Reported Earnings • Apr 28
First quarter 2026 earnings: EPS exceeds analyst expectations First quarter 2026 results: EPS: US$1.67 (up from US$1.55 in 1Q 2025). Revenue: US$65.6m (up 8.4% from 1Q 2025). Net income: US$19.8m (up 7.6% from 1Q 2025). Profit margin: 30% (in line with 1Q 2025). Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 2.1%. Revenue is forecast to grow 9.0% p.a. on average during the next 2 years, compared to a 8.6% growth forecast for the Banks industry in the US. Over the last 3 years on average, earnings per share has increased by 7% per year but the company’s share price has increased by 27% per year, which means it is tracking significantly ahead of earnings growth. Declared Dividend • Mar 20
Fourth quarter dividend of US$0.56 announced Shareholders will receive a dividend of US$0.56. Ex-date: 1st April 2026 Payment date: 15th April 2026 Dividend yield will be 3.5%, which is higher than the industry average of 3.2%. Sustainability & Growth Dividend is well covered by earnings (31% payout ratio) and is expected to be well covered in 3 years' time (21% forecast payout ratio). The dividend has increased by an average of 8.6% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 11% over the next 2 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • Mar 05
Full year 2025 earnings: EPS and revenues exceed analyst expectations Full year 2025 results: EPS: US$6.68 (up from US$4.00 in FY 2024). Revenue: US$253.6m (up 26% from FY 2024). Net income: US$79.2m (up 68% from FY 2024). Profit margin: 31% (up from 24% in FY 2024). The increase in margin was driven by higher revenue. Net interest margin (NIM): 4.29% (up from 3.71% in FY 2024). Non-performing loans: 0.71% (up from 0.35% in FY 2024). Revenue exceeded analyst estimates by 1.6%. Earnings per share (EPS) also surpassed analyst estimates by 1.3%. Revenue is forecast to grow 8.8% p.a. on average during the next 2 years, compared to a 8.7% growth forecast for the Banks industry in the US. Over the last 3 years on average, earnings per share has increased by 1% per year but the company’s share price has increased by 15% per year, which means it is tracking significantly ahead of earnings growth. New Risk • Mar 03
New minor risk - Insider selling There has been significant insider selling in the company's shares over the past 3 months. Total value of shares sold: US$143k This is considered a minor risk. There are several reasons why an insider may be selling, including to cover a tax obligation or pay for some other expense. However, we generally consider it a negative if insiders have been selling, especially if they do so below the current price. It implies that they considered a lower price to be reasonable. This is a weak signal, but if there is a pattern of unexplained selling, it can be a sign the insider believes the company's stock is overpriced. Note: We only include open market transactions and private dispositions of directly owned stock by individuals, not by corporations or trusts. Currently, the following risks have been identified for the company: Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Significant insider selling over the past 3 months (US$143k sold). Recent Insider Transactions • Mar 03
Senior VP & Chief Lending Officer recently sold US$143k worth of stock On the 2nd of March, Mark Franklin sold around 2k shares on-market at roughly US$64.60 per share. This transaction amounted to 23% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. Despite this recent sale, insiders have collectively bought US$164k more than they sold in the last 12 months. Announcement • Mar 03
First Financial Corporation (NasdaqGS:THFF) completed the acquisition of CedarStone Financial, Inc. First Financial Corporation (NasdaqGS:THFF) entered into an Agreement to acquire CedarStone Financial, Inc. for approximately $24.8 million on November 6, 2025. A cash consideration valued at $19.12 per share will be paid by First Financial Corporation. In case of termination of transaction, seller will pay a termination fee of $1 million. The Merger Agreement was unanimously approved by the Boards of Directors of First Financial and CedarStone and is subject to approval of CedarStone's shareholders, regulatory approvals, and other customary closing conditions. The Merger will close in the first quarter of 2026.
Raymond James & Associates, Inc. acted as financial advisor to and John W. Tanselle of Amundsen Davis, LLC acted as legal advisor to First Financial. Forvis Mazars Capital Advisors, LLC acted as financial advisor and D. Taylor Tipton of Baker, Donelson, Bearman, Caldwell & Berkowitz, PC acted as legal advisor to CedarStone. Hovde Group, LLC issued an independent fairness opinion to CedarStone.
