Southside Bancshares (SBSI) AI Stock Analysis

• Market Cap: $919.85M
• Dividend Yield: 4.71%
• Average Volume (3M): 105.19K
• Price to Earnings (P/E): 10.9
• Beta (1Y): 0.75
• Revenue Growth: 3.54%
• EPS Growth: 4.47%
• Country: US
• Employees: 778
• Sector: Financial
• Sector Strength: 72
• Industry: Banks - Regional
• EPS (TTM): 0.72
• Shares Outstanding: 30,080,109
• 10 Day Avg. Volume: 103,868
• 30 Day Avg. Volume: 105,190
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.70
• Enterprise Value/Revenue: 3.48
• Enterprise Value/Gross Profit: 6.13
• Enterprise Value/Ebitda: 13.58
• 1Y Price Target: $34.33
• Price Target Upside: 14.13% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3

• Rating: 74 Outperform
• Price Target: $34.00 ▲(13.03% Upside)

Southside Bancshares shows a strong valuation and positive technical indicators, supported by strategic corporate events. However, financial performance concerns, particularly in revenue growth and cash generation, slightly temper the overall outlook.

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 exhibits a solid financial standing with strong cash flow generation and stable revenue growth. While profitability margins are under some pressure, operational efficiency remains robust. The balance sheet shows increased leverage, which needs careful monitoring to ensure long-term financial stability.

Income Statement

Southside Bancshares has demonstrated a stable revenue growth with a notable increase from 2022 to 2023, despite a slight decrease in the TTM period. Gross profit margins remain strong, reflecting efficient cost management. However, the net profit margin has shown some decline in recent periods, indicating pressures on profitability. The EBIT and EBITDA margins are consistent, showcasing operational efficiency.

Balance Sheet

The balance sheet indicates a solid equity base with a consistent increase in stockholders' equity over the years. However, the debt-to-equity ratio has increased, suggesting higher leverage which could pose risks if not managed carefully. The equity ratio is stable, indicating a balanced approach to asset financing.

Cash Flow

The company has demonstrated strong cash flow generation capabilities, with significant free cash flow growth in recent years. The operating cash flow to net income ratio is healthy, indicating efficient conversion of income into cash. Free cash flow to net income ratio is favorable, highlighting robust cash generation relative to earnings.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	448.97M	456.07M	395.57M	293.84M	265.32M	281.56M
Gross Profit	254.87M	254.51M	241.71M	249.96M	255.86M	216.80M
EBITDA	114.93M	117.84M	111.71M	130.74M	142.25M	105.57M
Net Income	85.63M	88.49M	86.69M	105.02M	113.40M	82.15M
Balance Sheet
Total Assets	8.34B	8.52B	8.28B	7.56B	7.26B	7.01B
Cash, Cash Equivalents and Short-Term Investments	109.67M	1.48B	1.81B	1.41B	2.97B	2.70B
Total Debt	778.88M	976.45M	893.32M	550.52M	542.73M	1.13B
Total Liabilities	7.53B	7.71B	7.51B	6.81B	6.35B	6.13B
Stockholders Equity	807.20M	811.94M	773.29M	746.00M	912.17M	875.30M
Cash Flow
Free Cash Flow	19.58M	90.69M	72.96M	217.22M	147.74M	79.08M
Operating Cash Flow	27.07M	101.85M	79.86M	226.52M	156.10M	90.52M
Investing Cash Flow	-50.82M	-382.86M	-327.07M	-634.78M	-194.01M	-223.74M
Financing Cash Flow	-68.03M	146.66M	608.47M	405.76M	131.25M	130.93M

Southside Bancshares Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 30.08
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SBSI, the sentiment is Positive. The current price of 30.08 is above the 20-day moving average (MA) of 29.83, above the 50-day MA of 29.67, and below the 200-day MA of 30.25, indicating a neutral trend. The MACD of -0.02 indicates Negative momentum. The RSI at 52.87 is Neutral, neither overbought nor oversold. The STOCH value of 89.66 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SBSI.

Southside Bancshares Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CTBI	78 Outperform	$1.02B	11.07	11.99%	3.34%	10.85%	17.66%
AMAL	76 Outperform	$886.71M	8.80	14.78%	1.87%	6.94%	3.96%
SBSI	74 Outperform	$919.85M	10.86	10.65%	4.71%	3.54%	4.47%
FMBH	73 Outperform	$933.74M	11.04	9.87%	2.49%	5.18%	13.05%
CNOB	68 Neutral	$1.22B	28.33	2.75%	2.95%	3.58%	-52.78%
Sector *	65 Neutral	£5.47B	8.78	9.49%	5.10%	10.05%	-13.15%
TMP	56 Neutral	$963.45M	12.02	11.06%	3.78%	31.82%	460.57%

Southside Bancshares Corporate Events

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 Shareholders Approve 2025 Incentive Plan

On May 14, 2025, Southside Bancshares, Inc. held its Annual Meeting of Shareholders, where key decisions were made. The shareholders approved the 2025 Incentive Plan, which reserves 1,200,000 shares for issuance, and elected directors for varying terms. Additionally, they ratified the appointment of Ernst & Young LLP as the independent registered public accounting firm for the year ending December 31, 2025. These decisions are expected to impact the company’s operations by aligning employee interests with shareholder value and ensuring continuity in governance and financial oversight.

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.