Southern BancShares (N.C.), Inc. (SBNC) Stock Analysis
For informational purposes only. Not financial advice. Analysis by Sedat ANAK, Founder & Editor-in-Chief | AI-powered analysis. Data sourced from SEC filings and institutional-grade financial providers. Editorially reviewed. Not financial advice.
Southern BancShares (N.C.), Inc. (SBNC) trades at $13250.00. Southern BancShares (N. C. ), Inc. Market cap: $1.01B, Sector: Financial services.
Price as of Aug 21, 2026 · Last analyzed: Mar 17, 2026Analyst Coverage for SBNC: SBNC does not currently have published analyst price targets in our coverage universe. This is common for smaller-cap names with limited Wall Street coverage. In the absence of analyst consensus, our AI model evaluates SBNC against Financial Services peers across nine fundamental dimensions and assigns an underweight signal based on the underlying data.
Not enough scored data yet to form a council read on SBNC.
How is this calculated? →Southern BancShares (N.C.), Inc. (SBNC) Financial Services Profile
Southern BancShares (N.C.), Inc. is a regional bank providing commercial banking services in North Carolina and Virginia. Founded in 1901, it offers a range of deposit and loan products, operating through approximately 60 offices. The company distinguishes itself through its long-standing community presence and focus on traditional banking services.
What Is the Investment Thesis for SBNC?
Southern BancShares (N.C.), Inc. presents a mixed investment case. The company's established presence in North Carolina and Virginia, coupled with a diverse range of banking products, provides a stable foundation. The bank's profit margin of 35.0% indicates operational efficiency. However, a high P/E ratio of 41.53 may suggest overvaluation relative to earnings. Growth catalysts include potential expansion within its existing geographic footprint and increased adoption of online and mobile banking services. The dividend yield of 0.21% offers a modest income stream. Investors should carefully consider the competitive landscape and the impact of interest rate fluctuations on the bank's profitability. The company's beta of 0.22 suggests lower volatility compared to the broader market.
Based on FMP financials and quantitative analysis
SBNC Key Highlights
Market capitalization of $1.01B, reflecting its size and market value within the regional banking sector.
- P/E ratio of 41.53, indicating the price investors are willing to pay for each dollar of earnings.
- Profit margin of 35.0%, showcasing the company's ability to generate profit from its revenue.
- Gross margin of -26.1%, suggesting potential inefficiencies in managing the cost of services.
- Dividend yield of 0.21%, providing a small return to investors in the form of dividends.
Who Are SBNC's Competitors?
SBNC is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.
| Company | Price | Change | Market Cap | AI Score |
|---|---|---|---|---|
| FBAK First National Bank Alaska | $338.00 | +0.90% | $1.07B | 49 |
| FMCB Farmers & Merchants Bancorp | $1450.00 | -3.65% | $1.00B | 51 |
| GKSGF Grenke AG | $17.27 | +0.00% | $763M | 53 |
| GRCGF Guardian Capital Group Limited | $31.85 | +0.00% | $739M | 58 |
| HACBY The Hachijuni Bank, Ltd. | $32.27 | +0.00% | $7.35B | 56 |
| CFFN Capitol Federal Financial, Inc. | $8.54 | +0.53% | $1.05B | 93 |
| CAC Camden National Corporation | $56.50 | -0.26% | $956M | 93 |
| THFF First Financial Corporation | $79.07 | +0.32% | $940M | 95 |
AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance
What Are SBNC's Key Strengths?
Strong local presence in North Carolina and Virginia
- Diverse range of banking products and services
- Established relationships with local businesses and communities
- Experienced management team
What Are SBNC's Weaknesses?
Limited geographic footprint compared to larger regional banks
- Reliance on traditional banking services
- High P/E ratio compared to peers
- Negative gross margin
What Could Drive SBNC Stock Higher?
Expansion of digital banking services to attract new customers.
- Focus on small business lending to drive loan growth.
- Potential strategic acquisitions of smaller community banks.
- Efforts to improve operational efficiency and reduce costs.
- Launch of new wealth management services to generate additional revenue.
What Are the Key Risks for SBNC?
Financial-distress signal — its Altman Z-Score of 0.45 sits in the distress zone (elevated bankruptcy risk).
