Southside Bancshares (SBSI) AI Stock Analysis

• Market Cap: $865.60M
• Dividend Yield: 5%
• Average Volume (3M): 144.63K
• Price to Earnings (P/E): 12.5
• Beta (1Y): 0.66
• Revenue Growth: -4.08%
• EPS Growth: -16.80%
• Country: US
• Employees: 778
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 0.84
• Shares Outstanding: 30,066,126
• 10 Day Avg. Volume: 188,920
• 30 Day Avg. Volume: 144,630
• PEG Ratio: 3.07
• Price to Book (P/B): 1.18
• Price to Sales (P/S): 2.11
• P/FCF Ratio: 10.61
• Enterprise Value/Market Cap: 1.47
• Enterprise Value/Revenue: 2.81
• Enterprise Value/Gross Profit: 5.79
• Enterprise Value/Ebitda: 9.56
• 1Y Price Target: $32.00
• Price Target Upside: 11.15% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 2
• EPS Forecast (FY): 3.01
• Revenue Forecast (FY): $271.54M

• Rating: 60 Neutral
• Price Target: $29.00 ▲(0.73% Upside)

Southside Bancshares' overall stock score reflects stable financial performance and attractive valuation, but is weighed down by technical weakness and negative earnings call highlights. The company's reliance on debt and challenges in revenue growth and cash generation are key concerns.

Southside Bancshares Business Overview & Revenue Model

Company Description

Southside Bancshares, Inc. (SBSI) is a financial holding company based in Texas, primarily engaged in the banking sector through its subsidiary, Southside Bank. The company offers a comprehensive range of banking services including commercial banking, retail banking, mortgage lending, and wealth management. With a focus on serving individuals, businesses, and communities across Texas, Southside Bancshares operates multiple branches and provides services such as deposits, loans, treasury management, and investment advisory.

How the Company Makes Money

Southside Bancshares generates revenue primarily through interest income from loans and investments, as well as non-interest income from various banking services. The key revenue streams include interest earned on commercial and consumer loans, mortgage loans, and investment securities. Additionally, the company earns fees from service charges on deposit accounts, transaction-related fees, and wealth management services. Significant partnerships with local businesses and community organizations also enhance their customer base and contribute to earnings. The overall profitability is further supported by effective cost management and a focus on serving the needs of their target markets.

Southside Bancshares Financial Statement Overview

Summary

Southside Bancshares demonstrates stable financial performance with operational efficiency but faces challenges in revenue growth and cash generation. The balance sheet shows moderate leverage management, but reliance on debt is notable.

Income Statement

Southside Bancshares shows a mixed performance in its income statement. The company has maintained a healthy gross profit margin, but its net profit margin has decreased over the TTM period. Revenue growth has been negative recently, indicating potential challenges in revenue generation. EBIT and EBITDA margins remain stable, suggesting operational efficiency, but the declining revenue growth rate is a concern.

Balance Sheet

The balance sheet reflects a moderate financial position. The debt-to-equity ratio has improved slightly in the TTM period, indicating better leverage management. Return on equity remains stable, showcasing consistent profitability. However, the equity ratio is relatively low, suggesting a higher reliance on debt financing, which could pose risks in a volatile market.

Cash Flow

Cash flow analysis reveals some weaknesses. The free cash flow growth rate has significantly declined in the TTM period, raising concerns about cash generation. The operating cash flow to net income ratio is low, indicating potential inefficiencies in converting income to cash. However, the free cash flow to net income ratio remains reasonable, suggesting some level of cash flow stability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	454.01M	456.07M	395.57M	293.84M	265.32M	281.56M
Gross Profit	220.42M	254.51M	241.71M	249.96M	255.86M	216.80M
EBITDA	133.43M	117.84M	111.71M	130.74M	142.25M	105.57M
Net Income	70.02M	88.49M	86.69M	105.02M	113.40M	82.15M
Balance Sheet
Total Assets	8.38B	8.52B	8.28B	7.56B	7.26B	7.01B
Cash, Cash Equivalents and Short-Term Investments	1.38B	1.48B	1.81B	1.41B	2.97B	2.70B
Total Debt	0.00	976.45M	893.32M	550.52M	542.73M	1.13B
Total Liabilities	7.55B	7.71B	7.51B	6.81B	6.35B	6.13B
Stockholders Equity	8.38B	811.94M	773.29M	746.00M	912.17M	875.30M
Cash Flow
Free Cash Flow	3.85M	90.69M	72.96M	217.22M	147.74M	79.08M
Operating Cash Flow	8.92M	101.85M	79.86M	226.52M	156.10M	90.52M
Investing Cash Flow	-250.23M	-382.86M	-327.07M	-634.78M	-194.01M	-223.74M
Financing Cash Flow	-45.87M	146.66M	608.47M	405.76M	131.25M	130.93M

Southside Bancshares Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 28.79
• 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 SBSI, the sentiment is Neutral. The current price of 28.79 is above the 20-day moving average (MA) of 27.99, below the 50-day MA of 28.91, and below the 200-day MA of 28.96, indicating a neutral trend. The MACD of 0.02 indicates Negative momentum. The RSI at 54.33 is Neutral, neither overbought nor oversold. The STOCH value of 78.34 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for SBSI.

