NasdaqGS:SFNC

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Simmons First National

Executive Summary

Simmons First National Corporation operates as the holding company for Simmons Bank that provides financial products and services to individuals and businesses. More Details


Snowflake Analysis

Flawless balance sheet, undervalued and pays a dividend.


Similar Companies

Share Price & News

How has Simmons First National's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: SFNC has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-6.4%

SFNC

-6.2%

US Banks

-0.8%

US Market


1 Year Return

-40.0%

SFNC

-31.3%

US Banks

13.8%

US Market

Return vs Industry: SFNC underperformed the US Banks industry which returned -31.3% over the past year.

Return vs Market: SFNC underperformed the US Market which returned 13.8% over the past year.


Shareholder returns

SFNCIndustryMarket
7 Day-6.4%-6.2%-0.8%
30 Day-13.6%-9.5%-5.0%
90 Day-7.2%-2.5%10.1%
1 Year-37.6%-40.0%-28.9%-31.3%16.4%13.8%
3 Year-43.1%-47.6%-22.5%-28.8%36.9%27.8%
5 Year-26.6%-34.8%14.9%0.8%85.0%64.2%

Price Volatility Vs. Market

How volatile is Simmons First National's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Simmons First National undervalued compared to its fair value and its price relative to the market?

32.0%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: SFNC ($15.16) is trading below our estimate of fair value ($22.28)

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


Price To Earnings Ratio

PE vs Industry: SFNC is good value based on its PE Ratio (6x) compared to the US Banks industry average (9.3x).

PE vs Market: SFNC is good value based on its PE Ratio (6x) compared to the US market (17.6x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: SFNC is good value based on its PB Ratio (0.6x) compared to the US Banks industry average (0.8x).


Next Steps

Future Growth

How is Simmons First National forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

-4.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SFNC's earnings are forecast to decline over the next 3 years (-4.1% per year).

Earnings vs Market: SFNC's earnings are forecast to decline over the next 3 years (-4.1% per year).

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

Revenue vs Market: SFNC's revenue is expected to decline over the next 3 years (-0.3% per year).

High Growth Revenue: SFNC's revenue is forecast to decline over the next 3 years (-0.3% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SFNC's Return on Equity is forecast to be low in 3 years time (6.9%).


Next Steps

Past Performance

How has Simmons First National performed over the past 5 years?

30.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SFNC has high quality earnings.

Growing Profit Margin: SFNC's current net profit margins (32.6%) are higher than last year (31.8%).


Past Earnings Growth Analysis

Earnings Trend: SFNC's earnings have grown significantly by 30.7% per year over the past 5 years.

Accelerating Growth: SFNC's earnings growth over the past year (26.2%) is below its 5-year average (30.7% per year).

Earnings vs Industry: SFNC earnings growth over the past year (26.2%) exceeded the Banks industry -3%.


Return on Equity

High ROE: SFNC's Return on Equity (9.3%) is considered low.


Next Steps

Financial Health

How is Simmons First National'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: SFNC's Assets to Equity ratio (7.5x) is low.

Allowance for Bad Loans: SFNC has a sufficient allowance for bad loans (175%).

Low Risk Liabilities: 87% of SFNC's liabilities are made up of primarily low risk sources of funding.

Loan Level: SFNC has an appropriate level of Loans to Assets ratio (66%).

Low Risk Deposits: SFNC's Loans to Deposits ratio (87%) is appropriate.

Level of Bad Loans: SFNC has an appropriate level of bad loans (0.9%).


Next Steps

Dividend

What is Simmons First National current dividend yield, its reliability and sustainability?

4.49%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: SFNC's dividend (4.49%) is higher than the bottom 25% of dividend payers in the US market (1.72%).

High Dividend: SFNC's dividend (4.49%) is low compared to the top 25% of dividend payers in the US market (4.94%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (26%), SFNC's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: SFNC's dividends in 3 years are forecast to be well covered by earnings (34.6% payout ratio).


Next Steps

  • Explore strong dividend paying companies in the Banks industry.

Management

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

6.7yrs

Average management tenure


CEO

George Makris (63 yo)

6.67yrs

Tenure

US$4,953,017

Compensation

Mr. George A. Makris, Jr., has been Chairman of the Board, President and Chief Executive Officer at Simmons Bank since March 31, 2020. He has been the Non Independent Chairman of the Board and Chief Execut ...


CEO Compensation Analysis

Compensation vs Market: George's total compensation ($USD4.95M) is about average for companies of similar size in the US market ($USD4.61M).

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


Leadership Team

NamePositionTenureCompensationOwnership
George Makris
Non Independent Chairman & CEO6.67yrsUS$4.95m0.44%
$ 7.3m
Robert Fehlman
Senior EVP16.5yrsUS$2.23m0.084%
$ 1.4m
Stephen Massanelli
Executive VPno dataUS$1.06m0.040%
$ 655.1k
David Garner
Executive VP7.67yrsno data0.046%
$ 763.9k
Paul Kanneman
Executive VP & Chief Information Officer3.67yrsUS$920.79k0.014%
$ 235.0k
George Makris
Executive VPno datano data0.034%
$ 560.9k
Jennifer Compton
Executive VP5yrsno data0.021%
$ 343.8k
Matthew Reddin
Executive VP & Chief Banking Officerno dataUS$1.08m0.023%
$ 372.7k

6.7yrs

Average Tenure

58.5yo

Average Age

Experienced Management: SFNC's management team is seasoned and experienced (6.7 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
George Makris
Non Independent Chairman & CEO6.67yrsUS$4.95m0.44%
$ 7.3m
Steven Cossé
Lead Independent Directorno dataUS$142.01k0.069%
$ 1.1m
Jerry Hunter
Independent Director3.67yrsUS$92.01k0.0061%
$ 100.6k
Jay Burchfield
Independent Director5.42yrsUS$112.01k0.089%
$ 1.5m
Mark Doramus
Independent Director5.5yrsUS$122.00k0.018%
$ 296.0k
W. McGeorge
Independent Director15.67yrsUS$102.01k0.087%
$ 1.4m
Marty Casteel
Non Independent Director0.67yrUS$2.00m0.15%
$ 2.4m
Robert Shoptaw
Independent Director14yrsUS$132.00k0.058%
$ 965.7k
Malynda West
Independent Director3.67yrsUS$92.01k0.0067%
$ 110.9k
Edward Drilling
Independent Director12.67yrsUS$102.01k0.014%
$ 227.2k
William Clark
Independent Director12.67yrsUS$102.01k0.018%
$ 292.4k
Eugene Hunt
Independent Director11.33yrsUS$92.00k0.016%
$ 266.1k

6.7yrs

Average Tenure

67.5yo

Average Age

Experienced Board: SFNC's board of directors are considered experienced (6.7 years average tenure).


Ownership

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


Insider Trading Volume

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


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 12.8%.


Top Shareholders

Company Information

Simmons First National Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Simmons First National Corporation
  • Ticker: SFNC
  • Exchange: NasdaqGS
  • Founded: 1903
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$1.653b
  • Shares outstanding: 109.02m
  • Website: https://www.simmonsbank.com

Number of Employees


Location

  • Simmons First National Corporation
  • 501 Main Street
  • Pine Bluff
  • Arkansas
  • 71601
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SFNCNasdaqGS (Nasdaq Global Select)YesClass A Common SharesUSUSDMar 1985

Biography

Simmons First National Corporation operates as the holding company for Simmons Bank that provides financial products and services to individuals and businesses. It offers checking, savings, and time deposi ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/09/27 06:02
End of Day Share Price2020/09/25 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.