Business First Bancshares (NASDAQ:BFST) Releases Earnings Results, Beats Expectations By $0.04 EPS

Business First Bancshares (NASDAQ:BFST - Get Free Report) issued its quarterly earnings results on Monday. The company reported $0.73 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.69 by $0.04, FiscalAI reports. The business had revenue of $89.25 million for the quarter, compared to analyst estimates of $90.99 million. Business First Bancshares had a net margin of 17.02% and a return on equity of 11.51%.

Here are the key takeaways from Business First Bancshares' conference call:

• Strong first-quarter results with GAAP net income $22.2M / $0.68 EPS (core non‑GAAP $24M / $0.73), a 1.10% core ROAA and management reiterating full‑year loan guidance and a year‑end 1.25% ROA target.
• Closed the acquisition of Progressive Bank (added ~$774M in assets and 9 branches), reporting strong acquired asset quality, minimal tangible‑book dilution and an expected ~$11M of annualized cost saves (conversion late Q3).
• Organic loan balances fell (ex‑Progressive loans down $102.7M) as paydowns/payoffs totaled ~$579M versus $476M of new production, pressuring near‑term loan growth despite management expecting pickup in H2 from new producers.
• Asset‑quality pressure: nonperforming loans rose to 1.53% (NPAs drove a ~$1.2M interest reversal); management expects ~30% of current NPAs to resolve in Q2 and further resolution through the year but some pieces may linger.
• Non‑interest income and funding strength: Financial Services Group drove swap fee and SBA gain contributions, and the bank completed an $85M private subordinated debt raise (used $67M to redeem older sub‑debt), improving capital flexibility.

Business First Bancshares Stock Performance

Shares of BFST stock traded up $0.12 during mid-day trading on Friday, reaching $27.50. The stock had a trading volume of 57,794 shares, compared to its average volume of 178,492. The company has a current ratio of 1.01, a quick ratio of 1.01 and a debt-to-equity ratio of 0.64. Business First Bancshares has a 1-year low of $22.51 and a 1-year high of $30.32. The business's fifty day moving average is $27.46 and its 200-day moving average is $26.80. The firm has a market cap of $899.14 million, a price-to-earnings ratio of 9.75 and a beta of 0.82.

Business First Bancshares Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Friday, May 29th. Shareholders of record on Friday, May 15th will be given a dividend of $0.15 per share. The ex-dividend date of this dividend is Friday, May 15th. This represents a $0.60 dividend on an annualized basis and a yield of 2.2%. Business First Bancshares's payout ratio is currently 21.28%.

Analysts Set New Price Targets

Several brokerages have recently weighed in on BFST. Weiss Ratings upgraded shares of Business First Bancshares from a "hold (c+)" rating to a "buy (b-)" rating in a research note on Wednesday, February 11th. Stephens set a $33.00 target price on Business First Bancshares in a report on Monday. Raymond James Financial lifted their price target on Business First Bancshares from $30.00 to $31.00 and gave the company an "outperform" rating in a report on Wednesday, January 7th. Finally, DA Davidson reissued a "buy" rating and set a $33.00 price target on shares of Business First Bancshares in a report on Tuesday. Four equities research analysts have rated the stock with a Buy rating, According to MarketBeat, the stock currently has a consensus rating of "Buy" and a consensus target price of $32.33.

Insider Activity

In other news, Director Mark P. Folse sold 5,146 shares of the business's stock in a transaction that occurred on Monday, February 9th. The stock was sold at an average price of $29.75, for a total value of $153,093.50. Following the completion of the sale, the director directly owned 58,140 shares in the company, valued at $1,729,665. The trade was a 8.13% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. 5.67% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Business First Bancshares

A number of institutional investors and hedge funds have recently modified their holdings of the company. Smartleaf Asset Management LLC lifted its holdings in shares of Business First Bancshares by 15,600.0% in the 4th quarter. Smartleaf Asset Management LLC now owns 1,099 shares of the company's stock valued at $29,000 after purchasing an additional 1,092 shares during the last quarter. FWL Investment Management LLC purchased a new position in Business First Bancshares during the third quarter worth about $42,000. Tower Research Capital LLC TRC boosted its holdings in Business First Bancshares by 389.7% in the 2nd quarter. Tower Research Capital LLC TRC now owns 2,669 shares of the company's stock valued at $66,000 after purchasing an additional 2,124 shares in the last quarter. Virtus Advisers LLC purchased a new position in shares of Business First Bancshares during the 3rd quarter worth approximately $123,000. Finally, Quantbot Technologies LP raised its position in Business First Bancshares by 43.3% in the second quarter. Quantbot Technologies LP now owns 5,914 shares of the company's stock worth $146,000 after acquiring an additional 1,786 shares in the last quarter. Institutional investors and hedge funds own 47.35% of the company's stock.

About Business First Bancshares

Business First Bancshares, Inc is the bank holding company for Business First Bank, a regional community bank headquartered in Louisville, Kentucky. Through its wholly owned subsidiary, the company provides a full suite of commercial and retail banking services to small and medium-sized businesses, professionals and individual consumers. Business First Bancshares operates under a community-focused model, emphasizing personalized service, local decision-making and relationship banking.

The company’s primary business activities include commercial lending, treasury and cash management, and deposit services.