Southside Bancshares Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ESQ	79 Outperform	$810.91M	16.69	19.19%	0.72%	17.98%	14.35%
UVSP	75 Outperform	$838.04M	9.85	9.61%	2.94%	4.49%	20.44%
NBN	69 Neutral	$680.10M	8.02	19.62%	0.04%	33.22%	38.44%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
SBSI	60 Neutral	$865.60M	12.50	8.53%	5.00%	-4.08%	-16.80%
CFFN	57 Neutral	$826.02M	11.96	6.54%	5.48%	6.27%	79.32%
AMTB	54 Neutral	$707.71M	10.82	7.21%	2.03%	15.37%	―

Southside Bancshares Corporate Events

Southside Bancshares’ Earnings Call: Mixed Signals

Southside Bancshares’ recent earnings call painted a mixed picture, reflecting both promising growth and significant challenges. While the company reported robust loan production and deposit growth, the financial landscape was marred by a sharp decline in net income, a substantial loss on securities sales, and an increase in nonperforming assets. The negative financial impacts seemed to overshadow the positive developments, leaving stakeholders with a cautious outlook.

Southside Bancshares Expands Board and Promotes COO

On October 16, 2025, Southside Bancshares announced the expansion of its board of directors with the appointment of three new members, effective November 15, 2025, and the promotion of Mitchell Craddock to Chief Operating Officer following the retirement of Brian K. McCabe. Additionally, the company increased its stock repurchase plan authorization by 1 million shares, allowing for the repurchase of up to 2 million shares, reflecting a strategic move to enhance shareholder value.

The most recent analyst rating on (SBSI) stock is a Hold with a $32.00 price target. To see the full list of analyst forecasts on Southside Bancshares stock, see the SBSI Stock Forecast page.

Southside Bancshares Announces CEO Retirement and Successor

On September 18, 2025, Southside Bancshares announced that CEO Lee R. Gibson will retire on December 31, 2025, but will remain on the Board of Directors. Keith Donahoe, the current President, will succeed him as CEO and President. Donahoe, with over 30 years of banking experience, has been with Southside since 2021, previously serving in leadership roles at Frost Bank.

The most recent analyst rating on (SBSI) stock is a Hold with a $32.00 price target. To see the full list of analyst forecasts on Southside Bancshares stock, see the SBSI Stock Forecast page.

Southside Bancshares Completes $150M Subordinated Notes Offering

On August 14, 2025, Southside Bancshares, Inc. completed its public offering of $150 million in 7.00% Fixed-to-Floating Rate Subordinated Notes due 2035. The net proceeds of approximately $147.75 million will be used for general corporate purposes, including potential redemption of existing notes, refinancing, stock repurchases, and acquisitions. The issuance aims to qualify as Tier 2 capital, enhancing the company’s financial flexibility and regulatory capital position.

The most recent analyst rating on (SBSI) stock is a Hold with a $37.00 price target. To see the full list of analyst forecasts on Southside Bancshares stock, see the SBSI Stock Forecast page.

Southside Bancshares Announces $150M Notes Issuance

On August 7, 2025, Southside Bancshares, Inc. announced an agreement to issue and sell $150 million in 7.00% Fixed-to-Floating Rate Subordinated Notes due 2035. The offering, expected to close on August 14, 2025, is part of the company’s strategy to strengthen its financial position and is conducted under an effective registration statement filed with the SEC.

The most recent analyst rating on (SBSI) stock is a Hold with a $37.00 price target. To see the full list of analyst forecasts on Southside Bancshares stock, see the SBSI Stock Forecast page.

Southside Bancshares Announces COO Retirement and Successor

On August 4, 2025, Southside Bancshares announced the upcoming retirement of Brian K. McCabe, its Chief Operating Officer, effective November 14, 2025. The company plans to appoint Mitchell Craddock, currently Executive Vice President and Associate Chief Operations Officer, as his successor. Craddock brings over 20 years of experience in the banking industry, including roles at Q2 and Southside Bank, which positions him well to continue driving operational efficiencies and revenue growth.

The most recent analyst rating on (SBSI) stock is a Hold with a $37.00 price target. To see the full list of analyst forecasts on Southside Bancshares stock, see the SBSI Stock Forecast page.

Southside Bancshares Unveils New Investor Presentation

Southside Bancshares, Inc. announced that it will use a new investor presentation starting August 4, 2025, which will be available on its website. The company maintains a strong capital position and asset quality, with a diversified branch footprint and a long-tenured management team. The announcement highlights Southside’s strategic positioning in solid Texas markets, supported by long-term population growth, and its stable profitability across interest rate cycles.

The most recent analyst rating on (SBSI) stock is a Hold with a $37.00 price target. To see the full list of analyst forecasts on Southside Bancshares stock, see the SBSI Stock Forecast page.

Southside Bancshares Earnings Call Highlights Growth and Challenges

Southside Bancshares Earnings Call Reflects Optimism Amid Challenges