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First Bancorp Puerto Rico (FBP)
NYSE:FBP
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First Bancorp Puerto Rico (FBP) AI Stock Analysis

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FBP

First Bancorp Puerto Rico

(NYSE:FBP)

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Outperform 80 (OpenAI - 5.2)
Rating:80Outperform
Price Target:
$34.00
▲(17.97% Upside)
Action:Reiterated
Date:08/18/26
The score is driven primarily by strong financial performance (high profitability, strong ROE, and sharply improved leverage) and a constructive earnings-call outlook supporting continued NIM and loan growth. Technicals are supportive but somewhat stretched (overbought signals), while valuation is reasonable with a moderate dividend yield, adding stability but not a major uplift.
Positive Factors
Strong Profitability and Earnings Growth
High profitability and strong year-over-year earnings growth indicate a resilient core banking franchise. Continued revenue increases and healthy margins provide internal capital generation, although margins have moderated from earlier peaks.
Negative Factors
Limited Balance Sheet Expansion
Flat assets suggest that balance sheet expansion has not consistently translated into larger earning-asset capacity. If loan growth remains constrained, FBP may face limits on sustained revenue growth despite strong current profitability.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong Profitability and Earnings Growth
High profitability and strong year-over-year earnings growth indicate a resilient core banking franchise. Continued revenue increases and healthy margins provide internal capital generation, although margins have moderated from earlier peaks.
Read all positive factors

First Bancorp Puerto Rico (FBP) vs. SPDR S&P 500 ETF (SPY)

First Bancorp Puerto Rico Business Overview & Revenue Model

Company Description
First BanCorp., operating as the holding company for FirstBank Puerto Rico, delivers a broad spectrum of financial services to retail, commercial, and institutional clients. The company's operations are structured into six key segments: Commercial...
How the Company Makes Money
FBP primarily earns money through (1) net interest income and (2) non-interest income. Net interest income is generated by taking deposits and other funding sources and deploying those funds into interest-earning assets—mainly consumer loans (e.g....

First Bancorp Puerto Rico Earnings Call Summary

Earnings Call Date:Jul 22, 2026
(Q2-2026)
|
% Change Since: |
Next Earnings Date:Oct 28, 2026
Earnings Call Sentiment Positive
The call highlighted multiple strong operating and financial trends: record pretax pre-provision income, meaningful NIM expansion, robust loan originations (up 21% YoY) and accelerating loan growth, improved net charge-offs, solid capital (CET1 17%), and continued shareholder returns via buybacks and dividends. There are manageable credit and revenue seasonality items to monitor — notably an uptick in early delinquency in the auto/finance lease portfolio, modest NPA inflows tied to a single C&I relationship, and a quarter-over-quarter decline in non-interest income due to seasonality. Deposit growth was positive but skewed toward government balances, and some deposit product costs rose. Overall, the positives (profitability, margin expansion, loan growth, capital strength) outweigh the limited and largely explainable headwinds.
Positive Updates
Strong Net Income and EPS Growth
Net income of $96.1 million (reported $0.63 diluted EPS) for Q2 2026, up 24% year-over-year and approximately 9% quarter-over-quarter (from $88 million prior quarter). Excluding one-time fee acceleration items, adjusted net income ~ $93 million (~$0.60 per diluted share).
Negative Updates
Increase in Early Delinquency (Auto & Finance Lease)
Early-stage delinquency rose by approximately $32.9 million QoQ, driven mainly by a $20.7 million increase in the auto and finance lease portfolio. Management views much of this as seasonal/normalized versus the unusually low Q1 levels, but it requires monitoring.
Read all updates
Q2-2026 Updates
Negative
Strong Net Income and EPS Growth
Net income of $96.1 million (reported $0.63 diluted EPS) for Q2 2026, up 24% year-over-year and approximately 9% quarter-over-quarter (from $88 million prior quarter). Excluding one-time fee acceleration items, adjusted net income ~ $93 million (~$0.60 per diluted share).
Read all positive updates
Company Guidance
Management reiterated 2026 targets and expectations: they maintained loan growth guidance of 3–5% for the year (after $1.7B of originations this quarter and $13.3B total loans), and expect net interest margin to expand 3–5 basis points per quarter for the remainder of 2026 off a ~4.80% adjusted base (GAAP NIM this quarter 4.87%), assuming no further rate hikes; quarterly expense run‑rate (ex‑OREO) is guided to $128–$130M with an efficiency ratio nearer the low end of a 50–52% range, CET1 capital remains strong at ~17% (tangible common equity 10.08%, book value/share $12.68, intangible BV/share $2.36), they completed $50M of buybacks and paid $0.20/share in dividends while targeting roughly 100% payout of earnings, and they highlighted ~$400M of securities repricing in H2 (~1.92% yield), ~$100M in 2027 (~1.73%) and about $1.2B of repricing over the next 18 months.

