Latest news with #SBCF
Yahoo
28-07-2025
- Business
- Yahoo
Seacoast Banking Corp of Florida (SBCF) Q2 2025 Earnings Call Highlights: Strong Net Income ...
Release Date: July 25, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Positive Points Seacoast Banking Corp of Florida (NASDAQ:SBCF) reported a substantial 36% increase in net income from the prior quarter, driven by a 10 basis point expansion in net interest margin. The company achieved a solid annualized loan growth of 6.4%, supported by a strong commercial pipeline and successful recruitment of top talent. Asset quality remains sound with non-performing loans declining to 0.61% of total loans and net charge-offs at just $2.5 million. The acquisition of Heartland Bank shares was successfully closed, and the company is on track to close the Villages Bank Corporation acquisition, which is expected to enhance profitability. Seacoast Banking Corp of Florida (NASDAQ:SBCF) maintained a strong capital position with a tier one capital ratio of 14.6% and a tangible common equity to tangible assets ratio of 9.75%. Negative Points The competitive landscape in Florida is becoming increasingly challenging, particularly in the commercial real estate sector. Deposit costs, although managed down, remain a focus area, with the need to balance growth and rate management. The company faces uncertainty due to potential economic and fiscal policy decisions impacting borrowers. There is pressure on loan pricing and structure, with increased competition leading to spread compression and longer interest-only periods demanded by sponsors. The impact of tariffs and potential rate cuts by the Federal Reserve add uncertainty to future financial performance. Q & A Highlights Warning! GuruFocus has detected 4 Warning Signs with BOM:500183. Q: Can you discuss the drivers behind the recent growth trends and the competitive landscape in Florida? A: Chuck Schaffer, Chairman and CEO, explained that growth is driven by successful recruitment of top talent and strong economic conditions in Florida. The competitive landscape is intense, with large banks re-entering the commercial real estate space, but Seacoast continues to perform well by carefully selecting opportunities. Q: How do you view funding costs and opportunities for core deposit growth, especially with the Heartland and Villages deals? A: Michael Young, Treasurer, noted that proactive management has reduced deposit costs. The focus is on growing core operating accounts and leveraging banker relationships to bring in full customer relationships. Seasonal trends should also support deposit growth in the second half of the year. Q: With the two acquisitions and potential Fed rate cuts, how do you plan to optimize the balance sheet? A: Michael Young highlighted that the acquisitions provide valuable deposit franchises, allowing for balance sheet optimization and margin expansion. The focus will be on managing interest rate risk and leveraging banker hires for loan growth, aiming for a loan-to-deposit ratio of 80-85%. Q: How do you anticipate deposit betas evolving with potential rate cuts? A: Michael Young stated that Seacoast was aggressive with deposit betas during rate hikes to protect liquidity and plans to be similarly aggressive in reducing them as rates decline. The expectation is to return to more normalized betas with future Fed cuts. Q: What is your outlook on credit quality and charge-offs? A: Chuck Schaffer and Michael Young both emphasized that credit quality remains stable, with no signs of deterioration. The expectation is for charge-offs to stabilize at mid-cycle levels of 20-25 basis points, following the liquidation of a consumer fintech portfolio that previously impacted charge-offs. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. 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
25-07-2025
- Business
- Yahoo
Here's What Key Metrics Tell Us About Seacoast Banking (SBCF) Q2 Earnings
Seacoast Banking (SBCF) reported $151.39 million in revenue for the quarter ended June 2025, representing a year-over-year increase of 19.6%. EPS of $0.52 for the same period compares to $0.36 a year ago. The reported revenue compares to the Zacks Consensus Estimate of $145.15 million, representing a surprise of +4.3%. The company delivered an EPS surprise of +23.81%, with the consensus EPS estimate being $0.42. While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance. As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately. Here is how Seacoast Banking performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: Net Interest Margin: 3.6% versus the three-analyst average estimate of 3.5%. Efficiency Ratio: 57% versus the three-analyst average estimate of 61.6%. Net charge-offs to average loans: 0.1% versus the two-analyst average estimate of 0.3%. Nonperforming loans: $64.2 million versus $74.34 million estimated by two analysts on average. Total Nonperforming Assets: $69.53 million versus the two-analyst