- Increased competition from larger regional and national banks.
- Impact of interest rate fluctuations on profitability.
- Regulatory compliance costs.
- Economic downturn in North Carolina and Virginia.
- Risks associated with operating in the OTC market, including limited liquidity and disclosure.
What Are the Growth Opportunities for SBNC?
- Expansion within Existing Markets: Southern BancShares (N.C.), Inc. can focus on increasing its market share within North Carolina and Virginia. By opening new branches in strategic locations and enhancing its marketing efforts, the bank can attract new customers and grow its deposit base. This expansion can be achieved through targeted advertising campaigns and community outreach programs, leveraging the bank's local presence and reputation. The timeline for this growth opportunity is immediate and ongoing.
- Enhanced Digital Banking Services: Investing in and promoting its online and mobile banking platforms can attract tech-savvy customers and improve customer retention. This includes offering a user-friendly mobile app with features such as mobile check deposit, bill payment, and account management tools. By enhancing its digital capabilities, Southern BancShares (N.C.), Inc. can compete more effectively with larger banks and fintech companies. The timeline for this growth opportunity is within the next 1-2 years.
- Strategic Acquisitions: Southern BancShares (N.C.), Inc. can explore strategic acquisitions of smaller community banks or credit unions in adjacent markets. This can provide access to new customers, branch locations, and product offerings. Acquisitions can also create synergies and cost savings, improving the bank's overall profitability. Due diligence and careful integration are essential for successful acquisitions. The timeline for this growth opportunity is within the next 3-5 years.
- Focus on Small Business Lending: Southern BancShares (N.C.), Inc. can capitalize on the growing demand for small business loans by offering tailored financing solutions to local businesses. This includes providing lines of credit, term loans, and equipment financing to help small businesses grow and expand. By building strong relationships with local entrepreneurs, the bank can become a trusted partner for small business owners. The timeline for this growth opportunity is immediate and ongoing.
- Wealth Management Services: Expanding its wealth management services can generate additional revenue streams and attract high-net-worth clients. This includes offering financial planning, investment management, and trust services to individuals and families. By providing personalized advice and customized solutions, Southern BancShares (N.C.), Inc. can build long-term relationships with its clients and grow its assets under management. The timeline for this growth opportunity is within the next 2-3 years.
What Are SBNC's Competitive Advantages?
- Established local presence in North Carolina and Virginia.
- Long-standing relationships with customers in local communities.
- Strong reputation for customer service.
- Deep understanding of local market conditions.
What Does SBNC Do?
Southern BancShares (N.C.), Inc., established in 1901 and headquartered in Mount Olive, North Carolina, operates as a community-focused bank through its subsidiary, Southern Bank and Trust Company. The bank provides a comprehensive suite of commercial banking services to individuals and businesses across North Carolina and Virginia. Its offerings include a variety of deposit accounts, such as checking, savings, money market, and individual retirement accounts, as well as certificates of deposit. On the lending side, Southern Bank provides personal loans, including cash reserve, vehicle leasing, home equity lines, credit cards, and automotive loans. Mortgage loans are also a significant part of their portfolio. For businesses, the bank offers a range of business loans, including business leasing, reserve plus, merchant accounts, and business credit cards, along with construction, commercial, and agriculture loan products. In addition to traditional banking services, Southern Bank offers modern conveniences such as treasury, online and mobile banking, night deposit services, cashier's checks, investment and brokerage services, ATM/Visa check cards, cell phone protection services, wire transfers, and safe deposit boxes. The bank operates through a network of approximately 60 offices, emphasizing its commitment to local communities and personalized service.
What Products and Services Does SBNC Offer?
- Provides checking and savings accounts to individuals and businesses.
- Offers personal loans, including auto loans, home equity lines of credit, and credit cards.
- Provides mortgage loans for home purchases and refinancing.
- Offers business loans, including commercial real estate loans, equipment financing, and lines of credit.
- Provides online and mobile banking services for convenient account access.
- Offers treasury management services to businesses.
- Provides investment and brokerage services.
- Offers safe deposit boxes and other ancillary banking services.
How Does SBNC Make Money?
- Generates revenue from interest earned on loans.
