SmartFinancial (SMBK) AI Stock Analysis

• Market Cap: $601.91M
• Dividend Yield: 0.9%
• Average Volume (3M): 65.75K
• Price to Earnings (P/E): 15.7
• Beta (1Y): 0.99
• Revenue Growth: 17.26%
• EPS Growth: 44.45%
• Country: US
• Employees: 597
• Sector: Financial
• Sector Strength: 81
• Industry: Banks - Regional
• EPS (TTM): 0.67
• Shares Outstanding: 17,017,548
• 10 Day Avg. Volume: 83,424
• 30 Day Avg. Volume: 65,745
• PEG Ratio: 0.70
• Price to Book (P/B): 1.06
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 10.39
• Enterprise Value/Market Cap: 0.44
• Enterprise Value/Revenue: 0.31
• Enterprise Value/Gross Profit: 1.23
• Enterprise Value/Ebitda: 16.31
• 1Y Price Target: $35.00
• Price Target Upside: -1.05% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 2

• Rating: 70 Outperform
• Price Target: $39.00 ▲(10.26%Upside)

SmartFinancial's strong financial performance and optimistic earnings call are the primary drivers of the score. Despite some technical caution due to overbought indicators, the company's robust growth in loans and deposits, along with stable credit quality, support a positive outlook.

SmartFinancial Business Overview & Revenue Model

Company Description

SmartFinancial, Inc. (SMBK) is a financial services company that operates primarily in the community banking sector. It provides a range of financial products and services to individuals and businesses, including commercial banking, consumer banking, and wealth management. The company focuses on delivering personalized banking solutions and is committed to fostering strong relationships with its clients through a network of branches and digital banking platforms.

How the Company Makes Money

SmartFinancial makes money through various revenue streams primarily derived from traditional banking operations. The company's key revenue sources include interest income from loans and credit products offered to customers, such as personal loans, mortgages, and commercial loans. Additionally, it generates non-interest income through fees and charges associated with account maintenance, transaction services, and wealth management advisory. Another significant revenue stream comes from investment income earned on securities and other financial instruments. SmartFinancial’s earnings are also supported by strategic partnerships and a focus on expanding its customer base through regional acquisitions and innovative banking solutions.

SmartFinancial Financial Statement Overview

Summary

SmartFinancial demonstrates strong financial performance with significant revenue growth and efficient cost management. Despite high revenue growth and stable gross profit margins, the decrease in net profit margin and high negative investing cash flow pose potential risks.

Income Statement

Strong revenue growth observed with a significant increase from $152.4M in 2023 to $251.1M in 2024, indicating a growth rate of 64.8%. The gross profit margin remains stable at 100%, reflecting efficient cost management. However, net profit margin saw a decrease from 18.8% in 2023 to 14.4% in 2024, indicating increased operational costs or other expenses impacting net profitability. EBIT margin improved significantly to 99.5%, showcasing operational efficiency.

Balance Sheet

The company maintains a strong equity position with a debt-to-equity ratio of 0, highlighting prudent financial management and low leverage risk. The equity ratio has slightly decreased to 9.3% in 2024 from 9.5% in 2023, indicating a relatively stable capital structure. Return on equity decreased from 6.2% in 2023 to 7.4% in 2024, revealing efficient use of equity to generate profits.

Cash Flow

Free cash flow increased from $33.4M in 2023 to $52.7M in 2024, highlighting a solid cash flow growth rate of 57.7%. The operating cash flow to net income ratio improved to 1.46, indicating strong cash generation relative to net income. Free cash flow to net income ratio stands at 1.46, reflecting robust cash flow management. However, investing cash flow remains negative, suggesting potential risks from high capital expenditures or investments.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	254.47M	285.27M	152.41M	6.38M	137.34M	114.10M
Gross Profit	215.78M	166.35M	152.41M	6.38M	137.34M	114.10M
EBITDA	16.30M	56.87M	0.00	0.00	0.00	0.00
Net Income	38.04M	36.14M	28.59M	43.02M	34.79M	24.33M
Balance Sheet
Total Assets	4.87B	5.28B	4.83B	4.61B	4.61B	3.30B
Cash, Cash Equivalents and Short-Term Investments	0.00	698.79M	470.00M	750.32M	1.53B	697.35M
Total Debt	0.00	43.68M	50.10M	71.79M	129.51M	120.55M
Total Liabilities	4.91B	4.78B	4.37B	4.18B	4.18B	120.55M
Stockholders Equity	5.27B	491.35M	459.89M	432.45M	429.43M	357.17M
Cash Flow
Free Cash Flow	61.49M	46.30M	33.45M	44.31M	43.80M	23.63M
Operating Cash Flow	59.91M	52.70M	39.72M	56.79M	46.18M	29.07M
Investing Cash Flow	-516.18M	-420.22M	-135.24M	-840.82M	-264.99M	-259.34M
Financing Cash Flow	401.32M	402.82M	181.37M	5.37M	782.17M	528.02M

SmartFinancial Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 35.37
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SMBK, the sentiment is Positive. The current price of 35.37 is above the 20-day moving average (MA) of 32.79, above the 50-day MA of 31.85, and above the 200-day MA of 32.22, indicating a bullish trend. The MACD of 0.92 indicates Negative momentum. The RSI at 79.16 is Negative, neither overbought nor oversold. The STOCH value of 95.10 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SMBK.

SmartFinancial Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MPB	76 Outperform	$677.01M	10.25	8.38%	2.71%	13.17%	24.36%
FMNB	74 Outperform	$545.79M	11.28	11.69%	4.69%	6.53%	-10.99%
SMBK	70 Outperform	$601.91M	15.68	7.98%	0.90%	17.26%	44.45%
PGC	68 Neutral	$526.40M	16.51	5.31%	0.67%	6.72%	-17.45%
Sector *	67 Neutral	$16.84B	11.72	9.71%	3.76%	11.61%	-9.60%
NPB	59 Neutral	$490.73M	―		―	―	―
FISI	58 Neutral	$541.55M	8.52	-5.18%	4.60%	-23.31%	-169.87%

SmartFinancial Corporate Events

SmartFinancial Shareholders Approve Omnibus Incentive Plan

On May 22, 2025, SmartFinancial, Inc. held its Annual Meeting of Shareholders, where several key decisions were made. The shareholders approved the Omnibus Incentive Plan, which reserves 1,690,000 shares for issuance, and elected directors to serve until 2026. Additionally, the appointment of Forvis Mazars, LLP as the independent public accounting firm for 2025 was ratified, and the compensation for named executive officers was approved on a non-binding advisory basis.

The most recent analyst rating on (SMBK) stock is a Hold with a $30.00 price target. To see the full list of analyst forecasts on SmartFinancial stock, see the SMBK Stock Forecast page.

SmartFinancial Reports Strong Q1 2025 Financial Performance

SmartFinancial reported a strong financial performance for the first quarter of 2025, with a net income of $11.3 million, marking an increase from the previous year and quarter. The company experienced significant growth in loans and deposits, maintaining solid credit quality and a low percentage of nonperforming assets. The board declared a quarterly cash dividend of $0.08 per share, reflecting confidence in the company’s financial health and commitment to shareholder value. SmartFinancial’s strategic investments in employee engagement and leadership programs have positively impacted its operational efficiency and cultural strength, positioning it well for future growth.