Overview

* First National ( FXNC ) Q2 earnings per share up 211% from prior qtr, up 44% yr/yr

* Net interest margin rises to 3.95% from 3.40% a year ago

* Total deposits increase 42.5% yr/yr, driven by Touchstone acquisition

Result Drivers

* TOUCHSTONE ACQUISITION - Acquisition contributed to loan growth and deposit increases, per CEO Scott Harvard

* NET INTEREST MARGIN - Margin improved due to acquisition accounting adjustments and higher loan yields

* EFFICIENCY IMPROVEMENTS - Reduced expenses following merger and consolidation of banking systems

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 EPS $0.56

Q2 Net $18.50

Interest mln

Income

Q2 Net 4.0%

Interest

Margin

Analyst Coverage

* The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the banks peer group is "buy."

* Wall Street's median 12-month price target for First National Corp ( FXNC ) is $22.00, about 1.6% above its July 29 closing price of $21.64

* The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 10 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)