Overview

* ServisFirst Q3 adjusted EPS grows 18.2% yr/yr, reflecting strong earnings growth

* Company net interest margin rises 25 bps yr/yr despite impact from non-accrual relationship

* ServisFirst sells $83.4 mln of low-yielding bonds, reinvests in higher-yield securities

Outlook

* Company did not provide specific guidance for future quarters or full year in press release.

Result Drivers

* LOAN AND DEPOSIT GROWTH - Co reports loans grew by $973.7 mln, or 7.9%, and deposits grew by $960.4 mln, or 7.3%, yr/yr

* NET INTEREST MARGIN EXPANSION - CFO David Sparacio highlights expansion of net interest margin and pricing discipline on loans and deposits

* PORTFOLIO RESTRUCTURING - Co sold $83.4 mln of low-yielding bonds at a loss, reinvested in higher-yield securities

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 EPS $1.20

Q3 Net $65.57

Income mln

Q3 Net $133.44

Interest mln

Income

Q3 $9.46

Credit mln

Loss

Provisio

n

Analyst Coverage

* The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 3 "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 ServisFirst Bancshares Inc ( SFBS ) is $91.00, about 17.4% above its October 17 closing price of $75.21

* The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 14 three months ago

Press Release:

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(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.)