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FFIN Stock Analysis 2026 - FIRST FINANCIAL BANKSHARES INC AI Rating

FFIN Nasdaq State Commercial Banks TX CIK: 0000036029
Recently Updated • Analysis: Mar 24, 2026 • SEC Data: 2025-12-31
BUY
72% Conf
Pending
Analysis scheduled

📊 FFIN Key Takeaways

Revenue: $702.5M
Net Margin: 36.1%
Free Cash Flow: $286.0M
Current Ratio: N/A
Debt/Equity: 0.00x
EPS: $1.77
AI Rating: BUY with 72% confidence

Is FFIN a Good Investment? Thesis Analysis

Claude

First Financial Bankshares demonstrates strong operational fundamentals with exceptional profitability metrics (44.1% operating margin, 36.1% net margin) and healthy cash generation (286M free cash flow). The company shows solid balance sheet strength with 0.00x leverage and positive 1.6% ROA, though revenue growth of 40.2% requires monitoring to ensure sustainability beyond what may be acquisition-driven expansion.

Why Buy FFIN? Key Strengths

Claude
  • + Exceptional operating margin of 44.1% and net margin of 36.1% indicate strong pricing power and cost control
  • + Robust free cash flow of 286M with 40.7% FCF margin demonstrates high-quality earnings conversion
  • + Conservative capital structure with zero debt and 1.1B cash position provides financial flexibility
  • + Positive 13.2% ROE and 1.6% ROA show efficient capital deployment for a bank
  • + 40.2% revenue growth suggests meaningful expansion through organic or acquisition activity

FFIN Investment Risks to Consider

Claude
  • ! Flat net income growth (0.0% YoY) despite 40.2% revenue growth raises sustainability concerns and margin compression questions
  • ! Interest coverage of 3.1x is adequate but not exceptional, indicating moderate sensitivity to rate environment
  • ! High insider activity (20 Form 4 filings in 90 days) warrants monitoring for potential insider concerns
  • ! Regional bank exposure to commercial lending cycles and economic downturns presents cyclical risk

Key Metrics to Watch

Claude
  • * Net income growth trajectory relative to revenue expansion to validate earnings quality
  • * Operating margin sustainability and loan loss provisions in next reporting periods
  • * Interest coverage ratio trends as fed policy and rate environment evolve

FFIN Financial Metrics

Revenue
$702.5M
Net Income
$253.6M
EPS (Diluted)
$1.77
Free Cash Flow
$286.0M
Total Assets
$15.4B
Cash Position
$1.1B

💡 AI Analyst Insight

The 40.7% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments. The current ratio below 1.0x warrants monitoring of short-term liquidity.

FFIN Profitability Ratios

Gross Margin N/A
Operating Margin 44.1%
Net Margin 36.1%
ROE 13.2%
ROA 1.6%
FCF Margin 40.7%

FFIN vs Finance Sector

How FIRST FINANCIAL BANKSHARES INC compares to Finance sector averages

Net Margin
FFIN 36.1%
vs
Sector Avg 25.0%
FFIN Sector
ROE
FFIN 13.2%
vs
Sector Avg 12.0%
FFIN Sector
Current Ratio
FFIN 0.0x
vs
Sector Avg 1.2x
FFIN Sector
Debt/Equity
FFIN 0.0x
vs
Sector Avg 2.0x
FFIN Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

Is FFIN Overvalued or Undervalued?

Based on fundamental analysis, FIRST FINANCIAL BANKSHARES INC appears fundamentally strong relative to the Finance sector in 2026.

Return on Equity
13.2%
Sector avg: 12%
Net Profit Margin
36.1%
Sector avg: 25%
Revenue Growth
N/A
Year-over-year
Debt/Equity
0.00x
Sector avg: 2x

Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.

FFIN Balance Sheet & Liquidity

Current Ratio
N/A
Quick Ratio
N/A
Debt/Equity
0.00x
Debt/Assets
87.6%
Interest Coverage
3.11x
Long-term Debt
N/A

FFIN 5-Year Financial Trend & Growth Analysis

FFIN 5-year financial data:
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: FIRST FINANCIAL BANKSHARES INC's revenue has remained relatively flat over the 5-year period, with a 0% decline. The most recent EPS of $1.39 reflects profitable operations.

FFIN Growth Metrics (YoY)

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
40.7%
Free cash flow / Revenue

FFIN Capital Allocation

Operating Cash Flow
$299.4M
Cash generated from operations
Capital Expenditures
$13.4M
Investment in assets
Dividends Paid
$106.0M
Returned to shareholders

FFIN SEC 10-K & 10-Q Filing Analysis

Access official SEC EDGAR filings for FIRST FINANCIAL BANKSHARES INC (CIK: 0000036029)

📋 Recent SEC Filings

Date Form Document Action
Mar 17, 2026 4 xslF345X05/ownership.xml View →
Mar 17, 2026 4 xslF345X05/ownership.xml View →
Mar 17, 2026 4 xslF345X05/ownership.xml View →
Mar 17, 2026 4 xslF345X05/ownership.xml View →
Mar 17, 2026 4 xslF345X05/ownership.xml View →

Frequently Asked Questions about FFIN

What is the AI rating for FFIN?

FIRST FINANCIAL BANKSHARES INC (FFIN) has an AI rating of BUY with 72% confidence, based on fundamental analysis of SEC EDGAR filings.

What are FFIN's key strengths?

Claude: Exceptional operating margin of 44.1% and net margin of 36.1% indicate strong pricing power and cost control. Robust free cash flow of 286M with 40.7% FCF margin demonstrates high-quality earnings conversion.

What are the risks of investing in FFIN?

Claude: Flat net income growth (0.0% YoY) despite 40.2% revenue growth raises sustainability concerns and margin compression questions. Interest coverage of 3.1x is adequate but not exceptional, indicating moderate sensitivity to rate environment.

What is FFIN's revenue and growth?

FIRST FINANCIAL BANKSHARES INC reported revenue of $702.5M.

Does FFIN pay dividends?

FIRST FINANCIAL BANKSHARES INC pays dividends, with $106.0M distributed to shareholders in the trailing twelve months.

Where can I find FFIN SEC filings?

Official SEC filings for FIRST FINANCIAL BANKSHARES INC (CIK: 0000036029) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is FFIN's EPS?

FIRST FINANCIAL BANKSHARES INC has a diluted EPS of $1.77.

How is the AI analysis conducted?

Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.

Is FFIN a good stock to buy right now?

Based on our AI fundamental analysis in March 2026, FIRST FINANCIAL BANKSHARES INC has a BUY rating with 72% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.

Is FFIN stock overvalued or undervalued?

Valuation metrics for FFIN: ROE of 13.2% (sector avg: 12%), net margin of 36.1% (sector avg: 25%). Higher ROE suggests strong returns relative to peers.

Should I buy FFIN stock in 2026?

Our dual AI analysis gives FIRST FINANCIAL BANKSHARES INC a combined BUY rating for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.

What is FFIN's free cash flow?

FIRST FINANCIAL BANKSHARES INC's operating cash flow is $299.4M, with capital expenditures of $13.4M. FCF margin is 40.7%.

How does FFIN compare to other Finance stocks?

Vs Finance sector averages: Net margin 36.1% (avg: 25%), ROE 13.2% (avg: 12%), current ratio N/A (avg: 1.2).

Disclaimer: This analysis is generated by Claude AI (Anthropic) and ChatGPT (OpenAI) based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Mar 24, 2026 | Data as of: 2025-12-31 | Powered by Claude AI