Core Viewpoint - FB Financial (FBK) reported quarterly earnings of $0.85 per share, matching the Zacks Consensus Estimate, with year-over-year earnings remaining unchanged at $0.85 per share [1] - The company posted revenues of $130.67 million for the quarter ended March 2025, missing the Zacks Consensus Estimate by 1.52%, but showing an increase from $107.45 million a year ago [2] Earnings Performance - FB Financial's earnings surprise was 1.19% as it exceeded the expected earnings of $0.84 per share from a quarter ago [1] - Over the last four quarters, the company has surpassed consensus EPS estimates three times [1] Revenue Analysis - The company has topped consensus revenue estimates only once over the last four quarters [2] - The current consensus EPS estimate for the upcoming quarter is $0.92, with expected revenues of $137.45 million, and for the current fiscal year, the EPS estimate is $3.87 on revenues of $597.74 million [7] Stock Performance - FB Financial shares have declined approximately 21.3% since the beginning of the year, compared to a decline of 8.8% for the S&P 500 [3] - The stock currently holds a Zacks Rank 1 (Strong Buy), indicating expectations of outperforming the market in the near future [6] Industry Outlook - The Banks - Northeast industry, to which FB Financial belongs, is currently ranked in the top 27% of over 250 Zacks industries, suggesting a favorable outlook [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]

Financial Performance - Total interest income for Q1 2025 was $179,706,000, a decrease from $186,369,000 in Q4 2024, representing a decline of 0.4%[6] - Net interest income for Q1 2025 was $107,641,000, slightly down from $108,381,000 in Q4 2024, indicating a decrease of 0.7%[6] - The adjusted net income for Q1 2025 was $40,108,000, compared to $39,835,000 in Q4 2024, reflecting an increase of 0.7%[6] - The diluted net income per share for Q1 2025 was $0.84, up from $0.81 in Q4 2024, marking a growth of 3.7%[6] - Net income applicable to FB Financial Corporation increased by 3.9% to $39,361 thousand compared to the previous quarter, and rose by 40.8% year-over-year[9] - Basic earnings per share increased by 3.70% to $0.84 compared to the previous quarter, and rose by 40.0% year-over-year[9] - Total revenue for the quarter was $130,673 thousand, a slight increase of 0.23% from the previous quarter and a 21.6% increase year-over-year[9] - Total noninterest expenses rose by 8.71% to $79,549 thousand compared to the previous quarter, and increased by 9.84% year-over-year[9] - Adjusted net income for Mar 2025 was $40,108 thousand, compared to $39,835 thousand in Dec 2024[45] - Net income for the three months ended March 2025 was $39,361 million, an increase from $37,886 million in December 2024[55] Asset and Liability Management - Total assets as of March 2025 were $13,136,449,000, a slight decrease from $13,157,482,000 in December 2024[6] - Total deposits for Q1 2025 were $11,201,998,000, remaining relatively stable compared to $11,210,434,000 in the previous quarter[6] - Total assets decreased by 0.65% to $13,136,449 million compared to the previous quarter, with a year-over-year increase of 4.69%[11] - Total liabilities decreased by 1.94% to $11,534,394 million, with a year-over-year increase of 4.21%[11] - Total common shareholders' equity increased by 8.91% to $1,601,962 million, with a year-over-year growth of 8.28%[11] - Total liabilities decreased slightly to $11,622,918 thousand from $11,629,599 thousand, while total equity increased to $1,584,051 thousand from $1,564,596 thousand[13] - Total common shareholders' equity to total assets ratio improved to 12.2% in March 2025 from 11.9% in December 2024[37] Credit Quality and Loss Provisions - The allowance for credit losses on loans held for investment (HFI) was 1.54% of loans HFI as of March 2025, down from 1.58% in December 2024[6] - Provision for credit losses on loans held for investment decreased significantly by 72.8% to $1,906 thousand compared to the previous quarter[9] - Total nonperforming loans HFI amounted to $77,160 thousand as of March 2025, down from $83,705 thousand in December 2024, indicating a decline of 7.4%[32] - Total nonperforming assets decreased to $110,429 thousand in March 2025, compared to $121,915 thousand in December 2024, representing a reduction of 9.5%[32] - The annualized net charge-offs as a percentage of average loans HFI improved to 0.14% in March 2025 from 0.47% in December 2024[32] Efficiency and Operational Metrics - The efficiency ratio for Q1 2025 was 60.9%, up from 56.1% in Q4 2024, indicating a decline in operational efficiency[6] - The efficiency ratio for the banking segment was 57.5% in Mar 2025, up from 51.7% in Dec 2024[41] - Core efficiency ratio (tax-equivalent basis) improved to 59.9% in March 2025 from 54.6% in December 2024[49] Income Sources and Growth - Noninterest income increased by 4.71% to $23,032 thousand compared to the previous quarter, and significantly increased by 189.3% year-over-year[9] - Mortgage banking income increased by 17.4% to $12,426 thousand compared to the previous quarter[9] - Mortgage segment total revenue increased to $14,254 million in March 2025, compared to $12,274 million in December 2024[51] Capital and Equity - Common Equity Tier 1 Capital remained stable at $1,466,448 thousand in March 2025, unchanged from $1,450,722 thousand in December 2024[37] - Tangible common equity rose to $1,354,295 million as of March 2025, up from $1,319,215 million in December 2024[53] - Book value per common share increased to $34.44 in March 2025, compared to $33.59 in December 2024[53] Liquidity and Funding - Cash and cash equivalents dropped by 96.4% to $794,706 million, while year-over-year it decreased by 8.73%[11] - On-balance sheet liquidity as a percentage of total assets was 11.4% in March 2025, down from 12.5% in December 2024[24] - Unsecured borrowing capacity was $3,369,107 million, representing 48% of total available sources of liquidity[24]

