Latest news with #Arkansas
Yahoo
an hour ago
- Business
- Yahoo
Bank OZK (NASDAQ:OZK) Surprises With Q2 Sales
Regional banking company Bank OZK (NASDAQ:OZK) reported revenue ahead of Wall Street's expectations in Q2 CY2025, with sales up 16.4% year on year to $428 million. Its GAAP profit of $1.58 per share was 1.8% above analysts' consensus estimates. Is now the time to buy Bank OZK? Find out in our full research report. Bank OZK (OZK) Q2 CY2025 Highlights: Net Interest Income: $396.7 million vs analyst estimates of $389.8 million (2.3% year-on-year growth, 1.8% beat) Net Interest Margin: 4.4% vs analyst estimates of 4.3% (32 basis point year-on-year decrease, in line) Revenue: $428 million vs analyst estimates of $423.3 million (16.4% year-on-year growth, 1.1% beat) Efficiency Ratio: 35.5% vs analyst estimates of 35.4% (in line) EPS (GAAP): $1.58 vs analyst estimates of $1.55 (1.8% beat) Market Capitalization: $5.76 billion George Gleason, Chairman and Chief Executive Officer, stated, 'One of our goals for 2025 is to improve on our record 2024 net income and EPS. Our strong results for the first half of the year put us in a great position to achieve that goal. Our talented, entrepreneurial and veteran team is well suited for the very dynamic environment in which we operate today. Our excellent results for the quarter included record net income, record EPS, record net interest income, excellent growth in loans and deposits, and solid asset quality. These results demonstrate our team's ability to proactively and effectively manage the various challenges of this environment while capitalizing on numerous opportunities.' Company Overview Founded in 1903 and rebranded from Bank of the Ozarks in 2018, Bank OZK (NASDAQ:OZK) is a commercial bank that specializes in real estate lending while offering a full range of banking services to individuals and businesses. Sales Growth Two primary revenue streams drive bank earnings. While net interest income, which is earned by charging higher rates on loans than paid on deposits, forms the foundation, fee-based services across banking, credit, wealth management, and trading operations provide additional income. Over the last five years, Bank OZK grew its revenue at an incredible 22.9% compounded annual growth rate. Its growth beat the average bank company and shows its offerings resonate with customers, a helpful starting point for our analysis. We at StockStory place the most emphasis on long-term growth, but within financials, a half-decade historical view may miss recent interest rate changes, market returns, and industry trends. Bank OZK's annualized revenue growth of 10.3% over the last two years is below its five-year trend, but we still think the results suggest healthy demand. Note: Quarters not shown were determined to be outliers, impacted by outsized investment gains/losses that are not indicative of the recurring fundamentals of the business. This quarter, Bank OZK reported year-on-year revenue growth of 16.4%, and its $428 million of revenue exceeded Wall Street's estimates by 1.1%. Net interest income made up 97.6% of the company's total revenue during the last five years, meaning Bank OZK lives and dies by its lending activities because non-interest income barely moves the needle. While banks generate revenue from multiple sources, investors view net interest income as the cornerstone - its predictable, recurring characteristics stand in sharp contrast to the volatility of non-interest income. Today's young investors likely haven't read the timeless lessons in Gorilla Game: Picking Winners In High Technology because it was written more than 20 years ago when Microsoft and Apple were first establishing their supremacy. But if we apply the same principles, then enterprise software stocks leveraging their own generative AI capabilities may well be the Gorillas of the future. So, in that spirit, we are excited to present our Special Free Report on a profitable, fast-growing enterprise software stock that is already riding the automation wave and looking to catch the generative AI next. Tangible Book Value Per Share (TBVPS) The balance sheet drives banking profitability since earnings flow from the spread between borrowing and lending rates. As such, valuations for these companies concentrate on capital strength and sustainable equity accumulation potential. When analyzing banks, tangible book value per share (TBVPS) takes precedence over many other metrics. This measure isolates genuine per-share value by removing intangible assets of debatable liquidation worth. Other (and more commonly known) per-share metrics like EPS can sometimes be murky due to M&A or accounting rules allowing for loan losses to be spread out. Bank OZK's TBVPS grew at an incredible 10.5% annual clip over the last five years. TBVPS growth has also accelerated recently, growing by 13.9% annually over the last two years from $33.67 to $43.72 per share. Over the next 12 months, Consensus estimates call for Bank OZK's TBVPS to grow by 11% to $48.54, solid growth rate. Key Takeaways from Bank OZK's Q2 Results It was encouraging to see Bank OZK beat analysts' net interest income, revenue, and EPS expectations this quarter. Zooming out, we think this was a solid quarter. The stock traded up 1.7% to $52.95 immediately after reporting. Is Bank OZK an attractive investment opportunity at the current price? The latest quarter does matter, but not nearly as much as longer-term fundamentals and valuation, when deciding if the stock is a buy. We cover that in our actionable full research report which you can read here, it's free. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