First Financial Corporation (NasdaqGS:THFF) completed the acquisition of CedarStone Financial, Inc. on March 1, 2026. Price Target Changed • Feb 19
Price target increased by 15% to US$71.50 Up from US$62.00, the current price target is an average from 2 analysts. New target price is 8.4% above last closing price of US$65.93. Stock is up 27% over the past year. The company is forecast to post earnings per share of US$7.08 for next year compared to US$6.68 last year. Price Target Changed • Feb 17
Price target increased by 9.7% to US$68.00 Up from US$62.00, the current price target is provided by 1 analyst. New target price is approximately in line with last closing price of US$66.96. Stock is up 29% over the past year. The company is forecast to post earnings per share of US$7.10 for next year compared to US$6.68 last year. Price Target Changed • Feb 04
Price target increased by 11% to US$68.00 Up from US$61.50, the current price target is provided by 1 analyst. New target price is approximately in line with last closing price of US$67.69. Stock is up 30% over the past year. The company is forecast to post earnings per share of US$7.10 for next year compared to US$6.68 last year. Announcement • Feb 04
First Financial Corporation Reports Net Charge-Offs for the Fourth Quarter Ended December 31, 2025 First Financial Corporation reported net charge-offs for the fourth quarter ended December 31, 2025. In the fourth quarter of 2025 net charge-offs were $1,766,000 compared to $1,437,000 in the same period of 2024. Declared Dividend • Dec 22
Third quarter dividend increased to US$0.56 Dividend of US$0.56 is 9.8% higher than last year. Ex-date: 2nd January 2026 Payment date: 15th January 2026 Dividend yield will be 3.3%, which is about the same as the industry average. Sustainability & Growth Dividend is well covered by earnings (33% payout ratio) and is expected to be well covered in 3 years' time (30% forecast payout ratio). The dividend has increased by an average of 7.6% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 10% over the next 2 years, which should provide support to the dividend and adequate earnings cover. Announcement • Dec 18
First Financial Corporation Declares Quarterly Dividend, Payable on January 15, 2026 The directors of First Financial Corporation have declared a dividend of 56 cents per share payable on January 15, 2026, to shareholders of record at the close of business January 2, 2026. Announcement • Nov 07
First Financial Corporation (NasdaqGS:THFF) entered into an Agreement to acquire CedarStone Financial, Inc. First Financial Corporation (NasdaqGS:THFF) entered into an Agreement to acquire CedarStone Financial, Inc. for approximately $24.8 million on November 6, 2025. A cash consideration valued at $19.12 per share will be paid by First Financial Corporation. In case of termination of transaction, seller will pay a termination fee of $1 million. The Merger Agreement was unanimously approved by the Boards of Directors of First Financial and CedarStone and is subject to approval of CedarStone's shareholders, regulatory approvals, and other customary closing conditions. The Merger will close in the first quarter of 2026.
Raymond James & Associates, Inc. acted as financial advisor to and John W. Tanselle of Amundsen Davis, LLC acted as legal advisor to First Financial. Forvis Mazars Capital Advisors, LLC acted as financial advisor and D. Taylor Tipton of Baker, Donelson, Bearman, Caldwell & Berkowitz, PC acted as legal advisor to CedarStone. Hovde Group, LLC issued an independent fairness opinion to CedarStone. Reported Earnings • Oct 29
Third quarter 2025 earnings: EPS and revenues exceed analyst expectations Third quarter 2025 results: EPS: US$1.75 (up from US$0.74 in 3Q 2024). Revenue: US$63.8m (up 30% from 3Q 2024). Net income: US$20.8m (up 138% from 3Q 2024). Profit margin: 33% (up from 18% in 3Q 2024). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 2.5%. Earnings per share (EPS) also surpassed analyst estimates by 10%. Revenue is forecast to grow 5.1% p.a. on average during the next 3 years, compared to a 8.1% growth forecast for the Banks industry in the US. Over the last 3 years on average, earnings per share has fallen by 3% per year but the company’s share price has increased by 4% per year, which means it is well ahead of earnings. Announcement • Oct 29
First Financial Corporation Reports Net Charge-Offs for the Third Quarter Ended September 30, 2025 First Financial Corporation reported net charge-offs for the third quarter ended September 30, 2025. For the quarter, the company reported net charge-offs of $1.6 million compared to $4.6 million in the same period of 2024. Recent Insider Transactions • Oct 18
Insider recently bought US$120k worth of stock On the 13th of October, James McDonald bought around 2k shares on-market at roughly US$52.25 per share. This transaction amounted to 24% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. Insiders have collectively bought US$443k more in shares than they have sold in the last 12 months. Declared Dividend • Sep 21
Second quarter dividend of US$0.51 announced Shareholders will receive a dividend of US$0.51. Ex-date: 1st October 2025 Payment date: 15th October 2025 Dividend yield will be 3.5%, which is higher than the industry average of 3.2%. Sustainability & Growth The dividend has increased by an average of 7.6% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 9.9% over the next year, which should provide support to the dividend and adequate earnings cover. Announcement • Sep 18
First Financial Corporation Declares Quarterly Dividend, Payable on October 15, 2025 The directors of First Financial Corporation have declared a dividend of 51 cents per share payable on October 15, 2025, to shareholders of record at the close of business October 1, 2025. Price Target Changed • Jul 29
