Equity Bancshares (EQBK) AI Stock Analysis

• Market Cap: $736.35M
• Dividend Yield: 1.47%
• Average Volume (3M): 62.03K
• Price to Earnings (P/E): 10.7
• Beta (1Y): 0.97
• Revenue Growth: 40.27%
• EPS Growth: 545.49%
• Country: US
• Employees: 810
• Sector: Financial
• Sector Strength: 81
• Industry: Banks - Regional
• EPS (TTM): 0.85
• Shares Outstanding: 17,515,493
• 10 Day Avg. Volume: 91,809
• 30 Day Avg. Volume: 62,035
• PEG Ratio: -8.54
• Price to Book (P/B): 1.09
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 8.98
• Enterprise Value/Market Cap: 0.83
• Enterprise Value/Revenue: 0.52
• Enterprise Value/Gross Profit: 2.77
• Enterprise Value/Ebitda: 2.73
• 1Y Price Target: $44.75
• Price Target Upside: 4.97% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 4

• Rating: 73 Outperform
• Price Target: $44.00 ▲(3.21%Upside)

Equity Bancshares' overall score reflects strong financial performance and strategic growth initiatives, notably the NBC Corp merger. The stock's undervaluation and positive earnings call sentiment also contribute positively. However, technical indicators suggest caution with a bearish trend, slightly offsetting other strengths.

Positive Factors

Loan Growth

A new incentive program for loan producers is anticipated to generate mid to high-single-digit organic loan growth.

Organic Growth

An acceleration in the organic growth of the balance sheet and fee income is expected following internal actions to boost client calling efforts.

Strategic Acquisitions

Equity Bancshares has sound fundamentals with potential for strategic acquisitions.

Negative Factors

Market Performance

Projected profitability is 1.20% compared to a peer median of 1.16%.

Stock Performance

On a YTD-basis, EQBK shares are -7% compared to a peer group median of -6%.

Equity Bancshares Business Overview & Revenue Model

Company Description

Equity Bancshares, Inc. operates as the bank holding company for Equity Bank that provides a range of banking, mortgage banking, and financial services to individual and corporate customers. The company accepts various demand, savings, money market, and time deposits. Its loan products include commercial and industrial, commercial real estate-backed, commercial lines of credit, working capital, term, equipment financing, acquisition, expansion and development, borrowing base, real estate construction, homebuilder, agricultural, government guaranteed, and other loan products to national and regional companies, restaurant franchisees, hoteliers, real estate developers, manufacturing and industrial companies, agribusiness companies, and other businesses. The company's loan products also comprise various consumer loans to individuals and professionals, including residential real estate loans, home equity loans and lines of credit, installment loans, unsecured and secured personal lines of credit, overdraft protection, and letters of credit. It also provides debit cards; online banking solutions, such as access to account balances, online transfers, online bill payment, and electronic delivery of customer statements; mobile banking solutions comprising remote check deposits with mobile bill pay; ATMs; and treasury management, wire transfer, automated clearing house, and stop payment services. In addition, the company offers cash management deposit products, such as lockbox, remote deposit capture, positive pay, reverse positive pay, account reconciliation services, zero balance accounts, and sweep accounts, as well as banking services through telephone, mail, and personal appointments. As of December 31, 2021, it operated a network of 69 branches in Arkansas, Kansas, Missouri, and Oklahoma. The company was founded in 2002 and is headquartered in Wichita, Kansas.

How the Company Makes Money

Equity Bancshares generates revenue primarily through its lending and deposit-taking activities. The company earns interest income from loans and investment securities, which is a significant portion of its revenue. It also makes money by charging interest on various types of loans, including commercial, consumer, and real estate loans. Additionally, the company earns non-interest income through service charges on deposit accounts, transaction fees, and other financial services. Equity Bancshares may also benefit from strategic partnerships and investments that enhance its financial product offerings and expand its market reach. The company's performance is influenced by factors such as interest rate fluctuations, economic conditions, and regulatory changes.

Equity Bancshares Financial Statement Overview

Summary

Equity Bancshares shows strong revenue growth and effective cost management, with improved profit margins and a debt-free balance sheet, indicating financial stability. However, incomplete cash flow data limits a comprehensive liquidity assessment.

Income Statement

Equity Bancshares showed significant growth in total revenue from $136.98M in 2023 to $296.84M in 2024, indicating a solid revenue growth trajectory. The gross profit margin remained strong at 100% due to the nature of revenue recognition in banking. The net profit margin improved to 21.10% in 2024 compared to 5.71% in 2023. EBIT margin was robust at 97.81% in 2024, demonstrating effective cost management. However, the absence of EBITDA figures limits a complete evaluation of operational efficiency.

Balance Sheet

Equity Bancshares exhibits a strong balance sheet with no total debt in 2024, a substantial improvement from $336.92M in 2023. Stockholders' equity increased to $1.46B, enhancing financial stability. The equity ratio improved to 31.21% in 2024, indicating a healthy proportion of equity to assets. The absence of debt enhances financial flexibility, although the high reliance on equity might not leverage potential growth opportunities fully.

