First United (FUNC) AI Stock Analysis

• Market Cap: $226.66M
• Dividend Yield: 2.55%
• Average Volume (3M): 22.63K
• Price to Earnings (P/E): 9.5
• Beta (1Y): 0.88
• Revenue Growth: 11.42%
• EPS Growth: 63.24%
• Country: US
• Employees: 291
• Sector: Financial
• Sector Strength: 72
• Industry: Banks - Regional
• EPS (TTM): 0.92
• Shares Outstanding: 6,494,611
• 10 Day Avg. Volume: 17,112
• 30 Day Avg. Volume: 22,627
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 1.31
• Enterprise Value/Revenue: 2.61
• Enterprise Value/Gross Profit: 3.75
• Enterprise Value/Ebitda: 8.94
• 1Y Price Target: $39.00
• Price Target Upside: 13.04% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 76 Outperform
• Price Target: $36.00 ▲(4.35% Upside)

First United's overall stock score of 76 reflects its strong financial performance and positive corporate events. The company's stable balance sheet, robust cash flow, and effective growth strategies are significant strengths. However, mixed technical indicators suggest cautious optimism, while the attractive valuation supports potential upside. The absence of earnings call data limits insights into forward guidance.

First United Business Overview & Revenue Model

Company Description

First United Corporation operates as the bank holding company for First United Bank & Trust that provides various retail and commercial banking services to businesses and individuals. The company offers various deposit products, including checking accounts, savings and money market accounts, regular and individual retirement accounts (IRA) certificates of deposit, Christmas savings accounts, college savings accounts, and health savings accounts; Certificate of Deposit Account Registry Service program and Insured Cash Sweep program to municipalities, businesses, and consumers; and commercial customers packages, which include treasury management, cash sweep, and various checking opportunities. It also provides loans, such as commercial loans secured by real estate, commercial equipment, vehicles, or other assets of the borrower; commercial real estate loans for residential and commercial development, agricultural purpose properties, and service industry buildings; residential mortgage loans; home equity lines of credit; residential real estate construction loans; and indirect and direct auto loans, student loans, term loans, and other secured and unsecured lines of credit and term loans. In addition, the company offers various trust services, including personal trust, investment agency accounts, charitable trusts, retirement accounts that consist of IRA roll-overs, 401(k) accounts and defined benefit plans, estate administration, and estate planning services; insurance products; brokerage services; and safe deposit and night depository facilities. It operates 26 banking offices, one customer care center, and 34 automated teller machines in Allegany, Frederick, Garrett, and Washington counties in Maryland; and in Mineral, Berkeley, Monongalia, and Harrison counties in West Virginia. First United Corporation was founded in 1900 and is headquartered in Oakland, Maryland.

How the Company Makes Money

First United generates revenue primarily through net interest income and non-interest income. Net interest income is derived from the interest earned on loans and investments, minus the interest paid on deposits and borrowings. The bank offers various loan products, including personal, commercial, and mortgage loans, which contribute significantly to this revenue stream. Non-interest income is generated from service fees, investment management fees, and other financial services. Additionally, strategic partnerships with local businesses enhance cross-selling opportunities and contribute to overall earnings. The company's focus on community banking helps build strong customer relationships, ultimately driving deposits and loan growth.

First United Financial Statement Overview

Summary

First United shows a strong financial position with consistent revenue and profit growth, efficient operations, and effective cash management. The balance sheet reflects stability with manageable leverage, and the company demonstrates robust cash flow practices.

Income Statement

First United has shown a consistent upward trend in revenue with a significant increase from $80.4M in 2022 to $113.9M in TTM. The Gross Profit Margin remains strong, and the Net Profit Margin has improved over the years, reaching approximately 19.9% in TTM. The company's EBIT and EBITDA margins demonstrate its efficient operations, contributing to overall profitability. The revenue growth rate has been positive, indicating robust growth momentum.