average estimate of $81.56 million. Average Balance - Total Earning Assets: $14.25 billion versus the two-analyst average estimate of $14.21 billion. Total noninterest income: $24.52 million versus $21.84 million estimated by three analysts on average. Net interest income - FTE: $127.29 million versus the three-analyst average estimate of $122.18 million. Net interest income: $126.86 million versus $123.19 million estimated by two analysts on average. View all Key Company Metrics for Seacoast Banking here>>> Shares of Seacoast Banking have returned +10.8% over the past month versus the Zacks S&P 500 composite's +5.7% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Seacoast Banking Corporation of Florida (SBCF) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research 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
07-07-2025
- Business
- Yahoo
3 Bank Stocks in the Doghouse
Banks serve as the backbone of the economy, facilitating lending, deposits, and financial services that keep businesses and consumers moving forward. But worries about an economic slowdown and potential credit deterioration have kept sentiment in check, and over the past six months, the banking industry's 4.7% return has trailed the S&P 500 by 1.5 percentage points. While some banks have strong balance sheets and diversified revenue streams that enable them to thrive in any environment, the odds aren't great for the ones we're analyzing today. Taking that into account, here are three bank stocks that may face trouble. Market Cap: $2.51 billion Founded during the Florida land boom of 1926 and surviving the Great Depression, Seacoast Banking Corporation of Florida (NASDAQ:SBCF) is a financial holding company that provides commercial and retail banking, wealth management, and mortgage services throughout Florida. Why Does SBCF Worry Us? Muted 3.6% annual revenue growth over the last two years shows its demand lagged behind its bank peers Earnings per share fell by 12% annually over the last two years while its revenue grew, showing its incremental sales were much less profitable Annual interest expenses are high relative to its profits, increasing the probability of its failure to meet certain borrowing obligations Seacoast Banking's stock price of $29.18 implies a valuation ratio of 1.1x forward P/B. To fully understand why you should be careful with SBCF, check out our full research report (it's free). Market Cap: $1.12 billion Founded in 1902 in Ohio and expanding through both organic growth and acquisitions, Peoples Bancorp (NASDAQ:PEBO) is a financial holding company that provides banking, insurance, equipment leasing, and investment services to consumers and businesses. Why Are We Wary of PEBO? Demand will likely fall over the next 12 months as Wall Street expects flat net interest income Tangible book value per share stagnated over the last five years and signals the need for new capital management strategies Low interest coverage ratio indicates the company may struggle to service its debt obligations if operational performance deteriorates Peoples Bancorp is trading at $32.38 per share, or 1x forward P/B. Dive into our free research report to see why there are better opportunities than PEBO. Market Cap: $165.7 billion With operations in nearly 160 countries and a history dating back to 1812, Citigroup (NYSE:C) is a global financial services company that provides banking, investment, wealth management, and payment solutions to consumers, corporations, and governments. Why Are We Hesitant About C? Large revenue base makes it harder to expand quickly, and its annual net interest income growth of 5.7% over the last four years was below our standards for the bank sector Estimated net interest income growth of 2.6% for the next 12 months implies demand will slow from its four-year trend Inferior net interest margin of 2.4% means it must compensate for lower profitability through increased loan originations At $88.72 per share, Citigroup trades at 0.8x forward P/B. Read our free research report to see why you should think twice about including C in your portfolio, it's free. Donald Trump's victory in the 2024 U.S. Presidential Election sent major indices to all-time highs, but stocks have retraced as investors debate the health of the economy and the potential impact of tariffs. While this leaves much uncertainty around 2025, a few companies are poised for long-term gains regardless of the political or macroeconomic climate, like our Top 6 Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today for free. Find your next big winner with StockStory today. Find your next big winner with StockStory today 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
Globe and Mail
02-07-2025
- Business
- Globe and Mail
Seacoast Banking Corporation of Florida to Announce Second Quarter Earnings Results July 24, 2025
