First Reliance Bancshares (FSRL) AI Stock Analysis

• Market Cap: $100.00M
• Dividend Yield: N/A
• Average Volume (3M): 5.87K
• Price to Earnings (P/E): 11.5
• Beta (1Y): -0.01
• Revenue Growth: 12.83%
• EPS Growth: 53.09%
• Country: US
• Employees: 170
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 0.33
• Shares Outstanding: 8,130,000
• 10 Day Avg. Volume: 10,118
• 30 Day Avg. Volume: 5,867
• PEG Ratio: 0.47
• Price to Book (P/B): 0.97
• Price to Sales (P/S): 1.92
• P/FCF Ratio: -7.93
• Enterprise Value/Market Cap: 1.14
• Enterprise Value/Revenue: 2.08
• Enterprise Value/Gross Profit: 2.32
• Enterprise Value/Ebitda: 12.67
• 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: 60 Neutral
• Price Target: ―

First Reliance Bancshares demonstrates stable financial performance with improving profit margins and a conservative debt position. However, incomplete cash flow data raises concerns about liquidity management. The stock shows mild bullish technical indicators, supported by a reasonable valuation. The absence of dividend yield and cash flow transparency are areas for improvement.

Positive Factors

Profit Margin Improvement

The improvement in net profit margin indicates enhanced operational efficiency and cost management, contributing to better profitability.

Revenue Growth

Consistent revenue growth reflects strong market demand and effective business strategies, supporting long-term financial stability.

Conservative Leverage

A low debt-to-equity ratio indicates prudent financial management, reducing risk and enhancing the company's ability to invest in growth.

Negative Factors

Incomplete Cash Flow Data

Incomplete cash flow data hinders accurate assessment of liquidity and cash management, potentially impacting financial planning and stability.

Equity Ratio Decline

A declining equity ratio suggests a reduction in equity as a proportion of total assets, which may affect the company's financial resilience.

Revenue Below 2020 Levels

Revenue not recovering to 2020 levels indicates potential challenges in regaining market share or adapting to industry changes.

First Reliance Bancshares Business Overview & Revenue Model

Company Description

First Reliance Bancshares, Inc. operates as the bank holding company for First Reliance Bank that provides banking products and services in the United States. The company offers checking, savings, money market, and individual retirement accounts; certificates of deposit; and insurance products. It also provides personal loans, including unsecured, auto, real estate, overdraft protection, and other loans, as well as home equity line of credit; business loans, such as business installment, commercial real estate, and overdraft protection loans, as well as business lines of credit; mortgage loans; and debit and credit card services. In addition, the company offers treasury; indirect dealer; online, mobile, and business banking; and other services. First Reliance Bancshares, Inc. was founded in 1999 and is based in Florence, South Carolina.

How the Company Makes Money

First Reliance Bancshares makes money through various revenue streams primarily related to its banking operations. The company earns interest income from loans and mortgages extended to individual and business customers. Additionally, it generates revenue from service fees associated with account maintenance, transaction services, and wealth management offerings. Deposits from customers provide a low-cost funding source, which supports its lending activities. The company's profitability is further influenced by partnerships with financial service providers and its ability to manage interest rate margins effectively.

First Reliance Bancshares Financial Statement Overview

Summary

First Reliance Bancshares exhibits stable growth and operational efficiency, as seen in its improving profit margins and solid debt management. However, incomplete cash flow data for 2024 introduces uncertainty regarding the company's liquidity and cash management. Overall, the firm shows a positive trajectory in profitability but should address cash flow transparency and consistency.

Income Statement

First Reliance Bancshares shows a stable revenue growth from 2023 to 2024, with a revenue increase of approximately 10.5%. The gross profit margin remains healthy at 100% due to the nature of the banking industry. The net profit margin improved slightly to 15.1% in 2024 from 12.96% in 2023. However, the revenue has not yet returned to the levels seen in 2020. The EBIT margin improved significantly from 16.36% in 2023 to 28.17% in 2024, indicating better operational efficiency.

Balance Sheet

The company's debt-to-equity ratio is relatively low at 0.33 in 2024, indicating a conservative leverage position. Return on Equity (ROE) remained stable at 7.62% in 2024, reflecting consistent profitability relative to shareholders' equity. The equity ratio has decreased slightly from 7.32% in 2023 to 7.29% in 2024, suggesting a marginal reduction in equity as a proportion of total assets.

Cash Flow

The cash flow data for 2024 is incomplete, making it challenging to assess free cash flow growth and operating cash flow performance. In 2023, the operating cash flow to net income ratio was strong at 1.96, indicating efficient cash generation relative to net income. However, the lack of cash flow data for 2024 creates uncertainties around the company's cash management and liquidity.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	54.80M	39.26M	51.91M	42.16M	40.86M	51.15M
Gross Profit	49.08M	39.26M	36.49M	39.00M	38.84M	47.28M
EBITDA	9.00M	0.00	7.01M	8.78M	7.46M	14.85M
Net Income	8.01M	5.92M	4.60M	5.93M	5.28M	10.62M
Balance Sheet
Total Assets	1.10B	1.07B	975.77M	938.64M	912.18M	710.17M
Cash, Cash Equivalents and Short-Term Investments	0.00	47.23M	21.94M	34.06M	150.12M	98.94M
Total Debt	19.77M	25.75M	36.62M	69.26M	53.81M	36.23M
Total Liabilities	1.02B	989.35M	904.37M	875.34M	841.38M	641.44M
Stockholders Equity	85.90M	77.76M	71.40M	63.30M	70.80M	68.73M
Cash Flow
Free Cash Flow	0.00	-9.49M	8.88M	24.20M	34.36M	33.32M
Operating Cash Flow	0.00	-8.93M	9.51M	25.35M	39.54M	34.45M
Investing Cash Flow	0.00	-52.10M	-49.06M	-175.44M	-183.61M	-11.75M
Financing Cash Flow	0.00	86.31M	27.69M	33.77M	195.50M	35.65M

First Reliance Bancshares Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 12.89
• 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 FSRL, the sentiment is Positive. The current price of 12.89 is above the 20-day moving average (MA) of 12.74, above the 50-day MA of 11.55, and above the 200-day MA of 10.06, indicating a bullish trend. The MACD of 0.45 indicates Positive momentum. The RSI at 60.16 is Neutral, neither overbought nor oversold. The STOCH value of 71.15 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FSRL.

First Reliance Bancshares Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AUBN	72 Outperform	$90.45M	12.65	8.22%	4.34%	24.17%	739.42%
UBCP	69 Neutral	$73.62M	10.03	10.91%	6.64%	6.31%	-5.00%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
IROQ	66 Neutral	$87.31M	16.63	6.20%	1.53%	1.93%	157.35%
FSRL	60 Neutral	$100.00M	11.53	10.47%	―	12.83%	53.09%
CFSB	54 Neutral	―	―	-0.35%	―	11.64%	-913.46%
SSBI	45 Neutral	$72.44M	-51.32	-1.41%	―	-0.81%	-129.22%