FFIN Stock Analysis — First Financial Bankshares
Sector: Financials
AI Verdict
At 16.6x forward earnings for 11% growth, this is a fair price if its small-market moat holds, but you're not getting a bargain.
Competitive Moat
First Financial Bankshares operates a regional banking network in Texas, benefiting from deep local relationships and a conservative credit culture that has historically limited loan losses. Its defensible edge comes from a sticky deposit base and customer loyalty in smaller markets where national banks have less presence.
Summary
FFIN stands out for its combination of double-digit forward EPS growth and a forward P/E below the sector median.
Where It Stands
The stock trades at 16.6x next year's earnings, below the financial sector median of 14x, with analysts expecting 11.0% EPS growth and a trailing P/E of 18.4x.
Key Metrics
- Trailing P/E: 18.4x
- Forward P/E: 16.6x
- PEG Ratio: 1.68
- Earnings Growth: +0.1%
- Revenue Growth: +0.2%
- Dividend Yield: 0.03%
- 52-Week High: $36.70
- 52-Week Low: $28.12
Analyst Consensus
6 Buy · 6 Hold · 0 Sell (12 analysts)
Bull Case
With 11.0% forward EPS growth and a 16.6x forward P/E, you're paying a fair price for a regional bank outpacing the sector on growth.
Bear Case
If the P/E reverts to the sector median of 14x, the stock could see a roughly 16% valuation drop even if earnings meet expectations.
Catalyst to Watch
Quarterly credit quality updates and deposit growth trends will show whether FFIN can sustain its above-average earnings growth.