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HOMB Stock Analysis 2026 - HOME BANCSHARES INC AI Rating

HOMB NYSE State Commercial Banks AR CIK: 0001331520
Recently Updated • Analysis: Apr 11, 2026 • SEC Data: 2025-12-31
BUY
72% Conf
Pending
Analysis scheduled

📊 HOMB Key Takeaways

Revenue: $1.3B
Net Margin: 37.2%
Free Cash Flow: $377.0M
Current Ratio: N/A
Debt/Equity: 0.30x
EPS: $2.41
AI Rating: BUY with 72% confidence

Is HOMB a Good Investment? Thesis Analysis

Claude

Home Bancshares demonstrates exceptional revenue growth of 43.3% YoY with strong profitability margins (37.2% net, 47.8% operating) and robust free cash flow generation ($377M), supported by a conservative balance sheet. However, net income growth stalled at 0% YoY despite significant revenue expansion, indicating margin compression and operational execution challenges that require monitoring through acquisition integration.

Why Buy HOMB? Key Strengths

Claude
  • + Exceptional revenue growth of 43.3% YoY indicating strong market position and expansion
  • + Strong profitability with 37.2% net margin and 47.8% operating margin
  • + Robust free cash flow of $377M (29.5% FCF margin) demonstrates cash generation capability
  • + Conservative capital structure with Debt/Equity of 0.30x and solid interest coverage of 5.4x
  • + Healthy ROE of 11.1% and ROA of 2.1% for banking sector

HOMB Investment Risks to Consider

Claude
  • ! Significant disconnect between revenue growth (+43.3%) and net income growth (0.0%) suggests margin compression and operational challenges
  • ! Rising operating costs or integration expenses from acquisitions are pressuring profitability despite top-line expansion
  • ! Interest coverage ratio of 5.4x provides moderate buffer; sensitivity to interest rate changes and credit deterioration
  • ! 20 Form 4 filings in 90 days indicate elevated insider activity that warrants monitoring for potential concerns

Key Metrics to Watch

Claude
  • * Net income growth trajectory relative to revenue growth - critical to confirm margin stabilization
  • * Net interest margin and loan loss provisions - key drivers of profitability in banking
  • * Operating efficiency ratio and cost-to-income trends - assess acquisition integration success
  • * Asset quality metrics and non-performing loan ratios - monitor credit risk

HOMB Financial Metrics

Revenue
$1.3B
Net Income
$475.4M
EPS (Diluted)
$2.41
Free Cash Flow
$377.0M
Total Assets
$22.9B
Cash Position
$667.3M

💡 AI Analyst Insight

The 29.5% 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.

HOMB Profitability Ratios

Gross Margin N/A
Operating Margin 47.8%
Net Margin 37.2%
ROE 11.1%
ROA 2.1%
FCF Margin 29.5%

HOMB vs Finance Sector

How HOME BANCSHARES INC compares to Finance sector averages

Net Margin
HOMB 37.2%
vs
Sector Avg 25.0%
HOMB Sector
ROE
HOMB 11.1%
vs
Sector Avg 12.0%
HOMB Sector
Current Ratio
HOMB 0.0x
vs
Sector Avg 1.2x
HOMB Sector
Debt/Equity
HOMB 0.3x
vs
Sector Avg 2.0x
HOMB Sector

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

Is HOMB Overvalued or Undervalued?

Based on fundamental analysis, HOME BANCSHARES INC appears fundamentally strong relative to the Finance sector in 2026.

Return on Equity
11.1%
Sector avg: 12%
Net Profit Margin
37.2%
Sector avg: 25%
Revenue Growth
N/A
Year-over-year
Debt/Equity
0.30x
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.

HOMB Balance Sheet & Liquidity

Current Ratio
N/A
Quick Ratio
N/A
Debt/Equity
0.30x
Debt/Assets
81.2%
Interest Coverage
5.45x
Long-term Debt
$1.3B

HOMB 5-Year Financial Trend & Growth Analysis

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

5-Year Trend Summary: HOME BANCSHARES INC's revenue has remained relatively flat over the 5-year period, with a 0% decline. The most recent EPS of $1.94 reflects profitable operations.

HOMB 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
29.5%
Free cash flow / Revenue

HOMB Capital Allocation

Operating Cash Flow
$399.3M
Cash generated from operations
Stock Buybacks
$82.2M
Shares repurchased (TTM)
Capital Expenditures
$22.3M
Investment in assets
Dividends Paid
$158.9M
Returned to shareholders

HOMB SEC 10-K & 10-Q Filing Analysis

Access official SEC EDGAR filings for HOME BANCSHARES INC (CIK: 0001331520)

📋 Recent SEC Filings

Date Form Document Action
Apr 1, 2026 8-K homb-20260401.htm View →
Mar 24, 2026 8-K homb-20260324.htm View →
Mar 2, 2026 8-K homb-20260302.htm View →
Feb 27, 2026 DEF 14A homb-20260227.htm View →
Feb 27, 2026 10-K homb-20251231.htm View →

Frequently Asked Questions about HOMB

What is the AI rating for HOMB?

HOME BANCSHARES INC (HOMB) has an AI rating of BUY with 72% confidence, based on fundamental analysis of SEC EDGAR filings.

What are HOMB's key strengths?

Claude: Exceptional revenue growth of 43.3% YoY indicating strong market position and expansion. Strong profitability with 37.2% net margin and 47.8% operating margin.

What are the risks of investing in HOMB?

Claude: Significant disconnect between revenue growth (+43.3%) and net income growth (0.0%) suggests margin compression and operational challenges. Rising operating costs or integration expenses from acquisitions are pressuring profitability despite top-line expansion.

What is HOMB's revenue and growth?

HOME BANCSHARES INC reported revenue of $1.3B.

Does HOMB pay dividends?

HOME BANCSHARES INC pays dividends, with $158.9M distributed to shareholders in the trailing twelve months.

Where can I find HOMB SEC filings?

Official SEC filings for HOME BANCSHARES INC (CIK: 0001331520) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is HOMB's EPS?

HOME BANCSHARES INC has a diluted EPS of $2.41.

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 HOMB a good stock to buy right now?

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

Is HOMB stock overvalued or undervalued?

Valuation metrics for HOMB: ROE of 11.1% (sector avg: 12%), net margin of 37.2% (sector avg: 25%). Compare these metrics with sector averages to assess valuation.

Should I buy HOMB stock in 2026?

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

What is HOMB's free cash flow?

HOME BANCSHARES INC's operating cash flow is $399.3M, with capital expenditures of $22.3M. FCF margin is 29.5%.

How does HOMB compare to other Finance stocks?

Vs Finance sector averages: Net margin 37.2% (avg: 25%), ROE 11.1% (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: Apr 11, 2026 | Data as of: 2025-12-31 | Powered by Claude AI