- Earns fees from deposit accounts, such as overdraft fees and service charges.
- Generates income from investment and brokerage services.
- Earns fees from treasury management services.
What Industry Does SBNC Operate In?
Southern BancShares (N.C.), Inc. operates within the regional banking sector, which is characterized by intense competition and evolving customer preferences. The industry is undergoing a digital transformation, with increasing adoption of online and mobile banking services. Regulatory compliance and interest rate fluctuations are key factors influencing the profitability of regional banks. Competitors include both larger national banks and smaller community banks, each vying for market share in local communities. The regional banking sector is expected to grow modestly, driven by economic expansion and increased demand for financial services.
Who Are SBNC's Key Customers?
- Individual consumers seeking personal banking services.
- Small businesses requiring loans and deposit accounts.
- Commercial clients needing treasury management services.
- High-net-worth individuals seeking wealth management services.
Company Profile
Southern BancShares (N.C.), Inc. operates in the Banks - Regional industry within the Financial Services sector. It is headquartered in Mount Olive, US. The company is led by CEO Drew Covert. SBNC has traded publicly since 2016.
How Southern BancShares (N.C.), Inc. Is Valued
Southern BancShares (N.C.), Inc. carries a market capitalization of $1.01B, placing it in the small-cap category.
Key Financial Metrics
Return on equity for Southern BancShares (N.C.), Inc. stands at 9.1%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is 1.1%, showing how much profit it generates from its asset base. SBNC trades at a trailing price-to-earnings ratio of 15.57, below the Financial Services sector average of ~18x. Its free cash flow yield is 0.0%, a gauge of the cash the business throws off relative to its market value. A current ratio of 0.00 means current liabilities exceed short-term assets, a liquidity point worth watching. Its earnings yield is 6.4%, the inverse of the P/E and a quick read on earnings relative to price.
Financial Health
Southern BancShares (N.C.), Inc.'s Piotroski F-Score is 6/9, a 9-point checklist of profitability, leverage and efficiency — a middling fundamental profile. Its Altman Z-Score of 0.45 places it in the distress zone, a signal of elevated financial risk.
Insider Activity
The most recent 12 insider filings for Southern BancShares (N.C.), Inc. break down as 0 sales and 12 purchases. On net that is roughly 804 shares acquired (about $627K) — insiders putting money in tends to read as conviction.
SBNC Financials
Fundamental Snapshot
Based on FMP financials and quantitative analysis · FY 2025
Bull Case vs Bear Case
Bull Case
- Recent insider buying suggests confidence from leadership in the company's future performance.
- Community sentiment has shifted positively, with discussions highlighting the bank's strong local presence and customer loyalty.
- Recent strategic initiatives to enhance digital banking services are resonating well with tech-savvy customers.
- Positive commentary from analysts about the bank's ability to navigate economic challenges has bolstered investor confidence.
Bear Case
- Concerns about rising interest rates could impact loan demand, creating uncertainty around future growth.
- Some community members express skepticism over the bank's expansion strategy, fearing overreach in a competitive market.
- Recent regulatory changes have raised questions about compliance costs, which could affect profitability.
- Market perception remains cautious due to broader economic conditions, leading to hesitance among potential investors.
AI-generated arguments based on insider flow, news sentiment and technicals — not financial advice · March 2026
SBNC Latest News
No recent news available for SBNC.
SBNC Analyst Consensus
Consensus Rating
Aggregated Buy/Hold/Sell recommendations from Benzinga, Yahoo Finance, and Finnhub for SBNC.
Price Targets
Wall Street price target analysis for SBNC.
SBNC MoonshotScore
What does this score mean?
The MoonshotScore rates SBNC 0-100 on quantitative fundamentals — growth, financial health, valuation, momentum, and risk.
Leadership: Drew Covert
CEO
Drew Covert serves as the CEO of Southern BancShares (N.C.), Inc. His career spans several decades in the banking industry, with a focus on community banking and regional financial institutions. Prior to joining Southern BancShares, Covert held leadership positions at various banks, where he was responsible for strategic planning, risk management, and business development. He has a strong background in commercial lending and retail banking, with a proven track record of driving growth and profitability. Covert holds a degree in Finance from a reputable university and has completed executive education programs at leading business schools.
