First Internet Bancorp (INBK) AI Stock Analysis

• Market Cap: $200.24M
• Dividend Yield: 1.07%
• Average Volume (3M): 73.07K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.81
• Revenue Growth: 2.49%
• EPS Growth: -248.43%
• Country: US
• Employees: 323
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 0.64
• Shares Outstanding: 8,706,094
• 10 Day Avg. Volume: 54,354
• 30 Day Avg. Volume: 73,068
• PEG Ratio: 0.06
• Price to Book (P/B): 0.81
• Price to Sales (P/S): 0.94
• P/FCF Ratio: 30.07
• Enterprise Value/Market Cap: 2.71
• Enterprise Value/Revenue: 1.69
• Enterprise Value/Gross Profit: 13.40
• Enterprise Value/Ebitda: -13.43
• 1Y Price Target: $26.38
• Price Target Upside: 18.78% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 51 Neutral
• Price Target: $22.50 ▲(1.31% Upside)

Overall score is held back primarily by deteriorated recent financial performance (revenue/profitability weakness and pressured cash flow). Offsetting factors include improving technical signals and a constructive 2026 outlook for loan growth and margin expansion, though elevated credit costs and concentrated problem loans remain a key near-term risk.

Positive Factors

Banking-as-a-Service (BaaS) scale

Large, durable BaaS scale diversifies funding and builds recurring fee streams; processing >$165B and $1.3B of new deposits indicates growing partner relationships and network effects that can sustain low-cost deposits, fee income, and cross-sell opportunities over the medium term.

NIM and core interest income expansion

Sustained NII growth and recent NIM expansion reflect higher loan yields and improved asset repricing. Management’s plan to further expand NIM (guidance to 2.75–2.80% by year-end) and funding tailwinds from CD rolloffs support structurally higher earnings power if credit trends stabilize.

Strategic asset sales and capital buffers

Selling low-yield, concentrated assets materially reduces concentration risk and frees balance-sheet capacity. Combined with regulatory capital ratios above minimums, this strategic repositioning enhances flexibility to pursue higher-yield lending and fintech partnerships while protecting solvency through cycles.

Negative Factors

Concentrated credit stress in SBA/franchise finance

Concentration in two portfolios raises idiosyncratic risk: material charge-offs and rising NPAs can force sustained elevated provisions, constrain new underwriting, and depress ROE. Vintage risk implies problem loans may emerge over 12–18 months, prolonging earnings volatility and capital strain.

Weak recent profitability and cash flow trends

Sharp TTM revenue and margin deterioration, plus negative operating cash flow, indicate impaired core profitability and cash generation. This undermines ability to build reserves, fund growth initiatives, and support shareholder returns absent sustained NII recovery and disciplined cost control.

Higher provisions and reduced gain-on-sale revenue

Elevated provision guidance and management’s decision to retain more SBA originations reduce near-term net income and fee liquidity. Persistently higher provisions and lower gain-on-sale receipts can depress capital accumulation and ROE, limiting reinvestment and increasing reliance on balance-sheet funding.

First Internet Bancorp Business Overview & Revenue Model

Company Description

First Internet Bancorp operates as the bank holding company for First Internet Bank of Indiana that provides commercial and retail banking products and services to individuals and commercial customers in the United States. The company accepts non-interest bearing and interest-bearing demand deposit, savings, money market, and brokered deposit accounts, as well as certificates of deposit. It also offers commercial and industrial, owner-occupied and investor commercial real estate, construction, residential mortgage, home equity and improvement, small installment, term, and other consumer loans, as well as single tenant lease financing, and public and healthcare finance; franchise finance; and small business lending. In addition, the company is involved in the purchase, manage, service, and safekeeping of municipal securities; and provision of municipal finance lending and leasing products to government entities. In addition, it offers corporate credit card and treasury management services. The company provides its services through its firstib.com Website. First Internet Bancorp was founded in 1999 and is headquartered in Fishers, Indiana.

How the Company Makes Money

First Internet Bancorp generates revenue primarily through the interest income earned on loans and investments, as well as non-interest income from various banking services. The company's key revenue streams include interest income from mortgage loans, commercial loans, and consumer loans, which are funded through customer deposits and borrowed funds. Additionally, the bank earns non-interest income from fees associated with account maintenance, transaction services, and other banking activities. The company also benefits from partnerships with fintech firms and other service providers that enhance its product offerings and reach, contributing to its overall earnings.

