| 2021 | 2022 | 2023 | 2024 (projected) | Interest Expense | 8.8M | 18.3M | 9.4M | 9.0M | Depreciation And Amortization | 6.2M | 6.1M | 6.5M | 4.1M |
Ownership Breakdown
| Retail Investors20.94% | Institutions75.01% |
| Retail Investors | 20.94 | |
| Insiders | 4.05 | |
| Institutions | 75.01 |
Should you hold on to your First Financial position?
 | By Vlad Skutelnik | Macroaxis Story |
Every cloud has a silver lining, and this could be the case for investors holding onto their First Financial stock. As a prominent player in the Banks - Regional industry, First Financial has a market capitalization of $415.9M and employs 861 full-time staff. Despite a challenging environment marked by a quarterly earnings growth loss of 23%, the company has managed to maintain a steady day typical price of $35.27. First Financial's return on assets stands at 1.23%, a figure that is crucial in evaluating the efficiency of the company's management in deploying assets to generate earnings. Moreover, the company has a robust net interest income of $167.3M, indicating a healthy margin between the interest income generated, which is $228.4M, and the amount of interest paid out. However, investors should be aware of the negative price action indicator of -0.33, which could signal potential downward pressure on the stock. On the brighter side, the company offers a dividend yield of 2.56%, providing a steady income stream for investors. The estimated analyst target price for the stock is $41.5, suggesting potential upside from the current price. In conclusion, while First Financial has faced some headwinds, its solid financials and potential for growth make it a stock worth retaining in your portfolio. As always, investors are advised to conduct their own thorough research before making any investment decisions. First Financial's Days Sales Outstanding is expected to slightly decrease in the coming years. The company's current Book Value Per Share is projected to rise to 46.44, while its Enterprise Value is anticipated to fall to approximately $214.5 million. With growing investor interest in the banking sector, it's worthwhile to focus on First Financial. We will examine whether the company can further reduce net losses this year. This article will discuss key factors influencing First Financial's products and services, and how these may affect the company's investment outlook in May.
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Reviewed by Raphi Shpitalnik
Investing in First Financial Stock (THFF.US) from a product viewpoint presents a mixed bag. The company, operating in the Banks - Regional sector, has a substantial enterprise value of 520.1M and a healthy revenue per share of 16.98. However, it's worth noting that the Jensen Alpha, a risk-adjusted performance measure, stands at a loss of 0.19, indicating underperformance when compared to the expected return. Additionally, the company's income before tax is at 72.5M, which, while substantial, may not be enough to offset the potential risks associated with the negative market risk adjusted performance of -0.12.
Main Points
Institutional investors own over 75% of First Financial's shares. This institutional ownership includes mutual funds, pension funds, insurance companies, investment firms, and foundations, among other large entities that manage money on behalf of others. For our latest analysis of First Financial, including its current ownership structure, please refer to our ownership diagnostics.The performance of First Financial in the marketplace will significantly impact your decision to invest in its stock. Revenue growth, profitability, competitive positioning, management quality, and industry trends can influence First Financial's stock prices. When investing in First Financial, there are several factors to consider and potential outcomes to expect. As a company performs well, its stock price may increase, allowing investors to benefit from price appreciation. However, First Stock can experience significant price fluctuations due to market conditions, economic factors, industry trends, or company-specific news. This is why investing in stocks such as First Financial carries risks, including the potential for capital loss. Stock prices can decline, and investors may incur losses if they sell shares at a lower price than their initial investment.And What about dividends?
A dividend is the distribution of a portion of First Financial earnings, decided and managed by the company's board of directors and paid to a class of its shareholders. Note, announcements of dividend payouts are generally accompanied by a proportional increase or decrease in a company's stock price. First Financial dividend payments follow a chronological order of events, and the associated dates are important to determine the shareholders who qualify for receiving the dividend payment. First one year expected dividend income is about USD1.03 per share.
The First Financial's current Dividend Payout Ratio is estimated to increase to 0.27, while Dividends Paid is projected to decrease to roughly 11.1 M. | Last Reported | Projected for Next Year | ||
| Dividends Paid | 15.4 M | 11.1 M | |
| Dividend Yield | 0.03 | 0.02 | |
| Dividend Payout Ratio | 0.25 | 0.27 | |
| Dividend Paid And Capex Coverage Ratio | 3.93 | 2.47 |
Investing in dividend-paying stocks, such as First Financial is one of the few strategies that are good for long-term investment. Ex-dividend dates are significant because investors in First Financial must own a stock before its ex-dividend date to receive its next dividend.
This type of analysis is very useful when you want to generate a past dividend schedule and payout information for First Financial. Then that information in the form of graph and calendar can be used to fully explain how Du Pont dividends can provide a real clue to its valuation.How important is First Financial's Liquidity
First Financial financial leverage refers to using borrowed capital as a funding source to finance First Financial ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. First Financial financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Financial leverage can amplify the potential profits to First Financial's owners, but it also increases the potential losses and risk of financial distress, including bankruptcy, if the firm cannot cover its debt costs. The degree of First Financial's financial leverage can be measured in several ways, including by ratios such as the debt-to-equity ratio (total debt / total equity), equity multiplier (total assets / total equity), or the debt ratio (total debt / total assets). Please check the breakdown between First Financial's total debt and its cash.
First Financial Gross Profit
First Financial Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing First Financial previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show First Financial Gross Profit growth over the last 10 years. Please check First Financial's gross profit and other fundamental indicators for more details.
What is driving First Financial Investor Appetite?
The market capitalization of First Financial is $415.86 Million. The majority of First Financial outstanding shares are owned by other corporate entities. These outside corporations are usually referred to as non-private investors looking to obtain positions in First Financial to benefit from reduced commissions. Consequently, institutional investors are subject to a different set of regulations than regular investors in First Financial. Please pay attention to any change in the institutional holdings of First Financial as this could imply that something significant has changed or is about to change at the company. Note, that even with substantial debt, if the true value of the firm is larger than the current market value, you may still be able to generate positive returns on investment in this company at some point.
As the old adage goes, "Don't put all your eggs in one basket," but when it comes to First Financial stock, it might be worth keeping a few in there. With a five-year return of 2.47% and a low beta of 0.51, this stock offers a stable investment opportunity in the volatile world of finance. Despite a quarterly revenue growth showing a loss of 19%, the company's net income from continuing operations stands at a robust $60.7M, indicating a strong financial backbone. Furthermore, the EPS estimate for the next year is a promising $5.33, suggesting potential for growth. Given these factors, retaining your First Financial stock could indeed be a profitable move. .
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