First Community (FCCO) AI Stock Analysis

• Market Cap: $221.16M
• Dividend Yield: 2.12%
• Average Volume (3M): 24.96K
• Price to Earnings (P/E): 12.0
• Beta (1Y): 0.85
• Revenue Growth: 11.59%
• EPS Growth: 42.03%
• Country: US
• Employees: 260
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 0.67
• Shares Outstanding: 7,689,694
• 10 Day Avg. Volume: 18,896
• 30 Day Avg. Volume: 24,960
• PEG Ratio: 0.76
• Price to Book (P/B): 1.27
• Price to Sales (P/S): 1.86
• P/FCF Ratio: 18.70
• Enterprise Value/Market Cap: 1.39
• Enterprise Value/Revenue: 2.86
• Enterprise Value/Gross Profit: 4.33
• Enterprise Value/Ebitda: 8.99
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 2.58
• Revenue Forecast (FY): $78.31M

• Rating: 65 Neutral
• Price Target: $29.00 ▼(-0.07% Downside)

First Community's overall stock score reflects solid financial performance with consistent revenue growth and profitability. However, technical indicators suggest bearish momentum, which could pose short-term challenges. The stock's reasonable valuation and attractive dividend yield provide a cushion, making it appealing for long-term investors.

Positive Factors

Revenue Growth

Consistent revenue growth indicates a strong market position and effective business strategies, supporting long-term financial stability.

Profitability Margins

Improved profitability margins suggest efficient cost management and strong operational performance, enhancing shareholder value over time.

Cash Generation

Strong cash generation supports reinvestment in growth initiatives and provides a buffer against economic downturns, ensuring long-term resilience.

Negative Factors

Increased Leverage

Higher leverage can increase financial risk, especially if interest rates rise, potentially impacting the company's financial flexibility and stability.

Cash Flow Conversion

Low cash flow conversion may limit the company's ability to fund operations and growth initiatives, posing a risk to long-term financial health.

EBITDA Margins

Suboptimal EBITDA margins indicate potential inefficiencies or cost pressures, which could affect the company's competitive position and profitability.

First Community Business Overview & Revenue Model

Company Description

First Community Corporation operates as the bank holding company for First Community Bank which offers various commercial and retail banking products and services to small-to-medium sized businesses, professional concerns, and individuals. The company operates through Commercial and Retail Banking, Mortgage Banking, and Investment Advisory and Non-Deposit segments. Its deposit products include checking, NOW, savings, and individual retirement accounts; and demand deposits, as well as other time deposits, such as daily money market accounts and longer-term certificates of deposit. The company's loan portfolio comprises commercial loans that consist of secured and unsecured loans for working capital, business expansion, and the purchase of equipment and machinery; consumer loans, including secured and unsecured loans for financing automobiles, home improvements, education, and personal investments; real estate construction and acquisition loans; and fixed and variable rate mortgage loans. It also provides other banking services, which include online banking, internet banking, cash management, safe deposit boxes, travelers checks, direct deposit of payroll and social security checks, and automatic drafts for various accounts. In addition, the company offers non-deposit investment products and other investment brokerage services; VISA and MasterCard credit card services; investment advisory services; and insurance services. It operates 21 full-service offices located in the Lexington County, Richland County, Newberry County, Kershaw County, Greenville County, Anderson County, Pickens County, and Aiken County, South Carolina; and Richmond County and Columbia County, Georgia. The company was incorporated in 1994 and is headquartered in Lexington, South Carolina.

How the Company Makes Money

First Community generates revenue through various streams, primarily from interest income on loans and mortgages provided to customers. This includes personal loans, small business loans, and home mortgages, where interest payments constitute a significant portion of its earnings. Additionally, the company earns fee income from account maintenance charges, transaction fees, and other banking services. Investment services also contribute to revenue, as FCCO earns commissions and management fees for managing customer investments. Strategic partnerships with local businesses and organizations further enhance revenue opportunities through cross-promotions and co-branded services, driving customer acquisition and retention.

