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First Commonwealth Financial Corp. (FCF)
NYSE:FCF
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First Commonwealth (FCF) AI Stock Analysis

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FCF

First Commonwealth

(NYSE:FCF)

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Outperform 74 (OpenAI - 5.2)
Rating:74Outperform
Price Target:
$24.00
▲(15.00% Upside)
Action:Reiterated
Date:08/01/26
FCF scores well on core fundamentals (improved leverage/capital position, solid profitability, and strong recent cash generation) and shows supportive technical momentum with the stock trading above key moving averages. The score is tempered by weaker recent ROE and management’s acknowledgment of meaningful near-term headwinds from deposit competition and elevated/variable credit costs, while valuation remains reasonable with a mid-teens P/E and a ~2.5% dividend yield.
Positive Factors
Improved capital and liquidity
Meaningfully lower leverage and CET1/tangible equity gains strengthen loss-absorbing capacity and regulatory flexibility. A cleaner balance sheet supports continued lending, dividend payouts and buybacks while reducing solvency risk across economic cycles, improving resilience over the next 2–6 months.
Negative Factors
Elevated charge-offs and classified loans
Ongoing elevated charge-offs and migration into classified assets increase earnings volatility and could force higher provisioning. Persistent problem credits can erode capital and constrain credit supply, making near-term profitability and lending growth more uncertain until asset-quality normalization occurs.
Read all positive and negative factors
Positive Factors
Negative Factors
Improved capital and liquidity
Meaningfully lower leverage and CET1/tangible equity gains strengthen loss-absorbing capacity and regulatory flexibility. A cleaner balance sheet supports continued lending, dividend payouts and buybacks while reducing solvency risk across economic cycles, improving resilience over the next 2–6 months.
Read all positive factors

First Commonwealth (FCF) vs. SPDR S&P 500 ETF (SPY)

First Commonwealth Business Overview & Revenue Model

Company Description
First Commonwealth Financial Corporation, a financial holding company, provides various consumer and commercial banking products and services in the United States. The company’s consumer services include internet, mobile, and telephone banking; an...
How the Company Makes Money
FCF primarily makes money through (1) net interest income and (2) noninterest income. Net interest income is earned from the spread between interest received on earning assets—mainly loans (e.g., commercial and consumer loans) and investment secur...

First Commonwealth Earnings Call Summary

Earnings Call Date:Jul 28, 2026
(Q2-2026)
|
% Change Since: |
Next Earnings Date:Oct 27, 2026
Earnings Call Sentiment Neutral
The call presented a mix of constructive operating momentum and meaningful near-term headwinds. Positive operational indicators include higher core EPS, an expanding NIM, improved loan yields, stronger fee income, disciplined expense control, continued share repurchases and modest capital improvements. Offsetting these positives are significant commercial loan payoffs that restrained loan growth, end-of-period deposit outflows amid accelerating CD competition, and elevated charge-offs/classified assets that could produce volatility in credit results. Management expects payoffs to subside and loan growth to reaccelerate toward mid-single digits, but deposit competition and charge-off variability introduce uncertainty in margin and credit trends in the near term.
Positive Updates
Core Earnings and Profitability Metrics Improved
Core EPS of $0.44, up $0.07 quarter-over-quarter; core ROAA of 1.46%; core pretax pre-provision ROAA of 2.14%; core efficiency ratio of 52.24%.
Negative Updates
Elevated Commercial Loan Payoffs
Record commercial loan payoffs of roughly $740 million in Q2 following ~$630 million in Q1. These payoffs compressed loan balances and contributed to weak headline loan growth despite strong originations.
Read all updates
Q2-2026 Updates
Negative
Core Earnings and Profitability Metrics Improved
Core EPS of $0.44, up $0.07 quarter-over-quarter; core ROAA of 1.46%; core pretax pre-provision ROAA of 2.14%; core efficiency ratio of 52.24%.
Read all positive updates
Company Guidance
Management guided that loan growth should pick up in H2 and trend back toward its mid-single‑digit target (Q2 net loan growth was 1.97% annualized) while NIM is expected to settle in the low‑4% range (Q2 NIM was 4.01%, +9 bps QoQ; scenario runs showed 4.08% in Q4 with no hikes and ~4.13% with one hike; roughly +5 bps in NIM per 25 bps Fed hike). They reiterated fee income of $24–$25 million per quarter and noninterest expense of $74–$76 million per quarter for the rest of 2026. Key recent metrics noted that loan yield rose to 6.07% (+4 bps), fixed‑rate loans repriced +61 bps, cost of deposits fell to 1.74% (spot June 1.71%), average deposit growth was 2.03% (period‑end down ~5.77% annualized), securities purchases yielding low‑5s, Q2 share repurchases of ~$12M (avg $18.66) with a new $75M authorization, CET1 12.6%, tangible common equity 9.9%, and tangible book value $11.58.