an hour ago
- Business
- Yahoo
Simmons First National (NASDAQ:SFNC) Reports Sales Below Analyst Estimates In Q2 Earnings
Regional banking company Simmons First National (NASDAQ:SFNC) fell short of the market's revenue expectations in Q2 CY2025, but sales rose 8.6% year on year to $214.2 million. Its non-GAAP profit of $0.44 per share was 12.8% above analysts' consensus estimates. Is now the time to buy Simmons First National? Find out in our full research report. Simmons First National (SFNC) Q2 CY2025 Highlights: Net Interest Income: $171.8 million vs analyst estimates of $170.7 million (11.6% year-on-year growth, 0.7% beat) Net Interest Margin: 3.1% vs analyst estimates of 3% (37 basis point year-on-year increase, 6.5 bps beat) Revenue: $214.2 million vs analyst estimates of $217.1 million (8.6% year-on-year growth, 1.4% miss) Efficiency Ratio: 62.8% vs analyst estimates of 63.1% (in line) Adjusted EPS: $0.44 vs analyst estimates of $0.39 (12.8% beat) Market Capitalization: $2.45 billion Company Overview With roots dating back to 1903 and a presence across Arkansas, Kansas, Missouri, Oklahoma, Tennessee, and Texas, Simmons First National (NASDAQ:SFNC) is a regional bank holding company that provides banking and financial services to individuals and businesses. Sales Growth In general, banks make money from two primary sources. The first is net interest income, which is interest earned on loans, mortgages, and investments in securities minus interest paid out on deposits. The second source is non-interest income, which can come from bank account, credit card, wealth management, investing banking, and trading fees. Over the last five years, Simmons First National's demand was weak and its revenue declined by 2.1% per year. This wasn't a great result and is a sign of poor business quality. Long-term growth is the most important, but within financials, a half-decade historical view may miss recent interest rate changes and market returns. Simmons First National's recent performance shows its demand remained suppressed as its revenue has declined by 4.9% annually over the last two years. Note: Quarters not shown were determined to be outliers, impacted by outsized investment gains/losses that are not indicative of the recurring fundamentals of the business. This quarter, Simmons First National's revenue grew by 8.6% year on year to $214.2 million, missing Wall Street's estimates. Net interest income made up 78.6% of the company's total revenue during the last five years, meaning lending operations are Simmons First National's largest source of revenue. While banks generate revenue from multiple sources, investors view net interest income as the cornerstone - its predictable, recurring characteristics stand in sharp contrast to the volatility of non-interest income. Software is eating the world and there is virtually no industry left that has been untouched by it. That drives increasing demand for tools helping software developers do their jobs, whether it be monitoring critical cloud infrastructure, integrating audio and video functionality, or ensuring smooth content streaming. Click here to access a free report on our 3 favorite stocks to play this generational megatrend. Tangible Book Value Per Share (TBVPS) Banks are balance sheet-driven businesses because they generate earnings primarily through borrowing and lending. They're also valued based on their balance sheet strength and ability to compound book value (another name for shareholders' equity) over time. When analyzing banks, tangible book value per share (TBVPS) takes precedence over many other metrics. This measure isolates genuine per-share value by removing intangible assets of debatable liquidation worth. EPS can become murky due to acquisition impacts or accounting flexibility around loan provisions, and TBVPS resists financial engineering manipulation. Simmons First National's TBVPS grew at a sluggish 1.4% annual clip over the last five years. However, TBVPS growth has accelerated recently, growing by 5.8% annually over the last two years from $15.17 to $16.97 per share. Over the next 12 months, Consensus estimates call for Simmons First National's TBVPS to grow by 7.3% to $18.20, mediocre growth rate. Key Takeaways from Simmons First National's Q2 Results We enjoyed seeing Simmons First National beat analysts' net interest income, NIM, and EPS expectations this quarter. On the other hand, its revenue and tangible book value per share fell slightly short of Wall Street's estimates. Zooming out, we think this was a mixed quarter. The stock remained flat at $19.80 immediately following the results. Should you buy the stock or not? If you're making that decision, you should consider the bigger picture of valuation, business qualities, as well as the latest earnings. We cover that in our actionable full research report which you can read here, it's free. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
an hour ago
- Business
- Yahoo
Simmons First National: Q2 Earnings Snapshot