Cash Flow

The cash flow statement lacks detailed data for 2024, impacting the ability to assess cash generation capabilities fully. In 2023, operating cash flow was $76.53M, and free cash flow was $60.39M, showing positive cash generation. However, the absence of data for 2024 limits a comprehensive assessment of cash flow trends and the company's ability to sustain operations and growth through internal funds.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	332.51M	326.51M	224.68M	220.28M	186.81M	177.04M
Gross Profit	221.79M	217.67M	135.63M	194.99M	180.59M	129.88M
EBITDA	89.94M	88.54M	11.05M	79.65M	73.34M	-66.33M
Net Income	63.59M	62.62M	7.82M	57.69M	52.48M	-74.97M
Balance Sheet
Total Assets	5.45B	5.33B	5.03B	4.98B	5.14B	4.01B
Cash, Cash Equivalents and Short-Term Investments	1.18B	1.19B	1.28B	1.29B	1.59B	1.15B
Total Debt	371.13M	312.80M	380.50M	281.73M	151.89M	133.86M
Total Liabilities	4.83B	4.74B	4.58B	4.57B	4.64B	3.61B
Stockholders Equity	617.32M	592.92M	452.86M	410.06M	500.63M	407.65M
Cash Flow
Free Cash Flow	74.94M	65.35M	60.39M	70.58M	97.60M	34.01M
Operating Cash Flow	82.89M	73.84M	76.53M	74.07M	102.70M	43.62M
Investing Cash Flow	60.62M	123.73M	232.17M	-214.18M	-315.34M	96.00M
Financing Cash Flow	52.85M	-192.93M	-34.03M	-15.41M	191.90M	51.78M

Equity Bancshares Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 42.63
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For EQBK, the sentiment is Positive. The current price of 42.63 is above the 20-day moving average (MA) of 39.75, above the 50-day MA of 39.45, and above the 200-day MA of 41.41, indicating a bullish trend. The MACD of 0.65 indicates Negative momentum. The RSI at 69.36 is Neutral, neither overbought nor oversold. The STOCH value of 89.21 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for EQBK.

Equity Bancshares Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ESQ	79 Outperform	$824.91M	18.47	19.66%	0.74%	16.18%	13.78%
NBBK	77 Outperform	$680.80M	15.49	6.26%	―	22.18%	277.02%
HAFC	75 Outperform	$769.80M	11.94	8.82%	4.24%	5.20%	-11.06%
EQBK	73 Outperform	$736.35M	10.66	11.84%	1.47%	40.27%	545.49%
MBWM	73 Outperform	$776.21M	9.95	13.55%	3.19%	12.26%	-6.93%
CAC	71 Outperform	$707.86M	13.32	8.24%	4.01%	18.13%	4.86%
Sector *	67 Neutral	$16.86B	11.64	9.71%	3.83%	11.61%	-9.60%

Equity Bancshares Corporate Events

Equity Bancshares Gains Approval for NBC Corp Merger

Equity Bancshares, Inc. has received all necessary regulatory approvals to proceed with its merger with NBC Corp. of Oklahoma, as per the agreement signed on April 2, 2025. The merger is anticipated to be finalized by early July 2025, pending customary closing conditions, marking a significant step in the company’s strategic growth initiatives.

The most recent analyst rating on (EQBK) stock is a Buy with a $52.00 price target. To see the full list of analyst forecasts on Equity Bancshares stock, see the EQBK Stock Forecast page.

Equity Bancshares Announces Quarterly Cash Dividend

On May 21, 2025, Equity Bancshares, Inc. announced a quarterly cash dividend of $0.15 per share of common stock. This dividend is set to be paid on July 15, 2025, to shareholders recorded by June 30, 2025.

The most recent analyst rating on (EQBK) stock is a Hold with a $52.00 price target. To see the full list of analyst forecasts on Equity Bancshares stock, see the EQBK Stock Forecast page.

Equity Bancshares Announces Merger with NBC Corp.

Equity Bancshares announced it will meet with institutional investors on May 6, 2025, to discuss its financial performance and strategic direction. The company has recently announced a merger with NBC Corp. of Oklahoma, which was disclosed on April 2, 2025, and is part of its ongoing strategy to expand its market presence through acquisitions. The announcement highlights potential risks and uncertainties associated with forward-looking statements, emphasizing the competitive and regulatory challenges in the financial sector.

Equity Bancshares Announces Merger with NBC Corp.

Equity Bancshares reported a strong start to 2025 with a net income of $15.0 million for the first quarter, driven by a 15.2% annualized loan growth and a net interest margin of 4.27%. The company announced a merger with NBC Corp. of Oklahoma, expanding its footprint into new markets, and declared a $0.15 dividend on common shares. Despite a decrease in deposit balances due to seasonal outflows, the company saw an increase in total assets and maintained a solid capital position with a tangible common equity ratio of 10.1%.

Equity Bancshares Announces Merger with NBC Corp.

On April 2, 2025, Equity Bancshares, Inc. announced a definitive merger agreement with NBC Corp. of Oklahoma, which will expand Equity’s presence in Oklahoma by adding seven locations to its network. The merger, expected to close in the third quarter of 2025, is anticipated to be accretive to Equity’s 2026 earnings per share and will enhance the company’s lending capabilities and market reach. The combined entity will operate 15 locations in Oklahoma and will benefit from the experience of NBC’s leadership, including Ken Fergeson joining the Board of Directors.