First Commonwealth Financial Statement Overview

Summary
Financial statements are solid overall: strong multi-year revenue growth, improved leverage/capital profile (debt-to-equity down markedly to ~0.10 TTM), and healthy recent operating/free cash flow with good earnings quality (FCF ~0.93x net income). Offsetting factors include margin compression versus earlier years, a sharp drop in TTM ROE (~3.7%), and historically volatile cash-flow conversion.
Income Statement
72
Positive
Balance Sheet
74
Positive
Cash Flow
78
Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue739.10M729.44M699.69M626.61M428.66M400.60M
Gross Profit501.14M493.12M448.95M467.47M389.82M386.67M
EBITDA210.79M204.68M184.01M201.66M170.74M184.26M
Net Income157.15M152.30M142.57M157.06M128.18M138.26M
Balance Sheet
Total Assets12.26B12.37B11.58B11.46B9.81B9.55B
Cash, Cash Equivalents and Short-Term Investments118.13M103.28M1.28B1.17B916.90M1.44B
Total Debt196.15M452.33M343.12M784.59M553.92M320.58M
Total Liabilities10.71B10.81B10.18B10.15B8.75B8.44B
Stockholders Equity1.55B1.55B1.41B1.31B1.05B1.11B
Cash Flow
Free Cash Flow203.72M171.36M113.92M128.72M140.21M154.41M
Operating Cash Flow218.48M187.54M129.46M150.76M151.41M165.05M
Investing Cash Flow36.23M-388.14M-121.72M-574.27M-588.79M-565.30M
Financing Cash Flow-53.04M247.64M-21.32M416.26M196.25M439.05M

First Commonwealth Technical Analysis

Technical Analysis Sentiment
Positive
Last Price20.87
Price Trends
50DMA
20.02
Positive
100DMA
18.96
Positive
200DMA
17.87
Positive
Market Momentum
MACD
0.34
Positive
RSI
60.20
Neutral
STOCH
49.00
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FCF, the sentiment is Positive. The current price of 20.87 is above the 20-day moving average (MA) of 20.84, above the 50-day MA of 20.02, and above the 200-day MA of 17.87, indicating a bullish trend. The MACD of 0.34 indicates Positive momentum. The RSI at 60.20 is Neutral, neither overbought nor oversold. The STOCH value of 49.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FCF.

First Commonwealth Risk Analysis

First Commonwealth disclosed 35 risk factors in its most recent earnings report. First Commonwealth 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 Commonwealth Peers Comparison

Overall Rating
UnderperformOutperform
Sector (68)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
78
Outperform
$2.04B15.8816.22%2.49%3.45%10.13%
75
Outperform
$2.22B10.5315.92%2.48%4.56%19.51%
74
Outperform
$2.20B13.133.99%2.61%4.86%
73
Outperform
$1.85B11.0020.58%0.23%1.95%6.07%
73
Outperform
$2.30B14.958.07%5.19%14.57%-6.57%
68
Neutral
$18.00B11.429.92%3.81%9.73%1.22%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
FCF
First Commonwealth
21.53
5.71
36.09%
CHCO
City Holding Company
145.11
27.63
23.52%
CASH
Pathward Financial
88.24
13.64
18.28%
NWBI
Northwest Bancshares
15.74
4.77
43.42%
OFG
OFG Bancorp
52.86
12.32
30.39%

First Commonwealth Corporate Events

Business Operations and StrategyRegulatory Filings and Compliance
First Commonwealth Modernizes Corporate Governance and Proxy Rules
Positive
Jul 31, 2026
On July 28, 2026, First Commonwealth Financial Corporation’s board approved several amendments to its by-laws to modernize corporate governance and align with legal requirements. The changes included updating provisions for shareholder meeti...
Business Operations and StrategyStock BuybackDividendsFinancial Disclosures
First Commonwealth Reports Strong Q2 Earnings and Buyback
Positive
Jul 28, 2026
On July 28, 2026, First Commonwealth Financial Corporation reported second-quarter 2026 net income of $44.6 million, or $0.44 per diluted share, up from both the prior quarter and the same period a year earlier, with returns on average assets and ...
Executive/Board ChangesShareholder Meetings
First Commonwealth Shareholders Back Board, Auditors and Pay
Positive
May 1, 2026
First Commonwealth Financial Corporation held its annual meeting of shareholders on April 28, 2026, where investors voted on the election of directors and key governance matters. All nominated directors, including T. Michael Price and Todd D. Bric...
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 01, 2026