FS Bancorp (FSBW) AI Stock Analysis

• Market Cap: $291.55M
• Dividend Yield: 2.83%
• Average Volume (3M): 16.42K
• Price to Earnings (P/E): 8.6
• Beta (1Y): 0.72
• Revenue Growth: 9.78%
• EPS Growth: -3.24%
• Country: US
• Employees: 560
• Sector: Financial
• Sector Strength: 77
• Industry: Banks - Regional
• EPS (TTM): 4.39
• Shares Outstanding: 7,756,000
• 10 Day Avg. Volume: 19,512
• 30 Day Avg. Volume: 16,424
• PEG Ratio: 0.89
• Price to Book (P/B): N/A
• Price to Sales (P/S): 2.07
• Price to Cash Flow (P/CF): 1.80
• P/FCF Ratio: 1.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $45.00
• Price Target Upside: 19.71% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

FS Bancorp's overall score reflects a stable financial position with solid revenue growth and strong operational margins. The technical analysis suggests short-term upward momentum, but longer-term trends remain cautious. The valuation is attractive, with a low P/E ratio and a good dividend yield, making it appealing for value and income investors. The recent CFO appointment is a positive development but does not significantly impact the stock score.

FS Bancorp Business Overview & Revenue Model

Company Description

FS Bancorp, Inc. operates as a bank holding company for 1st Security Bank of Washington that provides banking and financial services to local families, local and regional businesses, and industry niches. The company operates in two segments, Commercial and Consumer Banking; and Home Lending. It offers various deposit instruments, including checking accounts, money market deposit accounts, savings accounts, and certificates of deposit. The company provides one-to-four-family residential first mortgages, second mortgage/home equity loan products, non-mortgage commercial business loans, commercial real estate loans, and construction and development loans, as well as consumer loans, which primarily include personal lines of credit, credit cards, automobile, direct home improvement, loans on deposit, and recreational loans. As of December 31, 2021, it operated 21 full bank service branches and 10 home loan production offices in suburban communities in the greater Puget Sound area, including Snohomish, King, Pierce, Jefferson, Kitsap, Clallam, Grays Harbor, Thurston, and Lewis counties; and one loan production office in the market area of the Tri-Cities. The company was founded in 1936 and is headquartered in Mountlake Terrace, Washington.

How the Company Makes Money

FS Bancorp generates revenue primarily through the interest income earned from its lending activities, including residential, consumer, and commercial loans. The company also earns revenue from non-interest income sources such as service charges on deposit accounts, loan origination fees, and gains on the sale of loans. Additionally, FS Bancorp benefits from its diversified product offerings and strategic partnerships that enhance its financial services, contributing to its earnings. The company's profitability is influenced by factors such as interest rate fluctuations, loan demand, and economic conditions in its operating regions.

FS Bancorp Financial Statement Overview

Summary

FS Bancorp shows solid revenue growth and strong operational margins, indicative of a well-managed income statement. The balance sheet reflects a healthy equity position but is tempered by the presence of debt. Cash flow management needs improvement as indicated by fluctuating operating cash flows. Overall, the company is on a stable financial trajectory, with potential areas for improvement in cash flow efficiency and debt management.

Income Statement

FS Bancorp has demonstrated consistent revenue growth from 2019 to 2024. The gross profit margin remains robust due to high gross profit relative to total revenue. The EBIT margin has improved significantly in the latest year, reflecting enhanced operational efficiency. However, the net profit margin has slightly decreased recently, indicating increased expenses or reduced income in other areas.

Balance Sheet

The company's debt-to-equity ratio has decreased over time, indicating improved leverage management. Stockholders' equity has grown, contributing to a stable equity ratio, which suggests financial stability. However, the total debt level remains a concern, which could affect future leverage.

Cash Flow

There is a decline in operating cash flow from 2023 to 2024. The operating cash flow to net income ratio has worsened, indicating less effective cash conversion. Despite this, the free cash flow remains positive, although it has not shown consistent growth.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
184.84M	139.02M	119.67M	121.36M	127.41M
	Gross Profit
184.84M	139.02M	119.67M	121.36M	127.41M
	EBIT
179.46M	68.23M	64.72M	47.42M	49.85M
	EBITDA
0.00	0.00	50.99M	62.60M	63.47M
	Net Income Common Stockholders
35.02M	36.05M	29.65M	37.41M	39.26M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
300.45M	65.69M	275.40M	308.39M	281.87M
	Total Assets
3.03B	2.97B	2.63B	2.29B	2.11B
	Total Debt
5.56M	150.12M	242.46M	96.71M	180.99M
	Net Debt
-13.72M	60.26M	196.31M	59.68M	77.13M
	Total Liabilities
2.73B	2.71B	2.40B	97.90M	181.04M
	Stockholders Equity
295.77M	264.49M	231.70M	247.51M	230.01M
Cash Flow		Free Cash Flow
49.19M	76.00M	183.35M	107.03M	-33.70M
	Operating Cash Flow
50.82M	77.67M	184.90M	109.01M	-32.32M
	Investing Cash Flow
-104.20M	77.67M	-504.04M	-310.83M	-270.69M
	Financing Cash Flow
19.32M	-131.08M	334.09M	136.74M	348.81M

FS Bancorp Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 37.59
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FSBW, the sentiment is Negative. The current price of 37.59 is below the 20-day moving average (MA) of 37.69, below the 50-day MA of 37.96, and below the 200-day MA of 41.28, indicating a bearish trend. The MACD of 0.02 indicates Negative momentum. The RSI at 48.95 is Neutral, neither overbought nor oversold. The STOCH value of 61.61 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FSBW.

FS Bancorp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NECB	73 Outperform	$309.78M	6.27	15.99%	2.26%	18.81%	15.91%
CIVB	72 Outperform	$308.51M	9.89	8.10%	3.27%	11.16%	-26.17%
FSBW	70 Neutral	$291.55M	8.61	12.30%	2.83%	9.78%	-3.24%
FMAO	68 Neutral	$311.55M	12.00	7.83%	3.88%	15.00%	12.44%
PBFS	67 Neutral	$291.05M	15.55	6.20%	―	27.04%	6.52%
CZNC	65 Neutral	$291.38M	11.17	9.58%	5.94%	3.55%	6.97%
Sector *	62 Neutral	$11.85B	9.13	8.11%	79.54%	12.80%	-5.24%

FS Bancorp Corporate Events

FS Bancorp Appoints Phillip Whittington as New CFO

FS Bancorp, Inc., the holding company for 1st Security Bank of Washington, announced the appointment of Phillip Whittington as the new Chief Financial Officer effective May 1, 2025. Whittington, who has served as the Controller since January 2020, succeeds Matthew D. Mullet, who will continue as President. This leadership change is expected to leverage Whittington’s expertise in accounting and financial management, potentially strengthening the company’s financial operations and market position.

FS Bancorp Executives to Attend 2025 Janney CEO Forum

FS Bancorp, Inc.’s President and other top executives will attend the 2025 Janney CEO Forum on January 29-30, 2025, in Scottsdale, Arizona. This participation is significant for FS Bancorp as it offers an opportunity to present investor materials and engage with key financial stakeholders, potentially impacting the company’s market positioning and stakeholder relations.