Bank holding firm Simmons First's Q4 revenue beats estimates

Overview

• Mid-South financial holding's Q4 revenue rose, beating analyst expectations

• Adjusted EPS for Q4 beat consensus, reflecting strong financial performance

Outlook

• Company did not provide specific financial guidance for future quarters or full year

Result Drivers

• BALANCE SHEET REPOSITIONING - The company attributed improved net interest margin and revenue growth to balance sheet repositioning completed in Q3

• LOAN AND DEPOSIT GROWTH - Total loans and deposits increased by 7% and 8% annualized, respectively, contributing to revenue growth

• ASSET QUALITY IMPROVEMENT - Nonperforming loans decreased due to charge-offs related to two credit relationships and a portfolio sale, enhancing asset quality

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 5 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the banks peer group is "buy"

• Wall Street's median 12-month price target for Simmons First National Corp is $22.00, about 14.3% above its January 16 closing price of $19.24

• The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 10 three months ago

Press Release: ID:nPn2mzrPBa

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact RefinitivNewsSupport@thomsonreuters.com.