First Community Bancshares (FCBC) AI Stock Analysis

• Market Cap: $678.93M
• Dividend Yield: 8.93%
• Average Volume (3M): 38.79K
• Price to Earnings (P/E): 13.6
• Beta (1Y): 0.75
• Revenue Growth: 0.89%
• EPS Growth: -2.22%
• Country: US
• Employees: 583
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 0.67
• Shares Outstanding: 18,314,905
• 10 Day Avg. Volume: 38,509
• 30 Day Avg. Volume: 38,792
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 0.93
• Enterprise Value/Revenue: 3.58
• Enterprise Value/Gross Profit: 4.12
• Enterprise Value/Ebitda: 8.88
• 1Y Price Target: $42.00
• Price Target Upside: 13.30% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 74 Outperform
• Price Target: $42.00 ▲(13.30% Upside)

First Community Bancshares is well-positioned with strong financial performance and an attractive dividend yield. The technical analysis suggests mixed signals, with potential for upward momentum. The valuation is reasonable, making it a solid choice for income-focused investors. The absence of earnings call and corporate events data does not impact the overall assessment significantly.

Positive Factors

Profit Margins

Strong profit margins indicate effective cost management and operational efficiency, contributing to sustainable profitability.

Balance Sheet Health

A low leverage ratio suggests financial stability and lower risk, providing flexibility for future investments and growth.

Cash Flow Management

Effective cash management ensures liquidity and supports ongoing operations, enabling the company to reinvest in growth opportunities.

Negative Factors

Revenue Growth

Modest revenue growth may limit the company's ability to expand market share and enhance competitive positioning over time.

EPS Growth

Negative EPS growth indicates declining profitability per share, which could affect investor confidence and long-term valuation.

Free Cash Flow Growth

A declining free cash flow growth rate may hinder the company's ability to fund new projects and return capital to shareholders.

First Community Bancshares Business Overview & Revenue Model

Company Description

First Community Bankshares, Inc. operates as the financial holding company for First Community Bank that provides various banking products and services. It offers demand deposit accounts, savings and money market accounts, certificates of deposit, and individual retirement arrangements; commercial, consumer, and real estate mortgage loans, as well as lines of credit; various credit and debit cards, and automated teller machine card services; and corporate and personal trust services. The company also provides wealth management services, including trust management, estate administration, and investment advisory services; and investment management services. It serves individuals and businesses across various industries, such as education, government, and health services; coal mining and gas extraction; retail trade; construction; manufacturing; tourism; and transportation. As of December 31, 2021, the company operated 49 branches, including 17 branches in West Virginia, 23 branches in Virginia, 7 branches in North Carolina, and 2 branches in Tennessee. First Community Bankshares, Inc. was founded in 1874 and is headquartered in Bluefield, Virginia.

How the Company Makes Money

First Community Bancshares generates revenue primarily through its interest income and non-interest income streams. The principal source of revenue is interest income derived from loans made to consumers and businesses, as well as interest earned on investments in securities. Additionally, the bank earns non-interest income through fees for services such as account maintenance, transaction fees, wealth management services, and other banking services. The company's ability to effectively manage its loan portfolio, maintain a strong deposit base, and control operating expenses contributes significantly to its profitability. Strategic partnerships with other financial service providers also enhance its offerings and revenue potential.

First Community Bancshares Financial Statement Overview

Summary

First Community Bancshares demonstrates strong financial performance with robust profit margins and operational efficiency. The company has a low Debt-to-Equity ratio, indicating minimal leverage and financial stability. However, there is room for improvement in revenue growth and the Free Cash Flow Growth Rate.

Income Statement

First Community Bancshares has maintained a strong position in its income statement metrics. The Gross Profit Margin remains robust at 86.89%, and the Net Profit Margin is commendable at 28.74% TTM, indicating efficient cost management. Though the revenue growth rate is modest, the EBIT and EBITDA margins are strong at 36.63% and 40.28%, respectively, showcasing operational efficiency and stability in earnings.

Balance Sheet

The company's balance sheet reflects solid financial stability with a low Debt-to-Equity ratio of 0.002, indicating minimal leverage and low risk. The Return on Equity (ROE) is healthy at 10.18%, which is a positive sign of profitability. However, the Equity Ratio stands at 15.39%, suggesting a moderate reliance on equity financing compared to the industry norm.

Cash Flow

The cash flow statement shows a strong Free Cash Flow to Net Income ratio of 1.03, highlighting effective cash management. The Operating Cash Flow to Net Income ratio is also solid at 1.07, suggesting efficient conversion of income to cash. However, the Free Cash Flow Growth Rate shows a slight decline, indicating a potential area for improvement.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	175.89M	165.71M	142.24M	133.29M	138.20M
Gross Profit	152.62M	148.24M	134.01M	138.92M	120.07M
EBITDA	72.17M	67.66M	65.76M	72.44M	52.02M
Net Income	51.60M	48.02M	46.66M	51.17M	35.93M
Balance Sheet
Total Assets	3.26B	3.27B	3.14B	3.19B	3.01B
Cash, Cash Equivalents and Short-Term Investments	216.72M	358.52M	365.56M	126.69M	144.16M
Total Debt	906.00K	1.12M	1.87M	1.54M	964.00K
Total Liabilities	2.73B	2.77B	2.71B	2.77B	2.58B
Stockholders Equity	526.39M	503.29M	421.99M	427.77M	426.73M
Cash Flow
Free Cash Flow	54.93M	59.06M	57.86M	45.18M	42.65M
Operating Cash Flow	57.74M	61.83M	59.02M	48.22M	45.84M
Investing Cash Flow	263.91M	288.66M	-536.78M	35.35M	17.80M
Financing Cash Flow	-60.62M	-404.92M	-28.84M	137.31M	175.91M

First Community Bancshares Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 37.07
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FCBC, the sentiment is Negative. The current price of 37.07 is below the 20-day moving average (MA) of 37.40, below the 50-day MA of 37.87, and below the 200-day MA of 38.64, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 46.92 is Neutral, neither overbought nor oversold. The STOCH value of 11.23 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FCBC.

First Community Bancshares Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
OSBC	81 Outperform	$961.40M	9.97	12.51%	1.31%	2.02%	-2.80%
NBN	79 Outperform	$878.74M	10.93	19.16%	0.04%	33.02%	33.76%
HBT	79 Outperform	$802.50M	10.51	14.08%	3.22%	4.86%	7.89%
FCBC	74 Outperform	$678.93M	13.61	9.91%	8.93%	0.89%	-2.22%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
CFFN	67 Neutral	$855.24M	13.68	5.92%	5.27%	6.49%	―
AMTB	64 Neutral	$879.66M	―	0.44%	1.72%	-6.88%	-131.00%

First Community Bancshares Corporate Events

First Community Bancshares to Acquire Hometown Bancshares

On July 19, 2025, First Community Bankshares, Inc. announced an agreement to acquire Hometown Bancshares, Inc. for approximately $41.5 million. This merger, expected to close in the first quarter of 2026, will see Hometown merge into First Community, with Union Bank, its subsidiary, merging into First Community Bank. The acquisition aligns with First Community’s strategy to expand its presence in the Parkersburg-Marietta-Vienna MSA and is anticipated to enhance its service offerings, including Trust and Wealth Management services, to Union Bank’s customers. The transaction, approved by both companies’ Boards of Directors, is subject to customary closing conditions, including shareholder and regulatory approvals.