SERVISFIRST BANCSHARES INC (SFBS) Stock Fundamental Analysis
USA - NYSE:SFBS - US81768T1088 - Common Stock
81.11 USD
+0.21 (+0.26%)
81.11 USD
0 (0%)
We assign a fundamental rating of 4 out of 10 to SFBS. SFBS was compared to 392 industry peers in the Banks industry. SFBS has a medium profitability rating, but doesn't score so well on its financial health evaluation. SFBS is valued quite expensively, but it does show have an excellent growth rating.
1. Profitability
1.1 Basic Checks
SFBS had positive earnings in the past year.
SFBS had a positive operating cash flow in the past year.
SFBS had positive earnings in each of the past 5 years.
In the past 5 years SFBS always reported a positive cash flow from operatings.
1.2 Ratios
SFBS has a better Return On Assets (1.44%) than 87.76% of its industry peers.
SFBS's Return On Equity of 14.50% is amongst the best of the industry. SFBS outperforms 91.84% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.44% | ||
| ROE | 14.5% | ||
| ROIC | N/A |
ROA(3y)1.44%
ROA(5y)1.42%
ROE(3y)15.93%
ROE(5y)16.58%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With an excellent Profit Margin value of 48.05%, SFBS belongs to the best of the industry, outperforming 99.74% of the companies in the same industry.
In the last couple of years the Profit Margin of SFBS has remained more or less at the same level.
SFBS does not have Operating Margin and Gross Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 48.05% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-1.73%
PM growth 5Y-0.3%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
SFBS does not have a ROIC to compare to the WACC, probably because it is not profitable.
SFBS has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for SFBS has been increased compared to 5 years ago.
Compared to 1 year ago, SFBS has a worse debt to assets ratio.
2.2 Solvency
The Debt to FCF ratio of SFBS is 6.37, which is on the high side as it means it would take SFBS, 6.37 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 6.37, SFBS is not doing good in the industry: 71.17% of the companies in the same industry are doing better.
SFBS has a Debt/Equity ratio of 0.97. This is a neutral value indicating SFBS is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.97, SFBS is not doing good in the industry: 83.67% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.97 | ||
| Debt/FCF | 6.37 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC13.24%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
SFBS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 28.73%, which is quite impressive.
SFBS shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 8.71% yearly.
The Revenue has grown by 17.30% in the past year. This is quite good.
SFBS shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.10% yearly.
EPS 1Y (TTM)28.73%
EPS 3Y2.53%
EPS 5Y8.71%
EPS Q2Q%27.37%
Revenue 1Y (TTM)17.3%
Revenue growth 3Y4.84%
Revenue growth 5Y9.1%
Sales Q2Q%20.59%
3.2 Future
The Earnings Per Share is expected to grow by 24.12% on average over the next years. This is a very strong growth
SFBS is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 17.55% yearly.
EPS Next Y25.7%
EPS Next 2Y24.12%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year19.7%
Revenue Next 2Y17.55%
Revenue Next 3YN/A
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 17.41, which indicates a rather expensive current valuation of SFBS.
74.74% of the companies in the same industry are cheaper than SFBS, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of SFBS to the average of the S&P500 Index (27.86), we can say SFBS is valued slightly cheaper.
The Price/Forward Earnings ratio is 12.66, which indicates a correct valuation of SFBS.
Based on the Price/Forward Earnings ratio, SFBS is valued a bit more expensive than the industry average as 68.88% of the companies are valued more cheaply.
The average S&P500 Price/Forward Earnings ratio is at 23.32. SFBS is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.41 | ||
| Fwd PE | 12.66 |
4.2 Price Multiples
SFBS's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. SFBS is more expensive than 63.78% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.96 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
SFBS'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 SFBS's earnings are expected to grow with 24.12% in the coming years.
PEG (NY)0.68
PEG (5Y)2
EPS Next 2Y24.12%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.66%, SFBS has a reasonable but not impressive dividend return.
SFBS's Dividend Yield is slightly below the industry average, which is at 3.52.
Compared to the average S&P500 Dividend Yield of 2.41, SFBS is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.66% |
5.2 History
The dividend of SFBS is nicely growing with an annual growth rate of 21.67%!
