First Foundation Inc., through its subsidiaries, provides personal banking, business banking, and private wealth management services in the United States. More Details
Flawless balance sheet and undervalued.
Share Price & News
How has First Foundation's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: FFWM is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: FFWM's weekly volatility (4%) has been stable over the past year.
7 Day Return
1 Year Return
Return vs Industry: FFWM underperformed the US Banks industry which returned 54.2% over the past year.
Return vs Market: FFWM matched the US Market which returned 36.9% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is First Foundation's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 month ago | Simply Wall StWhat Kind Of Investors Own Most Of First Foundation Inc. (NASDAQ:FFWM)?
2 months ago | Simply Wall StShareholders May Be More Conservative With First Foundation Inc.'s (NASDAQ:FFWM) CEO Compensation For Now
2 months ago | Simply Wall StFirst Foundation Inc. (NASDAQ:FFWM) Looks Interesting, And It's About To Pay A Dividend
Is First Foundation undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: FFWM ($21.98) is trading below our estimate of fair value ($51.91)
Significantly Below Fair Value: FFWM is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: FFWM is good value based on its PE Ratio (10.5x) compared to the US Banks industry average (11.3x).
PE vs Market: FFWM is good value based on its PE Ratio (10.5x) compared to the US market (18.6x).
Price to Earnings Growth Ratio
PEG Ratio: FFWM is good value based on its PEG Ratio (0.4x)
Price to Book Ratio
PB vs Industry: FFWM is overvalued based on its PB Ratio (1.4x) compared to the US Banks industry average (1.1x).
How is First Foundation forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: FFWM's forecast earnings growth (24.7% per year) is above the savings rate (2%).
Earnings vs Market: FFWM's earnings (24.7% per year) are forecast to grow faster than the US market (15.1% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: FFWM's revenue (17.1% per year) is forecast to grow faster than the US market (9.3% per year).
High Growth Revenue: FFWM's revenue (17.1% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: FFWM's Return on Equity is forecast to be low in 3 years time (12.7%).
How has First Foundation performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: FFWM has high quality earnings.
Growing Profit Margin: FFWM's current net profit margins (36.1%) are higher than last year (27.5%).
Past Earnings Growth Analysis
Earnings Trend: FFWM's earnings have grown significantly by 32.1% per year over the past 5 years.
Accelerating Growth: FFWM's earnings growth over the past year (60.7%) exceeds its 5-year average (32.1% per year).
Earnings vs Industry: FFWM earnings growth over the past year (60.7%) exceeded the Banks industry 26%.
Return on Equity
High ROE: FFWM's Return on Equity (13.1%) is considered low.
How is First Foundation's financial position? (This company is analysed differently as a bank or financial institution)
Financial Position Analysis
Debt to Equity History and Analysis
Financial Institutions Analysis
Asset Level: FFWM's Assets to Equity ratio (9.9x) is low.
Allowance for Bad Loans: FFWM has a sufficient allowance for bad loans (139%).
Low Risk Liabilities: 99% of FFWM's liabilities are made up of primarily low risk sources of funding.
Loan Level: FFWM has an appropriate level of Loans to Assets ratio (72%).
Low Risk Deposits: FFWM's Loans to Deposits ratio (82%) is appropriate.
Level of Bad Loans: FFWM has an appropriate level of bad loans (0.3%).
What is First Foundation current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: FFWM's dividend (1.64%) is higher than the bottom 25% of dividend payers in the US market (1.33%).
High Dividend: FFWM's dividend (1.64%) is low compared to the top 25% of dividend payers in the US market (3.55%).
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, FFWM has been paying a dividend for less than 10 years.
Growing Dividend: FFWM's dividend payments have increased, but the company has only paid a dividend for 2 years.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (14.3%), FFWM's dividend payments are thoroughly covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: FFWM's dividends in 3 years are forecast to be well covered by earnings (18.3% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Scott Farris Kavanaugh (60 yo)
Mr. Scott Farris K. Kavanaugh has been Independent Director of Vinebrook Homes Trust, Inc. since December 2018. He has been the Chief Executive Officer of First Foundation Inc. since December 2009. Mr. Kav...
CEO Compensation Analysis
Compensation vs Market: Scott Farris's total compensation ($USD2.20M) is about average for companies of similar size in the US market ($USD2.44M).
Compensation vs Earnings: Scott Farris's compensation has been consistent with company performance over the past year.
Experienced Management: FFWM's management team is seasoned and experienced (5.9 years average tenure).
Experienced Board: FFWM's board of directors are seasoned and experienced ( 14.1 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
First Foundation Inc.'s company bio, employee growth, exchange listings and data sources
- Name: First Foundation Inc.
- Ticker: FFWM
- Exchange: NasdaqGM
- Founded: 1985
- Industry: Regional Banks
- Sector: Banks
- Market Cap: US$984.491m
- Shares outstanding: 44.79m
- Website: https://www.firstfoundationinc.com
Number of Employees
- First Foundation Inc.
- 200 Crescent Court
- Suite 1400
- United States
First Foundation Inc., through its subsidiaries, provides personal banking, business banking, and private wealth management services in the United States. It operates through two segments, Banking and Weal...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/07/24 01:53|
|End of Day Share Price||2021/07/23 00:00|
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.