Price target increased by 8.8% to US$61.50 Up from US$56.50, the current price target is an average from 2 analysts. New target price is 11% above last closing price of US$55.21. Stock is up 22% over the past year. The company is forecast to post earnings per share of US$6.29 for next year compared to US$4.00 last year. Reported Earnings • Jul 22
Second quarter 2025 earnings: EPS and revenues exceed analyst expectations Second quarter 2025 results: EPS: US$1.57 (up from US$0.96 in 2Q 2024). Revenue: US$61.1m (up 32% from 2Q 2024). Net income: US$18.6m (up 64% from 2Q 2024). Profit margin: 30% (up from 25% in 2Q 2024). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 1.9%. Earnings per share (EPS) also surpassed analyst estimates by 12%. Revenue is forecast to grow 8.7% p.a. on average during the next 2 years, compared to a 7.6% growth forecast for the Banks industry in the US. Over the last 3 years on average, earnings per share has fallen by 7% per year but the company’s share price has increased by 7% per year, which means it is well ahead of earnings. Announcement • Jul 22
First Financial Corporation Reports Net Charge-Offs for the Second Quarter of 2025 First Financial Corporation reported net charge-offs for the second quarter of 2025. For the period, the company reported net charge-offs were $1.8 million compared to $1.5 million in the same period of 2024. Declared Dividend • Jun 23
First quarter dividend of US$0.51 announced Shareholders will receive a dividend of US$0.51. Ex-date: 1st July 2025 Payment date: 15th July 2025 Dividend yield will be 3.9%, which is higher than the industry average of 3.2%. Sustainability & Growth The dividend has increased by an average of 7.6% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 13% over the next year, which should provide support to the dividend and adequate earnings cover. Announcement • Jun 19
First Financial Corporation Declares Quarterly Dividend, Payable on July 15, 2025 The directors of First Financial Corporation declared a quarterly dividend of 51 cents per share payable on July 15, 2025, to shareholders of record at the close of business July 1, 2025. Price Target Changed • Apr 28
Price target increased by 7.6% to US$56.67 Up from US$52.67, the current price target is an average from 3 analysts. New target price is 15% above last closing price of US$49.18. Stock is up 34% over the past year. The company is forecast to post earnings per share of US$5.95 for next year compared to US$4.00 last year. Announcement • Apr 23
First Financial Corporation Reports Net Charge-Offs for the First Quarter Ended March 31, 2025 First Financial Corporation reported net charge-offs for the first quarter ended March 31, 2025. In the first quarter of 2025 net charge-offs were $1.8 million compared to $1.5 million in the same period of 2024. Reported Earnings • Apr 22
First quarter 2025 earnings: EPS exceeds analyst expectations First quarter 2025 results: EPS: US$1.55 (up from US$0.93 in 1Q 2024). Revenue: US$60.5m (up 30% from 1Q 2024). Net income: US$18.4m (up 69% from 1Q 2024). Profit margin: 30% (up from 24% in 1Q 2024). The increase in margin was driven by higher revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 20%. Revenue is forecast to grow 10% p.a. on average during the next 2 years, compared to a 7.0% growth forecast for the Banks industry in the US. Over the last 3 years on average, earnings per share has fallen by 7% per year but the company’s share price has increased by 2% per year, which means it is well ahead of earnings. Declared Dividend • Mar 23
Fourth quarter dividend of US$0.51 announced Shareholders will receive a dividend of US$0.51. Ex-date: 1st April 2025 Payment date: 15th April 2025 Dividend yield will be 3.9%, which is higher than the industry average of 3.2%. Sustainability & Growth Dividend is well covered by earnings (46% payout ratio) and is expected to be well covered in 3 years' time (37% forecast payout ratio). The dividend has increased by an average of 7.6% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 36% over the next 2 years, which should provide support to the dividend and adequate earnings cover. Announcement • Mar 20
First Financial Corporation Declares Quarterly Dividend, Payable on April 15, 2025 The directors of First Financial Corporation have declared a dividend of 51 cents per share payable on April 15, 2025, to shareholders of record at the close of business April 1, 2025. Announcement • Mar 18
First Financial Corporation, Annual General Meeting, Apr 16, 2025 First Financial Corporation, Annual General Meeting, Apr 16, 2025. Recent Insider Transactions • Mar 14
Independent Director recently bought US$98k worth of stock On the 12th of March, William Brighton bought around 2k shares on-market at roughly US$48.99 per share. This transaction amounted to 9.1% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. Insiders have collectively bought US$347k more in shares than they have sold in the last 12 months. Reported Earnings • Mar 06
Full year 2024 earnings: EPS and revenues miss analyst expectations Full year 2024 results: EPS: US$4.00 (down from US$5.08 in FY 2023). Revenue: US$201.6m (flat on FY 2023). Net income: US$47.3m (down 22% from FY 2023). Profit margin: 24% (down from 30% in FY 2023). Net interest margin (NIM): 3.71% (down from 3.78% in FY 2023). Non-performing loans: 0.35% (down from 0.78% in FY 2023). Revenue missed analyst estimates by 1.2%. Earnings per share (EPS) also missed analyst estimates by 1.7%. Revenue is forecast to grow 12% p.a. on average during the next 2 years, compared to a 7.2% growth forecast for the Banks industry in the US. Over the last 3 years on average, earnings per share has fallen by 4% per year but the company’s share price has increased by 3% per year, which means it is well ahead of earnings. Announcement • Feb 05