First Bancorp Puerto Rico Financial Statement Overview

Summary
Strong profitability and returns on equity alongside a meaningfully de-risked balance sheet (very low leverage vs. prior years). Cash generation and cash conversion are solid, but the score is tempered by weaker/declining TTM free-cash-flow growth, an odd TTM operating cash flow coverage datapoint that adds uncertainty, and relatively flat total assets that could limit longer-term growth.
Income Statement
84
Very Positive
Balance Sheet
86
Very Positive
Cash Flow
72
Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue1.27B1.26B1.19B1.12B953.89M882.02M
Gross Profit947.91M916.38M843.72M830.16M858.16M882.53M
EBITDA461.81M437.49M416.20M425.67M478.69M464.19M
Net Income372.56M344.87M298.72M302.86M305.07M281.02M
Balance Sheet
Total Assets19.24B19.13B19.29B18.91B18.63B20.79B
Cash, Cash Equivalents and Short-Term Investments559.63M657.15M5.72B5.89B6.00B8.68B
Total Debt200.00M364.37M561.70M661.70M933.89M683.76M
Total Liabilities17.26B17.17B17.62B17.41B17.31B18.68B
Stockholders Equity1.98B1.97B1.67B1.50B1.33B2.10B
Cash Flow
Free Cash Flow438.41M434.03M394.14M340.36M420.03M386.37M
Operating Cash Flow455.56M445.07M404.15M362.96M440.49M399.72M
Investing Cash Flow-465.89M-166.90M136.23M-78.45M-681.46M-1.26B
Financing Cash Flow-165.06M-778.98M-44.13M-101.85M-1.82B1.91B

First Bancorp Puerto Rico Technical Analysis

Technical Analysis Sentiment
Positive
Last Price28.82
Price Trends
50DMA
27.54
Positive
100DMA
25.48
Positive
200DMA
23.12
Positive
Market Momentum
MACD
0.34
Positive
RSI
50.47
Neutral
STOCH
8.89
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FBP, the sentiment is Positive. The current price of 28.82 is below the 20-day moving average (MA) of 29.00, above the 50-day MA of 27.54, and above the 200-day MA of 23.12, indicating a neutral trend. The MACD of 0.34 indicates Positive momentum. The RSI at 50.47 is Neutral, neither overbought nor oversold. The STOCH value of 8.89 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FBP.

First Bancorp Puerto Rico Risk Analysis

First Bancorp Puerto Rico disclosed 64 risk factors in its most recent earnings report. First Bancorp Puerto Rico 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 Puerto Rico Peers Comparison

Overall Rating
UnderperformOutperform
Sector (68)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
81
Outperform
$4.16B12.1011.71%2.30%0.26%23.49%
80
Outperform
$4.35B11.9319.03%2.64%2.45%26.38%
80
Outperform
$5.20B12.929.00%2.36%56.05%
78
Outperform
$2.21B10.4015.92%2.48%4.56%19.51%
75
Outperform
$3.96B15.117.66%2.89%34.13%25.12%
73
Outperform
$4.51B11.3111.15%3.05%0.30%22.36%
68
Neutral
$18.00B11.429.92%3.81%9.73%1.22%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
FBP
First Bancorp Puerto Rico
28.52
7.10
33.14%
CATY
Cathay General Bancorp
62.30
14.11
29.29%
FULT
Fulton Financial
23.64
4.72
24.93%
INDB
Independent Bank
83.73
15.42
22.58%
OFG
OFG Bancorp
52.23
9.03
20.91%
EBC
Eastern Bankshares
22.74
6.66
41.43%
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: Aug 18, 2026