ServisFirst Bancshares (SFBS)
NYSE:SFBS
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ServisFirst Bancshares
(NYSE:SFBS)
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Rating:65Neutral
Price Target:
$79.00
▲(6.01% Upside)
Action:DowngradedDate:03/17/26
The score is supported by strong recent financial performance and a constructive earnings outlook centered on further net interest margin expansion and repricing-driven upside. The main offset is notably weak technical momentum (price below key moving averages with bearish MACD), with additional risk from localized credit pressure (higher NPAs/charge-offs) and near-term expense drag from expansion plans.
Positive Factors
Profitability & margins
Sustained high TTM net and operating margins indicate the bank’s core lending and fee model is currently efficient. Durable margin strength supports internal capital generation, dividend capacity, and reinvestment, reducing reliance on external funding through multiple rate cycles.
Negative Factors
Concentrated credit exposure
A material rise in NPAs tied to one borrower highlights concentration risk in commercial CRE/merchant-developer lending. Such single-name stress can trigger outsized provisions, restrict underwriting appetite, and increase capital volatility until fully resolved or diversified.
Read all positive and negative factors
Positive Factors
Negative Factors
Profitability & margins
Sustained high TTM net and operating margins indicate the bank’s core lending and fee model is currently efficient. Durable margin strength supports internal capital generation, dividend capacity, and reinvestment, reducing reliance on external funding through multiple rate cycles.
Read all positive factors
ServisFirst Bancshares (SFBS) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$4.07B
Dividend Yield1.82%
Average Volume (3M)344.50K
Price to Earnings (P/E)14.2
Beta (1Y)1.02
Revenue Growth3.97%
EPS Growth24.91%
CountryUS
Employees636
SectorFinancial
Sector Strength70
IndustryBanks - Regional
Share Statistics
EPS (TTM)1.58
Shares Outstanding54,640,526
10 Day Avg. Volume459,005
30 Day Avg. Volume344,499
Financial Highlights & Ratios
PEG Ratio0.66
Price to Book (P/B)2.12
Price to Sales (P/S)3.86
P/FCF Ratio11.24
Enterprise Value/Market Cap1.34
Enterprise Value/Revenue5.35
Enterprise Value/Gross Profit10.33
Enterprise Value/Ebitda15.76
Forecast
1Y Price Target
$92.00Price Target Upside23.46% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering2
EPS Forecast (FY)6.35
Revenue Forecast (FY)$657.26M
ServisFirst Bancshares Business Overview & Revenue Model
Company Description
ServisFirst Bancshares, Inc. operates as the bank holding company for ServisFirst Bank that provides various banking services to individual and corporate customers. It accepts demand, time, savings, and other deposits; checking, money market, and ...
How the Company Makes Money
ServisFirst Bancshares primarily makes money through its banking subsidiary by generating net interest income and noninterest income. Net interest income is earned from the spread between interest income on loans and investment securities and inte...
ServisFirst Bancshares Earnings Call Summary
Earnings Call Date:Jan 20, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:Apr 27, 2026
Earnings Call Sentiment Positive
The call presented multiple strong financial and operational positives: meaningful EPS growth (Q4 +32% q/q and +33% y/y), margin expansion (NIM up to 3.38% in Q4), solid loan growth and a sizable repricing opportunity (~$2B opportunity cited), improved efficiency (sub-30% quarter; full-year improvement of 14% vs 2024), diversified noninterest revenue growth, and strong liquidity/capital metrics. Offsetting these positives are credit-related headwinds concentrated in a single merchant-developer exposure that pushed NPAs to 97 bps, quarterly charge-offs of $6.7M, earlier securities losses, and near-term profitability drag and expense growth tied to the Texas expansion. Management’s tone was constructive and optimistic about 2026 while acknowledging specific localized credit and ramp-up challenges.Positive Updates
Strong Quarterly and Annual EPS Growth
Diluted EPS of $1.58 for the fourth quarter, up 32% sequentially (vs Q3 2025) and up 33% year-over-year (vs Q4 2024). Full-year operating EPS of $5.25 and GAAP EPS of $5.06; net income available to common shareholders of $86.4M for the quarter and $276.5M for the year.
Negative Updates
Increase in Nonperforming Assets
Nonperforming assets to total assets rose to 97 basis points at year-end versus 26 basis points at fiscal year-end 2024 (and roughly consistent with 96 bps at Q3 2025). Management attributes the year-over-year increase largely to exposure to a single merchant developer.
Read all updates
Q4-2025 Updates
Positive
Negative
Strong Quarterly and Annual EPS Growth
Diluted EPS of $1.58 for the fourth quarter, up 32% sequentially (vs Q3 2025) and up 33% year-over-year (vs Q4 2024). Full-year operating EPS of $5.25 and GAAP EPS of $5.06; net income available to common shareholders of $86.4M for the quarter and $276.5M for the year.