First Financial Corporation Reports Net Charge-Off for the Fourth Quarter Ended December 31, 2024 First Financial Corporation reported net charge-off for the fourth quarter ended December 31, 2024. Fourth quarter net charge-offs were $1.4 million compared to $1.8 million in the same period of 2023. Reported Earnings • Feb 04
Full year 2024 earnings: EPS and revenues miss analyst expectations Full year 2024 results: EPS: US$4.00 (down from US$5.08 in FY 2023). Revenue: US$201.6m (flat on FY 2023). Net income: US$47.3m (down 22% from FY 2023). Profit margin: 24% (down from 30% in FY 2023). Revenue missed analyst estimates by 1.2%. Earnings per share (EPS) also missed analyst estimates by 1.7%. Revenue is forecast to grow 11% p.a. on average during the next 2 years, compared to a 7.5% growth forecast for the Banks industry in the US. Over the last 3 years on average, earnings per share has fallen by 4% per year but the company’s share price has increased by 4% per year, which means it is well ahead of earnings. Declared Dividend • Dec 23
Third quarter dividend increased to US$0.51 Dividend of US$0.51 is 13% higher than last year. Ex-date: 3rd January 2025 Payment date: 15th January 2025 Dividend yield will be 4.0%, which is higher than the industry average of 3.2%. Sustainability & Growth Dividend is well covered by earnings (49% payout ratio) and is expected to be well covered in 3 years' time (36% forecast payout ratio). The dividend has increased by an average of 6.5% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 40% over the next 2 years, which should provide support to the dividend and adequate earnings cover. Price Target Changed • Dec 20
Price target increased by 9.7% to US$51.00 Up from US$46.50, the current price target is an average from 3 analysts. New target price is 9.4% above last closing price of US$46.61. Stock is up 5.7% over the past year. The company is forecast to post earnings per share of US$4.07 for next year compared to US$5.08 last year. Announcement • Dec 18
First Financial Corporation Declares Quarterly Dividend, Payable on January 15, 2025 The directors of First Financial Corporation declared a dividend of 51 cents per share payable on January 15, 2025, to shareholders of record at the close of business January 3, 2025. Valuation Update With 7 Day Price Move • Nov 06
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to US$50.23, the stock trades at a forward P/E ratio of 10x. Average forward P/E is 12x in the Banks industry in the US. Total returns to shareholders of 23% over the past three years. Reported Earnings • Oct 23
Third quarter 2024 earnings: EPS misses analyst expectations Third quarter 2024 results: EPS: US$0.74 (down from US$1.37 in 3Q 2023). Revenue: US$49.0m (down 5.0% from 3Q 2023). Net income: US$8.74m (down 46% from 3Q 2023). Profit margin: 18% (down from 32% in 3Q 2023). The decrease in margin was primarily driven by higher expenses. Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 18%. Revenue is forecast to grow 10% p.a. on average during the next 3 years, compared to a 6.6% growth forecast for the Banks industry in the US. Over the last 3 years on average, earnings per share has fallen by 1% per year whereas the company’s share price has remained flat. Upcoming Dividend • Sep 24
Upcoming dividend of US$0.45 per share Eligible shareholders must have bought the stock before 01 October 2024. Payment date: 15 October 2024. Payout ratio is a comfortable 31% and this is well supported by cash flows. Trailing yield: 4.1%. Lower than top quartile of American dividend payers (4.3%). Higher than average of industry peers (2.9%). Announcement • Sep 19
First Financial Corporation Declares Quarterly Dividend, Payable on October 15, 2024 The directors of First Financial Corporation declared a dividend of 45 cents per share payable on October 15, 2024, to shareholders of record at the close of business October 1, 2024. Price Target Changed • Aug 01
Price target increased by 11% to US$47.00 Up from US$42.50, the current price target is an average from 2 analysts. New target price is 8.6% above last closing price of US$43.27. Stock is up 14% over the past year. The company is forecast to post earnings per share of US$4.03 for next year compared to US$5.08 last year. Reported Earnings • Jul 24
Second quarter 2024 earnings: EPS in line with expectations, revenues disappoint Second quarter 2024 results: EPS: US$0.96 (down from US$1.33 in 2Q 2023). Revenue: US$46.2m (down 9.1% from 2Q 2023). Net income: US$11.4m (down 29% from 2Q 2023). Profit margin: 25% (down from 31% in 2Q 2023). Revenue missed analyst estimates by 2.9%. Earnings per share (EPS) were mostly in line with analyst estimates. Revenue is forecast to grow 15% p.a. on average during the next 2 years, compared to a 6.3% growth forecast for the Banks industry in the US. Over the last 3 years on average, earnings per share has increased by 4% per year and the company’s share price has also increased by 4% per year. Announcement • Jul 24
First Financial Corporation Reports Net Charge Offs for the Second Quarter Ended June 30, 2024 First Financial Corporation reported net charge offs for the second quarter ended June 30, 2024. for the quarter, the company reported net charge-offs were $4.677 million compared to $1.513 million in the same period of 2023. Valuation Update With 7 Day Price Move • Jul 15
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to US$42.19, the stock trades at a forward P/E ratio of 10x. Average forward P/E is 11x in the Banks industry in the US. Total returns to shareholders of 19% over the past three years. Announcement • Jun 25
