Simmons First National Corporation (SFNC) Stock Analysis

Why this analysis is different

• A sector-relative MoonshotScore — five pillars (business quality, financial safety, valuation, growth durability, momentum) re-ranked nightly against the full universe of US-listed common stocks.
• An AI Council read across up to eight perspectives — value, macro, quantitative, and momentum lenses — that shows where they disagree instead of averaging the tension away.
• Figures come straight from FMP and Yahoo Finance filings data. The AI writes the narrative around the numbers — it never edits the numbers.

Simmons First National Corporation (SFNC) Financial Services Profile

Simmons First National Corporation, a regional bank holding company, provides diverse financial services including commercial lending, retail banking, and wealth management. Operating across the South Central U.S., Simmons Bank distinguishes itself through community-focused banking and a wide array of financial products, despite facing challenges in profitability.

What Is the Investment Thesis for SFNC?

Simmons First National Corporation presents a mixed investment thesis. The company's extensive regional presence and diverse service offerings provide a stable foundation, highlighted by a dividend yield of 4.01%. Growth catalysts include strategic expansion within its existing footprint and increased adoption of digital banking services. However, a concerning profit margin of -63.5% raises questions about operational efficiency and profitability. Investors should closely monitor the company's efforts to improve its financial performance and manage credit risk in a fluctuating economic environment. The beta of 0.90 suggests lower volatility compared to the broader market.

Based on FMP financials and quantitative analysis

SFNC Key Highlights

Simmons First National Corporation operates 199 financial centers across six states, indicating a strong regional presence.

• The company offers a dividend yield of 4.01%, providing an income stream for investors.
• Simmons First National Corporation has a market capitalization of $3.36B, reflecting its size and significance in the regional banking sector.
• The company's beta of 0.90 suggests lower volatility compared to the broader market.
• Simmons First National Corporation's profit margin is -63.5%, indicating potential challenges in profitability and operational efficiency.

Who Are SFNC's Competitors?

SFNC is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.

AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance

What Are SFNC's Key Strengths?

Extensive branch network across multiple states.

• Diverse range of financial products and services.
• Strong community banking focus.
• Established brand reputation.

What Are SFNC's Weaknesses?

Negative profit margin (-63.5%).

• Potential vulnerability to regional economic downturns.
• Reliance on traditional banking model in a rapidly evolving digital landscape.
• Limited international presence.

What Could Drive SFNC Stock Higher?

Continued expansion of digital banking services to attract and retain customers.

• Potential acquisitions of smaller banks to expand market presence.
• Focus on improving operational efficiency to enhance profitability.
• Strategic initiatives to grow wealth management and investment services.

What Are the Key Risks for SFNC?

Financial-distress signal — its Altman Z-Score of 0.28 sits in the distress zone (elevated bankruptcy risk).

• Negative return on equity (-10.2%) — the business is not currently generating profit on shareholder capital.
• Negative profit margin impacting financial performance.
• Economic downturns in the regions where Simmons operates.
• Increasing competition from larger national banks and fintech companies.
• Regulatory changes and compliance costs affecting profitability.

What Are the Growth Opportunities for SFNC?

• Expansion within Existing Markets: Simmons First National Corporation can deepen its market penetration within its current geographic footprint (Arkansas, Missouri, Tennessee, Texas, Oklahoma, and Kansas). By opening new branches in underserved areas and increasing marketing efforts, the bank can attract new customers and grow its deposit base. This strategy leverages the bank's existing infrastructure and brand recognition, offering a cost-effective growth opportunity. The regional banking market is projected to grow at 3-5% annually, providing a favorable environment for expansion.
• Digital Banking Adoption: Investing in and promoting digital banking solutions can significantly enhance customer experience and reduce operational costs. By offering a user-friendly mobile banking app and online platform, Simmons First National Corporation can attract younger, tech-savvy customers and improve customer retention. The digital banking market is expected to grow by 10-15% annually, driven by increasing smartphone penetration and demand for convenient banking services. This includes mobile deposits, online bill pay, and peer-to-peer payments.
• Wealth Management Services: Expanding its wealth management offerings can provide a significant revenue stream for Simmons First National Corporation. By offering personalized investment advice, retirement planning, and estate planning services, the bank can attract high-net-worth individuals and families. The wealth management market is projected to grow by 6-8% annually, driven by an aging population and increasing demand for financial planning services. This includes offering trust services and fiduciary services.
• Small Business Lending: Focusing on small business lending can drive loan growth and support local economies. By offering SBA loans and other financing options tailored to the needs of small businesses, Simmons First National Corporation can establish itself as a key partner for entrepreneurs. The small business lending market is expected to grow by 4-6% annually, driven by increasing entrepreneurship and demand for capital. This includes providing equipment financing and agricultural finance.
• Strategic Acquisitions: Pursuing strategic acquisitions of smaller banks or financial institutions can provide Simmons First National Corporation with access to new markets, customers, and product offerings. By carefully selecting acquisition targets that align with its strategic goals, the bank can accelerate its growth and enhance its competitive position. The M&A activity in the regional banking sector is expected to remain strong, providing opportunities for consolidation and expansion. This includes acquiring banks with complementary services or geographic footprints.

