
BFST Stock Forecast & Price Target
BFST Analyst Ratings
Bulls say
Business First Bancshares Inc. is positioned for a positive financial trajectory, as evidenced by management's expectation of expanding core net interest margin (NIM), driven by re-pricing of existing loans and new loan production that demonstrated a favorable yield of 7.46%. The company's strategic acquisition of Progressive Bancorp enhances its market share in northern Louisiana, while its increasing presence in Texas is anticipated to serve as a significant growth driver, complemented by a lower cost deposit profile. Additionally, the bank's stable increase in end-of-period deposits by 5.4% and a strengthened tangible common equity ratio of 8.57%, moving towards its target of 9.5%, further underpin an improving profitability outlook.
Bears say
Business First Bancshares has reported a decline in end-of-period loans by 1.7% quarter-over-quarter, which reflects a slowdown in loan growth compared to the previous quarter's 4.5% increase. Additionally, the company's exposure to the oil and gas sector poses significant risks, as prolonged low commodity prices could lead to increased losses within its energy loan portfolio and hinder loan demand. The reduction in noninterest-bearing deposits and competitive pressures on loan and deposit pricing further exacerbate concerns regarding the bank's balance sheet growth and net interest margin, creating a challenging outlook for the company.
This aggregate rating is based on analysts' research of Business First Bancshares Inc. and is not a guaranteed prediction by Public.com or investment advice.
BFST Analyst Forecast & Price Prediction
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