Lakeland Financial (LKFN) AI Stock Analysis

• Market Cap: $1.49B
• Dividend Yield: 3.38%
• Average Volume (3M): 126.58K
• Price to Earnings (P/E): 15.4
• Beta (1Y): 0.76
• Revenue Growth: -2.90%
• EPS Growth: -1.47%
• Country: US
• Employees: 647
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 1.03
• Shares Outstanding: 25,528,732
• 10 Day Avg. Volume: 142,118
• 30 Day Avg. Volume: 126,583
• PEG Ratio: -34.56
• Price to Book (P/B): 2.58
• Price to Sales (P/S): 4.11
• P/FCF Ratio: 18.81
• Enterprise Value/Market Cap: 1.11
• Enterprise Value/Revenue: 3.93
• Enterprise Value/Gross Profit: 6.69
• Enterprise Value/Ebitda: 13.30
• 1Y Price Target: $67.00
• Price Target Upside: 13.21% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): 3.92
• Revenue Forecast (FY): $270.51M

• Rating: 63 Neutral
• Price Target: $62.00 ▲(4.77% Upside)

Lakeland Financial's strong financial performance and stability are key strengths, though recent declines in revenue and cash flow growth are concerns. The technical analysis indicates bearish momentum, which could impact short-term performance. The valuation is fair, with a decent dividend yield providing some investor appeal.

Positive Factors

Net Interest Margin Improvement

An improved net interest margin indicates better profitability from core banking operations, enhancing long-term financial performance and stability.

Strong Capital Structure

A strong capital ratio reflects financial resilience and the ability to absorb potential losses, supporting sustainable growth and regulatory compliance.

Expansion in Key Markets

Expanding presence in strategic markets like Indianapolis enhances market position and customer reach, driving long-term growth opportunities.

Negative Factors

Negative Revenue Growth

Declining revenue growth suggests difficulties in expanding business operations, which could impact future profitability and market competitiveness.

Free Cash Flow Decline

Negative free cash flow growth can signal potential cash management issues, affecting the company's ability to invest in growth and return capital to shareholders.

Earnings Decline

Declining earnings per share growth indicates reduced profitability, which may challenge the company's ability to sustain dividends and reinvest in business expansion.

Lakeland Financial Business Overview & Revenue Model

Company Description

Lakeland Financial Corporation operates as the bank holding company for Lake City Bank that provides various banking products and services. The company accepts various deposit products, such as noninterest bearing, interest-bearing checking, savings, money market, NOW, and demand deposits. Its loan products include commercial and industrial, commercial real estate and multi-family residential, agri-business and agricultural, consumer 1-4 family mortgage, and other consumer loans. The company also offers retail and merchant credit card services; corporate treasury management, wealth advisory, and trust services; retail brokerage services, including various financial and investment products, such as annuities and life insurance; and mobile business banking and on-line treasury management services. It serves commercial real estate, manufacturing, agriculture, construction, retail, wholesale, finance and insurance, accommodation and food services, and health care industries. As of December 31, 2021, the company operated 51 offices in fifteen counties, including 45 offices in northern Indiana and six offices in central Indiana. Lakeland Financial Corporation was founded in 1872 and is headquartered in Warsaw, Indiana.

How the Company Makes Money

Lakeland Financial generates revenue through various streams, primarily focusing on interest income from loans and investments, along with non-interest income from service fees and wealth management services. The company's core revenue model relies on net interest margin, which is the difference between the interest earned on loans and the interest paid on deposits. Key revenue streams include commercial and consumer loans, mortgage loans, and investment securities. Additionally, the bank earns non-interest income from fees associated with deposit accounts, ATM transactions, and wealth management services, contributing to a diversified revenue base. Strategic partnerships with local businesses and community organizations enhance customer acquisition and retention, further bolstering earnings.

Lakeland Financial Financial Statement Overview

Summary

Lakeland Financial demonstrates strong profitability and financial stability with low leverage. While the company efficiently manages its operations and maintains a solid capital structure, recent declines in revenue and free cash flow growth suggest potential areas for improvement.

Income Statement

Lakeland Financial shows strong profitability with a consistent gross profit margin and net profit margin. However, recent revenue growth has been negative, indicating potential challenges in expanding revenue streams. The EBIT and EBITDA margins remain healthy, reflecting efficient cost management.