What Are SFNC's Competitive Advantages?

• Strong regional presence with a network of 199 financial centers.
• Established brand reputation and customer relationships.
• Diverse range of financial products and services.
• Community-focused banking approach.

What Does SFNC Do?

Founded in 1903 and headquartered in Pine Bluff, Arkansas, Simmons First National Corporation has evolved into a multi-state financial institution. As the holding company for Simmons Bank, it offers a comprehensive suite of banking and financial services tailored to individuals and businesses. These services include checking and savings accounts, various loan products (consumer, real estate, commercial, agricultural, and SBA), trust and fiduciary services, credit cards, and investment management. The bank also provides modern conveniences such as ATM access, internet and mobile banking platforms, overdraft facilities, and safe deposit boxes. With 199 financial centers spread across Arkansas, Missouri, Tennessee, Texas, Oklahoma, and Kansas as of January 2022, Simmons Bank maintains a strong regional presence. The company's strategy focuses on delivering personalized financial solutions while leveraging technology to enhance customer experience and operational efficiency. Simmons First National Corporation aims to be a trusted financial partner in the communities it serves, balancing traditional banking values with innovative services.

What Products and Services Does SFNC Offer?

• Provides checking and savings accounts to individuals and businesses.
• Offers consumer, real estate, and commercial loans.
• Provides agricultural finance, equipment, and small business administration (SBA) lending.
• Offers trust and fiduciary services.
• Provides credit cards and investment management products.
• Offers insurance products and securities and investment services.
• Provides ATM services and internet and mobile banking platforms.
• Offers overdraft facilities and safe deposit boxes.

How Does SFNC Make Money?

• Generates revenue through interest income from loans.
• Earns fees from services such as credit cards, investment management, and trust services.
• Gains revenue from deposit accounts and related services.
• Manages risk through underwriting and diversification of loan portfolio.

What Industry Does SFNC Operate In?

Simmons First National Corporation operates within the regional banking sector, which is characterized by increasing competition from larger national banks and fintech companies. The industry is experiencing a shift towards digital banking solutions and personalized customer service. Regulatory compliance and interest rate fluctuations significantly impact profitability. Simmons First National Corporation competes with other regional banks like Bank of Hawaii Corporation (BOH) and Park National Corporation (PRK), as well as national players, focusing on community banking and tailored financial products to maintain its market position.

Who Are SFNC's Key Customers?

• Individuals seeking personal banking services.
• Small businesses requiring loans and financial services.
• Commercial clients needing commercial lending and treasury management.
• High-net-worth individuals seeking wealth management services.

Over the past six months, Simmons First National Corporation insiders filed 30 SEC Form 4 transactions — 15 sales and 15 purchases. Buying and selling roughly offset over the period, so insider signaling is neutral.

Simmons First National Corporation has beaten Wall Street's EPS estimate in 4 of its last 8 reported quarters — more hits than misses. Reported results have landed about 0.7% above estimates on average.

Simmons First National Corporation's Piotroski F-Score is 4/9, a 9-point checklist of profitability, leverage and efficiency — a middling fundamental profile. Its Altman Z-Score of 0.28 places it in the distress zone, a signal of elevated financial risk.

Return on equity for Simmons First National Corporation stands at -10.2%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is -1.4%, showing how much profit it generates from its asset base. Its free cash flow yield is 14.5%, a gauge of the cash the business throws off relative to its market value. A current ratio of 76.98 indicates the company holds enough short-term assets to cover its near-term obligations. Its earnings yield is -10.5%, the inverse of the P/E and a quick read on earnings relative to price.

Simmons First National Corporation (SFNC) Valuation Context

Valued at $3.36B, SFNC is classified as a mid-cap stock. Analyst price targets span from $25.00 to $27.50, with a consensus of $26.17. At the current price of $23.19, that implies approximately 13% upside potential. Relative to its peer group, SFNC's quantitative score of 39/100 is below the peer average of 90/100.

SFNC Revenue & Earnings Trend

In Q2 FY2026, SFNC generated $355.6M in top-line revenue, marking a sequential increase of 17.8%. The company recorded net income of $66.7M, with diluted EPS of $0.46. Quarter-over-quarter revenue has been mixed, typical for a mid-cap company operating in Financial Services.

Company Profile

Simmons First National Corporation operates in the Banks - Regional industry within the Financial Services sector. It is headquartered in Pine Bluff, US. The company is led by CEO James Brogdon. SFNC has traded publicly since 1985.

SFNC Financials

SFNC Latest News

SFNC Analyst Consensus

SFNC MoonshotScore

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Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.

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