BIRMINGHAM, Ala., March 16, 2026 (GLOBE NEWSWIRE) -- ServisFirst Bancshares, Inc., (NYSE: SFBS) (“ServisFirst”), the holding company for ServisFirst Bank, today announces: At a meeting held on March 16, 2026, its Board of Directors declared a quarterly cash dividend of $0.38 per share, payable on April 13, 2026, to stockholders of record as of April 1, 2026. About ServisFirst Bancshares, Inc. ServisFirst Bancshares, Inc. is a bank holding company based in Birmingham, Alabama. Through its subsidiary ServisF ...

Core Viewpoint - Income investors prioritize generating consistent cash flow from liquid investments, with dividends being a key component of this cash flow [1][2]. Company Overview - ServisFirst Bancshares (SFBS) is based in Birmingham and operates in the Finance sector, with a stock price change of 4.93% since the beginning of the year [3]. - The company currently pays a dividend of $0.38 per share, resulting in a dividend yield of 2.02%, which is lower than the Financial - Savings and Loan industry's yield of 2.63% and higher than the S&P 500's yield of 1.42% [3]. Dividend Growth - The annualized dividend of ServisFirst Bancshares is $1.52, reflecting a 13.4% increase from the previous year [4]. - Over the past five years, the company has raised its dividend five times, achieving an average annual increase of 13.72% [4]. - The current payout ratio is 26%, indicating that the company distributes 26% of its trailing 12-month earnings per share as dividends [4]. Earnings Growth Expectations - For the fiscal year, SFBS anticipates solid earnings growth, with the Zacks Consensus Estimate for 2026 projected at $6.40 per share, representing a year-over-year growth rate of 21.90% [5]. Investment Considerations - Established firms with secure profits are typically viewed as the best dividend options, while high-growth businesses and tech startups rarely offer dividends [6]. - Despite the challenges high-yielding stocks face during rising interest rates, SFBS is considered an attractive dividend play and a compelling investment opportunity, holding a Zacks Rank of 2 (Buy) [6].

Financial Performance - Net income available to common stockholders increased to $276.5 million in 2025, up 21.7% from $227.2 million in 2024[214]. - Income before income taxes rose by 22.6% to $342.1 million in 2025, up from $279.0 million in 2024[215]. - The efficiency ratio improved to 32.89% in 2025 from 37.60% in 2024, indicating better cost management[216]. - Stockholders' equity rose by $233.6 million to $1.85 billion in 2025, driven by net income of $276.5 million[274]. Interest Income and Margin - Net interest income rose by 19.8% to $535.2 million in 2025, compared to $446.7 million in 2024, primarily due to a larger decline in interest-bearing liabilities[215][219]. - The net interest margin expanded to 3.12% in 2025, compared to 2.82% in 2024, reflecting improved profitability of the balance sheet[216]. - Net interest income for 2025 was reported at $535,543 million, compared to $446,758 million in 2024, representing a year-over-year increase of 19.8%[225]. - The average yield on interest-earning assets was 5.78% in 2025, down from 5.97% in 2024, indicating a slight decline in yield[225]. Loan and Asset Growth - Average earning assets increased by 8.2% in 2025, driven by a 7.9% rise in average loans[220]. - Total loans, net of unearned income, reached $13,109,689 million in 2025, a rise from $12,150,825 million in 2024, marking an increase of 7.9%[225]. - Year-end 2025 total loans were $13.70 billion, an increase of $1.09 billion, or 8.7%, over $12.61 billion at year-end 2024[244]. - Total assets of the company reached $17,746,068 million in 2025, an increase from $16,333,383 million in 2024, representing a growth of 8.7%[225]. Noninterest Income and Expenses - Noninterest income decreased by 22.3% to $27.2 million in 2025, down from $35.1 million in 2024[215]. - Total noninterest expenses rose by $3.8 million, or 2.1%, to $184.99 million in 2025 compared to $181.15 million in 2024[239]. - Service charges on deposit accounts increased by $2.5 million, or 26.0%, to $11.9 million in 2025[238]. Credit Losses and Nonperforming Loans - Provision for credit losses increased by 63.6% to $35.3 million in 2025, compared to $21.6 million in 2024[215]. - Nonperforming loans totaled $168.829 million in 2025, an increase from $42.466 million in 2024, representing a 297% rise[266]. - The ratio of nonperforming loans to total loans was 1.23% in 2025, up from 0.34% in 2024[266]. - The allowance for credit losses (ACL) totaled $171.7 million, or 1.25% of loans, net of unearned income, at December 31, 2025[237]. Deposits and Funding - Total deposits increased to $14.016 billion in 2025 from $13.203 billion in 2024, reflecting a growth of 6.1%[268]. - Average interest-bearing demand deposits yielded 2.03% in 2025, down from 2.81% in 2024[268]. - The company had $372.0 million in unused and available federal funds lines of credit as of December 31, 2025, down from $457.0 million in 2024[272]. Capital Ratios and Liquidity - The Common Equity Tier 1 (CET1) capital ratio was 11.65% as of December 31, 2025, exceeding the required minimum of 6.50% for "well-capitalized" status[291]. - The total capital ratio was 12.93% as of December 31, 2025, above the required minimum of 10.00%[291]. - The company's liquidity position is supported by liquid assets totaling $2.12 billion as of December 31, 2025[287]. Economic Outlook and Risk Management - The company forecasts a moderately higher national GDP and an unchanged national unemployment rate compared to December 31, 2024[261]. - The company conducts quarterly analysis of rate sensitivity and reports results to the Board of Directors[307]. - The company has procedures to monitor past due loans and perform quarterly credit reviews to minimize potential losses[265].