First Financial Corporation Declares Quarterly Dividend, Payable July 15, 2024 First Financial Corporation declared a dividend of 45 cents per share payable on July 15, 2024, to shareholders of record at the close of business July 1, 2024. Reported Earnings • May 03
First quarter 2024 earnings: EPS and revenues miss analyst expectations First quarter 2024 results: EPS: US$0.93 (down from US$1.33 in 1Q 2023). Revenue: US$46.6m (down 10% from 1Q 2023). Net income: US$10.9m (down 32% from 1Q 2023). Profit margin: 24% (down from 31% in 1Q 2023). Revenue missed analyst estimates by 4.8%. Earnings per share (EPS) also missed analyst estimates by 5.1%. Revenue is forecast to grow 12% p.a. on average during the next 2 years, compared to a 6.0% growth forecast for the Banks industry in the US. Over the last 3 years on average, earnings per share has increased by 8% per year but the company’s share price has fallen by 6% per year, which means it is significantly lagging earnings. Announcement • May 03
First Financial Corporation Reports Net Charge-Off for the First Quarter Ended March 31, 2024 First Financial Corporation reported net charge-off for the first quarter ended March 31, 2024. For the period, the company reported net charge-offs were $1,522,000 compared to $1,959,000 in the same period of 2023. Major Estimate Revision • May 02
Consensus EPS estimates fall by 14% The consensus outlook for earnings per share (EPS) in fiscal year 2024 has deteriorated. 2024 revenue forecast decreased from US$229.8m to US$220.5m. EPS estimate also fell from US$4.44 per share to US$3.82 per share. Net income forecast to shrink 26% next year vs 1.5% growth forecast for Banks industry in the US . Consensus price target down from US$43.50 to US$42.50. Share price was steady at US$37.51 over the past week. Announcement • Mar 20
First Financial Corporation Declares Quarterly Dividend, Payable on April 15, 2024 The directors of First Financial Corporation have declared a dividend of 45 cents per share payable on April 15, 2024, to shareholders of record at the close of business April 1, 2024. Announcement • Mar 16
First Financial Corporation, Annual General Meeting, Apr 17, 2024 First Financial Corporation, Annual General Meeting, Apr 17, 2024, at 11:00 Eastern Daylight. Location: One First Financial Plaza Terre Haute Indiana United States Agenda: To elect nominees to the Board of Directors of the Corporation for a term expiring in 2027 or until each of their successors are duly elected and qualified; to conduct a non-binding advisory vote to approve the compensation of Named Executive Officers as described in the Proxy Statement; to ratify the appointment of Crowe LLP as independent registered public accounting firm for the fiscal year ending December 31, 2024; and to transact such other business as may properly be presented at the meeting or any adjournment or postponement thereof. Reported Earnings • Mar 12
Full year 2023 earnings: EPS and revenues miss analyst expectations Full year 2023 results: EPS: US$5.08 (down from US$5.82 in FY 2022). Revenue: US$202.7m (down 6.9% from FY 2022). Net income: US$60.7m (down 15% from FY 2022). Profit margin: 30% (down from 33% in FY 2022). The decrease in margin was driven by lower revenue. Net interest margin (NIM): 3.78% (up from 3.54% in FY 2022). Non-performing loans: 0.78% (up from 0.31% in FY 2022). Revenue missed analyst estimates by 1.7%. Earnings per share (EPS) also missed analyst estimates by 1.6%. Revenue is forecast to grow 9.3% p.a. on average during the next 2 years, compared to a 5.9% growth forecast for the Banks industry in the US. Over the last 3 years on average, earnings per share has increased by 12% per year but the company’s share price has fallen by 6% per year, which means it is significantly lagging earnings. New Risk • Feb 11
New major risk - Revenue and earnings growth Earnings are forecast to decline by an average of 0.08% per year for the foreseeable future. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are expected to decline, then in most cases the share price will decline over time as well. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risk Earnings are forecast to decline by an average of 0.08% per year for the foreseeable future. Minor Risk Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Major Estimate Revision • Feb 06
Consensus EPS estimates fall by 11% The consensus outlook for earnings per share (EPS) in fiscal year 2024 has deteriorated. 2024 revenue forecast decreased from US$233.0m to US$229.8m. EPS estimate also fell from US$4.63 per share to US$4.14 per share. Net income forecast to shrink 21% next year vs 3.8% decline forecast for Banks industry in the US. Consensus price target down from US$44.50 to US$43.00. Share price fell 12% to US$37.13 over the past week. Reported Earnings • Jan 30
Full year 2023 earnings: EPS and revenues miss analyst expectations Full year 2023 results: EPS: US$5.08 (down from US$5.82 in FY 2022). Revenue: US$202.7m (down 6.9% from FY 2022). Net income: US$60.7m (down 15% from FY 2022). Profit margin: 30% (down from 33% in FY 2022). The decrease in margin was driven by lower revenue. Revenue missed analyst estimates by 1.7%. Earnings per share (EPS) also missed analyst estimates by 1.6%. Revenue is forecast to grow 9.9% p.a. on average during the next 2 years, compared to a 5.6% growth forecast for the Banks industry in the US. Over the last 3 years on average, earnings per share has increased by 12% per year but the company’s share price has only increased by 2% per year, which means it is significantly lagging earnings growth. Price Target Changed • Jan 10
