First Bancorp (FBNC) AI Stock Analysis

• Market Cap: $2.21B
• Dividend Yield: 1.68%
• Average Volume (3M): 223.54K
• Price to Earnings (P/E): 22.7
• Beta (1Y): 1.02
• Revenue Growth: -2.04%
• EPS Growth: -14.82%
• Country: US
• Employees: 1,345
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 0.93
• Shares Outstanding: 41,462,418
• 10 Day Avg. Volume: 252,785
• 30 Day Avg. Volume: 223,540
• PEG Ratio: -0.87
• Price to Book (P/B): 1.25
• Price to Sales (P/S): 3.40
• P/FCF Ratio: 10.48
• Enterprise Value/Market Cap: 0.81
• Enterprise Value/Revenue: 3.30
• Enterprise Value/Gross Profit: 5.06
• Enterprise Value/Ebitda: 12.61
• 1Y Price Target: $58.00
• Price Target Upside: 9.04% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 5

• Rating: 75 Outperform
• Price Target: $62.00 ▲(16.56% Upside)

First Bancorp's strong financial performance and bullish technical indicators are the primary drivers of its stock score. While the valuation suggests potential overvaluation, the company's stable financial position and increased dividend provide a positive outlook. Investors should be mindful of potential overbought conditions in the technical analysis.

Positive Factors

Stable Balance Sheet

A low debt-to-equity ratio indicates prudent leverage management, enhancing financial stability and reducing risk in volatile markets.

Dividend Increase

Increasing dividends reflect strong financial health and commitment to shareholder returns, potentially attracting income-focused investors.

Profitability

Strong profitability margins indicate efficient operations and the ability to generate substantial earnings, supporting long-term growth.

Negative Factors

Negative Free Cash Flow Growth

Negative free cash flow growth suggests challenges in cash generation, which could impact future investments and financial flexibility.

Revenue Growth Decline

Declining revenue growth can signal weakening market position or demand, potentially affecting future profitability and expansion.

Decreasing Gross Profit Margin

A declining gross profit margin suggests rising costs or pricing pressures, which could erode profitability if not managed effectively.

First Bancorp Business Overview & Revenue Model

Company Description

First Bancorp operates as the bank holding company for First Bank that provides banking products and services for individuals and small to medium-sized businesses primarily in North Carolina and northeastern South Carolina. It accepts deposit products, such as checking, savings, and money market accounts, as well as time deposits, including certificate of deposits and individual retirement accounts. The company also offers loans for a range of consumer and commercial purposes comprising loans for business, real estate, personal, home improvement, and automobiles, as well as residential mortgages and small business administration loans; and accounts receivable financing and factoring, inventory financing, and purchase order financing services. In addition, it provides credit and debit cards, letter of credits, and safe deposit box rental services, as well as electronic funds transfer services consisting of wire transfers; and internet and mobile banking, cash management, bank-by-phone services, and remote deposit capture services. Further, the company offers investment and insurance products, such as mutual funds, annuities, long-term care insurance, life insurance, and company retirement plans, as well as property and casualty insurance products; and financial planning services. As of December 31, 2021, it operated 121 branches comprising 114 branch offices located in North Carolina and seven branches in South Carolina. First Bancorp was founded in 1934 and is headquartered in Southern Pines, North Carolina.

How the Company Makes Money

First Bancorp generates revenue primarily through net interest income, which is the difference between the interest earned on loans and the interest paid on deposits. The company offers various loan products, including commercial loans, consumer loans, real estate loans, and mortgages, which contribute significantly to its interest income. Additionally, First Bancorp earns non-interest income through service fees on deposit accounts, mortgage origination fees, and transaction fees related to its banking services. The bank also engages in wealth management and investment services, further diversifying its revenue streams. Strategic partnerships with local businesses and community organizations enhance its market presence and customer base, contributing positively to its overall earnings.

First Bancorp Financial Statement Overview

Summary

First Bancorp exhibits a strong financial profile with consistent revenue growth and profitability. The balance sheet is stable with low leverage, and cash flow generation is generally strong despite recent declines in free cash flow growth. The company is well-positioned in the regional banking industry, though it should monitor cost management and cash flow generation closely.

Income Statement

First Bancorp has demonstrated strong revenue growth with a TTM revenue growth rate of 1.13% and consistent profitability, as evidenced by a net profit margin of 17.85% and an EBIT margin of 23.15%. However, the gross profit margin has decreased over time, indicating potential cost pressures.

Balance Sheet

The company maintains a solid financial position with a low debt-to-equity ratio of 0.059, reflecting prudent leverage management. The return on equity is moderate at 6.49%, suggesting efficient use of equity capital. The equity ratio is strong, indicating a stable capital structure.

Cash Flow

Operating cash flow is robust, with a high operating cash flow to net income ratio of 0.019. However, the free cash flow growth rate is negative at -17.59%, indicating potential challenges in generating free cash flow. The free cash flow to net income ratio remains healthy at 0.99.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	544.49M	530.81M	541.11M	407.66M	324.90M	318.48M
Gross Profit	354.70M	327.40M	381.20M	379.16M	300.34M	263.88M
EBITDA	142.31M	116.00M	151.17M	200.55M	134.25M	116.73M
Net Income	97.20M	76.22M	104.13M	146.94M	95.64M	81.48M
Balance Sheet
Total Assets	12.61B	12.15B	12.11B	10.63B	10.51B	7.29B
Cash, Cash Equivalents and Short-Term Investments	2.28B	2.40B	2.43B	2.58B	3.09B	1.82B
Total Debt	92.24M	106.43M	321.67M	237.82M	19.50M	22.99M
Total Liabilities	11.05B	10.70B	10.74B	9.59B	9.28B	6.40B
Stockholders Equity	1.56B	1.45B	1.37B	1.03B	1.23B	893.42M
Cash Flow
Free Cash Flow	202.91M	172.12M	126.97M	225.37M	132.93M	45.97M
Operating Cash Flow	205.46M	174.78M	131.40M	230.65M	142.34M	58.33M
Investing Cash Flow	-409.03M	169.67M	-191.37M	-713.36M	-1.27B	-961.54M
Financing Cash Flow	306.45M	-74.80M	27.51M	291.86M	1.23B	1.04B

First Bancorp Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 53.19
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: 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 53.19 is below the 20-day moving average (MA) of 54.22, above the 50-day MA of 52.25, and above the 200-day MA of 44.50, indicating a neutral trend. The MACD of 0.19 indicates Positive momentum. The RSI at 49.04 is Neutral, neither overbought nor oversold. The STOCH value of 21.35 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FBNC.

First Bancorp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NIC	76 Outperform	1.99B	15.22	11.40%	0.89%	8.38%	26.81%
FCF	76 Outperform	1.82B	13.26	1.10%	3.05%	4.57%	-15.68%
FBNC	75 Outperform	$2.21B	22.70	6.53%	1.68%	-2.04%	-14.82%
NWBI	74 Outperform	1.83B	11.12	8.74%	6.39%	14.86%	40.09%
MBIN	64 Neutral	1.47B	7.05	11.59%	1.22%	3.49%	-30.76%
CLBK	58 Neutral	1.61B	254.58	0.55%	―	-0.90%	-67.89%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%

First Bancorp Corporate Events

First Bancorp Announces Increased Cash Dividend for Shareholders

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.