📊 SRCE Key Takeaways
Is 1St Source Corp. (SRCE) a Good Investment?
1ST Source demonstrates strong operational performance with 40.7% operating margins and robust 58.1M free cash flow generation, but fundamental concerns emerge from net income remaining flat (+0.0% YoY) despite 47.7% revenue growth, indicating offset from loan loss provisions or expense growth. Weak returns on equity (3.1%) and assets (0.4%) suggest inefficient capital deployment despite zero leverage and a fortress balance sheet.
1St Source Corp. Key Strengths (SRCE)
- Strong revenue growth of 47.7% year-over-year indicates market expansion
- Excellent operating margin of 40.7% and net margin of 31.7% demonstrate pricing power
- Robust free cash flow of 58.1M with 46.1% FCF margin provides capital flexibility
- Zero long-term debt (0.00x Debt/Equity) creates financial stability and downside protection
- Substantial balance sheet with 9.1B in assets supports scale and resilience
SRCE Stock Risks: 1St Source Corp. Investment Risks
- Net income flat year-over-year (+0.0%) despite 47.7% revenue growth signals underlying profitability headwinds or increased provisions
- ROE of 3.1% and ROA of 0.4% are substantially below banking industry benchmarks, indicating capital inefficiency
- Significant disconnect between top-line growth and bottom-line results warrants investigation into loan loss provisions and expense trajectory
- Moderate insider activity (18 Form 4 filings in 90 days) lacks conviction or context
- High liability-to-equity ratio (6x) typical of banks but indicates significant deposit-based leverage risk
Key Metrics to Watch
- Net income growth trajectory and loan loss provision trends to understand earnings offset
- Return on equity improvement path toward industry benchmarks above 10%
- Operating expense ratio and efficiency ratio movements to assess cost control
- Net interest margin sustainability amid revenue growth
- Capital adequacy ratios and loan portfolio quality metrics
1St Source Corp. (SRCE) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The 46.1% 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.
SRCE Profit Margin, ROE & Profitability Analysis
SRCE vs Finance Sector: How 1St Source Corp. Compares
How 1St Source Corp. compares to Finance sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is 1St Source Corp. Stock Overvalued? SRCE Valuation Analysis 2026
Based on fundamental analysis, 1St Source 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.
1St Source Corp. Balance Sheet: SRCE Debt, Cash & Liquidity
SRCE Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: 1St Source Corp.'s revenue has remained relatively flat over the 5-year period, with a 0% decline. The most recent EPS of $5.03 reflects profitable operations.
SRCE Revenue Growth, EPS Growth & YoY Performance
1St Source Corp. Dividends, Buybacks & Capital Allocation
SRCE SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for 1St Source Corp. (CIK: 0000034782)
📋 Recent SEC Filings
❓ Frequently Asked Questions about SRCE
What is the AI rating for SRCE?
1St Source Corp. (SRCE) has an AI grade of B with 68% confidence, based on fundamental analysis of SEC EDGAR filings.
What are SRCE's key strengths?
Claude: Strong revenue growth of 47.7% year-over-year indicates market expansion. Excellent operating margin of 40.7% and net margin of 31.7% demonstrate pricing power.
What are the risks of investing in SRCE?
Claude: Net income flat year-over-year (+0.0%) despite 47.7% revenue growth signals underlying profitability headwinds or increased provisions. ROE of 3.1% and ROA of 0.4% are substantially below banking industry benchmarks, indicating capital inefficiency.
What is SRCE's revenue and growth?
1St Source Corp. reported revenue of $126.1M.
Does SRCE pay dividends?
1St Source Corp. pays dividends, with $10.1M distributed to shareholders in the trailing twelve months.
Where can I find SRCE SEC filings?
Official SEC filings for 1St Source Corp. (CIK: 0000034782) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is SRCE's EPS?
1St Source Corp. has a diluted EPS of $1.63.
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 SRCE's fundamental grade?
Based on our AI fundamental analysis in May 2026, 1St Source Corp. has a B grade with 68% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is SRCE stock overvalued or undervalued?
Valuation metrics for SRCE: ROE of 3.1% (sector avg: 12%), net margin of 31.7% (sector avg: 25%). Compare these metrics with sector averages to assess valuation.
What is SRCE's AI grade for 2026?
Our dual AI analysis gives 1St Source Corp. a combined B grade for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.
What is SRCE's free cash flow?
1St Source Corp.'s operating cash flow is $59.1M, with capital expenditures of $1.0M. FCF margin is 46.1%.
How does SRCE compare to other Finance stocks?
Vs Finance sector averages: Net margin 31.7% (avg: 25%), ROE 3.1% (avg: 12%), current ratio N/A (avg: 1.2).