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FBIZ

First Business Financial ServicesNasdaqGS:FBIZ Stock Report

Market Cap

US$240.0m

7D

-1.7%

1Y

48.3%

Updated

02 Dec, 2021

Data

Company Financials +
FBIZ fundamental analysis
Snowflake Score
Valuation4/6
Future Growth0/6
Past Performance5/6
Financial Health6/6
Dividends5/6

FBIZ Stock Overview

First Business Financial Services, Inc. operates as the bank holding company for First Business Bank that provides commercial banking products and services for small and medium-sized businesses, business owners, executives, professionals, and high net worth individuals.

First Business Financial Services Competitors

Metropolitan Bank Holding

NYSE:MCB

US$1.0b

Nicolet Bankshares

NasdaqCM:NCBS

US$852.4m

Horizon Bancorp

NasdaqGS:HBNC

US$844.3m

QCR Holdings

NasdaqGM:QCRH

US$841.3m

Price History & Performance

Summary of all time highs, changes and price drops for First Business Financial Services
Historical stock prices
Current Share PriceUS$28.77
52 Week HighUS$31.89
52 Week LowUS$17.56
Beta0.97
1 Month Change-4.16%
3 Month Change3.94%
1 Year Change48.30%
3 Year Change42.29%
5 Year Change26.24%
Change since IPO121.31%

Recent News & Updates

Shareholder Returns

FBIZUS BanksUS Market
7D-1.7%-7.2%-4.9%
1Y48.3%36.7%17.8%

Return vs Industry: FBIZ exceeded the US Banks industry which returned 36.7% over the past year.

Return vs Market: FBIZ exceeded the US Market which returned 17.8% over the past year.

Price Volatility

Is FBIZ's price volatile compared to industry and market?
FBIZ volatility
FBIZ Average Weekly Movement2.7%
Banks Industry Average Movement3.7%
Market Average Movement6.0%
10% most volatile stocks in US Market15.1%
10% least volatile stocks in US Market2.4%

Stable Share Price: FBIZ is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: FBIZ's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1986307Corey Chambashttps://www.firstbusiness.com

First Business Financial Services, Inc. operates as the bank holding company for First Business Bank that provides commercial banking products and services for small and medium-sized businesses, business owners, executives, professionals, and high net worth individuals. The company offers deposit products, such as non-interest-bearing transaction accounts, interest-bearing transaction accounts, money market accounts, time deposits, and certificates of deposit, as well as credit cards. It also provides loan products, including commercial real estate loans, commercial and industrial loans, small business administration loans, and direct financing leases, as well as consumer and other loans comprising home equity, first and second mortgage, and other personal loans for professional and executive clients.

First Business Financial Services Fundamentals Summary

How do First Business Financial Services's earnings and revenue compare to its market cap?
FBIZ fundamental statistics
Market CapUS$240.05m
Earnings (TTM)US$32.37m
Revenue (TTM)US$114.23m

7.5x

P/E Ratio

1.1x

P/B Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
FBIZ income statement (TTM)
RevenueUS$114.23m
Cost of RevenueUS$0
Gross ProfitUS$114.23m
ExpensesUS$81.86m
EarningsUS$32.37m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)3.86
Gross Margin100.00%
Net Profit Margin28.34%
Debt/Equity Ratio193.6%

How did FBIZ perform over the long term?

See historical performance and comparison

Dividends

2.5%

Current Dividend Yield

18%

Payout Ratio

Valuation

Is First Business Financial Services undervalued compared to its fair value and its price relative to the market?

43.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: FBIZ ($28.77) is trading below our estimate of fair value ($50.56)

Significantly Below Fair Value: FBIZ is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: FBIZ is good value based on its PE Ratio (7.5x) compared to the US Banks industry average (10.5x).

PE vs Market: FBIZ is good value based on its PE Ratio (7.5x) compared to the US market (16.6x).


Price to Earnings Growth Ratio

PEG Ratio: FBIZ's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: FBIZ's PB Ratio (1.1x) is in line with the US Banks industry average.


Future Growth

How is First Business Financial Services forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

-6.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: FBIZ's earnings are forecast to decline over the next 3 years (-6.7% per year).

Earnings vs Market: FBIZ's earnings are forecast to decline over the next 3 years (-6.7% per year).

High Growth Earnings: FBIZ's earnings are forecast to decline over the next 3 years.

Revenue vs Market: FBIZ's revenue (5.5% per year) is forecast to grow slower than the US market (10.1% per year).

High Growth Revenue: FBIZ's revenue (5.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: FBIZ's Return on Equity is forecast to be low in 3 years time (11.7%).


Past Performance

How has First Business Financial Services performed over the past 5 years?

15.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: FBIZ has high quality earnings.

Growing Profit Margin: FBIZ's current net profit margins (28.3%) are higher than last year (19.3%).


Past Earnings Growth Analysis

Earnings Trend: FBIZ's earnings have grown by 15.5% per year over the past 5 years.

Accelerating Growth: FBIZ's earnings growth over the past year (99.6%) exceeds its 5-year average (15.5% per year).

Earnings vs Industry: FBIZ earnings growth over the past year (99.6%) exceeded the Banks industry 43%.


Return on Equity

High ROE: FBIZ's Return on Equity (14.8%) is considered low.


Financial Health

How is First Business Financial Services's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet


Financial Institutions Analysis

Asset Level: FBIZ's Assets to Equity ratio (11.5x) is moderate.

Allowance for Bad Loans: FBIZ has a sufficient allowance for bad loans (332%).

Low Risk Liabilities: 81% of FBIZ's liabilities are made up of primarily low risk sources of funding.

Loan Level: FBIZ has an appropriate level of Loans to Assets ratio (81%).

Low Risk Deposits: FBIZ's Loans to Deposits ratio (110%) is appropriate.

Level of Bad Loans: FBIZ has an appropriate level of bad loans (0.3%).


Dividend

What is First Business Financial Services's current dividend yield, its reliability and sustainability?

2.50%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: FBIZ's dividend (2.5%) is higher than the bottom 25% of dividend payers in the US market (1.37%).

High Dividend: FBIZ's dividend (2.5%) is low compared to the top 25% of dividend payers in the US market (3.69%).


Stability and Growth of Payments

Stable Dividend: FBIZ's dividends per share have been stable in the past 10 years.

Growing Dividend: FBIZ's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (18.3%), FBIZ's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: FBIZ's dividends in 3 years are forecast to be well covered by earnings (21.7% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

7.4yrs

Average management tenure


CEO

Corey Chambas (58 yo)

14.92yrs

Tenure

US$1,375,012

Compensation

Mr. Corey A. Chambas has been the Chief Executive Officer of First Business Financial Services, Inc. and First Business Capital Corp. since December 2006 and has been its President since February 2005. Mr....


CEO Compensation Analysis

Compensation vs Market: Corey's total compensation ($USD1.38M) is about average for companies of similar size in the US market ($USD1.13M).

Compensation vs Earnings: Corey's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: FBIZ's management team is seasoned and experienced (7.4 years average tenure).


Board Members

Experienced Board: FBIZ's board of directors are considered experienced (4.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: FBIZ insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

First Business Financial Services, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: First Business Financial Services, Inc.
  • Ticker: FBIZ
  • Exchange: NasdaqGS
  • Founded: 1986
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$240.046m
  • Shares outstanding: 8.39m
  • Website: https://www.firstbusiness.com

Number of Employees


Location

  • First Business Financial Services, Inc.
  • 401 Charmany Drive
  • Madison
  • Wisconsin
  • 53719
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/12/02 00:03
End of Day Share Price2021/12/01 00:00
Earnings2021/09/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.