PINE BLUFF, Ark. (AP) — PINE BLUFF, Ark. (AP) — Simmons First National Corp. (SFNC) on Thursday reported second-quarter net income of $54.8 million. The Pine Bluff, Arkansas-based bank said it had earnings of 43 cents per share. Earnings, adjusted for one-time gains and costs, were 44 cents per share. The results surpassed Wall Street expectations. The average estimate of three analysts surveyed by Zacks Investment Research was for earnings of 40 cents per share. The bank holding company posted revenue of $357.4 million in the period. Its revenue net of interest expense was $214.2 million, which also topped Street forecasts. _____ This story was generated by Automated Insights ( using data from Zacks Investment Research. Access a Zacks stock report on SFNC at Sign in to access your portfolio
Yahoo
an hour ago
- Business
- Yahoo
Bank OZK: Q2 Earnings Snapshot
LITTLE ROCK, Ark. (AP) — LITTLE ROCK, Ark. (AP) — Bank OZK (OZK) on Thursday reported second-quarter earnings of $183 million. The Little Rock, Arkansas-based bank said it had earnings of $1.58 per share. The results exceeded Wall Street expectations. The average estimate of five analysts surveyed by Zacks Investment Research was for earnings of $1.51 per share. The bank posted revenue of $699.6 million in the period. Its revenue net of interest expense was $428 million, also topping Street forecasts. Four analysts surveyed by Zacks expected $417.7 million. _____ This story was generated by Automated Insights ( using data from Zacks Investment Research. Access a Zacks stock report on OZK at Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Fox News
3 hours ago
- Business
- Fox News
House Settlement Provides Level NIL Playing Field in SEC, Says Arkansas Coach
Arkansas head coach Sam Pittman says a $2.8 billion antitrust settlement that went into effect this month has leveled the college football playing field in a good way. Pittman said Arkansas now has a chance to compete on more even terms with other SEC powers like Georgia, Alabama and Texas. Pittman said at SEC media days that his program had previously dealt with a financial disadvantage against schools with more established name, image and likeness collectives since NIL payments began in 2022. According to the terms of the House settlement, each school can now share up to about $20.5 million with their athletes. "Financially, with revenue sharing, I think we are finally back on [an] even keel with everybody, which we weren't," said Pittman, whose team finished 7-6 in 2024. "If I was going to make an excuse, it would be financially is why we haven't done quite as well. ... But I think now with it being even, look out, the Razorbacks are coming." Pittman and most other coaches brought seniors and graduate players to represent their teams at SEC media days, which concluded Thursday. Pittman brought two 2021 recruits and a transfer, but Arkansas could have difficulty finding seniors next year from his original 2022 signing class because many members of that class have transferred. Pittman, whose Razorbacks have earned bowl bids in four of his five seasons, said players have different reasons for transferring but that many were lured away from Arkansas by more attractive NIL packages at other schools. When asked about the 2022 class, Pittman said, "Here's what it's not because of: the way they're treated, because of the way they're developed, because of the way they're taught." "That's not the reason. It could be playing time. It could be finances. Probably the majority of it is finances." The House settlement era began on July 1. The enforcement of the House settlement is still being worked out as the new College Sports Commission informed athletic directors in letters last week that it was rejecting payments to players from collectives created only to pay players instead of as payment for NIL. Some seniors at SEC media days said NIL payments and the transfer portal have contributed to their decisions to complete their eligibility instead of leaving school early to pursue opportunities in the NFL. "I would most definitely say so," Missouri offensive lineman Connor Tollison said. "Obviously, you know, you have a chance to make some money these days. ... With the transfer portal, if you don't have [a necessarily good] opportunity at this place you're at, you have the chance to go somewhere else and get a fresh start. "It wasn't necessarily something I experienced to my college career, but I've seen it. You know, it works for plenty of players. So yeah, I think it's good for the players." When asked if NIL makes it easier for players to complete their eligibility, Kentucky coach Mark Stoops, coming off a 4-8 season, said, "Listen, we all love our players, whether they're one year in our program, six months, or four years." Linebacker Alex Afari, defensive back Jordan Lovett and tight end Josh Kattus were the seniors who accompanied Stoops to Atlanta. "Of course I love making money from name, image and likeness," Lovett said. "But I love football first. You know, football was my first love. So I play for the game, not for money." Lovett added his primary motivation for returning was to earn his first win over Georgia. "It's the big part of college football now because some dudes just make decisions off, you know, the financial stuff," Lovett said. "I love football. ... I still haven't, you know, beat Georgia yet. You know, Georgia's one of my goals." Reporting by The Associated Press. Want great stories delivered right to your inbox? Create or log in to your FOX Sports account, and follow leagues, teams and players to receive a personalized newsletter daily!