Core Viewpoint - The Zacks Savings and Loan industry is benefiting from falling interest rates and easing lending standards, which are stabilizing funding costs and boosting net interest income (NII) and net interest margin (NIM) [1][4]. Industry Overview - The Zacks Savings and Loan industry comprises specialized U.S. banks focused on residential mortgage finance, offering various loans including residential and commercial mortgages, home equity loans, and vehicle loans. These institutions fund mortgages with savings insured by the FDIC and previously had a legal requirement to invest at least 65% of their assets in mortgages, a restriction lifted in 2019 [3]. Industry Trends - Lower interest rates are expected to drive loan demand, improving NII and margins for savings and loan companies as funding costs stabilize. Mortgage rates have reached their lowest since September 2022, leading to increased purchase and refinancing activity [4]. - Industry players are accelerating digital transformation to address legacy technology issues and high operating costs, which, while increasing near-term expenses, are expected to enhance long-term operational efficiency [5]. - Falling interest rates are likely to help borrowers maintain timely loan repayments, reducing the need for large reserves against potential defaults, although a slight rise in non-performing loans is still anticipated [6]. Industry Performance - The Zacks Savings and Loan industry ranks 29 within the broader Zacks Finance sector, placing it in the top 12% of over 243 Zacks industries, indicating strong near-term prospects [7]. - The industry's current-year earnings estimate has increased by 10% over the past year, reflecting growing analyst confidence in earnings growth potential [8]. - Over the past year, the industry has underperformed compared to the Zacks Finance sector and the S&P 500, with a collective gain of 9.9% versus 18.8% for the S&P 500 and 13.7% for the Finance sector [9]. Valuation Metrics - The industry has a trailing 12-month price-to-tangible book (P/TB) ratio of 2.32X, above the five-year median of 2.14X, but still trading at a discount compared to the S&P 500's ratio of 11.74X [11]. - The Zacks Finance sector's current trailing 12-month P/TB ratio is 6.12X, indicating that the savings and loan industry is trading at a significant discount relative to its broader sector [15]. Investment Opportunities - **ServisFirst Bancshares Inc. (SFBS)**: With total assets of $17.7 billion and loans of $13.7 billion as of December 31, 2025, SFBS is expected to see a 21.9% year-over-year rise in earnings to $6.40 for 2026, with revenue estimates of $686.2 million reflecting a 20.2% increase [17][18]. - **WSFS Financial Corporation (WSFS)**: This company has $21.3 billion in assets and anticipates mid-single-digit loan and deposit growth for 2026, with earnings expected to rise by 9.9% to $5.73 [20][21]. - **Heritage Financial Corporation, Inc. (HFWA)**: HFWA, with a market cap of $959.9 million, expects a 12.9% year-over-year increase in earnings to $2.53 for 2026, alongside a significant revenue jump of 40.8% to $346.7 million [24][26].