Core Viewpoint - FB Financial (FBK) is positioned well to continue its trend of beating earnings estimates, with a solid history of performance in recent quarters [1][5]. Earnings Performance - For the most recent quarter, FB Financial reported earnings of $0.85 per share, exceeding the expected $0.84, resulting in a surprise of 1.19% [2]. - In the previous quarter, the company reported $0.86 per share against an expectation of $0.82, achieving a surprise of 4.88% [2]. Earnings Estimates and Predictions - Recent estimates for FB Financial have been increasing, with a positive Earnings ESP (Expected Surprise Prediction) indicating potential for another earnings beat [5][8]. - The current Earnings ESP for FB Financial is +0.78%, suggesting analysts are optimistic about its near-term earnings potential [8]. Zacks Rank and Success Rate - FB Financial holds a Zacks Rank of 1 (Strong Buy), which, when combined with a positive Earnings ESP, indicates a high likelihood of beating earnings estimates [8]. - Research indicates that stocks with a positive Earnings ESP and a Zacks Rank of 3 (Hold) or better have a nearly 70% success rate in beating consensus estimates [6].

Company Overview - FB Financial (FBK) shares increased by 8% to close at $43.13, following a notable trading volume, contrasting with an 11.4% loss over the past four weeks [1] - The bank holding company is expected to report quarterly earnings of $0.85 per share, unchanged from the previous year, with revenues projected at $132.69 million, reflecting a 23.5% increase year-over-year [2] Earnings Estimates and Trends - The consensus EPS estimate for FB Financial has remained stable over the last 30 days, indicating that stock price movements may not sustain without earnings estimate revisions [3] - FB Financial holds a Zacks Rank of 1 (Strong Buy), suggesting positive market sentiment [3] Industry Comparison - FB Financial is part of the Zacks Banks - Northeast industry, where Merchants Bancorp (MBIN) also operates, closing 4.6% higher at $34.77, but has seen a -8.4% return over the past month [3] - Merchants Bancorp's consensus EPS estimate has decreased by 2.6% to $1.25, representing a significant -30.6% change from the previous year, and it currently holds a Zacks Rank of 3 (Hold) [4]

Core Viewpoint - Wall Street analysts forecast that FB Financial (FBK) will report quarterly earnings of $0.85 per share, indicating no change from the previous year, with anticipated revenues of $132.69 million, reflecting a 23.5% increase year-over-year [1]. Earnings Estimates - Over the last 30 days, there has been no revision in the consensus EPS estimate for the quarter, indicating stability in analysts' forecasts [2]. - Changes in earnings estimates are crucial for predicting investor reactions to the stock, as empirical research shows a strong correlation between earnings estimate revisions and short-term stock price performance [3]. Key Financial Metrics - Analysts estimate the 'Efficiency Ratio' to be 57.3%, down from 67.4% in the previous year [5]. - The 'Net Interest Margin' is projected to reach 3.6%, compared to 3.4% in the same quarter last year [5]. - 'Average Earning Assets' are expected to be $12.39 billion, up from $11.80 billion year-over-year [5]. Income Projections - 'Mortgage banking income' is forecasted at $10.66 million, down from $12.59 million in the previous year [6]. - 'Total Noninterest income' is estimated to be $22.81 million, compared to $7.96 million in the same quarter last year [6]. - 'Net interest income (tax-equivalent basis)' is projected at $109.51 million, up from $100.20 million year-over-year [7]. - 'Service charges on deposit accounts' are expected to reach $3.40 million, compared to $3.14 million in the same quarter last year [7]. - 'Net Interest Income' is anticipated to be $109.79 million, compared to $99.49 million in the previous year [8]. - 'Investment services and trust income' is estimated at $3.70 million, up from $3.23 million in the same quarter last year [8]. Stock Performance - FB Financial shares have decreased by 11.4% over the past month, compared to a 13.5% decline in the Zacks S&P 500 composite [8]. - With a Zacks Rank 1 (Strong Buy), FBK is expected to outperform the overall market in the near future [8].

