First Interstate Bancsystem (FIBK) AI Stock Analysis

• Market Cap: $2.79B
• Dividend Yield: 7.07%
• Average Volume (3M): 881.56K
• Price to Earnings (P/E): 12.6
• Beta (1Y): 1.07
• Revenue Growth: -0.05%
• EPS Growth: -15.66%
• Country: US
• Employees: 3,481
• Sector: Financial
• Sector Strength: 81
• Industry: Banks - Regional
• EPS (TTM): 0.49
• Shares Outstanding: 104,887,140
• 10 Day Avg. Volume: 782,958
• 30 Day Avg. Volume: 881,559
• PEG Ratio: -3.72
• Price to Book (P/B): 0.89
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 8.94
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $30.57
• Price Target Upside: 12.22% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 8

• Rating: 69 Neutral
• Price Target: $29.00 ▲(6.46%Upside)

First Interstate Bancsystem's overall stock score reflects strong financial performance and attractive valuation, slightly offset by mixed technical indicators and neutral earnings call sentiment. The strategic branch sale is a positive corporate event supporting the long-term outlook.

Positive Factors

Leadership

The new CEO is expected to lead to improved financial performance and organic growth, indicating a potential positive impact on the company's future.

Market Position

The bank faces limited competition from large banks in many of its core markets, with favorable market conditions such as superior GDP growth and unemployment rates in its operating states.

Strategic Initiatives

The new CEO, James Reuter, arrives with a proven track record in developing strategic growth initiatives and advancing digital banking platforms.

Negative Factors

Balance Sheet

A shrinking balance sheet, lower net interest income, higher expenses, and limited fee income growth likely to weigh on operating leverage.

Credit Risk

Credit remains a risk with a significant migration to criticized loans, following changes to credit policies and portfolio monitoring.

Valuation

Limited balance sheet growth and credit tail-risk put the still-premium valuation at risk.

First Interstate Bancsystem Business Overview & Revenue Model

Company Description

First Interstate BancSystem (FIBK) is a financial and banking services company operating primarily in the western United States. Headquartered in Billings, Montana, it offers a wide range of banking products and services to individuals, small businesses, commercial entities, and municipalities. The company's offerings include personal and business banking services, mortgage loans, wealth management, and trust services. It operates through a network of community banking offices, providing a localized approach to financial services.

How the Company Makes Money

First Interstate BancSystem generates revenue through a variety of financial services. The primary source of income is from interest earned on loans issued to consumers and businesses, including commercial, real estate, agricultural, and personal loans. Additionally, FIBK earns income through non-interest revenue streams such as service charges on deposit accounts, fees from transaction processing, and wealth management services. The company also benefits from strategic partnerships and investments in financial technology to enhance its service offerings and operational efficiencies. These diverse revenue streams allow FIBK to maintain a stable income base across different economic cycles.

First Interstate Bancsystem Financial Statement Overview

Summary

First Interstate Bancsystem shows a strong balance sheet with stable equity, but faces challenges in revenue consistency and cash flow growth. The income statement and cash flow indicate areas for improvement in operational efficiency.

Income Statement

First Interstate Bancsystem experienced fluctuating revenue and net income over the years. The revenue decreased from 2022 to 2023 but saw a significant increase in 2024. Net profit margin remained relatively stable, with a notable improvement in 2024. EBIT and EBITDA margins were not available for 2024, suggesting operational challenges or changes in reporting.

Balance Sheet

The company's balance sheet shows a strong equity position, with a stable debt-to-equity ratio. The equity ratio remained consistent, indicating financial stability. However, fluctuations in total assets and liabilities highlight potential volatility in asset management.

Cash Flow

Operating cash flow has been relatively stable, with a dip in 2023. Free cash flow remained positive, indicating good cash management. However, the free cash flow growth rate was inconsistent, suggesting potential challenges in sustaining cash-generating capabilities.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
178.10M	1.03B	1.11B	638.70M	653.70M
	Gross Profit
178.10M	954.20M	1.04B	638.70M	653.70M
	EBIT
-832.40M	336.80M	375.60M	247.80M	209.30M
	EBITDA
0.00	0.00	288.80M	244.00M	246.00M
	Net Income Common Stockholders
226.00M	257.50M	202.20M	192.10M	161.20M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
8.12B	379.00M	7.82B	7.17B	6.29B
	Total Assets
29.14B	30.67B	32.29B	19.67B	17.65B
	Total Debt
132.20M	2.89B	2.61B	199.40M	199.40M
	Net Debt
-245.80M	2.31B	1.74B	-2.15B	-2.08B
	Total Liabilities
25.83B	27.44B	29.21B	17.69B	15.69B
	Stockholders Equity
3.30B	3.23B	3.07B	1.99B	1.96B
Cash Flow		Free Cash Flow
355.00M	399.80M	523.90M	272.00M	238.10M
	Operating Cash Flow
355.00M	428.00M	534.40M	282.30M	268.30M
	Investing Cash Flow
1.76B	1.25B	-949.00M	-2.12B	-1.87B
	Financing Cash Flow
-1.80B	-1.97B	-1.06B	1.91B	2.80B