Core Viewpoint - ServisFirst Bancshares, Inc. (SFBS) is showing potential for bullish momentum due to a recent technical indicator known as a "golden cross" [1] Technical Analysis - SFBS's 50-day simple moving average has recently crossed above its 200-day moving average, indicating a potential bullish breakout [1] - A golden cross typically signifies a trend reversal from a downtrend to an upward trajectory, consisting of three stages: a downtrend, the crossover of moving averages, and an upward price movement [2] Performance Metrics - Over the last four weeks, SFBS has increased by 10.1%, suggesting strong upward momentum [3] - The company currently holds a 1 (Strong Buy) rating on the Zacks Rank, indicating positive investor sentiment [3] Earnings Expectations - There have been two upward revisions in earnings expectations for the current quarter, with no downward revisions, further supporting the bullish outlook [3] - The Zacks Consensus Estimate for earnings has also increased, reinforcing confidence in the company's growth potential [3][4] Investment Outlook - With favorable earnings estimate revisions and a key technical breakout, SFBS is positioned for potential gains in the near future [4]

Group 1: Market Overview - Wall Street sold technology stocks as investors take profits amid increasing market volatility, with the Nasdaq up over 90% in the past three years [1] - The bullish market backdrop remains intact, with strong earnings growth projected for 2026 and expectations of interest rate cuts by the U.S. Federal Reserve [2] Group 2: Investment Strategy - Investors can utilize a Zacks screen to identify top Zacks Rank 1 (Strong Buy) stocks from over 200 highly-ranked companies [3] - Zacks Rank 1 stocks have historically outperformed the market, averaging an annual return of approximately 24.4% since 1988 [6] Group 3: Stock Screening Parameters - The screening parameters include a Zacks Rank of 1, positive current quarter estimate revisions, and top broker rating changes over the last four weeks [7][8] Group 4: Featured Stock - ServisFirst Bancshares, Inc. (SFBS) - ServisFirst Bancshares, Inc. is highlighted as a top-ranked finance stock, focusing on business and personal banking services across multiple states [9][10] - The company is projected to grow revenue by 20% in 2026 and 9% in the following year, boosting adjusted earnings by 22% and 10%, respectively [12] - SFBS shares have increased by 370% over the past decade, outperforming the Finance sector's 165%, and are on the verge of breaking out of a trading range [13] - Despite its strong performance, SFBS trades at a 25% discount to its sector and 20% below its own 10-year median, with a dividend yield of 1.8% [14]

Core Viewpoint - ServisFirst Bancshares (SFBS) has been upgraded to a Zacks Rank 1 (Strong Buy), indicating a positive outlook based on rising earnings estimates, which significantly influence stock prices [1][4]. Earnings Estimates and Ratings - The Zacks rating system is primarily driven by changes in a company's earnings picture, with the Zacks Consensus Estimate tracking EPS estimates from sell-side analysts [2]. - The recent upgrade for ServisFirst reflects an improvement in its earnings outlook, which is expected to positively impact its stock price [4][6]. Impact of Earnings Revisions - There is a strong correlation between changes in earnings estimates and near-term stock price movements, making earnings estimate revisions a critical factor for investment decisions [5][7]. - ServisFirst is projected to earn $6.40 per share for the fiscal year ending December 2026, with a 4.9% increase in the Zacks Consensus Estimate over the past three months [9]. Zacks Rating 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 [8]. - ServisFirst's upgrade to Zacks Rank 1 places it in the top 5% of Zacks-covered stocks, indicating strong potential for market-beating returns in the near term [10][11].

