SouthState Corporation (SSB) AI Stock Analysis

• Market Cap: $10.20B
• Dividend Yield: 2.2%
• Average Volume (3M): 719.38K
• Price to Earnings (P/E): 15.0
• Beta (1Y): 1.06
• Revenue Growth: 21.10%
• EPS Growth: 7.74%
• Country: US
• Employees: 6,405
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 2.11
• Shares Outstanding: 101,208,984
• 10 Day Avg. Volume: 760,845
• 30 Day Avg. Volume: 719,376
• 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: 1.06
• Enterprise Value/Revenue: 3.59
• Enterprise Value/Gross Profit: 5.38
• Enterprise Value/Ebitda: 12.31
• 1Y Price Target: $118.43
• Price Target Upside: 18.10% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 8

• Rating: 77 Outperform
• Price Target: $109.00 ▲(8.70% Upside)

SouthState Corporation's overall stock score is driven by strong financial performance, particularly in revenue growth and balance sheet strength, despite some cash flow challenges. The positive technical indicators and reasonable valuation further support the stock's attractiveness. The optimistic earnings call, highlighting significant loan production and strategic advancements, enhances the overall outlook.

Positive Factors

Revenue Growth

The 22% annualized revenue growth reflects strong business expansion and effective market penetration, supporting long-term financial health.

Loan Production

Significant loan production growth indicates robust demand for the bank's services and enhances its revenue base, strengthening its market position.

Dividend Increase

An 11% dividend increase demonstrates confidence in sustained earnings growth and financial stability, appealing to income-focused investors.

Negative Factors

Declining Profit Margins

Decreasing profit margins suggest rising costs or pricing pressures, which could impact long-term profitability if not managed effectively.

Cash Flow Challenges

Severe decline in free cash flow growth highlights potential liquidity issues, which could constrain future investment and operational flexibility.

Subordinated Notes Issuance

Issuing subordinated notes increases financial leverage, which may heighten risk and interest obligations, affecting long-term financial stability.

SouthState Corporation Business Overview & Revenue Model

Company Description

SouthState Corporation (SSB) is a diversified financial holding company based in the southeastern United States, primarily engaged in banking and related financial services. Founded in 1934, the company operates through its subsidiary, SouthState Bank, which offers a range of services including commercial banking, consumer banking, mortgage lending, and wealth management. SouthState serves both individual and business clients, focusing on providing personalized service and financial solutions across its footprint in the region.

How the Company Makes Money

SouthState Corporation generates revenue through several key streams. The primary source is net interest income, which arises from the difference between interest earned on loans and interest paid on deposits. The bank offers various loan products, including commercial real estate loans, consumer loans, and mortgages, which contribute significantly to interest income. In addition to interest income, SouthState earns non-interest income from fees and commissions related to deposit accounts, wealth management services, and transaction fees. The company also benefits from strategic partnerships with financial technology providers and other institutions, enhancing its service offerings and operational efficiency. Overall, SouthState's diversified portfolio of financial products and services, combined with a strong regional presence, contribute to its revenue generation and financial stability.

SouthState Corporation Financial Statement Overview

Summary

SouthState Corporation exhibits strong financial performance with consistent revenue growth and robust profitability margins. The balance sheet reflects stability with prudent leverage, while cash flows indicate efficient capital management despite some fluctuations. Monitoring EBIT performance and operational cash flow is advised.

Income Statement

SouthState Corporation's income statement reflects strong financial performance with consistently improving revenue, marked by a 21.6% growth in TTM revenue compared to the previous year. The gross profit margin is robust at 65.9%, indicating efficient management of production costs. The net profit margin remains healthy at 18.9%, supported by a stable EBIT margin of 24.8% and EBITDA margin of 27.6%. However, a slight decline in EBIT from the previous year requires monitoring.

Balance Sheet

The balance sheet is solid with a relatively low debt-to-equity ratio of 0.17, suggesting prudent leverage levels. The equity ratio is strong at 13.2%, indicating a stable financial position. The company also boasts a high return on equity of 5.9%, showcasing effective use of shareholder equity, although this is on a lower side for the banking sector. The substantial increase in stockholders' equity reflects positive growth, yet the total liabilities have also increased, which could imply potential risk if not managed carefully.

