Foresight Financial Group (FGFH) AI Stock Analysis

• Market Cap: $170.91M
• Dividend Yield: 1.91%
• Average Volume (3M): 7.38K
• Price to Earnings (P/E): 21.5
• Beta (1Y): -0.03
• Revenue Growth: 43.53%
• EPS Growth: -54.77%
• Country: US
• Employees: 250
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 0.70
• Shares Outstanding: 3,617,060
• 10 Day Avg. Volume: 4,329
• 30 Day Avg. Volume: 7,379
• PEG Ratio: -0.79
• Price to Book (P/B): 0.75
• Price to Sales (P/S): 1.32
• P/FCF Ratio: 11.07
• Enterprise Value/Market Cap: 1.15
• Enterprise Value/Revenue: 4.33
• Enterprise Value/Gross Profit: 6.87
• Enterprise Value/Ebitda: 43.77
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 68 Neutral
• Price Target: $45.00 ▲(7.02% Upside)
• Action: Downgraded Date: 12/30/25
• Date: Action: Downgraded 12/30/25

The score is driven primarily by solid underlying fundamentals (growth and improved leverage) tempered by 2024 margin compression and weakening operating cash flow. Technicals are supportive with an uptrend and positive momentum indicators, while valuation is reasonable but not notably cheap and the dividend is modest.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective business strategies, supporting long-term expansion and profitability.

Cash Flow Management

Efficient cash flow management ensures liquidity and supports strategic investments, enhancing the company's financial resilience and growth potential.

Profit Margins

Strong profit margins reflect effective cost control and pricing power, contributing to sustainable profitability and competitive advantage.

Negative Factors

Equity Positioning

A low equity ratio could limit financial flexibility and increase vulnerability to economic downturns, potentially impacting long-term stability.

Earnings Volatility

Significant earnings volatility may indicate underlying business challenges, affecting investor confidence and long-term valuation.

Debt Levels

While leverage is manageable, any increase in debt could strain financial resources, impacting future growth and operational flexibility.

Foresight Financial Group Business Overview & Revenue Model

Company Description

Foresight Financial Group, Inc., together with its subsidiaries, provides various banking services to individuals and businesses in the United States. Its deposit products include demand deposits and certificates of deposit; and loan portfolio comprises agricultural, agribusiness, commercial, real estate, and installment loans. It serves its customers through facilities in the Rockford, Freeport, German Valley, Davis, Lena, Winnebago, Pecatonica, Seward, Kankakee, Loves Park, Machesney Park, Belvidere, and Herscher areas of Illinois. Foresight Financial Group, Inc. was founded in 1986 and is based in Winnebago, Illinois.

How the Company Makes Money

FGFH generates revenue through multiple streams, primarily from interest income on loans and advances, fees for financial advisory and wealth management services, and premiums from insurance policies. The company also earns through investment income by managing portfolios for clients and proprietary trading. Strategic partnerships with other financial institutions and fintech companies enhance its service offerings and expand its market reach, contributing significantly to its earnings. Additionally, FGFH benefits from cross-selling opportunities within its integrated financial services platform, optimizing revenue generation from its broad client base.

Foresight Financial Group Financial Statement Overview

Summary

Solid multi-year revenue growth and sustained profitability, plus a notably improved 2024 leverage profile. Offsetting factors are a clear 2024 step-down in margins/net income and weakening operating cash flow from 2022–2024, which raises near-term earnings/cash-generation risk.

Income Statement

Revenue has grown steadily over the period (from $57.4M in 2019 to $87.9M in 2024), including a strong step-up in 2024. Profitability is generally solid with positive operating income each year; however, margins compressed notably in 2024 versus 2023 (net margin fell from ~26.1% to ~14.4% and operating margin also declined), signaling higher costs/pressure on spreads. Net income dipped in 2024 despite higher revenue, which tempers the otherwise constructive growth story.

Balance Sheet

The company reports a large and growing asset base ($1.64B in 2024) with equity increasing to $153.4M, supporting balance-sheet capacity. Leverage appears to have improved meaningfully in 2024 with debt-to-equity dropping to ~0.40 from elevated levels in 2021–2023 (roughly ~1.8–2.2), which is a clear positive. Return on equity remains decent but has cooled versus prior years (~8.3% in 2024 vs ~10–11% in 2022–2023), suggesting profitability is not keeping pace with capital growth.

Cash Flow

Free cash flow has remained positive across the period and tracks net income fairly well (free cash flow is ~93% of net income in 2024), which supports earnings quality. That said, operating cash flow has trended down from 2022–2024 ($20.1M to $11.2M), indicating weaker cash generation recently. The provided operating-cash-flow coverage figures are very low in 2023–2024 versus earlier years, reinforcing that near-term cash flow momentum is a key watch item despite still-positive free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	45.40M	87.89M	78.08M	60.87M	56.87M	58.36M
Gross Profit	28.62M	55.13M	55.72M	53.53M	49.97M	45.24M
EBITDA	4.49M	16.23M	20.22M	18.81M	15.96M	14.59M
Net Income	3.72M	12.66M	14.55M	13.63M	11.39M	10.29M
Balance Sheet
Total Assets	1.61B	1.64B	1.57B	1.48B	1.45B	1.38B
Cash, Cash Equivalents and Short-Term Investments	404.43M	0.00	413.13M	433.72M	540.37M	497.83M
Total Debt	52.35M	61.73M	58.66M	43.66M	52.72M	68.06M
Total Liabilities	1.45B	1.48B	1.43B	1.35B	1.30B	1.23B
Stockholders Equity	159.96M	153.40M	140.86M	127.23M	155.23M	153.82M
Cash Flow
Free Cash Flow	0.00	10.47M	16.68M	18.50M	18.20M	17.77M
Operating Cash Flow	0.00	11.24M	17.71M	20.08M	18.66M	18.22M
Investing Cash Flow	0.00	-39.34M	-89.99M	-114.64M	-111.69M	-108.64M
Financing Cash Flow	0.00	46.38M	74.18M	46.74M	59.92M	156.74M

Foresight Financial Group Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 42.05
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FGFH, the sentiment is Positive. The current price of 42.05 is below the 20-day moving average (MA) of 46.11, below the 50-day MA of 43.78, and above the 200-day MA of 35.94, indicating a bullish trend. The MACD of 0.95 indicates Positive momentum. The RSI at 65.97 is Neutral, neither overbought nor oversold. The STOCH value of 56.59 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FGFH.

Foresight Financial Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SBFG	75 Outperform	$130.44M	9.48	10.12%	2.69%	10.78%	21.72%
FGFH	68 Neutral	$170.91M	21.54	4.45%	1.91%	43.53%	-54.77%
SRBK	68 Neutral	$125.51M	45.66	1.57%	0.88%	9.43%	166.36%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
AFBI	64 Neutral	$122.74M	15.33	5.95%	―	5.18%	36.12%
SFBC	64 Neutral	$109.52M	15.33	6.52%	1.75%	2.85%	73.41%
BSBK	48 Neutral	$109.07M	50.82	0.35%	―	-15.09%	―