Enterprise Financial Services (EFSC) AI Stock Analysis

• Market Cap: $1.96B
• Dividend Yield: 2.2%
• Average Volume (3M): 168.22K
• Price to Earnings (P/E): 9.9
• Beta (1Y): 0.71
• Revenue Growth: 6.59%
• EPS Growth: 9.36%
• Country: US
• Employees: 1,218
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 1.45
• Shares Outstanding: 36,816,013
• 10 Day Avg. Volume: 260,264
• 30 Day Avg. Volume: 168,220
• PEG Ratio: 0.98
• Price to Book (P/B): 0.98
• Price to Sales (P/S): 2.19
• P/FCF Ratio: 11.00
• Enterprise Value/Market Cap: 1.15
• Enterprise Value/Revenue: 2.47
• Enterprise Value/Gross Profit: 3.61
• Enterprise Value/Ebitda: 7.72
• 1Y Price Target: $64.00
• Price Target Upside: 20.46% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): 5.53
• Revenue Forecast (FY): $758.62M

• Rating: 66 Neutral
• Price Target: $58.00 ▲(9.17% Upside)
• Action: Reiterated Date: 03/10/26
• Date: Action: Reiterated 03/10/26

EFSC’s score is driven primarily by solid underlying fundamentals (healthy profitability and a strengthened, de-levered balance sheet) and supportive earnings-call guidance for margin, growth, and capital returns. These positives are tempered by sharply weaker 2025 cash-flow performance and clearly bearish technicals (below key moving averages with negative MACD), which elevate near-term execution and timing risk despite attractive valuation.

Positive Factors

Balance Sheet Strength

The move to materially lower leverage, including reported zero total debt in 2025 and steady equity growth, provides durable financial flexibility. Lower debt and higher tangible equity support organic lending, M&A optionality, capital returns and resilience through economic cycles.

Multi-year Revenue Growth

A consistent multi-year revenue expansion demonstrates scalable core franchises and diversified income streams. Broad-based growth across lending, fees and investment management underpins sustainable earnings power and provides a buffer against cyclical loan or fee volatility.

Stable Low-Cost Deposit Franchise

Material deposit inflows and a high share of noninterest-bearing DDA improve funding stability and lower cost of funds. A durable low-cost deposit base supports mid-single-digit loan growth, margin preservation and funds strategic expansion without reliance on volatile wholesale funding.

Negative Factors

Weakened Cash Generation

A sharp drop in operating and free cash flow reduces confidence in near-term internal funding for dividends, buybacks and growth. Even though FCF covers reported net income, the step-down in cash conversion signals potential volatility in liquidity and less buffer for credit stress or discretionary capital uses.

Elevated Credit Stress

Rising NPAs, foreclosure-driven OREO and a Q4 spike in charge-offs tied to a major relationship highlight credit exposure. Resolution timing for migrated assets is uncertain; sustained elevated losses would pressure provisions, earnings and capital over the medium term.

Expense & Efficiency Pressure

A high core efficiency ratio and recurring acquisition-related expense add structural cost pressure. If revenue growth slows or noninterest income remains volatile, ongoing expense growth could compress margins and limit the translation of revenue gains into durable profitability improvements.

Enterprise Financial Services Business Overview & Revenue Model

Company Description

Enterprise Financial Services Corp operates as the financial holding company for Enterprise Bank & Trust that offers banking and wealth management services to individuals and corporate customers. The company offers checking, savings, and money market accounts, and certificates of deposit. It also provides commercial and industrial, commercial real estate, construction and land development, residential real estate, agricultural, and consumer loans. In addition, the company offers treasury management and international trade services; tax credit brokerage services consisting of the acquisition of tax credits and sale of these tax credits to clients; and financial and estate planning, investment management, and trust services to businesses, individuals, institutions, retirement plans, and non-profit organizations. Further, it offers fiduciary, financial advisory, and merchant processing services; and debit and credit cards. Additionally, the company provides international banking, insurance, internet and mobile banking, remote deposit capture, positive pay, fraud detection and prevention, automated payable, check imaging, and statement and document imaging services; and cash management products, controlled disbursements, repurchase agreements, and sweep investment accounts. It operates banking locations and administrative offices in Arizona, California, Kansas, Missouri, Nevada, and New Mexico market areas, as well as a network of SBA loan production offices and deposit production offices in various states. Enterprise Financial Services Corp was founded in 1988 and is headquartered in Clayton, Missouri.

How the Company Makes Money

EFSC generates revenue through multiple key streams, primarily from interest income on loans, fees from banking services, and management fees from investment products. The company issues various types of loans, including commercial loans, personal loans, and mortgages, which provide significant interest income. Additionally, EFSC earns fees from account maintenance, transaction services, and advisory services. The firm's investment management division contributes to its revenue through management fees based on assets under management (AUM) and performance fees linked to investment performance. Strategic partnerships with fintech companies enhance EFSC's service offerings and customer reach, further bolstering its revenue potential. Overall, the company's diversified portfolio and focus on SME clients position it favorably within the competitive financial services landscape.

Enterprise Financial Services Financial Statement Overview

Summary

Fundamentals are solid overall: strong multi-year revenue expansion and still-healthy profitability, alongside a notably strengthened balance sheet with materially lower leverage (including reported zero total debt in 2025) and consistent equity growth. The key drag is cash-flow quality/momentum, with a sharp 2025 decline in operating and free cash flow versus 2024, which reduces confidence in near-term cash generation despite stable earnings.