Read all positive updates
Company Guidance
Management guided that the December spot net interest margin (about 3.50%, with Q4 NIM at 3.38%) is a good starting point for 2026 and expects further margin expansion driven by repricing — roughly $1.0B of low‑fixed‑rate loans (W.A. yield 5.18%) that could capture ~130 bps vs. the going‑on rate (~6.47%), plus ~ $700M of cash flows and ~ $300M of covenant/modification repricings (about a $2.0B total opportunity); 86% of variable loans have floors (W.A. floor 4.74%). They also noted strong deposit responsiveness (deposit beta ~83 bps) and lower funding costs (interest‑bearing liabilities down ~40 bps linked‑quarter and ~65 bps YoY), expect high‑single‑digit expense growth in 2026 to support Texas expansion (9‑person Houston team today, more hires planned in Q1–Q2) and a short‑term drag to results but a targeted efficiency ratio in the low‑30s (≈30–33%). Other forward‑looking context included continued loan momentum (Q4 annualized loan growth 12%; pipeline +11% QoQ and +80% net of projected payoffs), stable credit positioning (allowance 1.25%, FY net charge‑offs 21 bps, Q4 NCOs ~$6.7M, NPAs 97 bps), and strong capital/returns (tangible book $33.62, FY operating EPS $5.25, adjusted ROA 1.62%, ROE ~17%).ServisFirst Bancshares Financial Statement Overview
Summary
Income Statement
82
Very Positive
Balance Sheet
72
Positive
Cash Flow
78
Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 1.02B | 977.12M | 828.82M | 580.46M | 437.43M |
| Gross Profit | 526.97M | 456.07M | 407.79M | 454.43M | 374.11M |
| EBITDA | 342.13M | 283.77M | 249.02M | 312.95M | 257.74M |
| Net Income | 276.60M | 227.24M | 206.85M | 251.50M | 207.73M |
Balance Sheet | |||||
| Total Assets | 17.73B | 17.35B | 16.13B | 14.60B | 15.45B |
| Cash, Cash Equivalents and Short-Term Investments | 1.16B | 2.82B | 2.86B | 1.46B | 5.01B |
| Total Debt | 1.51B | 2.06B | 1.32B | 1.68B | 1.78B |
| Total Liabilities | 15.88B | 15.73B | 14.69B | 13.30B | 14.30B |
| Stockholders Equity | 1.85B | 1.62B | 1.44B | 1.30B | 1.15B |
Cash Flow | |||||
| Free Cash Flow | 349.26M | 248.27M | 193.39M | 268.98M | 256.88M |
| Operating Cash Flow | 355.20M | 252.91M | 197.30M | 272.63M | 266.33M |
| Investing Cash Flow | -1.15B | -948.53M | -200.43M | -2.64B | -1.56B |
| Financing Cash Flow | 49.35M | 941.16M | 1.32B | -1.04B | 3.31B |
ServisFirst Bancshares Technical Analysis
Negative
74.52
Price Trends
80.39
Negative
76.09
Negative
77.87
Negative
Market Momentum
-2.42
Positive
41.54
Neutral
53.27
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SFBS, the sentiment is Negative. The current price of 74.52 is below the 20-day moving average (MA) of 76.52, below the 50-day MA of 80.39, and below the 200-day MA of 77.87, indicating a bearish trend. The MACD of -2.42 indicates Positive momentum. The RSI at 41.54 is Neutral, neither overbought nor oversold. The STOCH value of 53.27 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SFBS.
ServisFirst Bancshares Risk Analysis
ServisFirst Bancshares disclosed 37 risk factors in its most recent earnings report. ServisFirst Bancshares reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
ServisFirst Bancshares Peers Comparison
UnderperformOutperform
Sector (68)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
76 Outperform | $4.22B | 10.04 | 13.41% | 2.03% | 0.99% | 4.94% | |
71 Outperform | $5.20B | 12.33 | 10.41% | 1.02% | 2.20% | 20.88% | |
68 Neutral | $18.00B | 11.42 | 9.92% | 3.81% | 9.73% | 1.22% | |
66 Neutral | $4.75B | 9.54 | 16.59% | ― | 1.66% | -9.31% | |
65 Neutral | $4.07B | 14.19 | 15.76% | 1.82% | 3.97% | 24.91% | |
65 Neutral | $3.64B | 14.89 | 13.85% | 1.70% | 6.55% | 12.94% | |
63 Neutral | $4.95B | 11.17 | 6.10% | 3.83% | 43.53% | -21.74% |
* Financial Sector Average
SFBS
ServisFirst Bancshares
73.86
-7.56
-9.29%
ABCB
Ameris Bancorp
77.37
19.56
33.83%
BANF
BancFirst
106.82
-3.32
-3.02%
AX
Axos Financial
85.69
20.97
32.40%
IBOC
International Bancshares
67.71
5.17
8.27%
AUB
Atlantic Union Bankshares
35.33
4.99
16.44%
ServisFirst Bancshares Corporate Events
Dividends
ServisFirst Bancshares Declares Quarterly Cash Dividend for Q1
Positive
Mar 16, 2026
On March 16, 2026, ServisFirst Bancshares, Inc., the Birmingham, Alabama-based bank holding company for ServisFirst Bank, reported that its board of directors declared a quarterly cash dividend of $0.38 per share. The dividend is scheduled to be p...
Business Operations and StrategyFinancial DisclosuresRegulatory Filings and Compliance
ServisFirst Updates Investor Presentation Highlighting Continued Growth
Positive
Feb 24, 2026
ServisFirst Bancshares, Inc. has updated its investor presentation as of February 2026 to incorporate current-quarter financial data, highlighting total assets of $17.7 billion and stockholders’ equity of $1.9 billion as of December 31, 2025...
Business Operations and StrategyDividendsFinancial Disclosures
ServisFirst Bancshares posts strong Q4 2025 earnings
Positive
Jan 20, 2026
On January 20, 2026, ServisFirst Bancshares reported strong fourth-quarter and full-year 2025 results, highlighted by a 22% year-over-year increase in diluted earnings per share to $5.06 and a 26% rise in adjusted diluted EPS. For the fourth quart...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.