First Interstate Bancsystem Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 27.24
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FIBK, the sentiment is Positive. The current price of 27.24 is above the 20-day moving average (MA) of 26.93, above the 50-day MA of 26.83, and below the 200-day MA of 29.52, indicating a neutral trend. The MACD of 0.07 indicates Positive momentum. The RSI at 52.46 is Neutral, neither overbought nor oversold. The STOCH value of 33.17 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FIBK.

First Interstate Bancsystem Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CBU	74 Outperform	$2.94B	15.45	10.91%	3.29%	14.34%	12.98%
WSFS	72 Outperform	$3.07B	12.14	10.25%	1.14%	5.14%	―
WSBC	70 Outperform	$3.01B	20.51	3.38%	4.80%	17.74%	-35.93%
FIBK	69 Neutral	$2.79B	12.62	6.63%	7.07%	-0.05%	-15.66%
CATY	69 Neutral	$3.09B	11.12	10.07%	3.17%	2.76%	-12.43%
FHB	66 Neutral	$3.01B	13.02	9.11%	4.44%	-0.47%	5.97%
Sector *	64 Neutral	$12.67B	9.74	7.58%	17015.08%	12.21%	-6.96%

First Interstate Bancsystem Corporate Events

First Interstate BancSystem Appoints New Board Director

On May 21, 2025, First Interstate BancSystem, Inc. appointed Mr. James R. Scott, Jr. as a Class III director on its Board, filling the vacancy left by his father, James R. Scott. Mr. Scott, who previously served on the Board and as a Vice President at First Interstate Bank, will not be considered independent under NASDAQ rules but will receive compensation similar to other non-employee directors. The Board also approved amended bylaws, introducing a director resignation policy and implementing a plurality vote standard for contested elections, effective immediately.

The most recent analyst rating on (FIBK) stock is a Sell with a $28.00 price target. To see the full list of analyst forecasts on First Interstate Bancsystem stock, see the FIBK Stock Forecast page.

First Interstate BancSystem Q1 2025 Financial Results

On April 29, 2025, First Interstate BancSystem, Inc. announced its financial results for the first quarter of 2025, reporting a net income of $50.2 million, a slight decrease from previous quarters. The company declared a dividend of $0.47 per share, payable on May 22, 2025. Key highlights include a marginal increase in net interest margin and a significant reduction in net charge-offs, although non-performing assets and criticized loans saw an increase. The company continues to manage credit risk proactively and has improved its capital ratios, reflecting a stable financial position despite challenges in the commercial real estate loan portfolio.

First Interstate BancSystem Announces Branch Sale Agreement

On April 28, 2025, First Interstate BancSystem, Inc. announced that its subsidiary, First Interstate Bank, entered into a Purchase and Assumption Agreement with Enterprise Financial Services Corp’s subsidiary, Enterprise Bank & Trust. Under the agreement, Enterprise Bank & Trust will acquire twelve branches from First Interstate Bank, including deposits and loans, with the transaction expected to close by early fourth quarter of 2025. This acquisition will expand Enterprise Bank & Trust’s presence in Arizona and Kansas, increasing its market reach and enhancing its ability to offer improved services to customers. The strategic move aligns with both companies’ customer and community-centric values, aiming to generate long-term value for shareholders and ensure a seamless transition for existing customers and employees.

First Interstate Bancsystem Announces Board Member Retirements

First Interstate Bancsystem announced the upcoming retirements of two of its board members, Mr. Thomas E. Henning and Ms. Frances P. Grieb, effective at the 2025 annual meeting of stockholders. Mr. Henning, who reached the retirement age of 72, has been a board member since the company’s acquisition of Great Western Bancorp in 2022, while Ms. Grieb has served since 2014. Their retirements are not due to any disagreements with the company, and they will continue their roles until the meeting.