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First Bancorp (FBNC)
NASDAQ:FBNC
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First Bancorp (FBNC) AI Stock Analysis

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FBNC

First Bancorp

(NASDAQ:FBNC)

Rating:74Outperform
Price Target:
$52.00
▲(5.58%Upside)
First Bancorp's strong financial performance and robust cash flow management are the primary strengths, contributing significantly to the overall score. Technical analysis indicates bullish momentum, though caution is advised due to overbought signals. Valuation metrics suggest the stock might be slightly overvalued, which tempers the overall score.
Positive Factors
Financial Performance
FBNC is well-positioned to sustain strong returns and build shareholder value over time due to its ability to deliver NIM expansion in a down-rate environment and scalable organic growth.
Net Interest Margin
The NIM expanded to 3.27%, driven by higher loan yields and lower deposit costs, reflecting benefits from securities restructuring and potential for further balance sheet restructurings.
Negative Factors
Loan Growth
Loan growth remains limited and less than a 4% annual pace.
Management and Leadership
CEO Retirement and Management Changes.
Stock Valuation
The shares are trading at a premium P/E today, and incremental multiple expansion seems less likely than peers, which contributes to the Neutral rating.

First Bancorp (FBNC) vs. SPDR S&P 500 ETF (SPY)

First Bancorp Business Overview & Revenue Model

Company DescriptionFirst Bancorp (FBNC) is a financial holding company headquartered in Southern Pines, North Carolina, primarily operating through its subsidiary, First Bank. The company provides a comprehensive range of financial services, including personal and commercial banking, mortgage lending, and wealth management solutions. First Bancorp focuses on delivering community-oriented banking services tailored to the needs of individuals, businesses, and organizations across its market areas.
How the Company Makes MoneyFirst Bancorp generates revenue primarily through interest income from loans and leases it provides to individuals and businesses, as well as from investment securities. The company also earns money from non-interest income streams, such as service charges on deposit accounts, fees from loan originations, and wealth management services. Additionally, First Bancorp benefits from strategic partnerships and collaborations that enhance its product offerings and expand its market reach, contributing to its overall earnings.

First Bancorp Financial Statement Overview

Summary
First Bancorp exhibits strong financial health with robust profitability, stable balance sheet structure, and excellent cash flow management. Revenue and profit growth trends are positive, and the company maintains a conservative leverage position with significant liquidity. While some areas like ROE could see improvement, the overall trajectory is positive, positioning the company well for future growth and stability.
Income Statement
85
Very Positive
First Bancorp demonstrates a strong income statement with consistent revenue growth and healthy profit margins. The gross profit margin is solid at 63.63% TTM, and the net profit margin has improved to 16.22% TTM. Revenue has shown a positive growth trajectory with a 3.47% increase from the previous year. EBIT and EBITDA margins are also robust at 21.01% and 24.19% TTM respectively. While there are strengths in profitability, slight fluctuations in revenue growth could be monitored.
Balance Sheet
78
Positive
The balance sheet of First Bancorp is stable with a healthy equity ratio of 12.12% TTM. The debt-to-equity ratio is low at 0.01, indicating prudent leveraging, but it is important to note the substantial cash reserves contributing to negative net debt. Return on equity stands at 5.79% TTM, showing reasonable but not exceptional profitability relative to equity. The company's strong liquidity position is a key strength, though growth in stockholders' equity has been moderate.
Cash Flow
90
Very Positive
First Bancorp's cash flow statement is impressive, with a significant increase in free cash flow by 42.99% TTM. The operating cash flow to net income ratio is solid at 2.83, indicating efficient cash generation relative to profits. The free cash flow to net income ratio of 2.82 further underscores strong cash flow management and operational efficiency. The company's ability to generate cash flow consistently is a major strength, supporting its financial health.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue530.81M541.11M407.66M324.90M318.48M
Gross Profit327.40M381.20M379.16M300.34M263.88M
EBITDA116.00M151.17M200.55M134.25M116.73M
Net Income76.22M104.13M146.94M95.64M81.48M
Balance Sheet
Total Assets12.15B12.11B10.63B10.51B7.29B
Cash, Cash Equivalents and Short-Term Investments2.40B2.43B2.58B3.09B1.82B
Total Debt14.55M321.67M237.82M19.50M22.99M
Total Liabilities10.70B10.74B9.59B9.28B6.40B
Stockholders Equity1.45B1.37B1.03B1.23B893.42M
Cash Flow
Free Cash Flow172.12M126.97M225.37M132.93M45.97M
Operating Cash Flow174.78M131.40M230.65M142.34M58.33M
Investing Cash Flow169.67M-191.37M-713.36M-1.27B-961.54M
Financing Cash Flow-74.80M27.51M291.86M1.23B1.04B

First Bancorp Technical Analysis

Technical Analysis Sentiment
Positive
Last Price49.25
Price Trends
50DMA
43.37
Positive
100DMA
41.36
Positive
200DMA
42.49
Positive
Market Momentum
MACD
1.41
Negative
RSI
72.05
Negative
STOCH
56.53
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FBNC, the sentiment is Positive. The current price of 49.25 is above the 20-day moving average (MA) of 46.48, above the 50-day MA of 43.37, and above the 200-day MA of 42.49, indicating a bullish trend. The MACD of 1.41 indicates Negative momentum. The RSI at 72.05 is Negative, neither overbought nor oversold. The STOCH value of 56.53 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FBNC.

First Bancorp Risk Analysis

First Bancorp disclosed 29 risk factors in its most recent earnings report. First 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

First 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
79
Outperform
$2.06B15.7011.89%0.85%8.38%26.81%
76
Outperform
$1.58B6.5314.81%1.10%9.73%-14.72%
75
Outperform
$1.68B14.667.19%6.10%6.30%-12.43%
74
Outperform
$2.04B19.996.55%1.81%-2.03%-14.86%
73
Outperform
$1.72B12.469.91%3.21%6.42%-15.95%
68
Neutral
$17.10B11.449.70%3.58%11.11%-4.78%
57
Neutral
$1.51B97.23-0.15%4.29%-109.93%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
FBNC
First Bancorp
49.25
6.02
13.93%
FCF
First Commonwealth
16.37
-1.67
-9.26%
NWBI
Northwest Bancshares
12.75
-0.59
-4.42%
NIC
Nicolet Bankshares
132.93
31.96
31.65%
MBIN
Merchants Bancorp
34.49
-16.22
-31.99%
CLBK
Columbia Financial
14.35
-3.84
-21.11%

First Bancorp Corporate Events

DividendsFinancial Disclosures
First Bancorp Announces Increased Cash Dividend for Shareholders
Positive
Jun 13, 2025

On June 13, 2025, First Bancorp announced a cash dividend of $0.23 per share on its common stock, payable on July 25, 2025, to shareholders of record as of June 30, 2025. This decision reflects an increase from the previous quarter’s dividend and highlights the company’s strong first-quarter performance, with solid net income, EPS, credit quality, and capital positions, underscoring its commitment to returning capital to shareholders.

The most recent analyst rating on (FBNC) stock is a Hold with a $49.00 price target. To see the full list of analyst forecasts on First Bancorp stock, see the FBNC Stock Forecast page.

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: Jul 03, 2025