SB Financial Group (SBFG) AI Stock Analysis

• Market Cap: $128.30M
• Dividend Yield: 2.69%
• Average Volume (3M): 14.14K
• Price to Earnings (P/E): 10.2
• Beta (1Y): 0.25
• Revenue Growth: 10.78%
• EPS Growth: 21.72%
• Country: US
• Employees: 262
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 0.65
• Shares Outstanding: 6,298,527
• 10 Day Avg. Volume: 18,367
• 30 Day Avg. Volume: 14,141
• PEG Ratio: 0.37
• Price to Book (P/B): 1.00
• Price to Sales (P/S): 1.56
• P/FCF Ratio: 5.90
• Enterprise Value/Market Cap: 1.02
• Enterprise Value/Revenue: 1.44
• Enterprise Value/Gross Profit: 2.03
• Enterprise Value/Ebitda: 6.46
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 2.45
• Revenue Forecast (FY): N/A

• Rating: 66 Neutral
• Price Target: $22.00 ▲(3.72% Upside)
• Action: Downgraded Date: 03/07/26
• Date: Action: Downgraded 03/07/26

The score is driven primarily by improving recent financial performance and a constructive earnings outlook (growth, liquidity, and asset quality), supported by attractive valuation (low P/E and ~3% yield). These positives are partially offset by weak current technical momentum and guidance for modest NIM pressure plus noninterest-income variability.

Positive Factors

Consistent profitability

Sustained profitability and meaningful EPS growth demonstrate recurring earnings power and operational resilience. Persistent positive net income supports internal capital generation, funds dividends and buybacks, and creates a durable cushion against cyclical shocks in a regional banking franchise.

Stable core loan and deposit growth

Consistent organic loan expansion funded by core deposits strengthens net interest income sustainability. Repeatable lending momentum and growing customer deposits reduce reliance on wholesale funding, support earning asset expansion, and underpin mid‑term revenue durability.

Improving capital returns and tangible book growth

Rising tangible book and active buybacks plus consecutive dividend increases signal disciplined capital allocation and healthy retained earnings. This track record reflects a stronger capital base that supports shareholder returns while retaining capacity for balance sheet growth.

Negative Factors

Noninterest income volatility

Material swings in mortgage servicing and other fee income reduce revenue diversification and make earnings more rate‑cycle and housing‑supply sensitive. Persistent volatility in noninterest revenue undermines predictability of operating results and complicates medium‑term planning.

NIM pressure from funding costs

Even modest NIM compression directly reduces core net interest income for a community bank reliant on lending spread. Rising deposit costs and competitive funding pressures can persist, limiting margin upside and constraining the translation of loan growth into proportional profit gains.

Historical leverage and cash‑flow volatility

Past swings in leverage and choppy free cash flow weaken predictability of capital stability and make future dividend/buyback pacing riskier. Inconsistent cash generation and episodic leverage increases reduce resilience to stress and complicate multi‑period financial planning.

SB Financial Group Business Overview & Revenue Model

Company Description

SB Financial Group, Inc. provides a range of commercial banking and wealth management services to individual and corporate customers primarily in Ohio, Indiana, and Michigan. It offers checking, savings, money market accounts, as well as time certificates of deposit; and commercial, consumer, agricultural, and residential mortgage loans. The company also provides automatic teller machine, personal and corporate trust, commercial leasing, bank credit card, safe deposit box rental, internet banking, private client group, and other personalized banking products and services; and various trust and financial services comprising asset management services for individuals and corporate employee benefit plans, as well as brokerage services. In addition, it sells insurance products to retail and commercial customers. As of December 31, 2021, the company operated a network of 22 banking centers in the Ohio counties of Allen, Defiance, Franklin, Fulton, Hancock, Lucas, Paulding, Wood, and Williams; and one banking center in Allen County, Indiana. It also operated five loan production offices in Franklin and Lucas Counties, Ohio; Hamilton and Steuben Counties, Indiana; and Monroe County, Michigan. The company was formerly known as Rurban Financial Corp. and changed its name to SB Financial Group, Inc. in April 2013. SB Financial Group, Inc. was incorporated in 1983 and is headquartered in Defiance, Ohio.

How the Company Makes Money

SB Financial Group generates revenue through multiple key streams. Primarily, the company earns interest income from its banking operations, which include loans, mortgages, and credit products. Service fees from account maintenance, transaction processing, and financial advisory services also contribute significantly to its income. Additionally, SBFG generates revenue from asset management and investment services, charging management fees based on the assets under management. The insurance division earns premiums from policyholders, which adds another layer to its revenue model. Strategic partnerships with other financial institutions and referral agreements enhance its service offerings and broaden its customer base, further driving revenue growth.

SB Financial Group Financial Statement Overview

Summary

Recent fundamentals improved (strong 2025 revenue acceleration, solid mid-teens net margin, and a sharp 2025 rebound in operating/free cash flow). Offsets include multi-year margin compression versus 2020–2021, uneven growth/cash-flow consistency across years, and historically volatile leverage (though improved in 2024–2025).