Price target increased by 7.2% to US$44.50 Up from US$41.50, the current price target is an average from 2 analysts. New target price is 8.2% above last closing price of US$41.13. Stock is down 9.2% over the past year. The company is forecast to post earnings per share of US$5.12 for next year compared to US$5.82 last year. Announcement • Dec 27
First Financial Corporation and First Financial Bank N.A Announces Retirement of Steven H. Holliday as Chief Credit Officer Effective June 28, 2024 On December 26, 2023, First Financial Corporation (the “Corporation”) announced that Steven H. Holliday, the Chief Credit Officer of the Corporation and First Financial Bank N.A., and a named executive officer for the Corporation’s 2023 fiscal year, will retire effective June 28, 2024. Upcoming Dividend • Dec 22
Upcoming dividend of US$0.45 per share at 2.1% yield Eligible shareholders must have bought the stock before 29 December 2023. Payment date: 16 January 2024. Payout ratio is a comfortable 20% and this is well supported by cash flows. Trailing yield: 2.1%. Lower than top quartile of American dividend payers (4.6%). Lower than average of industry peers (3.2%). Announcement • Nov 22
First Financial Corporation Declares Quarterly Dividend, Payable on January 16, 2024 The directors of First Financial Corporation have declared a dividend of 45 cents per share payable on January 16, 2024, to shareholders of record at the close of business January 2, 2024. The Corporation further announced its intention to pay dividends quarterly as opposed to semi-annually as in the past. Reported Earnings • Oct 25
Third quarter 2023 earnings: EPS exceeds analyst expectations Third quarter 2023 results: EPS: US$1.37 (down from US$1.50 in 3Q 2022). Revenue: US$51.6m (down 4.8% from 3Q 2022). Net income: US$16.3m (down 9.8% from 3Q 2022). Profit margin: 32% (down from 33% in 3Q 2022). The decrease in margin was driven by lower revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 17%. Revenue is forecast to stay flat during the next 2 years compared to a 4.3% growth forecast for the Banks industry in the US. Over the last 3 years on average, earnings per share has increased by 14% per year but the company’s share price has fallen by 1% per year, which means it is significantly lagging earnings. Announcement • Oct 22
First Financial Corporation Announces CEO Transition First Financial Corporation announced a leadership transition. Norman D. Lowery, Senior Vice President and Chief Operating Officer of the Company will succeed his father, Norman L. Lowery, as Chief Executive Officer on January 1, 2024. Norman L. Lowery, the Company's current Chairman, President and Chief Executive Officer, will serve as Executive Chairman of the Board through December 31, 2024, at which time he will transition to the role of non-executive Chairman of the Board. In his role as Chief Operating Officer, Norman has driven continued improvement in operational execution as the company have grown in size and expanded the footprint of business. During his 33 years with First Financial, Norman has developed a deep knowledge of varied lines of business and the communities are so fortunate to serve. Norman D. Lowery, 55, was named Chief Operating Officer in 2010 and was first elected to the Company's board of directors in 2020. Norman L. Lowery, 76, joined the Company's board of directors in 1989 and was appointed Chairman of the Board in 2020. He has served as the Chairman, President and Chief Executive Officer of First Financial Bank, N.A. since 1996 and was named Chief Executive Officer and President of the Company in 2004 and 2013, respectively. Announcement • Oct 21
First Financial Corporation Announces Executive Transition First Financial Corporation announced a leadership transition. Norman D. Lowery, Senior Vice President and Chief Operating Officer of the Company will succeed his father, Norman L. Lowery, as President and Chief Executive Officer on January 1, 2024. Norman L. Lowery, the Company's current Chairman, President and Chief Executive Officer, will serve as Executive Chairman of the Board through December 31, 2024, at which time he will transition to the role of non-executive Chairman of the Board. In his role as Chief Operating Officer, Norman has driven continued improvement in operational execution as the company have grown in size and expanded the footprint of business. During his 33 years with First Financial, Norman has developed a deep knowledge of varied lines of business and the communities are so fortunate to serve. Norman D. Lowery, 55, was named Chief Operating Officer in 2010 and was first elected to the Company's board of directors in 2020. Norman L. Lowery, 76, joined the Company's board of directors in 1989 and was appointed Chairman of the Board in 2020. He has served as the Chairman, President and Chief Executive Officer of First Financial Bank, N.A. since 1996 and was named Chief Executive Officer and President of the Company in 2004 and 2013, respectively. Announcement • Jul 26
First Financial Corporation Reports Net Charge-Offs Second Quarter Ended June 30, 2023 First Financial Corporation reported net charge-offs Second Quarter ended June 30, 2023. For the quarter, the company reported net charge-offs were $1.5 million compared to net recoveries of $202 thousand in the same period of 2022. Reported Earnings • Jul 25
Second quarter 2023 earnings: EPS exceeds analyst expectations while revenues lag behind Second quarter 2023 results: EPS: US$1.33 (up from US$1.28 in 2Q 2022). Revenue: US$50.8m (up 11% from 2Q 2022). Net income: US$16.0m (up 2.4% from 2Q 2022). Profit margin: 31% (down from 34% in 2Q 2022). The decrease in margin was driven by higher expenses. Revenue missed analyst estimates by 2.3%. Earnings per share (EPS) exceeded analyst estimates by 9.3%. Revenue is forecast to grow 1.5% p.a. on average during the next 2 years, compared to a 4.4% growth forecast for the Banks industry in the US. Over the last 3 years on average, earnings per share has increased by 15% per year but the company’s share price has only increased by 3% per year, which means it is significantly lagging earnings growth. Upcoming Dividend • Jun 08
