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FFWM Stock Analysis 2026 - First Foundation Inc. AI Rating

FFWM NYSE State Commercial Banks CA CIK: 0001413837
Recently Updated • Analysis: Mar 24, 2026 • SEC Data: 2025-12-31
STRONG SELL
95% Conf
Pending
Analysis scheduled

📊 FFWM Key Takeaways

Revenue: $34.4M
Net Margin: -451.4%
Free Cash Flow: $-35.2M
Current Ratio: N/A
Debt/Equity: 0.03x
EPS: $-1.88
AI Rating: STRONG SELL with 95% confidence

Is FFWM a Good Investment? Thesis Analysis

Claude

First Foundation Inc. is experiencing severe financial distress with a net loss of $155.2M on dramatically collapsed revenue (-93.6% YoY), resulting in deeply negative profitability metrics across all measures. The company is burning cash operationally (-$31.9M) and generating negative free cash flow (-$35.2M), indicating fundamental business deterioration that threatens long-term viability despite maintaining a reasonable balance sheet cushion.

Why Buy FFWM? Key Strengths

Claude
  • + Strong liquidity position with $1.6B in cash and equivalents relative to total assets of $11.9B
  • + Conservative leverage with debt-to-equity ratio of only 0.03x, providing financial flexibility
  • + Relatively low long-term debt burden at $30.0M

FFWM Investment Risks to Consider

Claude
  • ! Catastrophic revenue collapse of 93.6% year-over-year signals severe operational crisis or potential merger/restructuring event
  • ! Persistent negative cash flow generation ($31.9M operating outflow) is unsustainable and rapidly depleting cash reserves
  • ! Massive net loss of $155.2M with negative net margin of -451.4% indicates core business model is fundamentally broken
  • ! Negative interest coverage ratio (-0.6x) means company cannot service debt from operations
  • ! Diluted EPS deteriorated significantly to -$1.88, destroying shareholder value

Key Metrics to Watch

Claude
  • * Operating cash flow trajectory and path to profitability
  • * Revenue stabilization and quarterly sequential trends
  • * Cash burn rate and remaining runway given negative cash generation
  • * Credit facility availability and covenant compliance status
  • * Management commentary on restructuring plans or asset dispositions

FFWM Financial Metrics

Revenue
$34.4M
Net Income
$-155.2M
EPS (Diluted)
$-1.88
Free Cash Flow
$-35.2M
Total Assets
$11.9B
Cash Position
$1.6B

💡 AI Analyst Insight

The current ratio below 1.0x warrants monitoring of short-term liquidity.

FFWM Profitability Ratios

Gross Margin N/A
Operating Margin -208.1%
Net Margin -451.4%
ROE -17.0%
ROA -1.3%
FCF Margin -102.5%

FFWM vs Finance Sector

How First Foundation Inc. compares to Finance sector averages

Net Margin
FFWM -451.4%
vs
Sector Avg 25.0%
FFWM Sector
ROE
FFWM -17.0%
vs
Sector Avg 12.0%
FFWM Sector
Current Ratio
FFWM 0.0x
vs
Sector Avg 1.2x
FFWM Sector
Debt/Equity
FFWM 0.0x
vs
Sector Avg 2.0x
FFWM Sector

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

Is FFWM Overvalued or Undervalued?

Based on fundamental analysis, First Foundation Inc. has mixed fundamental signals relative to the Finance sector in 2026.

Return on Equity
-17.0%
Sector avg: 12%
Net Profit Margin
-451.4%
Sector avg: 25%
Revenue Growth
N/A
Year-over-year
Debt/Equity
0.03x
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.