Income Statement

Revenue has accelerated in the most recent year (2025 up strongly vs. 2024), and profitability remains solid with a mid‑teens net margin and near-19% operating margin in 2025. However, the longer-term trend shows meaningful margin compression versus 2020–2021 levels, and revenue growth has been uneven across the cycle (including declines in 2021–2022). Overall: improving top-line momentum recently, but profitability is not as strong as prior peak years.

Balance Sheet

Leverage looks manageable in the latest period with debt at about half of equity in 2024–2025, a clear improvement from the higher leverage seen in 2022–2023. Equity has grown steadily, and returns on equity are fairly consistent around ~9–10% recently. The key weakness is the historical volatility in leverage (rising sharply in 2022–2023 before pulling back), which suggests the capital structure has not been fully stable over time.

Cash Flow

Cash generation improved sharply in 2025 with operating cash flow and free cash flow both rising strongly and fully covering net income (free cash flow roughly matching earnings). That said, cash flow has been choppy: free cash flow declined in 2023 and 2024 before rebounding, and operating cash flow in 2024 was comparatively weak versus earnings. Overall: strong latest-year rebound, but consistency is a concern.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	91.03M	81.37M	75.87M	62.80M	72.60M
Gross Profit	64.54M	56.81M	56.68M	57.63M	67.53M
EBITDA	17.25M	17.41M	18.28M	19.33M	28.94M
Net Income	13.97M	11.47M	12.10M	12.52M	18.28M
Balance Sheet
Total Assets	1.55B	1.38B	1.34B	1.34B	1.33B
Cash, Cash Equivalents and Short-Term Investments	79.46M	199.25M	244.21M	268.73M	415.41M
Total Debt	74.28M	65.28M	116.63M	94.52M	40.37M
Total Liabilities	1.40B	1.25B	1.22B	1.22B	1.19B
Stockholders Equity	141.24M	127.51M	124.34M	118.43M	144.93M
Cash Flow
Free Cash Flow	24.04M	8.22M	13.03M	23.67M	14.83M
Operating Cash Flow	24.04M	9.45M	13.99M	25.57M	17.26M
Investing Cash Flow	-68.08M	-28.95M	-17.39M	-165.67M	-71.99M
Financing Cash Flow	89.66M	22.46M	-1.45M	18.41M	63.55M

SB Financial Group Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 21.21
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SBFG, the sentiment is Negative. The current price of 21.21 is above the 20-day moving average (MA) of 21.04, below the 50-day MA of 21.47, and above the 200-day MA of 20.19, indicating a neutral trend. The MACD of -0.30 indicates Positive momentum. The RSI at 37.37 is Neutral, neither overbought nor oversold. The STOCH value of 35.42 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SBFG.

SB Financial Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EBMT	75 Outperform	$170.14M	10.47	7.43%	2.93%	6.10%	59.32%
UNB	74 Outperform	$107.41M	9.78	15.11%	6.08%	14.52%	27.90%
FCAP	70 Outperform	$168.02M	12.10	11.84%	1.96%	11.36%	25.07%
SRBK	68 Neutral	$126.65M	35.78	1.57%	0.88%	9.43%	166.36%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
SBFG	66 Neutral	$128.30M	10.15	10.12%	2.69%	10.78%	21.72%
PNBK	55 Neutral	$142.59M	-9.56	-35.87%	―	-11.99%	63.64%

SB Financial Group Corporate Events

SB Financial Group Raises Quarterly Dividend by Seven Percent

On January 23, 2026, SB Financial Group, Inc. announced that its board of directors declared a quarterly cash dividend of $0.155 per common share, payable on February 27, 2026, to shareholders of record as of February 13, 2026. The payout represents a 7% increase over the prior-year quarterly dividend of $0.145 per share, lifting the total dividend for the past four quarters to $0.61 per share from $0.57 per share, and equating to a stated yield of 2.7%, signaling continued capital returns and a modestly strengthened shareholder payout profile.

The most recent analyst rating on (SBFG) stock is a Buy with a $23.00 price target. To see the full list of analyst forecasts on SB Financial Group stock, see the SBFG Stock Forecast page.

SB Financial Group announces board transition and new director

On December 17, 2025, SB Financial Group implemented a planned transition on its board of directors as longtime director Rita A. Kissner retired after more than 21 years of service and was honored with the title of director emeritus, while the board simultaneously appointed veteran advisory board member and local entrepreneur Sue A. Strausbaugh to fill the resulting vacancy, a move announced publicly on December 19, 2025. The change maintains continuity in governance by elevating Strausbaugh, who brings more than 13 years of experience on the company’s Defiance Advisory Board and extensive community and nonprofit involvement, underscoring SB Financial’s emphasis on local market expertise, strong oversight and long-term shareholder value while confirming there are no related-party or conflict-of-interest concerns tied to her appointment.

The most recent analyst rating on (SBFG) stock is a Buy with a $24.50 price target. To see the full list of analyst forecasts on SB Financial Group stock, see the SBFG Stock Forecast page.