📊 SFBS Key Takeaways
Is ServisFirst Bancshares, Inc. (SFBS) a Good Investment?
ServisFirst demonstrates strong topline growth (85% YoY) and maintains a fortress balance sheet with zero long-term debt, but fundamental banking metrics are deeply concerning with ROE of only 4.3%, ROA of 0.5%, and interest coverage at 0.8x—well below industry standards. The significant divergence between revenue and income growth suggests the expansion has come at substantial margin compression or integration costs.
ServisFirst Bancshares, Inc. Key Strengths (SFBS)
- Exceptional revenue growth of 85% YoY indicating strong market expansion or successful acquisition integration
- Clean balance sheet with no long-term debt, $1.5B in cash, and positive free cash flow of $68.6M
- Positive operating cash flow of $70.1M with 28.4% FCF margin demonstrates underlying cash generation capability
SFBS Stock Risks: ServisFirst Bancshares, Inc. Investment Risks
- Critically low Return on Equity of 4.3% and Return on Assets of 0.5%, far below industry norms for banking sector
- Interest coverage ratio of 0.8x indicates potential difficulty covering interest obligations from operating income
- Net income growth of 21.7% sharply lags revenue growth of 85%, signaling margin compression and questions about growth quality
Key Metrics to Watch
- Return on Equity trajectory—must improve toward 8-10% minimum for banking sector viability
- Interest coverage ratio—critical that it sustains above 1.0x to demonstrate financial stability
- Net interest margin and operating expense ratio trends—essential to understand if margin compression is temporary or structural
ServisFirst Bancshares, Inc. (SFBS) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The 28.4% 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.
SFBS Profit Margin, ROE & Profitability Analysis
SFBS vs Finance Sector: How ServisFirst Bancshares, Inc. Compares
How ServisFirst Bancshares, Inc. compares to Finance sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is ServisFirst Bancshares, Inc. Stock Overvalued? SFBS Valuation Analysis 2026
Based on fundamental analysis, ServisFirst Bancshares, Inc. 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.
ServisFirst Bancshares, Inc. Balance Sheet: SFBS Debt, Cash & Liquidity
SFBS Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: ServisFirst Bancshares, Inc.'s revenue has remained relatively flat over the 5-year period, with a 0% decline. The most recent EPS of $3.79 reflects profitable operations.
SFBS Revenue Growth, EPS Growth & YoY Performance
ServisFirst Bancshares, Inc. Dividends, Buybacks & Capital Allocation
SFBS SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for ServisFirst Bancshares, Inc. (CIK: 0001430723)
📋 Recent SEC Filings
❓ Frequently Asked Questions about SFBS
What is the AI rating for SFBS?
ServisFirst Bancshares, Inc. (SFBS) has an AI grade of B with 48% confidence, based on fundamental analysis of SEC EDGAR filings.
What are SFBS's key strengths?
Claude: Exceptional revenue growth of 85% YoY indicating strong market expansion or successful acquisition integration. Clean balance sheet with no long-term debt, $1.5B in cash, and positive free cash flow of $68.6M.
What are the risks of investing in SFBS?
Claude: Critically low Return on Equity of 4.3% and Return on Assets of 0.5%, far below industry norms for banking sector. Interest coverage ratio of 0.8x indicates potential difficulty covering interest obligations from operating income.
What is SFBS's revenue and growth?
ServisFirst Bancshares, Inc. reported revenue of $241.5M.
Does SFBS pay dividends?
ServisFirst Bancshares, Inc. pays dividends, with $73.2M distributed to shareholders in the trailing twelve months.
Where can I find SFBS SEC filings?
Official SEC filings for ServisFirst Bancshares, Inc. (CIK: 0001430723) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is SFBS's EPS?
ServisFirst Bancshares, Inc. has a diluted EPS of $1.52.
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 grade reflects both perspectives for balanced insights.
What is SFBS's fundamental grade?
Based on our AI fundamental analysis in May 2026, ServisFirst Bancshares, Inc. has a B grade with 48% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is SFBS stock overvalued or undervalued?
Valuation metrics for SFBS: ROE of 4.3% (sector avg: 12%), net margin of 34.4% (sector avg: 25%). Compare these metrics with sector averages to assess valuation.
What is SFBS's AI grade for 2026?
Our dual AI analysis gives ServisFirst Bancshares, Inc. a combined B grade for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.
What is SFBS's free cash flow?
ServisFirst Bancshares, Inc.'s operating cash flow is $70.1M, with capital expenditures of $1.5M. FCF margin is 28.4%.
How does SFBS compare to other Finance stocks?
Vs Finance sector averages: Net margin 34.4% (avg: 25%), ROE 4.3% (avg: 12%), current ratio N/A (avg: 1.2).