FFWM Balance Sheet & Liquidity

Current Ratio
N/A
Quick Ratio
N/A
Debt/Equity
0.03x
Debt/Assets
92.3%
Interest Coverage
-0.64x
Long-term Debt
$30.0M

FFWM 5-Year Financial Trend & Growth Analysis

FFWM 5-year financial data: Year 2021: Revenue $36.0M, Net Income $11.3M, EPS $0.25. Year 2022: Revenue $38.8M, Net Income $13.2M, EPS $0.29. Year 2023: Revenue $38.8M, Net Income $22.4M, EPS $0.50. Year 2024: Revenue $38.8M, Net Income $30.8M, EPS $0.55. Year 2025: Revenue $36.2M, Net Income $8.5M, EPS $0.15.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: First Foundation Inc.'s revenue has shown modest growth of 1% over the 5-year period. The most recent EPS of $0.15 reflects profitable operations.

FFWM 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
-102.5%
Free cash flow / Revenue

FFWM Quarterly Performance

Quarterly financial performance data for First Foundation Inc. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2025 $8.6M -$78.3M $-1.23
Q2 2025 $8.6M -$794.0K $-0.01
Q1 2025 $8.6M $793.0K $0.01
Q3 2024 $8.8M $2.2M $0.04
Q2 2024 $9.0M $3.1M $0.05
Q1 2024 $8.6M $793.0K $0.01
Q3 2023 $8.8M $2.2M $0.04
Q2 2023 $9.0M $33.3M $0.59

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

FFWM Capital Allocation

Operating Cash Flow
-$31.9M
Cash generated from operations
Stock Buybacks
$433.0K
Shares repurchased (TTM)
Capital Expenditures
$3.3M
Investment in assets
Dividends Paid
$1.1M
Returned to shareholders

FFWM SEC 10-K & 10-Q Filing Analysis

Access official SEC EDGAR filings for First Foundation Inc. (CIK: 0001413837)

📋 Recent SEC Filings

Date Form Document Action
Mar 16, 2026 10-K ffwm-20251231x10k.htm View →
Mar 12, 2026 8-K tm268624d1_8k.htm View →
Feb 27, 2026 8-K tm267298d3_8k.htm View →
Feb 25, 2026 8-K tm267298d1_8k.htm View →
Feb 23, 2026 4 xslF345X05/tm266900-1_4seq1.xml View →

Frequently Asked Questions about FFWM

What is the AI rating for FFWM?

First Foundation Inc. (FFWM) has an AI rating of STRONG SELL with 95% confidence, based on fundamental analysis of SEC EDGAR filings.

What are FFWM's key strengths?

Claude: Strong liquidity position with $1.6B in cash and equivalents relative to total assets of $11.9B. Conservative leverage with debt-to-equity ratio of only 0.03x, providing financial flexibility.

What are the risks of investing in FFWM?

Claude: Catastrophic revenue collapse of 93.6% year-over-year signals severe operational crisis or potential merger/restructuring event. Persistent negative cash flow generation ($31.9M operating outflow) is unsustainable and rapidly depleting cash reserves.

What is FFWM's revenue and growth?

First Foundation Inc. reported revenue of $34.4M.

Does FFWM pay dividends?

First Foundation Inc. pays dividends, with $1.1M distributed to shareholders in the trailing twelve months.

Where can I find FFWM SEC filings?

Official SEC filings for First Foundation Inc. (CIK: 0001413837) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is FFWM's EPS?

First Foundation Inc. has a diluted EPS of $-1.88.

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 FFWM a good stock to buy right now?

Based on our AI fundamental analysis in March 2026, First Foundation Inc. has a STRONG SELL rating with 95% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.

Is FFWM stock overvalued or undervalued?

Valuation metrics for FFWM: ROE of -17.0% (sector avg: 12%), net margin of -451.4% (sector avg: 25%). Compare these metrics with sector averages to assess valuation.

Should I buy FFWM stock in 2026?

Our dual AI analysis gives First Foundation Inc. a combined STRONG SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.

What is FFWM's free cash flow?

First Foundation Inc.'s operating cash flow is $-31.9M, with capital expenditures of $3.3M. FCF margin is -102.5%.

How does FFWM compare to other Finance stocks?

Vs Finance sector averages: Net margin -451.4% (avg: 25%), ROE -17.0% (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