Core Viewpoint - Wall Street anticipates flat earnings for FB Financial (FBK) compared to the previous year, with a consensus EPS estimate of $0.85 and revenues expected to rise by 18.7% to $127.54 million [1][3]. Earnings Expectations - The upcoming earnings report is scheduled for April 14, and stock movement may depend on whether actual results exceed or fall short of expectations [2]. - A positive Earnings ESP of +0.78% indicates analysts have recently become more optimistic about the company's earnings prospects [10]. Estimate Revisions - The consensus EPS estimate has remained unchanged over the last 30 days, reflecting a stable outlook from covering analysts [4]. - The Most Accurate Estimate being higher than the Zacks Consensus Estimate suggests a bullish sentiment among analysts [10]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that a positive reading is a strong predictor of an earnings beat, especially when combined with a Zacks Rank of 1, 2, or 3 [8]. - FB Financial currently holds a Zacks Rank of 2, reinforcing the likelihood of beating the consensus EPS estimate [11]. Historical Performance - In the last reported quarter, FB Financial exceeded the expected EPS of $0.84 by delivering $0.85, resulting in a surprise of +1.19% [12]. - The company has successfully beaten consensus EPS estimates in all of the last four quarters [13]. Conclusion - While FB Financial is positioned as a compelling earnings-beat candidate, other factors should also be considered when evaluating the stock ahead of its earnings release [16].

Core Viewpoint - FB Financial Corporation and Southern States Bancshares, Inc. have entered into a definitive merger agreement, with Southern States being merged into FB Financial, enhancing FB Financial's market presence and growth potential in key areas [1][6]. Company Overview - FB Financial Corporation is headquartered in Nashville, Tennessee, operating through FirstBank with 77 branches across Tennessee, Alabama, Kentucky, and North Georgia, and has total assets of approximately $13.2 billion as of December 31, 2024 [10]. - Southern States Bancshares, Inc. is based in Anniston, Alabama, with 15 branches in Alabama and Georgia, and two loan production offices in the Atlanta MSA, reporting total assets of $2.8 billion, loans of $2.2 billion, and deposits of $2.4 billion as of December 31, 2024 [2][11]. Merger Details - Under the merger agreement, Southern States' shareholders will receive 0.800 shares of FB Financial common stock for each share of Southern States stock, valuing the transaction at approximately $381 million based on FB Financial's closing stock price of $47.05 as of March 28, 2025 [4]. - The merger is expected to close in late Q3 or early Q4 of 2025, pending regulatory approvals and shareholder consent [6]. Leadership and Integration - Both companies' CEOs expressed enthusiasm for the merger, highlighting cultural alignment and the potential benefits for shareholders and customers [3]. - Key executives from Southern States, including its President and CFO, will retain significant roles in the combined entity, ensuring continuity and integration of operations [3]. Financial Advisors - Keefe, Bruyette, & Woods, Inc. acted as financial advisor for FB Financial, while Performance Trust Capital Partners, LLC served as financial advisor for Southern States [7].