First Community Financial Statement Overview

Summary

First Community demonstrates solid financial health with consistent revenue growth and strong profitability margins. However, increased leverage and low operating cash flow coverage ratio suggest potential risks. Overall, the company is on a positive trajectory but should monitor debt levels and cash conversion closely.

Income Statement

First Community has shown consistent revenue growth with a TTM revenue growth rate of 3.99%. The gross profit margin remains strong at 64.82%, indicating efficient cost management. Net profit margin improved to 16.46% in the TTM, reflecting enhanced profitability. However, the EBIT and EBITDA margins, while healthy, show room for improvement compared to historical highs.

Balance Sheet

The debt-to-equity ratio has increased to 0.98 in the TTM, indicating a higher reliance on debt financing, which could pose risks if interest rates rise. Return on equity improved to 11.65%, showcasing effective use of equity to generate profits. The equity ratio remains stable, suggesting a balanced asset structure.

Cash Flow

Free cash flow growth has rebounded to 1.55% in the TTM, indicating recovery from previous declines. The operating cash flow to net income ratio is low, suggesting potential challenges in converting income into cash. However, the free cash flow to net income ratio is strong at 91.93%, indicating good cash generation relative to profits.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	107.20M	98.53M	78.33M	58.37M	57.25M	53.77M
Gross Profit	70.89M	60.34M	53.40M	55.34M	54.68M	46.36M
EBITDA	34.13M	19.63M	16.96M	20.23M	21.56M	14.60M
Net Income	18.61M	13.96M	11.84M	14.61M	15.46M	10.10M
Balance Sheet
Total Assets	2.07B	1.96B	1.83B	1.67B	1.58B	1.40B
Cash, Cash Equivalents and Short-Term Investments	213.06M	157.60M	376.92M	369.26M	633.86M	424.86M
Total Debt	117.02M	120.72M	171.25M	158.54M	72.13M	58.99M
Total Liabilities	1.91B	1.81B	1.70B	1.55B	1.44B	1.26B
Stockholders Equity	161.57M	144.49M	131.06M	118.36M	141.00M	136.34M
Cash Flow
Free Cash Flow	10.72M	9.77M	11.15M	20.90M	57.12M	-18.13M
Operating Cash Flow	11.56M	10.87M	12.23M	22.13M	57.93M	-17.05M
Investing Cash Flow	-91.54M	-67.63M	-89.67M	-162.78M	-236.28M	-171.52M
Financing Cash Flow	102.08M	111.89M	134.74M	109.03M	182.38M	205.87M

First Community Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 29.02
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FCCO, the sentiment is Positive. The current price of 29.02 is above the 20-day moving average (MA) of 27.91, above the 50-day MA of 27.57, and above the 200-day MA of 24.94, indicating a bullish trend. The MACD of 0.51 indicates Negative momentum. The RSI at 65.96 is Neutral, neither overbought nor oversold. The STOCH value of 83.88 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FCCO.

First Community Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CFFI	74 Outperform	$220.65M	8.43	10.89%	2.61%	8.53%	42.73%
BPRN	70 Outperform	$216.81M	12.50	6.73%	3.68%	12.92%	56.52%
VABK	70 Outperform	$212.66M	11.96	10.41%	3.39%	1.11%	14.44%
CBNA	70 Outperform	$213.66M	11.38	13.91%	―	―	―
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
FSFG	66 Neutral	$207.16M	8.94	12.50%	1.99%	7.69%	69.41%
FCCO	65 Neutral	$221.16M	12.02	12.21%	2.12%	11.59%	42.03%

First Community Corporate Events

First Community Corporation Reports Strong Q3 Earnings

First Community Corporation, a holding company for First Community Bank, operates as a full-service commercial bank offering a range of financial services including deposit and loan products, residential mortgage lending, and investment advisory services across South Carolina and parts of Georgia.