Southern First Bancshares (SFST) AI Stock Analysis

• Market Cap: $269.20M
• Dividend Yield: N/A
• Average Volume (3M): 17.96K
• Price to Earnings (P/E): 17.2
• Beta (1Y): 0.95
• Revenue Growth: 13.81%
• EPS Growth: 15.38%
• Country: US
• Employees: 297
• Sector: Financial
• Sector Strength: 82
• Industry: Banks - Regional
• EPS (TTM): 1.91
• Shares Outstanding: 8,177,372
• 10 Day Avg. Volume: 16,377
• 30 Day Avg. Volume: 17,965
• PEG Ratio: 1.12
• Price to Book (P/B): N/A
• Price to Sales (P/S): 2.91
• Price to Cash Flow (P/CF): -37.60
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0

Southern First Bancshares demonstrates solid financial performance with strong revenue growth and a stable balance sheet. However, the stock faces technical weakness with downward momentum. The company's valuation is fair, but the absence of a dividend yield may deter some investors. Recent strong quarterly results and strategic positioning are positive, enhancing the stock's overall appeal. The company has potential for growth, but it should focus on improving net profitability and returns on equity to strengthen its score further.

Southern First Bancshares Business Overview & Revenue Model

Company Description

Southern First Bancshares (SFST) is a bank holding company that operates through its wholly-owned subsidiary, Southern First Bank. The company is primarily engaged in providing a range of banking services to individuals and businesses. Southern First Bancshares focuses on offering personal banking, business banking, and mortgage lending services. Their core products include checking and savings accounts, loans, mortgages, and other financial services tailored to meet the needs of their clients.

How the Company Makes Money

Southern First Bancshares generates revenue primarily through the traditional banking model, which involves earning interest income from loans and other interest-earning assets. The company earns a significant portion of its revenue by charging interest on loans provided to individuals and businesses, including commercial loans, consumer loans, and residential mortgages. Additionally, Southern First earns money from non-interest income sources such as fees for banking services, transaction fees, and charges related to account maintenance and management. The company's earnings are also influenced by the interest rate environment, as well as its ability to manage credit risk and operational efficiency. Partnerships with other financial institutions and service providers may also contribute to its revenue, though specific details on such partnerships are not available.

Southern First Bancshares Financial Statement Overview

Summary

Southern First Bancshares shows robust revenue growth and operational efficiency improvements. The balance sheet is strong, with zero debt and a solid equity foundation, but there's room for enhancing returns on equity. Cash flow management is positive, with strong operating cash flows and strategic investments. The company displays financial stability and growth potential, though it should focus on improving net profitability and optimizing returns on equity.

Income Statement

Southern First Bancshares exhibited solid revenue growth from 2023 to 2024, with total revenue more than doubling. The Gross Profit Margin remained strong at 100%, indicative of efficient cost management. However, the Net Profit Margin declined compared to 2023, reflecting higher expenses or other factors affecting net income. EBIT Margin improved significantly year-over-year, suggesting enhanced operational efficiency. The absence of EBITDA in 2024 limits full profitability analysis.

Balance Sheet

The company maintains a strong equity position with a high Equity Ratio, reflecting financial stability. The Debt-to-Equity Ratio improved to zero, indicating no outstanding debt, which is favorable for financial health. Return on Equity decreased slightly compared to previous years, possibly due to lower net income growth relative to equity. Overall, the balance sheet reflects a stable financial foundation with potential for further improvement in ROE.

Cash Flow

Southern First Bancshares demonstrated positive Free Cash Flow growth, driven by increased operating cash flow. The Operating Cash Flow to Net Income Ratio indicates strong cash generation relative to net income, though Free Cash Flow to Net Income Ratio suggests potential variability in cash flow management. The cash flow from investing activities was negative, signaling significant investments or asset purchases, while financing cash flow remained positive, reflecting effective capital management.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
201.21M	86.25M	101.05M	117.23M	77.56M
	Gross Profit
201.21M	86.25M	101.05M	117.23M	77.56M
	EBIT
197.40M	17.43M	39.80M	62.34M	26.42M
	EBITDA
0.00	22.24M	41.81M	63.12M	26.01M
	Net Income Common Stockholders
15.53M	13.43M	29.11M	46.71M	18.33M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
154.68M	162.72M	165.07M	162.01M	88.09M
	Total Assets
4.09B	4.06B	3.69B	2.93B	2.48B
	Total Debt
264.90M	311.32M	211.21M	36.11M	61.00M
	Net Debt
230.49M	274.50M	46.14M	-125.90M	-27.09M
	Total Liabilities
3.76B	3.74B	211.21M	36.11M	36.00M
	Stockholders Equity
330.44M	312.47M	294.51M	277.90M	228.29M
Cash Flow		Free Cash Flow
24.77M	16.41M	36.35M	51.56M	13.34M
	Operating Cash Flow
25.56M	17.65M	50.30M	78.07M	20.62M
	Investing Cash Flow
-28.86M	-378.57M	-792.58M	-410.63M	-230.77M
	Financing Cash Flow
9.99M	346.22M	745.94M	399.08M	183.02M

Southern First Bancshares Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 33.01
• 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 SFST, the sentiment is Negative. The current price of 33.01 is below the 20-day moving average (MA) of 33.16, below the 50-day MA of 34.76, and below the 200-day MA of 35.27, indicating a bearish trend. The MACD of -0.37 indicates Negative momentum. The RSI at 43.69 is Neutral, neither overbought nor oversold. The STOCH value of 34.47 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SFST.

Southern First Bancshares Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SSB	77 Outperform	$9.41B	13.32	9.36%	2.31%	9.22%	7.82%
HWC	75 Outperform	$4.52B	9.93	11.54%	2.86%	7.67%	17.51%
SFBS	70 Neutral	$4.51B	19.86	14.87%	1.50%	16.28%	9.61%
CADE	65 Neutral	$5.55B	10.96	9.75%	3.29%	26.53%	―
Sector *	63 Neutral	$14.35B	9.94	8.94%	4.37%	16.34%	-11.76%
TRMK	61 Neutral	$2.10B	10.05	2.68%	2.70%	-11.99%	-103.10%
SFST	60 Neutral	$269.20M	17.24	4.83%	―	13.81%	15.38%

Southern First Bancshares Corporate Events

Southern First Bancshares Announces CRO Resignation

On March 10, 2025, Southern First Bancshares announced the resignation of William M. Aiken, III, its Chief Risk Officer, effective March 31, 2025. Mr. Aiken, who has been with the company since 2020, expressed mixed emotions about leaving but is optimistic about his future opportunities. His departure marks a significant change in the company’s leadership, with CEO Art Seaver acknowledging Aiken’s contributions and expressing gratitude for his partnership over the years.

Southern First Bancshares Reports Strong Q4 2024 Results

Southern First Bancshares, Inc. reported robust financial results for the fourth quarter of 2024, with a 30% increase in net income compared to the previous quarter and a 37% rise from Q4 2023. The company highlighted strong asset quality, improved net interest margin, and growth in book value, reflecting effective management amidst interest rate cuts by the Federal Reserve. These results underscore Southern First’s strategic positioning for continued value generation for shareholders and a solid start to 2025.