Cash Flow

Cash flow analysis reveals strong operational cash generation with a TTM operating cash flow of $108 million, though it has decreased from the previous year. Free cash flow has grown by 83.3%, indicating effective capital management. The operating cash flow to net income ratio is 0.21, reflecting solid cash conversion efficiency. Despite the positive trends, the decrease in operating cash flow compared to prior periods requires attention.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.02B	2.39B	2.19B	1.67B	1.42B	1.21B
Gross Profit	2.01B	1.65B	1.59B	1.53B	1.53B	890.33M
EBITDA	881.19M	756.95M	689.68M	697.95M	667.42M	150.34M
Net Income	591.66M	534.78M	494.31M	496.05M	475.54M	120.63M
Balance Sheet
Total Assets	65.89B	46.38B	44.90B	43.92B	41.84B	37.79B
Cash, Cash Equivalents and Short-Term Investments	9.39B	898.68M	5.55B	6.06B	5.90B	4.36B
Total Debt	1.73B	896.14M	970.78M	938.38M	1.10B	1.16B
Total Liabilities	57.09B	40.49B	39.37B	38.84B	37.04B	33.14B
Stockholders Equity	8.80B	5.89B	5.53B	5.07B	4.80B	4.65B
Cash Flow
Free Cash Flow	88.00K	476.15M	507.87M	1.71B	387.27M	520.01M
Operating Cash Flow	53.83M	511.96M	546.76M	1.73B	415.69M	536.94M
Investing Cash Flow	962.43M	-886.18M	-1.43B	-4.86B	-2.32B	1.23B
Financing Cash Flow	1.33B	767.41M	566.00M	-2.28B	4.02B	2.15B

SouthState Corporation Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 100.28
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SSB, the sentiment is Neutral. The current price of 100.28 is below the 20-day moving average (MA) of 100.72, above the 50-day MA of 97.57, and above the 200-day MA of 94.90, indicating a neutral trend. The MACD of 1.33 indicates Positive momentum. The RSI at 52.61 is Neutral, neither overbought nor oversold. The STOCH value of 20.16 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for SSB.

SouthState Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
UMBF	80 Outperform	9.14B	13.82	7.25%	1.33%	30.40%	12.40%
WTFC	79 Outperform	8.95B	12.64	10.24%	1.46%	4.74%	10.10%
WBS	78 Outperform	10.07B	12.31	9.17%	2.64%	4.73%	7.12%
SSB	77 Outperform	$10.20B	14.99	8.19%	2.20%	21.10%	7.74%
WAL	74 Outperform	9.83B	11.71	11.89%	1.71%	7.14%	14.94%
FHN	69 Neutral	11.33B	14.40	9.40%	2.69%	-2.90%	28.87%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%

SouthState Corporation Corporate Events

SouthState Corporation Completes Redomicile and Debt Assumption

SouthState Corporation has undergone a redomicile, resulting in New SSB assuming all rights and obligations under the company’s senior revolving credit facility with U.S. Bank, as well as Old SSB’s obligations related to trust preferred securities and subordinated notes. This transition includes assuming $350 million in subordinated debt due 2035, $130 million in junior subordinated notes due 2030, and $175 million in subordinated debentures due 2034. The officers and directors of Old SSB have transitioned to New SSB, maintaining their roles in accordance with the new corporate structure.

SouthState Corporation to Reincorporate in Florida

SouthState Corporation announced its intention to change its state of incorporation from South Carolina to Florida, as approved by its shareholders on April 23, 2025. The change will be executed through a merger with SouthState Bank Corporation, a newly formed Florida subsidiary, effective August 31, 2025. This strategic move will result in SouthState Bank Corporation assuming all rights and obligations of SouthState Corporation, including its credit facilities and securities, while maintaining the same leadership and governance structure.

SouthState Corporation Reports Strong Q2 2025 Results

On July 24, 2025, SouthState Corporation announced its second quarter 2025 financial results, highlighting a 22% annualized revenue growth and a 57% increase in loan originations. The company successfully completed the conversion of the IBTX franchise, enhancing its operations in Texas and Colorado. As a result of strong financial performance, the Board of Directors approved an 11% increase in the quarterly cash dividend, raising it from $0.54 to $0.60 per share, payable on August 15, 2025. This strategic move underscores SouthState’s commitment to delivering shareholder value and supporting future growth.

SouthState Corporation to Announce Q2 2025 Earnings

SouthState Corporation, a financial services company, announced that it will release its second quarter 2025 earnings results on July 24, 2025, after the market closes. The company will host a conference call the following day to discuss the results, and investors can access the earnings report and webcast through the company’s website.

SouthState Corporation Issues $350M Subordinated Notes

SouthState Corporation announced the issuance of $350 million in 7.000% Fixed-to-Floating Rate Subordinated Notes due 2035. The Notes will initially bear interest at a fixed rate until 2030, after which they will switch to a floating rate. This financial move, formalized through an Indenture with U.S. Bank Trust Company, aims to bolster the company’s financial strategy and market positioning.

SouthState Corporation’s $350M Subordinated Notes Offering

On June 10, 2025, SouthState Corporation entered into an underwriting agreement with Morgan Stanley & Co. LLC, Piper Sandler & Co., and Keefe, Bruyette & Woods, Inc. to sell $350,000,000 of its 7.000% Fixed-to-Floating Rate Subordinated Notes due 2035. This transaction is part of a registered public offering, indicating a strategic move to raise capital, which may impact the company’s financial positioning and stakeholder interests.