First Bancorp Puerto Rico (FBP) AI Stock Analysis

• Market Cap: $3.32B
• Dividend Yield: 3.38%
• Average Volume (3M): 1.14M
• Price to Earnings (P/E): 10.2
• Beta (1Y): 0.87
• Revenue Growth: 2.35%
• EPS Growth: 13.72%
• Country: US
• Employees: 3,113
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 0.63
• Shares Outstanding: 157,936,920
• 10 Day Avg. Volume: 982,292
• 30 Day Avg. Volume: 1,135,606
• PEG Ratio: 1.76
• Price to Book (P/B): 1.83
• Price to Sales (P/S): 2.56
• P/FCF Ratio: 7.76
• Enterprise Value/Market Cap: 0.88
• Enterprise Value/Revenue: 2.42
• Enterprise Value/Gross Profit: 3.40
• Enterprise Value/Ebitda: 6.83
• 1Y Price Target: $23.50
• Price Target Upside: 12.39% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): 2.1
• Revenue Forecast (FY): $1.05B

• Rating: 76 Outperform
• Price Target: $22.50 ▲(7.60% Upside)

First Bancorp Puerto Rico's strong financial performance and positive earnings call sentiment are the primary drivers of its high score. The stock's attractive valuation further supports its potential, despite neutral technical indicators. Overall, the company demonstrates robust growth and strategic planning, making it a compelling investment opportunity.

Positive Factors

Revenue Growth

The robust revenue growth indicates successful business expansion and effective market penetration, supporting long-term profitability.

Loan Growth

Record loan growth reflects strong demand for the company's lending products, enhancing interest income and market share.

Asset Quality Improvement

Improved asset quality reduces risk and enhances financial stability, supporting sustainable long-term growth.

Negative Factors

Slowdown in Consumer Credit Demand

Reduced consumer credit demand, especially in auto loans, may limit future revenue growth and affect interest income.

Increased Competitive Pressure

Increased competition in deposit markets can pressure margins and affect the company's ability to attract and retain deposits.

Provision for Credit Losses

Higher provisions for credit losses indicate potential asset quality concerns, impacting profitability and financial health.

First Bancorp Puerto Rico Business Overview & Revenue Model

Company Description

First BanCorp. operates as a bank holding company for FirstBank Puerto Rico that provides various financial services for retail, commercial, and institutional clients. The company operates through six segments: Commercial and Corporate Banking, Mortgage Banking, Consumer (Retail) Banking, Treasury and Investments, United States Operations, and Virgin Islands Operations. The Commercial and Corporate Banking segment offers commercial loans, including commercial real estate and construction loans and floor plan financings; and other products, such as cash management and business management services. The Mortgage Banking segment engages in the origination, sale, and servicing of various residential mortgage loans; acquisition and sale of mortgages in the secondary markets; and purchase of mortgage loans from other local banks and mortgage bankers. The Consumer (Retail) Banking segment provides auto, boat, credit card, and personal loans; lines of credit; deposit products comprising interest bearing and non-interest bearing checking and savings accounts, individual retirement accounts, and retail certificates of deposit (CDs); and finance leasing and insurance agency services. The Treasury and Investments segment offers funding and liquidity management services. The United States Operations segment provides checking, savings, and money market accounts, as well as retail CDs; traditional commercial and industrial, and commercial real estate loans; and internet banking, cash management, remote deposit capture, and automated clearing house, and transactions services. The Virgin Islands Operations segment is involved in consumer, commercial lending, and deposit-taking activities. The company operates 64 branches in Puerto Rico, 8 branches in the U.S. Virgin Islands and British Virgin Islands, and 11 branches in the state of Florida. First BanCorp. was founded in 1948 and is headquartered in San Juan, Puerto Rico.

How the Company Makes Money

First Bancorp Puerto Rico generates revenue through various channels, primarily driven by interest income and non-interest income. The key revenue streams include net interest income from loans and investments, which constitutes the bulk of its earnings. The company earns interest from personal and commercial loans, as well as mortgage products. Non-interest income comes from service fees, transaction fees, and wealth management services. Additionally, First Bancorp benefits from strategic partnerships with other financial institutions and service providers, which enhance its product offerings and customer reach. The company also engages in treasury management and investment advisory services, contributing to its diversified revenue base.