SFBS has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)21.67%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
SFBS pays out 27.78% of its income as dividend. This is a sustainable payout ratio.
The dividend of SFBS is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP27.78%
EPS Next 2Y24.12%
EPS Next 3YN/A
81.11
+0.21 (+0.26%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)
Earnings (Next)
Inst Owners78.15%
Inst Owner Change1.56%
Ins Owners6.66%
Ins Owner Change-0.36%
Market Cap4.43B
Analysts47.5
Price Target92.82 (14.44%)
Short Float %6.12%
Short Ratio13.62
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.66% |
Yearly Dividend1.2
Dividend Growth(5Y)21.67%
DP27.78%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-2.79%
Min EPS beat(2)-3.89%
Max EPS beat(2)-1.69%
EPS beat(4)2
Avg EPS beat(4)2.67%
Min EPS beat(4)-3.89%
Max EPS beat(4)11.18%
EPS beat(8)5
Avg EPS beat(8)0.32%
EPS beat(12)6
Avg EPS beat(12)0.08%
EPS beat(16)7
Avg EPS beat(16)0.01%
Revenue beat(2)0
Avg Revenue beat(2)-3.44%
Min Revenue beat(2)-3.62%
Max Revenue beat(2)-3.26%
Revenue beat(4)2
Avg Revenue beat(4)-1.04%
Min Revenue beat(4)-3.62%
Max Revenue beat(4)2.16%
Revenue beat(8)3
Avg Revenue beat(8)-1.54%
Revenue beat(12)5
Avg Revenue beat(12)-2.05%
Revenue beat(16)7
Avg Revenue beat(16)-1.53%
PT rev (1m)0%
PT rev (3m)8.54%
EPS NQ rev (1m)0%
EPS NQ rev (3m)4.14%
EPS NY rev (1m)0%
EPS NY rev (3m)2.67%
Revenue NQ rev (1m)1.03%
Revenue NQ rev (3m)1.87%
Revenue NY rev (1m)0.56%
Revenue NY rev (3m)0.78%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.41 | ||
| Fwd PE | 12.66 | ||
| P/S | 8.53 | ||
| P/FCF | 16.96 | ||
| P/OCF | 16.61 | ||
| P/B | 2.57 | ||
| P/tB | 2.62 | ||
| EV/EBITDA | N/A |
EPS(TTM)4.66
EY5.75%
EPS(NY)6.41
Fwd EY7.9%
FCF(TTM)4.78
FCFY5.89%
OCF(TTM)4.88
OCFY6.02%
SpS9.51
BVpS31.51
TBVpS31.02
PEG (NY)0.68
PEG (5Y)2
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.44% | ||
| ROE | 14.5% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | 48.05% | ||
| GM | N/A | ||
| FCFM | 50.26% |
ROA(3y)1.44%
ROA(5y)1.42%
ROE(3y)15.93%
ROE(5y)16.58%
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
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-1.73%
PM growth 5Y-0.3%
GM growth 3YN/A
GM growth 5YN/A
F-Score8
Asset Turnover0.03
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.97 | ||
| Debt/FCF | 6.37 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 116.49% | ||
| Cap/Sales | 1.08% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | 104.6% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score8
WACC13.24%
ROIC/WACCN/A
Cap/Depr(3y)91.83%
Cap/Depr(5y)109.04%
Cap/Sales(3y)0.86%
Cap/Sales(5y)1.09%
Profit Quality(3y)103.25%
Profit Quality(5y)108.99%
High Growth Momentum
Growth
EPS 1Y (TTM)28.73%
EPS 3Y2.53%
EPS 5Y8.71%
EPS Q2Q%27.37%
EPS Next Y25.7%
EPS Next 2Y24.12%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)17.3%
Revenue growth 3Y4.84%
Revenue growth 5Y9.1%
Sales Q2Q%20.59%
Revenue Next Year19.7%
Revenue Next 2Y17.55%
Revenue Next 3YN/A
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 1Y10.75%
FCF growth 3Y-1.13%
FCF growth 5Y8.93%
OCF growth 1Y11.1%
OCF growth 3Y-1.7%
OCF growth 5Y9.01%