMill assigns a fundamental rating of 4 / 10 to FRME.
What is the valuation status of FIRST MERCHANTS CORP (FRME) stock?
ChartMill assigns a valuation rating of 7 / 10 to FIRST MERCHANTS CORP (FRME). This can be considered as Undervalued.
How profitable is FIRST MERCHANTS CORP (FRME) stock?
FIRST MERCHANTS CORP (FRME) has a profitability rating of 4 / 10.
What is the earnings growth outlook for FIRST MERCHANTS CORP?
The Earnings per Share (EPS) of FIRST MERCHANTS CORP (FRME) is expected to grow by 20.59% in the next year.
Can you provide the dividend sustainability for FRME stock?
The dividend rating of FIRST MERCHANTS CORP (FRME) is 7 / 10 and the dividend payout ratio is 36.49%.