Balance Sheet

The company's balance sheet reflects stability with a manageable Debt-to-Equity Ratio. Stockholders’ Equity has increased, bolstering the Equity Ratio and showcasing financial resilience. Return on Equity (ROE) is healthy, indicating efficient use of equity. While the company has experienced an increase in total debt, its equity has grown, maintaining a balanced leverage position.

Cash Flow

First United's cash flow is strong, with consistent growth in Free Cash Flow and positive Operating Cash Flow to Net Income Ratio. The Free Cash Flow to Net Income Ratio indicates effective cash generation relative to net earnings. The Free Cash Flow Growth Rate has been robust, emphasizing solid cash management practices. Despite fluctuations in investing cash flows, the overall cash flow position remains positive.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	111.80M	95.61M	80.44M	78.61M	76.92M
Gross Profit	76.87M	69.75M	76.28M	73.72M	61.86M
EBITDA	31.02M	24.39M	36.83M	29.74M	21.34M
Net Income	20.57M	15.06M	25.05M	19.77M	13.84M
Balance Sheet
Total Assets	1.97B	1.91B	1.85B	1.73B	1.73B
Cash, Cash Equivalents and Short-Term Investments	149.94M	146.92M	200.20M	402.49M	376.32M
Total Debt	187.72M	157.90M	97.87M	91.39M	153.05M
Total Liabilities	1.79B	1.74B	1.70B	1.59B	1.60B
Stockholders Equity	179.29M	161.87M	151.79M	141.90M	131.69M
Cash Flow
Free Cash Flow	20.36M	22.12M	22.97M	18.89M	14.56M
Operating Cash Flow	22.28M	22.47M	26.54M	20.02M	16.17M
Investing Cash Flow	-38.44M	-81.71M	-172.40M	-28.43M	-191.28M
Financing Cash Flow	44.73M	34.68M	104.46M	-25.31M	274.56M

First United Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 34.50
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FUNC, the sentiment is Positive. The current price of 34.5 is above the 20-day moving average (MA) of 33.81, above the 50-day MA of 32.01, and above the 200-day MA of 32.17, indicating a bullish trend. The MACD of 0.42 indicates Negative momentum. The RSI at 61.74 is Neutral, neither overbought nor oversold. The STOCH value of 77.99 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FUNC.

First United Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FUNC	76 Outperform	$226.66M	9.54	13.37%	2.55%	11.42%	63.24%
ESSA	76 Outperform	$209.29M	13.30	6.43%	2.91%	5.57%	-16.40%
FINW	72 Outperform	$255.11M	19.30	7.47%	―	13.75%	-15.50%
CFFI	71 Outperform	$225.52M	9.22	10.67%	2.62%	11.71%	32.12%
Sector *	68 Neutral	$17.53B	11.78	10.43%	3.83%	9.94%	1.31%
FXNC	65 Neutral	$201.36M	22.60	5.43%	2.76%	43.50%	-21.38%
MYFW	64 Neutral	$211.95M	18.27	4.58%	―	0.35%	64.49%

First United Corporate Events

First United Reports Strong Q2 2025 Financial Results

First United Corporation announced its financial results for the second quarter of 2025, reporting a consolidated net income of $6.0 million, an increase from both the previous quarter and the same period in 2024. The company’s performance was bolstered by an increase in net interest margin and loan production, alongside controlled funding costs and favorable interest income. The expansion of the Morgantown team and a focus on technological improvements are expected to enhance customer experience and operational efficiency. The company declared a cash dividend of $0.22 per common share, reflecting its strong financial position.

The most recent analyst rating on (FUNC) stock is a Buy with a $42.00 price target. To see the full list of analyst forecasts on First United stock, see the FUNC Stock Forecast page.

First United Announces Cash Dividend for Shareholders

On June 18, 2025, First United Corporation announced a cash dividend of $0.22 per share, payable on August 1, 2025, to shareholders of record as of July 18, 2025. This decision reflects the company’s ongoing commitment to providing value to its shareholders and may positively impact its market positioning by reinforcing investor confidence.

The most recent analyst rating on (FUNC) stock is a Buy with a $42.00 price target. To see the full list of analyst forecasts on First United stock, see the FUNC Stock Forecast page.