First Internet Bancorp Financial Statement Overview

Summary

Weak recent fundamentals: income statement shows sharp TTM revenue decline (‑32.6%) and negative net margin (‑9.9%), while cash flow trends are pressured with negative operating cash flow in the TTM period. Balance sheet is relatively stable for a bank but leverage and negative TTM ROE add risk if profitability does not recover.

Income Statement

The income statement shows a concerning trend with declining revenue and profitability. The TTM data indicates a significant revenue decline of 32.6% and a negative net profit margin of -9.9%. The gross profit margin has also decreased sharply compared to previous years. These factors suggest challenges in maintaining revenue and controlling costs.

Balance Sheet

The balance sheet reflects a stable but leveraged position. The debt-to-equity ratio is slightly over 1, indicating moderate leverage, which is typical for banks but could pose risks if profitability continues to decline. The return on equity has turned negative in the TTM period, highlighting profitability challenges.

Cash Flow

Cash flow analysis reveals a negative trend with a significant decline in free cash flow growth and negative operating cash flow in the TTM period. The free cash flow to net income ratio is slightly above 1, indicating cash flow challenges relative to earnings.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	320.94M	333.42M	259.85M	173.73M	162.09M	171.16M
Gross Profit	40.45M	111.70M	78.62M	108.94M	113.73M	89.52M
EBITDA	-40.38M	36.00M	10.69M	48.83M	65.35M	41.73M
Net Income	-33.13M	25.28M	8.42M	35.54M	48.11M	29.45M
Balance Sheet
Total Assets	5.64B	5.74B	5.17B	4.54B	4.21B	4.25B
Cash, Cash Equivalents and Short-Term Investments	1.26B	879.71M	880.75M	646.94M	1.05B	917.43M
Total Debt	354.89M	400.15M	719.77M	719.46M	619.15M	594.52M
Total Liabilities	5.29B	5.35B	4.80B	4.18B	3.83B	3.92B
Stockholders Equity	352.17M	384.06M	362.80M	364.97M	380.34M	330.94M
Cash Flow
Free Cash Flow	-27.86M	10.40M	6.31M	65.21M	24.95M	-12.49M
Operating Cash Flow	-26.43M	12.99M	11.68M	82.72M	54.84M	13.07M
Investing Cash Flow	251.73M	-496.17M	-474.50M	-601.03M	43.87M	-44.81M
Financing Cash Flow	-150.12M	543.69M	612.17M	331.90M	-75.56M	124.19M

First Internet Bancorp Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 22.21
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For INBK, the sentiment is Positive. The current price of 22.21 is above the 20-day moving average (MA) of 21.94, above the 50-day MA of 21.08, and below the 200-day MA of 22.62, indicating a neutral trend. The MACD of 0.39 indicates Positive momentum. The RSI at 52.50 is Neutral, neither overbought nor oversold. The STOCH value of 42.04 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for INBK.

First Internet Bancorp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
OPBK	70 Outperform	$215.84M	8.43	10.99%	3.32%	9.10%	12.36%
VABK	69 Neutral	$226.51M	11.83	10.41%	3.41%	1.11%	14.44%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
EFSI	67 Neutral	$205.48M	24.04	6.63%	3.11%	-1.45%	-31.32%
FXNC	66 Neutral	$243.38M	13.76	7.36%	2.49%	48.94%	11.61%
BLFY	54 Neutral	$278.41M	-30.22	-2.82%	―	9.02%	17.85%
INBK	51 Neutral	$200.24M	-5.51	-8.99%	1.07%	2.49%	-248.43%

First Internet Bancorp Corporate Events

First Internet Bancorp Declares Quarterly Cash Dividend

On December 16, 2025, First Internet Bancorp announced a quarterly cash dividend of $0.06 per common share, payable on January 15, 2026, to shareholders of record as of December 31, 2025. This decision reflects the company’s ongoing financial strategy and is subject to future evaluations by the Board of Directors based on various financial and strategic factors.

The most recent analyst rating on (INBK) stock is a Hold with a $18.00 price target. To see the full list of analyst forecasts on First Internet Bancorp stock, see the INBK Stock Forecast page.