Raymond James Financial Upgrades ServisFirst Bancshares (NYSE:SFBS) to Strong-Buy

ServisFirst Bancshares (NYSE:SFBS) was upgraded by stock analysts at Raymond James Financial from an “outperform” rating to a “strong-buy” rating in a note issued to investors on Wednesday,Benzinga reports. The brokerage presently has a $95.00 price objective on the financial services provider’s stock. Raymond James Financial’s target price would indicate a potential upside of 24.42% from the company’s previous close.

Several other analysts have also recently commented on the stock. Hovde Group upgraded shares of ServisFirst Bancshares from a “market perform” rating to an “outperform” rating and set a $89.00 price objective for the company in a research note on Friday, December 19th. Weiss Ratings restated a “hold (c)” rating on shares of ServisFirst Bancshares in a research report on Monday, December 29th. Piper Sandler cut their price target on ServisFirst Bancshares from $90.00 to $80.00 and set a “neutral” rating on the stock in a research report on Tuesday, October 21st. Finally, Zacks Research upgraded ServisFirst Bancshares from a “strong sell” rating to a “hold” rating in a research note on Friday, December 19th. One analyst has rated the stock with a Strong Buy rating, one has given a Buy rating and three have issued a Hold rating to the company. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $88.00.

ServisFirst Bancshares Trading Down 2.4%

NYSE SFBS opened at $76.36 on Wednesday. The stock has a market cap of $4.17 billion, a P/E ratio of 16.35 and a beta of 0.93. The company has a current ratio of 0.96, a quick ratio of 0.96 and a debt-to-equity ratio of 0.04. ServisFirst Bancshares has a 12-month low of $66.48 and a 12-month high of $93.90. The company has a fifty day simple moving average of $73.08 and a two-hundred day simple moving average of $77.75.

ServisFirst Bancshares (NYSE:SFBS) last posted its quarterly earnings results on Tuesday, January 20th. The financial services provider reported $1.58 earnings per share for the quarter, beating the consensus estimate of $1.38 by $0.20. The business had revenue of $162.21 million for the quarter, compared to the consensus estimate of $151.82 million. ServisFirst Bancshares had a return on equity of 15.67% and a net margin of 25.24%. On average, analysts forecast that ServisFirst Bancshares will post 5.17 earnings per share for the current year.

Hedge Funds Weigh In On ServisFirst Bancshares

A number of large investors have recently added to or reduced their stakes in the stock. Royal Bank of Canada grew its position in shares of ServisFirst Bancshares by 17.2% in the first quarter. Royal Bank of Canada now owns 16,815 shares of the financial services provider’s stock valued at $1,390,000 after purchasing an additional 2,465 shares during the period. AQR Capital Management LLC increased its stake in ServisFirst Bancshares by 70.9% during the 1st quarter. AQR Capital Management LLC now owns 8,989 shares of the financial services provider’s stock worth $742,000 after buying an additional 3,730 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its holdings in shares of ServisFirst Bancshares by 4.5% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 30,194 shares of the financial services provider’s stock valued at $2,494,000 after acquiring an additional 1,308 shares during the last quarter. Millennium Management LLC lifted its position in shares of ServisFirst Bancshares by 107.3% in the first quarter. Millennium Management LLC now owns 146,442 shares of the financial services provider’s stock valued at $12,096,000 after acquiring an additional 75,799 shares in the last quarter. Finally, Caxton Associates LLP purchased a new position in shares of ServisFirst Bancshares in the first quarter valued at approximately $204,000. 67.31% of the stock is currently owned by institutional investors and hedge funds.

ServisFirst Bancshares News Roundup

Here are the key news stories impacting ServisFirst Bancshares this week:

• Positive Sentiment: Q4 results beat expectations — GAAP diluted EPS $1.58 vs. consensus ~$1.38 and revenue of $162.2M topped estimates; full‑year adjusted EPS rose ~26% YoY. Strong profitability metrics (net income, ROE) are the main catalyst for the rally. GlobeNewswire: Q4 Results
• Positive Sentiment: Net interest margin and core growth improved — NIM expanded to 3.38% (↑42 bps YoY), loans grew ~$385M in Q4 and deposits rose ~$676M YoY; efficiency ratio fell into the high‑20s. These items point to sustainably stronger net interest income and operating leverage. QuiverQuant: Q4 Metrics
• Positive Sentiment: Shareholder returns and capital — quarterly cash dividend was increased ~13% and book value per share showed double‑digit annual growth; capital ratios remain healthy, supporting dividends and growth. GlobeNewswire: Dividend & Capital
• Neutral Sentiment: Geographic expansion noted — management announced entry into the Texas market with an experienced commercial banking team; this increases long‑term growth optionality but is early stage. MSN: Texas growth
• Neutral Sentiment: More detail available — full earnings release and call transcript provide management commentary on margin drivers, balance‑sheet mix and expense control for investors wanting to dig deeper. Seeking Alpha: Call transcript
• Negative Sentiment: Credit quality deterioration — nonperforming assets rose to ~0.97% (from 0.26% YoY) driven by a large real‑estate secured relationship; net charge‑offs and provisions ticked up. This is the primary risk investors are watching and could weigh on multiple quarters if the trend continues. QuiverQuant: Credit items
• Negative Sentiment: Higher tax expense and one‑off items — Q4 effective tax rate and income tax expense increased materially YoY, reducing some of the after‑tax upside; management disclosed non‑GAAP adjustments and portfolio restructuring items that investors should normalize. GlobeNewswire: Taxes & adjustments

ServisFirst Bancshares Company Profile

ServisFirst Bancshares, Inc is a bank holding company headquartered in Birmingham, Alabama, and the parent of ServisFirst Bank. The company specializes in commercial banking services, catering primarily to small and mid-sized businesses, professionals and entrepreneurs. Its product portfolio encompasses commercial real estate lending, commercial and industrial loans, deposit accounts, treasury management and other ancillary banking products designed to meet the financial needs of its clients.

ServisFirst Bank offers a full suite of deposit products, including interest-bearing checking, money market accounts and certificates of deposit, as well as a variety of loan products.