Core Viewpoint - FB Financial Corporation and Southern States Bancshares, Inc. have entered into a definitive merger agreement, with Southern States to be merged into FB Financial, enhancing FB Financial's market presence and growth potential in key areas [1][3][6]. Company Overview - FB Financial Corporation is headquartered in Nashville, Tennessee, operating through its subsidiary FirstBank, with 77 branches and approximately $13.2 billion in total assets as of December 31, 2024 [10]. - Southern States Bancshares, Inc. is based in Anniston, Alabama, with 15 branches and two loan production offices, reporting total assets of $2.8 billion, loans of $2.2 billion, and deposits of $2.4 billion as of December 31, 2024 [2][11]. Merger Details - Southern States' shareholders will receive 0.800 shares of FB Financial common stock for each share of Southern States stock, valuing the transaction at approximately $381 million based on FB Financial's stock price of $47.05 as of March 28, 2025 [4][5]. - The merger is expected to close in late Q3 or early Q4 of 2025, pending regulatory approvals and shareholder consent [6]. Leadership and Integration - Key executives from Southern States, including President and CEO Mark A. Chambers and CFO Lynn J. Joyce, will take significant roles in the combined company, ensuring continuity and integration of operations [3][6]. Market Strategy - The merger aligns with FB Financial's growth strategy, targeting community and metropolitan markets in Alabama and Georgia, which are consistent with its expansion goals [2][3].

Financial Overview - As of December 31, 2024, FB Financial Corporation had total assets of $13.16 billion, loans held for investment of $9.60 billion, total deposits of $11.21 billion, and total common shareholders' equity of $1.57 billion[19]. - As of June 30, 2024, FB Financial Corporation ranked 6th among the top 10 banks in Tennessee with total deposits of $9.0 billion and a market share of 4.1%[32]. - As of December 31, 2024, the bank maintained sufficient capital to qualify as "well capitalized" under applicable regulations, with a total risk-based capital ratio of 10% or greater[96]. - The Bank's legal lending limits were approximately $211.6 million (15%) and $352.6 million (25%) based on its Tier 1 capital as of December 31, 2024[48]. Market Presence and Expansion - The Nashville metropolitan area accounted for approximately 41.5% of total deposits, with a market share of 4.7% as of June 30, 2024[34]. - The company announced expansions into the Tuscaloosa, Alabama and Asheville, North Carolina markets during 2024[19]. - The Nashville MSA has become the largest market for the company, with significant growth in both deposits and loans[35]. - The company operates 77 full-service bank branches and several limited service banking locations across its footprint[19]. - As of December 31, 2024, the company operates 77 full-service bank branches and 8 limited service branch locations across multiple states, with a total of 12 mortgage offices[217]. Risk Management - The Bank employs a risk management infrastructure that includes local authority, centralized policymaking, and a system of checks and balances to maintain sound credit quality standards[41]. - The Bank's comprehensive risk management framework is designed to address multiple areas of risk, including credit risk, interest rate risk, and operational risk[50]. - The Credit Risk Committee of the Board of Directors monitors the integrity of the loan portfolio and has the authority to approve credit policies and risk limits[55]. - The Bank's loan approval process is characterized by local authority supported by a control environment for prompt and thorough underwriting of loans[43]. - The Bank's liquidity planning framework focuses on robust forecasting and risk management to ensure predictable funding needs and availability[62]. Community Engagement and Workplace Culture - The company has been recognized as one of Middle Tennessee's Top Workplaces for ten consecutive years, reflecting its commitment to fostering a positive culture[71]. - The company achieved an overall participation rate of 88% in its first all-associate engagement survey, providing valuable insights for future initiatives[72]. - In 2024, associates dedicated over 9,400 hours to volunteer activities benefiting local organizations, reflecting the company's commitment to community engagement[73]. - The Management-to-Leadership Development Series graduated 118 associates, enhancing their leadership skills and aligning personal goals with company objectives[74]. - The company contributed an average of 70% towards total medical premium costs, mitigating rising medical premiums for associates[78]. - The company is committed to fostering a diverse and inclusive workplace, recognizing the strength in the richness of differences among associates[76]. Technology and Operational Efficiency - The company aims to improve efficiency by leveraging technology and scaling operations, investing significantly in personnel and infrastructure[38]. - Key technology upgrades included the implementation of AI-based monitoring tools and enhancements to network infrastructure, aimed at improving operational efficiency and risk management[82]. - The company plans to focus on maximizing existing technology investments while supporting its strategic improvement plan, FirstBank Way, to enhance scalability and efficiency[83]. Regulatory Environment - The company is subject to regulatory capital rules that limit its ability to pay dividends, requiring prior approval from the Federal Reserve under certain conditions[97]. - The Bank is subject to various federal and state consumer protection laws, ensuring compliance through established controls and annual employee training[118]. - The Bank's incentive compensation policies must align with safety and