FS Bancorp (FSBW) AI Stock Analysis

• Market Cap: $304.94M
• Dividend Yield: 3.17%
• Average Volume (3M): 16.67K
• Price to Earnings (P/E): 9.3
• Beta (1Y): 0.75
• Revenue Growth: 4.43%
• EPS Growth: -12.94%
• Country: US
• Employees: 567
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 1.10
• Shares Outstanding: 7,501,542
• 10 Day Avg. Volume: 12,963
• 30 Day Avg. Volume: 16,669
• PEG Ratio: -2.97
• Price to Book (P/B): 1.01
• Price to Sales (P/S): 1.42
• P/FCF Ratio: 5.96
• Enterprise Value/Market Cap: 1.42
• Enterprise Value/Revenue: 1.99
• Enterprise Value/Gross Profit: 2.99
• Enterprise Value/Ebitda: 7.87
• 1Y Price Target: $46.00
• Price Target Upside: 13.16% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1
• EPS Forecast (FY): 4.42
• Revenue Forecast (FY): $158.66M

• Rating: 56 Neutral
• Price Target: $39.00 ▼(-4.06% Downside)
• Action: Downgraded Date: 03/14/26
• Date: Action: Downgraded 03/14/26

The score is held back primarily by 2025 fundamental weakness (sharp revenue decline and a major drop in operating/free cash flow) and bearish technicals (below key moving averages with negative MACD). Offsetting factors include attractive valuation (low P/E and solid dividend yield) and generally positive corporate developments (accretive M&A and a dividend increase).

Positive Factors

Cash Generation

FS Bancorp's very strong free cash flow growth and an operating-cash-flow-to-net-income ratio of 6.16 indicate durable cash conversion. This sustained cash generation supports lending, buffers credit cycles, funds dividends/share repurchases, and provides long-term capital flexibility without relying on volatile market financing.

Negative Factors

Margin Pressure

A multi-year decline in gross profit margin points to rising funding or operating costs and/or unfavorable product mix. If unaddressed, this structural margin compression could erode operating leverage, reduce the buffer for credit losses, and limit the bank's ability to expand net interest income sustainably over the medium term.

FS Bancorp Business Overview & Revenue Model

Company Description

FS Bancorp, Inc. operates as a bank holding company for 1st Security Bank of Washington that provides banking and financial services to local families, local and regional businesses, and industry niches. The company operates in two segments, Comme...

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FS Bancorp, Inc. operates as a bank holding company for 1st Security Bank of Washington that provides banking and financial services to local families, local and regional businesses, and industry niches. The company operates in two segments, Comme...

How the Company Makes Money

FS Bancorp primarily makes money through its banking subsidiary by earning interest income and fee-based (noninterest) income, offset by interest paid to depositors and other funding sources, plus operating expenses and credit costs. (1) Net inter...

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FS Bancorp primarily makes money through its banking subsidiary by earning interest income and fee-based (noninterest) income, offset by interest paid to depositors and other funding sources, plus operating expenses and credit costs. (1) Net inter...

FS Bancorp Financial Statement Overview

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	217.51M	203.71M	185.26M	134.08M	131.08M
Gross Profit	144.75M	136.47M	136.59M	113.45M	120.86M
EBITDA	54.95M	52.15M	57.92M	50.99M	62.60M
Net Income	33.35M	35.02M	36.05M	29.65M	37.41M
Balance Sheet
Total Assets	3.20B	3.03B	2.97B	2.63B	2.29B
Cash, Cash Equivalents and Short-Term Investments	302.17M	200.75M	194.22M	275.40M	308.39M
Total Debt	141.08M	354.96M	60.27M	242.46M	96.71M
Total Liabilities	2.89B	2.73B	2.71B	2.40B	2.04B
Stockholders Equity	307.69M	295.77M	264.49M	231.70M	247.51M
Cash Flow
Free Cash Flow	51.94M	49.19M	76.00M	183.35M	107.03M
Operating Cash Flow	72.31M	50.82M	77.67M	184.90M	109.01M
Investing Cash Flow	-206.43M	-104.20M	77.67M	-504.04M	-310.83M
Financing Cash Flow	130.70M	19.32M	-131.08M	334.09M	136.74M

FS Bancorp Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 40.65
• 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 FSBW, the sentiment is Positive. The current price of 40.65 is above the 20-day moving average (MA) of 39.03, above the 50-day MA of 40.23, and above the 200-day MA of 40.15, indicating a bullish trend. The MACD of 0.16 indicates Negative momentum. The RSI at 56.46 is Neutral, neither overbought nor oversold. The STOCH value of 88.34 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FSBW.

FS Bancorp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FNLC	70 Outperform	$330.67M	8.51	12.70%	5.24%	10.46%	18.70%
PCB	70 Outperform	$344.40M	8.21	9.62%	3.57%	10.93%	42.68%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
CZNC	67 Neutral	$425.19M	13.73	7.79%	5.43%	5.76%	21.85%
PLBC	67 Neutral	$356.77M	7.08	13.35%	2.63%	11.98%	-10.12%
CBAN	62 Neutral	$443.43M	10.64	8.98%	2.55%	6.92%	26.93%
FSBW	56 Neutral	$304.94M	9.28	10.77%	3.17%	4.43%	-12.94%

FS Bancorp Corporate Events