Track Record: Under Drew Covert's leadership, Southern BancShares (N.C.), Inc. has focused on enhancing its digital banking capabilities and expanding its presence in key markets. He has overseen the implementation of new technologies to improve customer service and streamline operations. Covert has also emphasized the importance of community engagement and building strong relationships with local businesses. His strategic decisions have contributed to the bank's stable financial performance and its ability to navigate a challenging economic environment.
SBNC OTC Market Information
The OTC Other tier represents the lowest tier of the OTC market, indicating that Southern BancShares (N.C.), Inc. may not meet the minimum financial standards required for higher tiers like OTCQX or OTCQB. Companies in this tier may have limited financial disclosure and may not be subject to the same regulatory oversight as companies listed on major exchanges like the NYSE or NASDAQ. Investing in companies on the OTC Other tier carries higher risks due to the potential for limited information and liquidity.
- OTC Tier: OTC Other
- Limited financial disclosure
- Lower trading volume and liquidity
- Wider bid-ask spreads
- Potential for price volatility
- Less regulatory oversight compared to major exchanges
- Verify the company's financial statements and disclosures.
- Research the company's management team and their track record.
- Assess the company's business model and competitive landscape.
- Evaluate the company's regulatory compliance and legal risks.
- Understand the risks associated with investing in OTC stocks.
- Consult with a financial advisor before investing.
- Check for any news or announcements that may affect the stock price.
- Long operating history since 1901
- Established presence in North Carolina and Virginia
- Provides traditional banking services
- Operates through a network of approximately 60 offices
SBNC Financial Services Stock FAQ
What does Southern BancShares (N.C.), Inc. do?
Southern BancShares (N.C.), Inc., through its subsidiary Southern Bank and Trust Company, provides a range of commercial banking services to consumers and businesses in North Carolina and Virginia. These services encompass deposit accounts like checking, savings, and money market accounts, as well as loan products including personal, mortgage, and business loans.
What do analysts say about SBNC stock?
As of March 17, 2026, there is no readily available analyst consensus on SBNC stock. Key valuation metrics include a P/E ratio of 41.53 and a dividend yield of 0.21%.
What are the main risks for SBNC?
Southern BancShares (N.C.), Inc. faces several risks, including increased competition from larger banks, the impact of interest rate fluctuations on its net interest margin, and the costs associated with regulatory compliance. The company's negative gross margin also presents a challenge. Additionally, as an OTC-listed stock, SBNC is subject to risks related to limited liquidity, disclosure, and regulatory oversight.
What are the key factors to evaluate for SBNC?
Evaluate SBNC on fundamentals, analyst consensus, and risk factors. Southern BancShares (N.C.), Inc. presents a mixed investment case. Not financial advice.
How frequently does SBNC data refresh on this page?
SBNC's price was last updated on Aug 21, 2026 and refreshes on page view during U.S. market hours — it is not a real-time exchange feed. Fundamentals update after quarterly filings; the MoonshotScore recalculates nightly; news aggregates continuously.
What has driven SBNC's recent stock price performance?
Southern BancShares (N.C.), Inc. (SBNC) moves on earnings results, analyst revisions, sector rotation, and market sentiment. Notable catalyst: Strong local presence in North Carolina and Virginia. See the News tab for the latest drivers. Past performance does not predict future results.
Should investors consider SBNC overvalued or undervalued right now?
Southern BancShares (N.C.), Inc. (SBNC) has no trailing P/E available here, so lean on price-to-sales and cash flow in the Financials tab. Compare P/E, P/S, and EV/EBITDA against sector peers for a full view.
How do I research SBNC before investing?
Before investing in Southern BancShares (N.C.), Inc. (SBNC), research these four areas: (1) the company's revenue model and competitive position (see Company Overview), (2) financial health through revenue growth, margins, and cash flow (see MoonshotScore), (3) analyst consensus ratings and price targets (see Analyst tab), and (4) specific risk factors that could impact the stock (see Risk Factors section).
Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.
Official Resources
Data provided for informational purposes only.
- Financial data is based on the most recently available information.
- OTC analysis is based on general knowledge of OTC markets and may not reflect specific details about SBNC.