soundness principles, balancing risk and reward[108]. - The FDIC has the authority to terminate the Bank's deposit insurance if it engages in unsafe practices, with depositors' claims prioritized in receivership[104]. - Future legislative developments may significantly impact the banking environment, with potential changes to the Dodd-Frank Act and other regulations being discussed[123]. Loan Portfolio and Credit Risk - As of December 31, 2024, approximately 77% of the loan portfolio consisted of loans with real estate as a primary or secondary component of collateral[134]. - Commercial real estate loans accounted for 36%, commercial and industrial loans for 18%, and construction loans for 11% of the loan portfolio as of December 31, 2024[136]. - The company maintains an allowance for credit losses, which is sensitive to changes in macroeconomic forecasts and may require increases based on economic conditions[129]. - A significant portion of the loan portfolio is exposed to risks from the real estate market, which could lead to increased non-performing loans and losses during economic downturns[135]. - Approximately 69% of loans and 72% of deposits are concentrated in Tennessee, making the company vulnerable to regional economic downturns[144]. - Changes in interest rates could adversely affect net interest income, which is crucial for the company's earnings and financial condition[146]. - The company faces credit risk from commercial real estate loans, which are more difficult to liquidate and may involve larger loan balances[136]. - The company is subject to regulatory scrutiny regarding commercial real estate lending, which may require improved risk management policies[137]. Economic and Competitive Challenges - Economic conditions, competition, and the ability to generate deposits may limit the company's ability to grow its loan portfolio[142]. - The imposition of tariffs and trade restrictions may adversely impact the company's customers, potentially affecting their ability to service debt and, in turn, the company's financial condition[152]. - Uncertain political and financial market conditions may increase future borrowing costs for the company[157]. - The company may incur significant costs from litigation and regulatory actions, which could adversely affect its financial condition[174]. - The company operates primarily in Tennessee, particularly in the highly competitive Nashville MSA, where it faces competition from larger national and regional banks[197]. Cybersecurity and Operational Risks - Cybersecurity threats have increased, with potential liabilities arising from breaches of the company's or its vendors' systems, impacting customer trust and financial performance[185]. - The company has implemented a risk management framework to address various risks, but its effectiveness may not be guaranteed under all circumstances[179]. - The company is exposed to operational risks, including employee fraud and errors, which could lead to financial losses and regulatory sanctions[189]. - The company relies heavily on third-party vendors for critical services, which poses risks if these vendors fail to perform adequately[176]. - The company has implemented a comprehensive cybersecurity strategy, overseen by the Risk Committee, to safeguard information systems and data integrity[209]. - Cybersecurity risk management is integrated into the company's broader risk management framework, with key risk indicators reported quarterly[211]. Strategic Initiatives and Future Outlook - The company intends to pursue acquisitions and consolidation opportunities within core markets, facing competitive challenges in identifying suitable targets[193]. - The company acknowledges substantial risks and uncertainties associated with implementing or acquiring new lines of business, products, and services, with no guarantee of success or expected benefits[200]. - The shift towards alternative financial transaction methods may lead to a loss of fee income and customer deposits, adversely affecting the company's financial condition and liquidity[203]. - The company relies on the accuracy and completeness of customer information for credit decisions, and any inaccuracies could negatively impact its financial condition and operations[204]. - Negative public opinion and reputational risks could adversely affect the company's ability to attract and retain customers, impacting earnings and stock price[205]. - Developments in the banking industry, such as bank failures, may erode client confidence and lead to market volatility, negatively impacting the company's liquidity and results of operations[206].

Core Viewpoint - FB Financial (FBK) has received an upgrade to a Zacks Rank 1 (Strong Buy), indicating a positive outlook on its earnings estimates, which is a significant factor influencing stock prices [1][3]. Earnings Estimates and Stock Price Impact - The Zacks rating system is based on changes in earnings estimates, which are strongly correlated with near-term stock price movements [4][6]. - An increase in earnings estimates typically leads to higher fair value calculations by institutional investors, resulting in buying or selling actions that affect stock prices [4]. Recent Performance of FB Financial - For the fiscal year ending December 2025, FB Financial is expected to earn $3.64 per share, reflecting a 7.1% increase from the previous year [8]. - Over the past three months, the Zacks Consensus Estimate for FB Financial has risen by 4.1%, indicating a positive trend in earnings expectations [8]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with Zacks Rank 1 stocks historically generating an average annual return of +25% since 1988 [7]. - The upgrade of FB Financial to Zacks Rank 1 places it in the top 5% of Zacks-covered stocks, suggesting potential for market-beating returns in the near term [10].