📊 FRST Key Takeaways
Is Primis Financial Corp. (FRST) a Good Investment?
Primis Financial shows impressive 79.9% revenue growth and 477.3% EPS growth, but this masks fundamental deterioration: operating cash flow is severely negative at -54.4M while ROE and ROA remain depressed at 1.7% and 0.2% respectively. The company is generating accounting profits but destroying cash from operations, suggesting unsustainable growth quality and severe financial stress for a regional bank.
Primis Financial shows solid core profitability, with a 36.2% operating margin, 30.7% net margin, 14.5% ROE, and 1.5% ROA, which are healthy for a bank of its size. However, the quality of growth looks mixed because revenue surged 79.9% while net income was flat, and free cash flow remains modest relative to reported earnings. The balance sheet appears adequately capitalized, but weak interest coverage and limited cash flow conversion temper the overall fundamental picture.
Why Buy Primis Financial Corp. Stock? FRST Key Strengths
- Strong revenue growth of 79.9% year-over-year
- Exceptional EPS growth of 477.3% indicating significant improvement in per-share metrics
- No long-term debt with 0.00x debt-to-equity ratio
- Positive net income of 7.3M and operating income of 10.3M
- Operating margin of 19.3% and net margin of 13.7% are respectable
- Strong profitability profile with high operating and net margins
- Healthy returns on equity and assets indicate efficient capital deployment
- Solid equity base relative to assets supports balance-sheet resilience
FRST Stock Risks: Primis Financial Corp. Investment Risks
- Severely negative operating cash flow of -54.4M indicating the company is burning cash despite revenue growth
- Critically low ROE of 1.7% and ROA of 0.2% are unacceptable for a bank and suggest poor asset utilization
- Extremely low interest coverage ratio of 0.1x indicates potential debt service or obligation coverage problems
- Negative free cash flow of -54.6M with -101.9% FCF margin shows growth is not translating to sustainable cash generation
- Cash position of 159.9M may be insufficient given the -54.4M annual operating cash burn rate
- Net income did not grow despite very strong revenue growth, suggesting weaker growth quality
- Interest coverage of 0.9x points to limited earnings cushion against funding costs
- Operating cash flow and free cash flow are low relative to net income, raising cash conversion concerns
Key Metrics to Watch
- Operating cash flow trend (must return to positive territory immediately)
- Return on equity and ROA progression (currently critically depressed)
- Interest coverage ratio and debt service capacity
- Cash position depletion rate and runway
- Net loan losses and credit quality indicators as a regional bank
- Net interest margin and provision-driven net income growth
- Capital ratios and interest coverage/funding cost trends
Primis Financial Corp. (FRST) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
FRST Profit Margin, ROE & Profitability Analysis
FRST vs Finance Sector: How Primis Financial Corp. Compares
How Primis Financial Corp. compares to Finance sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Primis Financial Corp. Stock Overvalued? FRST Valuation Analysis 2026
Based on fundamental analysis, Primis Financial Corp. has mixed fundamental signals relative to the Finance sector in 2026.
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.
Primis Financial Corp. Balance Sheet: FRST Debt, Cash & Liquidity
FRST Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Primis Financial Corp.'s revenue has remained relatively flat over the 5-year period, with a 0% decline. The most recent EPS of $-0.32 indicates the company is currently unprofitable.
FRST Revenue Growth, EPS Growth & YoY Performance
Primis Financial Corp. Dividends, Buybacks & Capital Allocation
FRST SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Primis Financial Corp. (CIK: 0001325670)
📋 Recent SEC Filings
❓ Frequently Asked Questions about FRST
What is the AI rating for FRST?
Primis Financial Corp. (FRST) has a Combined AI Rating of SELL from Claude (SELL) and ChatGPT (HOLD) with 74% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are FRST's key strengths?
Claude: Strong revenue growth of 79.9% year-over-year. Exceptional EPS growth of 477.3% indicating significant improvement in per-share metrics. ChatGPT: Strong profitability profile with high operating and net margins. Healthy returns on equity and assets indicate efficient capital deployment.
What are the risks of investing in FRST?
Claude: Severely negative operating cash flow of -54.4M indicating the company is burning cash despite revenue growth. Critically low ROE of 1.7% and ROA of 0.2% are unacceptable for a bank and suggest poor asset utilization. ChatGPT: Net income did not grow despite very strong revenue growth, suggesting weaker growth quality. Interest coverage of 0.9x points to limited earnings cushion against funding costs.
What is FRST's revenue and growth?
Primis Financial Corp. reported revenue of $53.5M.
Does FRST pay dividends?
Primis Financial Corp. pays dividends, with $2.6M distributed to shareholders in the trailing twelve months.
Where can I find FRST SEC filings?
Official SEC filings for Primis Financial Corp. (CIK: 0001325670) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is FRST's EPS?
Primis Financial Corp. has a diluted EPS of $0.30.
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 FRST a good stock to buy right now?
Based on our AI fundamental analysis in May 2026, Primis Financial Corp. has a SELL rating with 74% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is FRST stock overvalued or undervalued?
Valuation metrics for FRST: ROE of 1.7% (sector avg: 12%), net margin of 13.7% (sector avg: 25%). Compare these metrics with sector averages to assess valuation.
Should I buy FRST stock in 2026?
Our dual AI analysis gives Primis Financial Corp. a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is FRST's free cash flow?
Primis Financial Corp.'s operating cash flow is $-54.4M, with capital expenditures of $204.0K. FCF margin is -101.9%.
How does FRST compare to other Finance stocks?
Vs Finance sector averages: Net margin 13.7% (avg: 25%), ROE 1.7% (avg: 12%), current ratio N/A (avg: 1.2).