Upcoming dividend of US$0.54 per share at 2.9% yield Eligible shareholders must have bought the stock before 15 June 2023. Payment date: 03 July 2023. Payout ratio is a comfortable 20% and this is well supported by cash flows. Trailing yield: 2.9%. Lower than top quartile of American dividend payers (5.0%). Lower than average of industry peers (3.6%). Announcement • May 18
First Financial Corporation Declares Semi-Annual Dividend, Payable on July 3, 2023 First Financial Corporation have declared a semi-annual dividend of 54 cents per share payable on July 3, 2023, to shareholders of record at the close of business June 16, 2023. Today’s declaration increases the total dividend paid in 2023 to $1.28 per share, a 9.4% increase from 2022 and is the Corporation’s 35th consecutive year of increased regular dividends. Recent Insider Transactions • May 12
Independent Director recently bought US$64k worth of stock On the 9th of May, Thomas Martin bought around 2k shares on-market at roughly US$32.15 per share. This transaction amounted to 40% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. Insiders have collectively bought US$350k more in shares than they have sold in the last 12 months. Price Target Changed • May 03
Price target decreased by 8.9% to US$46.00 Down from US$50.50, the current price target is an average from 2 analysts. New target price is 40% above last closing price of US$32.87. Stock is down 24% over the past year. The company is forecast to post earnings per share of US$4.90 for next year compared to US$5.82 last year. Reported Earnings • Apr 26
First quarter 2023 earnings: Revenues miss analyst expectations First quarter 2023 results: Revenue: US$51.9m (down 11% from 1Q 2022). Net income: US$16.0m (down 24% from 1Q 2022). Profit margin: 31% (down from 36% in 1Q 2022). The decrease in margin was driven by lower revenue. Revenue missed analyst estimates by 2.3%. Revenue is forecast to grow 1.8% p.a. on average during the next 2 years, compared to a 3.3% growth forecast for the Banks industry in the US. Over the last 3 years on average, earnings per share has increased by 14% per year but the company’s share price has fallen by 2% per year, which means it is significantly lagging earnings. Recent Insider Transactions • Mar 14
Independent Director recently bought US$60k worth of stock On the 10th of March, Paul Pierson bought around 2k shares on-market at roughly US$40.18 per share. This transaction amounted to 25% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. Insiders have collectively bought US$184k more in shares than they have sold in the last 12 months. Announcement • Feb 08
First Financial Corporation Reports Net Charge-Offs for the Fourth Quarter Ended December 31, 2022 First Financial Corporation reported net charge-offs for the fourth quarter ended December 31, 2022. For the quarter, the company reported net charge-offs were $2.4 million compared to $1.8 million in the same period of 2021. Reported Earnings • Feb 07
Full year 2022 earnings: EPS in line with analyst expectations despite revenue beat Full year 2022 results: EPS: US$5.82 (up from US$4.02 in FY 2021). Revenue: US$213.8m (up 17% from FY 2021). Net income: US$71.1m (up 34% from FY 2021). Profit margin: 33% (up from 29% in FY 2021). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 2.4%. Earnings per share (EPS) were mostly in line with analyst estimates. Revenue is forecast to grow 2.7% p.a. on average during the next 2 years, compared to a 6.4% growth forecast for the Banks industry in the US. Over the last 3 years on average, earnings per share has increased by 13% per year but the company’s share price has only increased by 1% per year, which means it is significantly lagging earnings growth. Buying Opportunity • Jan 05
Now 21% undervalued after recent price drop Over the last 90 days, the stock is down 1.6%. The fair value is estimated to be US$56.65, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 7.1% over the last 3 years. Earnings per share has grown by 10.0%. Revenue is forecast to grow by 12% in 2 years. Earnings is forecast to decline by 0.7% in the next 2 years. Upcoming Dividend • Dec 29
Upcoming dividend of US$0.74 per share Eligible shareholders must have bought the stock before 05 January 2023. Payment date: 13 January 2023. Payout ratio is a comfortable 21% and this is well supported by cash flows. Trailing yield: 2.3%. Lower than top quartile of American dividend payers (4.5%). Lower than average of industry peers (3.2%). Reported Earnings • Oct 26
Third quarter 2022 earnings: EPS and revenues exceed analyst expectations Third quarter 2022 results: EPS: US$1.50 (up from US$1.24 in 3Q 2021). Revenue: US$54.2m (up 12% from 3Q 2021). Net income: US$18.1m (up 12% from 3Q 2021). Profit margin: 33% (in line with 3Q 2021). Revenue exceeded analyst estimates by 3.4%. Earnings per share (EPS) also surpassed analyst estimates by 11%. Revenue is forecast to grow 3.0% p.a. on average during the next 3 years, compared to a 6.5% growth forecast for the Banks industry in the US. Over the last 3 years on average, earnings per share has increased by 10% per year but the company’s share price has only increased by 3% per year, which means it is significantly lagging earnings growth. Reported Earnings • Jul 27
