First Financial Indiana (THFF) AI Stock Analysis

• Market Cap: $762.47M
• Dividend Yield: 3.11%
• Average Volume (3M): 53.44K
• Price to Earnings (P/E): 10.3
• Beta (1Y): 0.88
• Revenue Growth: 16.57%
• EPS Growth: 69.64%
• Country: US
• Employees: 937
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 1.75
• Shares Outstanding: 11,850,645
• 10 Day Avg. Volume: 61,931
• 30 Day Avg. Volume: 53,437
• PEG Ratio: -0.54
• Price to Book (P/B): 0.99
• Price to Sales (P/S): 1.77
• P/FCF Ratio: 10.06
• Enterprise Value/Market Cap: 1.24
• Enterprise Value/Revenue: 2.76
• Enterprise Value/Gross Profit: 3.84
• Enterprise Value/Ebitda: 8.99
• 1Y Price Target: $62.00
• Price Target Upside: -3.16% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 77 Outperform
• Price Target: $74.00 ▲(15.59% Upside)

First Financial Indiana's strong technical momentum and reasonable valuation are the primary drivers of its stock score. The company's robust financial performance, despite challenges in revenue growth, supports its stability. The merger with CedarStone and dividend declaration further enhance its growth prospects and shareholder value.

Positive Factors

Merger with CedarStone

The merger with CedarStone expands First Financial's market presence in Nashville, enhancing growth potential and competitive positioning.

Cash Generation

Strong cash generation supports operational flexibility and investment capacity, ensuring long-term financial health and shareholder returns.

Dividend Declaration

Regular dividend payments reflect financial stability and commitment to returning capital to shareholders, enhancing investor confidence.

Negative Factors

Revenue Growth Challenges

Negative revenue growth indicates difficulties in expanding market share or product adoption, potentially impacting future profitability.

Limited Revenue Expansion

Struggles to grow revenue may limit the company's ability to scale operations and compete effectively in the regional banking sector.

Moderate Cash Conversion

Moderate cash conversion efficiency could constrain liquidity for reinvestment and operational needs, affecting long-term growth prospects.

First Financial Indiana Business Overview & Revenue Model

Company Description

First Financial Corporation, through its subsidiaries, provides various financial services. It offers non-interest-bearing demand, interest-bearing demand, savings, time, and other time deposits. The company also provides commercial loans primarily to expand a business or finance asset purchases; residential real estate and residential real estate construction loans; and home equity loans and lines, secured loans, and cash/CD secured and unsecured loans. In addition, it offers lease financing, trust account, depositor, and insurance services. The company operates 78 branches in west-central Indiana, east-central Illinois, western Kentucky, and middle and western Tennessee. First Financial Corporation was founded in 1834 and is headquartered in Terre Haute, Indiana.

How the Company Makes Money

First Financial Indiana generates revenue through several key streams. The primary source of income comes from net interest income, derived from the difference between the interest earned on loans and the interest paid on deposits. Additionally, the company earns non-interest income through fees for services such as asset management, investment advisory, and insurance services. The bank also benefits from loan origination fees and transaction fees associated with various financial products. Strategic partnerships with other financial institutions and investment firms enhance its service offerings and revenue potential, while investment income from its securities portfolio contributes further to its earnings.

First Financial Indiana Financial Statement Overview

Summary

First Financial Indiana demonstrates strong profitability and efficient operations, with healthy margins and a robust return on equity. While revenue growth has been challenging, the company maintains a solid cash flow position and prudent leverage.

Income Statement

First Financial Indiana shows strong profitability with a TTM net profit margin of 23.95%, indicating efficient cost management. However, the revenue growth rate is negative at -8.08% TTM, suggesting challenges in revenue expansion. The EBIT and EBITDA margins are healthy at 21.56% and 38.11% respectively, reflecting solid operational efficiency.

Balance Sheet

The company maintains a moderate debt-to-equity ratio of 0.29 TTM, indicating prudent leverage management. Return on equity is robust at 12.70% TTM, showcasing effective use of equity capital. However, the equity ratio is not provided, limiting a full assessment of asset financing.

Cash Flow

Free cash flow growth is positive at 13.58% TTM, indicating improved cash generation. The operating cash flow to net income ratio is 0.40, suggesting a moderate conversion of income to cash. The free cash flow to net income ratio is high at 91.08%, reflecting strong cash profitability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	340.98M	307.51M	271.10M	230.02M	194.28M	202.96M
Gross Profit	245.25M	201.59M	202.67M	213.78M	183.02M	178.29M
EBITDA	104.80M	67.10M	79.02M	93.87M	71.77M	71.63M
Net Income	74.00M	47.27M	60.67M	71.11M	52.99M	53.84M
Balance Sheet
Total Assets	5.67B	5.56B	4.85B	4.99B	5.18B	4.56B
Cash, Cash Equivalents and Short-Term Investments	1.27B	820.49M	1.34B	1.55B	2.05B	1.68B
Total Debt	182.52M	215.18M	175.80M	80.46M	115.53M	127.72M
Total Liabilities	5.05B	5.01B	4.32B	4.51B	4.59B	3.96B
Stockholders Equity	622.22M	549.04M	527.98M	475.29M	582.58M	596.99M
Cash Flow
Free Cash Flow	75.44M	54.26M	79.55M	77.36M	51.23M	73.52M
Operating Cash Flow	76.48M	60.37M	86.09M	78.79M	55.07M	77.42M
Investing Cash Flow	-178.15M	-66.12M	-22.10M	-433.69M	-312.16M	-16.25M
Financing Cash Flow	111.80M	22.52M	-209.75M	-110.61M	287.65M	468.87M

First Financial Indiana Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 64.02
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For THFF, the sentiment is Positive. The current price of 64.02 is above the 20-day moving average (MA) of 61.58, above the 50-day MA of 57.47, and above the 200-day MA of 53.46, indicating a bullish trend. The MACD of 2.20 indicates Negative momentum. The RSI at 64.48 is Neutral, neither overbought nor oversold. The STOCH value of 76.75 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for THFF.

First Financial Indiana Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ORRF	81 Outperform	$728.28M	9.89	13.43%	2.84%	47.65%	101.00%
FSBC	80 Outperform	$814.95M	14.16	13.95%	2.13%	22.24%	18.63%
MPB	79 Outperform	$748.85M	13.34	7.31%	2.49%	12.09%	-15.97%
CAC	78 Outperform	$777.24M	13.09	9.49%	3.66%	24.08%	9.83%
THFF	77 Outperform	$762.47M	10.30	12.46%	3.11%	16.57%	69.64%
NBBK	74 Outperform	$904.67M	13.74	7.84%	0.66%	14.04%	337.54%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%

First Financial Indiana Corporate Events

First Financial Indiana Board Declares Quarterly Cash Dividend

On December 18, 2025, First Financial Corporation announced that its board of directors declared a quarterly cash dividend of $0.56 per share, payable on January 15, 2026, to shareholders of record as of the close of business on January 2, 2026. The dividend declaration underscores the company’s ongoing capital return to shareholders and signals continued confidence in its financial performance and stability within its regional banking markets.

First Financial Indiana Announces Merger with CedarStone

On November 6, 2025, First Financial Corporation and CedarStone Financial, Inc. announced a merger agreement where CedarStone will merge into First Financial for $19.12 per share, valuing the transaction at approximately $25 million. The merger aims to expand First Financial’s presence in the Nashville market and is expected to close in the first quarter of 2026, pending regulatory and shareholder approvals.