Core Viewpoint - ServisFirst Bancshares reported strong fourth-quarter results, leading to a significant increase in stock price by over 14% [1] Group 1: Financial Performance - Deposits increased by 5% year over year to $675.6 million, while loans rose by 12% to $384.9 million [2] - The net interest margin improved by 42 basis points to 3.38% due to declining interest rates [2] - Earnings per share surged by 33% to $1.58 [2] Group 2: Market Metrics - Market capitalization stands at $4.2 billion [3] - Stock price ranged from $82.21 to $87.98 during the trading day, with a 52-week range of $66.48 to $93.90 [3] - Average trading volume was 265,000, with a current volume of 713,000 [3] Group 3: Efficiency and Returns - The efficiency ratio improved to 29% from 36% in the previous year, indicating better management of non-interest expenses relative to revenue [3] - Return on average common stockholders' equity increased to 18.9% from 16.3% year-over-year [5] - The bank raised its dividend by 13% to $0.38 per share, rewarding shareholders [5] Group 4: Management Focus - The CFO emphasized a focus on net interest margin expansion and disciplined expense control [4]

Group 1 - The focus is on producing objective, data-driven research primarily about small- to mid-cap companies, which are often overlooked by many investors [1] - Occasionally, large-cap companies are analyzed to provide a broader perspective on the equity markets [1] Group 2 - There is a beneficial long position in the shares of SFBS, indicating a vested interest in the company's performance [2] - The article expresses personal opinions and is not influenced by compensation from any company mentioned [2]

Core Insights - U.S. stocks experienced an upward trend, with the Dow Jones increasing by approximately 350 points on Wednesday [1] Company Performance - Progress Software Corp reported fourth-quarter adjusted EPS of $1.51, surpassing the Street estimate of $1.31, and quarterly revenue of $252.67 million, slightly below the consensus estimate of $252.86 million [2] - Progress Software shares surged by 20.5% to $46.50 following the earnings report and positive first-quarter guidance [2] Other Notable Stock Movements - Rambus Inc saw a gain of 15.1%, reaching $126.67 [3] - ServisFirst Bancshares Inc increased by 13.3% to $86.45 after reporting better-than-expected fourth-quarter earnings [3] - Lucid Group Inc rose by 12.9% to $10.97 [3] - Red Cat Holdings Inc jumped 11.4% to $16.05 [3] - American Resources Corp surged 11% to $3.88 [3] - Zura Bio Ltd increased by 10.5% to $5.54, with a new CEO appointed [3] - SES AI Corp gained 10.5% to $2.42 [3] - Lexicon Pharmaceuticals Inc shares rose 10.3% to $1.44 after a successful FDA meeting for Pilavapadin [3] - Comstock Resources Inc increased by 9.8% to $24.49 [3] - Tronox Holdings PLC surged 9.5% to $6.06, with an analyst maintaining a Buy rating and raising the price target [3] - Teledyne Technologies Inc gained 9.2% to $618.47 after reporting better-than-expected quarterly results [3] - Intel Corp increased by 9.1% to $52.97 [3] - Arm Holdings PLC surged 9% to $116.81 after an upgrade from Neutral to Positive [3] - Nuscale Power Corp gained 8.1% to $20.50 [3] - Quantumscape Corp increased by 8% to $11.05 [3] - Moderna Inc rose 6.4% to $45.76, sharing positive data from a study on mRNA-based therapy [3]