Second quarter 2022 earnings: EPS and revenues exceed analyst expectations Second quarter 2022 results: EPS: US$1.28. Revenue: US$50.0m (up 2.5% from 2Q 2021). Net income: US$15.6m (down 6.0% from 2Q 2021). Profit margin: 31% (down from 34% in 2Q 2021). The decrease in margin was driven by higher expenses. Revenue exceeded analyst estimates by 2.8%. Earnings per share (EPS) also surpassed analyst estimates by 16%. Over the next year, revenue is forecast to grow 3.1%, compared to a 15% growth forecast for the industry in the US. Upcoming Dividend • Jun 09
Upcoming dividend of US$0.54 per share Eligible shareholders must have bought the stock before 16 June 2022. Payment date: 01 July 2022. Payout ratio is a comfortable 22% and this is well supported by cash flows. Trailing yield: 2.5%. Lower than top quartile of American dividend payers (3.9%). Lower than average of industry peers (2.8%). Announcement • May 19
First Financial Corporation Declares Semi-Annual Dividend, Payable on July 1, 2022 The directors of First Financial Corporation have declared a semi-annual dividend of 54 cents per share payable on July 1, 2022, to shareholders of record at the close of business June 17, 2022. Today’s declaration increases the total dividend paid in 2022 to $1.17 per share, a 1.9% increase from 2021 and is the Corporation's 34th consecutive year of increased regular dividends. Major Estimate Revision • May 03
Consensus EPS estimates increase by 11% The consensus outlook for earnings per share (EPS) in 2022 has improved. 2022 revenue forecast increased from US$196.2m to US$198.3m. EPS estimate increased from US$4.46 to US$4.94 per share. Net income forecast to shrink 1.1% next year vs 1.9% growth forecast for Banks industry in the US . Consensus price target of US$49.33 unchanged from last update. Share price was steady at US$43.22 over the past week. Reported Earnings • Apr 27
First quarter 2022 earnings: EPS and revenues exceed analyst expectations First quarter 2022 results: EPS: US$1.67 (up from US$0.95 in 1Q 2021). Revenue: US$58.1m (up 33% from 1Q 2021). Net income: US$20.9m (up 63% from 1Q 2021). Profit margin: 36% (up from 29% in 1Q 2021). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 9.5%. Earnings per share (EPS) also surpassed analyst estimates by 65%. Over the next year, revenue is forecast to stay flat compared to a 11% growth forecast for the industry in the US. Over the last 3 years on average, earnings per share has increased by 7% per year but the company’s share price has only increased by 2% per year, which means it is significantly lagging earnings growth. Announcement • Apr 27
First Financial Corporation Reports Net Charge-Off for the First Quarter ended March 31, 2022 First Financial Corporation reported net charge-off for the first quarter ended March 31, 2022. For the period, the company reported net charge-offs of $1.2 million compared to $728 thousand in the same period of 2021. Announcement • Mar 23
First Financial Corporation, Annual General Meeting, Apr 20, 2022 First Financial Corporation, Annual General Meeting, Apr 20, 2022, at 11:00 US Eastern Standard Time. Agenda: To elect each of the nominees to the Board of Directors of the Corporation for a term expiring in 2025 or until each of their successors are duly elected and qualified; to conduct a non-binding advisory vote to approve the compensation of its Named Executive Officers as described in the Proxy Statement;to ratify the appointment of Crowe LLP as our independent registered public accounting firm for the fiscal year ending December 31, 2022; and to transact such other business as may properly be presented at the meeting or any adjournment or postponement thereof. Reported Earnings • Mar 11
Full year 2021 earnings: EPS misses analyst expectations Full year 2021 results: EPS: US$4.02 (up from US$3.93 in FY 2020). Revenue: US$183.0m (up 2.7% from FY 2020). Net income: US$53.0m (down 1.6% from FY 2020). Profit margin: 29% (down from 30% in FY 2020). The decrease in margin was driven by higher expenses. Net interest margin (NIM): 3.20% (down from 4.05% in FY 2020). Non-performing loans: 0.53% (down from 0.84% in FY 2020). Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 8.6%. Over the next year, revenue is forecast to grow 5.7%, compared to a 6.5% growth forecast for the banks industry in the US. Over the last 3 years on average, earnings per share has increased by 5% per year whereas the company’s share price has increased by 1% per year. Reported Earnings • Feb 03
Full year 2021 earnings: EPS misses analyst expectations Full year 2021 results: EPS: US$4.02 (up from US$3.93 in FY 2020). Revenue: US$183.0m (up 2.7% from FY 2020). Net income: US$53.0m (down 1.6% from FY 2020). Profit margin: 29% (down from 30% in FY 2020). The decrease in margin was driven by higher expenses. Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 8.6%. Over the next year, revenue is forecast to grow 6.1%, compared to a 4.5% growth forecast for the banks industry in the US. Over the last 3 years on average, earnings per share has increased by 5% per year whereas the company’s share price has increased by 1% per year. Announcement • Feb 02
First Financial Corporation Reports Net Charge-Offs for the Fourth Quarter Ended December 31, 2021 First Financial Corporation reported net charge-offs for the fourth quarter ended December 31, 2021. In the fourth quarter of 2021 net charge-offs were $1.8 million compared to $416,000 in the same period of 2020. Upcoming Dividend • Dec 31
Upcoming dividend of US$0.63 per share Eligible shareholders must have bought the stock before 06 January 2022. Payment date: 14 January 2022. Payout ratio is a comfortable 23% and this is well supported by cash flows. Trailing yield: 2.3%. Lower than top quartile of American dividend payers (3.5%). In line with average of industry peers (2.3%).