Seacoast Banking Corporation of Florida (NASDAQ: SBCF), a bank holding company whose operating entity is Seacoast Bank, today announced it will release second quarter 2025 results on July 24 th, after the market closes. Upon release, investors may access a copy of Seacoast's earnings results at the company's website on the home page by selecting 'Press Releases' under the heading 'News/Events.' Seacoast will host a conference call July 25 th at 10:00 a.m. Eastern Time, to discuss the second quarter 2025 earnings results and business trends. Investors may call in (toll-free) by dialing (800) 715-9871 (Conference ID: 5614613). Charts will be used during the conference call and may be accessed at Seacoast's website at by selecting 'Presentations' under the heading 'News/Events.' Additionally, a recording of the call will be made available to individuals shortly after the conference call and can be accessed via a link at under the heading 'Corporate Information.' The recording will be available for one year. About Seacoast Banking Corporation of Florida (NASDAQ: SBCF) Seacoast Banking Corporation of Florida is one of the largest community banks headquartered in Florida with $15.7 billion in assets and $12.6 billion in deposits as of March 31, 2025. Seacoast provides integrated financial services including commercial and consumer banking, wealth management, and mortgage services to customers at 79 full-service branches across Florida, and through advanced mobile and online banking solutions. Seacoast National Bank is the wholly-owned subsidiary bank of Seacoast Banking Corporation of Florida. For more information about the Seacoast, visit
Yahoo
24-06-2025
- Business
- Yahoo
3 Reasons SBCF is Risky and 1 Stock to Buy Instead
Over the past six months, Seacoast Banking's shares (currently trading at $25.77) have posted a disappointing 6.9% loss while the S&P 500 was flat. This might have investors contemplating their next move. Is there a buying opportunity in Seacoast Banking, or does it present a risk to your portfolio? See what our analysts have to say in our full research report, it's free. Even with the cheaper entry price, we don't have much confidence in Seacoast Banking. Here are three reasons why SBCF doesn't excite us and a stock we'd rather own. We at StockStory place the most emphasis on long-term growth, but within financials, a stretched historical view may miss recent interest rate changes, market returns, and industry trends. Seacoast Banking's recent performance shows its demand has slowed significantly as its annualized revenue growth of 3.6% over the last two years was well below its five-year trend. We track the long-term change in earnings per share (EPS) because it highlights whether a company's growth is profitable. Seacoast Banking's flat EPS over the last five years was below its 11.7% annualized revenue growth. This tells us the company became less profitable on a per-share basis as it expanded. Leverage is core to the bank's business model (loans funded by deposits) and to ensure their stability, regulators require certain levels of capital and liquidity, focusing on a bank's Tier 1 capital ratio. Tier 1 capital is the highest-quality capital that a bank holds, consisting primarily of common stock and retained earnings, but also physical gold. It serves as the primary cushion against losses and is the first line of defense in times of financial distress. This capital is divided by risk-weighted assets to derive the Tier 1 capital ratio. Risk-weighted means that cash and US treasury securities are assigned little risk while unsecured consumer loans and equity investments get much higher risk weights, for example. New regulation after the 2008 financial crisis requires that all banks must maintain a Tier 1 capital ratio greater than 4.5% On top of this, there are additional buffers based on scale, risk profile, and other regulatory classifications, so that at the end of the day, banks generally must maintain a 7-10% ratio at minimum. Over the last two years, Seacoast Banking has averaged a Tier 1 capital ratio of 14.5%, which is considered unsafe in the event of a black swan or if macro or market conditions suddenly deteriorate. For this reason alone, we will be crossing it off our shopping list. Seacoast Banking isn't a terrible business, but it doesn't pass our bar. After the recent drawdown, the stock trades at 1× forward P/B (or $25.77 per share). At this valuation, there's a lot of good news priced in - we think other companies feature superior fundamentals at the moment. We'd suggest looking at a safe-and-steady industrials business benefiting from an upgrade cycle. The market surged in 2024 and reached record highs after Donald Trump's presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025. While the crowd speculates what might happen next, we're homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver's seat and build a durable portfolio by checking out our Top 5 Strong Momentum Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today. 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