First Bancorp Puerto Rico Financial Statement Overview

Summary

First Bancorp Puerto Rico demonstrates strong financial performance with consistent revenue growth, robust profitability, and efficient cash flow management. The company maintains low leverage and a stable financial position, though attention to equity levels and gross profit margins is advised.

Income Statement

First Bancorp Puerto Rico has shown strong revenue growth and profitability. The TTM revenue grew by 0.8% compared to 2024, and the net profit margin for TTM is 25.15%, indicating robust earnings. The company maintains healthy EBIT and EBITDA margins, demonstrating operational efficiency. However, the gross profit margin slightly decreased, which might require attention.

Balance Sheet

The company has a strong balance sheet with a low debt-to-equity ratio of 0.19 in TTM, showing low leverage and a stable financial position. The return on equity is healthy at 16.99% for TTM, reflecting effective management in generating returns for shareholders. However, the equity ratio is moderate at 9.31%, suggesting a need for maintaining sufficient equity levels.

Cash Flow

First Bancorp Puerto Rico demonstrates strong cash flow management. The free cash flow to net income ratio is excellent at 1.28 for TTM, indicating efficient conversion of net income into cash flows. The operating cash flow to net income ratio stands at 1.30, reflecting solid cash generation. Though the free cash flow growth rate is negative compared to the previous year, overall cash management remains robust.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.21B	1.19B	1.12B	953.89M	882.02M	770.14M
Gross Profit	860.65M	843.72M	830.16M	858.16M	882.53M	506.49M
EBITDA	427.73M	416.20M	425.67M	478.69M	464.19M	142.09M
Net Income	333.47M	298.72M	302.86M	305.07M	281.02M	102.27M
Balance Sheet
Total Assets	19.32B	19.29B	18.91B	18.63B	20.79B	18.79B
Cash, Cash Equivalents and Short-Term Investments	5.01B	5.72B	5.89B	6.00B	8.68B	5.80B
Total Debt	290.00M	561.70M	661.70M	933.89M	683.76M	923.76M
Total Liabilities	17.40B	17.62B	17.41B	17.31B	18.68B	16.52B
Stockholders Equity	1.92B	1.67B	1.50B	1.33B	2.10B	2.28B
Cash Flow
Free Cash Flow	429.52M	394.14M	340.36M	420.03M	386.37M	281.67M
Operating Cash Flow	438.10M	404.15M	362.96M	440.49M	399.72M	297.74M
Investing Cash Flow	-174.10M	136.23M	-78.45M	-681.46M	-1.26B	-1.24B
Financing Cash Flow	-49.80M	-44.13M	-101.85M	-1.82B	1.91B	1.79B

First Bancorp Puerto Rico Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 20.91
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FBP, the sentiment is Neutral. The current price of 20.91 is below the 20-day moving average (MA) of 21.26, above the 50-day MA of 20.49, and above the 200-day MA of 20.37, indicating a neutral trend. The MACD of 0.15 indicates Positive momentum. The RSI at 48.58 is Neutral, neither overbought nor oversold. The STOCH value of 46.47 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for FBP.

First Bancorp Puerto Rico Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
INDB	80 Outperform	$3.69B	17.90	5.51%	3.05%	11.05%	-10.78%
OFG	78 Outperform	$1.81B	9.32	14.82%	2.73%	3.98%	6.75%
FBP	76 Outperform	$3.32B	10.17	18.43%	3.38%	2.35%	13.72%
EBC	74 Outperform	$4.60B	77.09	1.32%	2.72%	-1.18%	-89.13%
CATY	72 Outperform	$3.37B	11.33	10.63%	2.72%	-1.59%	9.34%
FULT	71 Outperform	$3.52B	10.11	10.92%	3.52%	9.60%	20.38%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%