Balance Sheet

The company maintains a very low debt-to-equity ratio, indicating strong financial stability and low leverage risk. Return on equity is solid, suggesting effective use of shareholder funds. The equity ratio is healthy, reflecting a strong capital structure.

Cash Flow

Operating cash flow is robust relative to net income, indicating good cash generation from operations. However, free cash flow growth has been negative recently, which could signal potential cash flow challenges. The free cash flow to net income ratio remains strong, showing efficient cash conversion.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	420.34M	430.00M	393.13M	281.43M	237.94M	228.08M
Gross Profit	247.27M	236.77M	241.04M	235.37M	221.73M	183.22M
EBITDA	124.35M	117.64M	116.51M	131.94M	125.83M	110.69M
Net Income	97.64M	93.48M	93.77M	103.82M	95.73M	84.34M
Balance Sheet
Total Assets	6.90B	6.68B	6.52B	6.43B	6.56B	5.83B
Cash, Cash Equivalents and Short-Term Investments	641.04M	591.05M	1.20B	1.32B	2.08B	984.77M
Total Debt	56.20M	0.00	50.00M	297.00M	75.00M	85.50M
Total Liabilities	6.15B	5.99B	5.87B	5.86B	5.85B	5.17B
Stockholders Equity	747.41M	683.82M	649.70M	568.80M	704.82M	657.10M
Cash Flow
Free Cash Flow	108.94M	93.85M	107.99M	164.52M	107.60M	81.51M
Operating Cash Flow	119.85M	102.48M	113.98M	169.34M	113.77M	87.23M
Investing Cash Flow	-245.85M	-164.24M	-54.93M	-626.52M	-331.55M	-712.02M
Financing Cash Flow	158.65M	78.13M	-37.51M	-95.78M	651.09M	775.34M

Lakeland Financial Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 59.18
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LKFN, the sentiment is Positive. The current price of 59.18 is above the 20-day moving average (MA) of 58.08, below the 50-day MA of 59.89, and below the 200-day MA of 60.48, indicating a neutral trend. The MACD of -0.24 indicates Negative momentum. The RSI at 52.57 is Neutral, neither overbought nor oversold. The STOCH value of 66.15 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for LKFN.

Lakeland Financial Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CASH	74 Outperform	$1.61B	9.17	21.81%	0.27%	7.80%	19.38%
STEL	71 Outperform	$1.51B	14.81	6.38%	1.86%	-4.40%	-8.80%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
LOB	66 Neutral	$1.47B	21.57	6.31%	0.37%	10.41%	-19.43%
CCB	66 Neutral	$1.63B	34.01	11.82%	―	-2.11%	6.48%
LKFN	63 Neutral	$1.49B	15.38	13.50%	3.38%	-2.90%	-1.47%
CLBK	59 Neutral	$1.57B	103.10	1.34%	―	-3.60%	-8.63%

Lakeland Financial Corporate Events

Lakeland Financial Reports Strong Q3 Earnings Growth

Lakeland Financial Corporation, the parent company of Lake City Bank, operates in the financial services sector, providing commercial and retail banking services across Central and Northern Indiana. The company is known for its community banking model and technology-forward solutions.

Lakeland Financial Highlights Q3 2025 Performance in Presentation

In its latest investor presentation for the third quarter of 2025, Lakeland Financial Corporation highlighted its long-term success in shareholder value creation, boasting a return on equity greater than 13% and a compound annual growth rate in tangible book value per share exceeding 8% over 20 years. The company emphasized its strong capital structure and profitability, with a focus on maintaining a low unemployment rate in its operational footprint compared to national averages. The presentation also noted Indiana’s economic growth, driven by new investments in manufacturing and technology sectors, which is expected to benefit the bank’s operations and stakeholders.

The most recent analyst rating on (LKFN) stock is a Buy with a $77.00 price target. To see the full list of analyst forecasts on Lakeland Financial stock, see the LKFN Stock Forecast page.

Lakeland Financial Announces Quarterly Cash Dividend

On October 14, 2025, Lakeland Financial Corporation’s Board of Directors announced a quarterly cash dividend of $0.50 per share on its common stock. This dividend, payable on November 5, 2025, reflects the company’s ongoing commitment to returning value to its shareholders.

The most recent analyst rating on (LKFN) stock is a Buy with a $77.00 price target. To see the full list of analyst forecasts on Lakeland Financial stock, see the LKFN Stock Forecast page.