Simmons First National stock rating reiterated as Buy by DA Davidson

Investing.com - DA Davidson has reiterated its Buy rating on Simmons First National (NASDAQ:SFNC) following the bank’s quarterly earnings report. The stock, currently trading near its 52-week low at $18.02, appears undervalued according to InvestingPro Fair Value analysis.

The financial services firm described the quarter as "solid" and noted that results were largely in line with its estimates on a pretax basis. While not profitable over the last twelve months, the bank maintains a strong dividend track record, having paid dividends for 52 consecutive years with a current yield of 4.72%.

DA Davidson highlighted Simmons First National’s projected net interest margin (NIM) expansion to 4.65% or better in the fourth quarter, which significantly exceeds the current Street estimate of 3.72% and is at least 15 basis points above the third quarter result.

The firm observed that while quarter-over-quarter loan growth was modest, it showed improvement compared to the second quarter. Loan production reached $2.1 billion compared to $2.2 billion in the previous quarter, with lower payoff activity representing a net positive.

Credit quality metrics for Simmons First National remained stable quarter-over-quarter, according to DA Davidson’s analysis. The bank maintains a conservative balance sheet with a debt-to-equity ratio of 0.21.

In other recent news, Simmons First National Corporation reported a robust performance in its Q2 2025 earnings call. The company highlighted significant growth in net interest income and margin expansion, which are crucial indicators for investors. This strong financial performance underscores Simmons First National’s confidence in its strategic investments and future growth prospects. In addition, the company has been the subject of various analyst reviews, although specific upgrades or downgrades were not mentioned in the latest reports. These developments are part of the company’s ongoing efforts to maintain and enhance its market position. Investors will likely keep an eye on how these strategic moves unfold in the coming quarters.

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