Income Statement

Revenue has expanded strongly over the last several years (from $347M in 2020 to $912M in 2025), including solid growth in 2025 (+6.1% year over year). Profitability remains healthy with a ~22% net margin in 2025, but margins have stepped down from the unusually strong 2021–2022 period (net margin ~32–38%), suggesting some normalization/pressure. Net income is relatively stable with moderate growth since 2020, though it was slightly below the 2022 peak.

Balance Sheet

The balance sheet shows improving leverage trends: debt-to-equity declined from ~0.51 (2020) to ~0.24 (2024), and 2025 reports zero total debt, which materially strengthens financial flexibility. Equity has grown consistently ($1.08B in 2020 to $2.04B in 2025) alongside a larger asset base ($9.75B to $17.30B). Returns on equity are solid for a regional bank (~9.9% in 2025), though down from the higher levels seen in 2022–2023.

Cash Flow

Cash generation weakened sharply in 2025: operating cash flow fell to $87.8M from $247.4M in 2024, and free cash flow declined similarly (down ~54% year over year). While free cash flow still covers reported net income in 2025 (1.0x), the absolute level and the downward swing versus prior years reduce confidence in near-term cash flow durability. Earlier years (2020–2024) showed meaningfully stronger and more consistent operating and free cash flow.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	912.39M	814.41M	743.52M	533.66M	421.60M
Gross Profit	624.38M	509.94M	504.58M	493.09M	385.18M
EBITDA	291.48M	241.32M	257.87M	273.47M	182.78M
Net Income	201.37M	185.27M	194.06M	203.04M	133.06M
Balance Sheet
Total Assets	17.30B	15.60B	14.52B	13.05B	13.54B
Cash, Cash Equivalents and Short-Term Investments	213.87M	875.37M	2.05B	1.83B	3.39B
Total Debt	508.55M	437.37M	453.81M	579.55M	558.76M
Total Liabilities	15.26B	13.77B	12.80B	11.53B	12.01B
Stockholders Equity	2.04B	1.82B	1.72B	1.52B	1.53B
Cash Flow
Free Cash Flow	181.53M	239.93M	261.68M	214.71M	158.07M
Operating Cash Flow	193.51M	247.40M	268.24M	216.64M	160.57M
Investing Cash Flow	-1.08B	-796.87M	-1.31B	-1.38B	-23.11M
Financing Cash Flow	803.17M	880.61M	1.18B	-563.19M	1.35B

Enterprise Financial Services Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 53.13
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For EFSC, the sentiment is Negative. The current price of 53.13 is below the 20-day moving average (MA) of 55.47, below the 50-day MA of 56.55, and below the 200-day MA of 55.64, indicating a bearish trend. The MACD of -1.34 indicates Positive momentum. The RSI at 35.08 is Neutral, neither overbought nor oversold. The STOCH value of 10.55 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for EFSC.

Enterprise Financial Services Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BUSE	72 Outperform	$2.12B	15.68	5.33%	4.11%	41.45%	-41.16%
FBNC	70 Outperform	$2.20B	18.91	7.03%	1.69%	-5.72%	-3.86%
NBTB	68 Neutral	$2.14B	11.56	9.51%	3.33%	11.63%	5.58%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
BANR	67 Neutral	$1.99B	10.97	10.28%	2.97%	6.98%	15.08%
EFSC	66 Neutral	$1.96B	9.91	10.25%	2.20%	6.59%	9.36%
SYBT	66 Neutral	$1.86B	13.61	13.69%	1.88%	11.74%	26.27%

Enterprise Financial Services Corporate Events

Enterprise Financial Services Highlights Strategy in Investor Presentation

On March 9, 2026, Enterprise Financial Services Corp released a fixed-income focused investor presentation outlining its current financial profile and strategic positioning, highlighting 2025 metrics such as $17.3 billion in total assets, a 1.24% return on average assets, 13.3% return on average tangible common equity, 33.4% noninterest-bearing deposits and an 11.6% CET1 ratio. The materials emphasize EFSC’s evolution into a top-quartile ROAA performer since 2013, its disciplined mix of organic growth and selective M&A to broaden geography and product lines, and its reliance on differentiated, low-cost deposit verticals and specialized lending platforms to support continued growth and market-share gains in key regional and national niches.

Management underscores that past FDIC-assisted deals, targeted acquisitions and a granular deposit base have strengthened funding, diversification and resilience through cycles, including the COVID period and recent banking liquidity stresses. The company signals ongoing interest in selective M&A focused on quality deposits and specialty businesses, reinforcing its strategy to leverage a scalable platform, technology investments and talent additions to drive profitable expansion across core Midwest markets and higher-growth metros such as Phoenix, Dallas and Los Angeles.

The most recent analyst rating on (EFSC) stock is a Buy with a $64.00 price target. To see the full list of analyst forecasts on Enterprise Financial Services stock, see the EFSC Stock Forecast page.

Enterprise Financial Highlights Strong Growth and Capital Foundations

In an investor presentation dated January 2026, Enterprise Financial Services Corp outlined its differentiated business model, emphasizing a strong capital foundation, consistent growth, and a decade-long compounding of tangible book value per share, supported by a 10-year CAGR of TBV per share of 10.1% and a 13.3% return on average tangible common equity year-to-date 2025. The company highlighted its balanced loan portfolio of $11.8 billion and diversified deposit base, top-quartile 2025 net interest margin performance, successful integration of multiple FDIC-assisted acquisitions that expanded its footprint and deposits since 2013, and ongoing investments in technology, process efficiency and risk management, positioning EFSC as a high-performing, mid-sized commercial bank with a seasoned leadership team and a customer-focused culture aimed at sustaining strong profitability and operational resilience.

The most recent analyst rating on (EFSC) stock is a Hold with a $61.00 price target. To see the full list of analyst forecasts on Enterprise Financial Services stock, see the EFSC Stock Forecast page.