(SRCE) 1st Source - Overview
Sector: Financial Services | Industry: Banks - Regional | Exchange: NASDAQ (USA) | Market Cap: 1.715m USD | Total Return: 25.3% in 12m
Avg Turnover: 8.23M
EPS Trend: 95.5%
Qual. Beats: 0
Rev. Trend: 94.0%
Qual. Beats: 0
Warnings
Fakeout
Tailwinds
No distinct edge detected
1st Source Corporation (SRCE) is a regional financial institution headquartered in Indiana, operating as the bank holding company for 1st Source Bank. The company provides a comprehensive suite of services including consumer and commercial banking, wealth management, and insurance products. Its business model is characterized by a diversified lending portfolio that spans traditional real estate and agricultural loans to specialized equipment financing for aircraft and construction fleets.
The firm maintains a significant focus on commercial leasing and specialty finance, distinguishing it from smaller community banks that rely solely on residential mortgages. In the regional banking sector, such diversification into niche equipment leasing can often mitigate risks associated with local real estate market fluctuations. Investors may find it useful to examine ValueRay for deeper insights into the companys valuation metrics.
Founded in 1863, the corporation also integrates non-interest income streams through its trust and investment advisory services. By offering tax equity investments for renewable energy projects and comprehensive insurance brokerage, SRCE leverages multiple revenue drivers beyond the standard net interest margin.
- Specialized equipment financing demand drives commercial loan and lease portfolio growth
- Net interest margin sensitivity depends on Federal Reserve interest rate trajectory
- Regional economic health in Indiana and Michigan impacts credit loss provisions
- Wealth management and insurance fees provide critical non-interest revenue diversification
- Specialized aircraft and fleet financing segments create niche market competitive advantages
| Net Income: 160.7m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.02 > 0.02 and ΔFCF/TA -0.03 > 1.0 |
| NWC/Revenue: -1.03k% < 20% (prev -1.05k%; Δ 29.72% < -1%) |
| CFO/TA 0.02 > 3% & CFO 210.5m > Net Income 160.7m |
| Net Debt (-919.7m) to EBITDA (217.7m): -4.23 < 3 |
| Current Ratio: 0.18 > 1.5 & < 3 |
| Outstanding Shares: last quarter (24.3m) vs 12m ago -1.10% < -2% |
| Gross Margin: 70.85% > 18% (prev 0.67%; Δ 7.02k% > 0.5%) |
| Asset Turnover: 6.67% > 50% (prev 6.45%; Δ 0.22% > 0%) |
| Interest Coverage Ratio: 1.31 > 6 (EBITDA TTM 217.7m / Interest Expense TTM 159.8m) |
| A: -0.68 (Total Current Assets 1.34b - Total Current Liabilities 7.52b) / Total Assets 9.11b |
| B: 0.11 (Retained Earnings 1.05b / Total Assets 9.11b) |
| C: 0.02 (EBIT TTM 208.7m / Avg Total Assets 9.04b) |
| D: 0.19 (Book Value of Equity 1.44b / Total Liabilities 7.79b) |
| Altman-Z'' = -3.72 = D |
| DSRI: 1.05 (Receivables 34.4m/31.5m, Revenue 602.7m/578.1m) |
| GMI: 0.95 (GM 70.85% / 67.26%) |
| AQI: 1.01 (AQ_t 0.84 / AQ_t-1 0.84) |
| SGI: 1.04 (Revenue 602.7m / 578.1m) |
| TATA: -0.01 (NI 160.7m - CFO 210.5m) / TA 9.11b) |
| Beneish M = -3.00 (Cap -4..+1) = AA |
As of May 24, 2026, the stock is trading at USD 73.89 with a total of 131,304 shares traded.
Over the past week, the price has changed by +3.80%,
over one month by +1.62%,
over three months by +9.39% and
over the past year by +25.25%.
1st Source has received a consensus analysts rating of 3.33. Therefore, it is recommended to hold SRCE.
- StrongBuy: 0
- Buy: 1
- Hold: 2
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 79.7 | 7.8% |
P/E Forward = 13.6799
P/S = 4.0221
P/B = 1.3882
P/EG = 1.3693
Revenue TTM = 602.7m USD
EBIT TTM = 208.7m USD
EBITDA TTM = 217.7m USD
Long Term Debt = 94.3m USD (from longTermDebt, last quarter)
Short Term Debt = 289.2m USD (from shortTermDebt, last quarter)
Debt = 383.5m USD (from shortLongTermDebtTotal, last quarter)
Net Debt = -919.7m USD (calculated: Debt 383.5m - CCE 1.30b)
Enterprise Value = 795.0m USD (1.71b + Debt 383.5m - CCE 1.30b)
Interest Coverage Ratio = 1.31 (Ebit TTM 208.7m / Interest Expense TTM 159.8m)
EV/FCF = 3.79x (Enterprise Value 795.0m / FCF TTM 209.9m)
FCF Yield = 26.40% (FCF TTM 209.9m / Enterprise Value 795.0m)
FCF Margin = 34.82% (FCF TTM 209.9m / Revenue TTM 602.7m)
Net Margin = 26.66% (Net Income TTM 160.7m / Revenue TTM 602.7m)
Gross Margin = 70.85% ((Revenue TTM 602.7m - Cost of Revenue TTM 175.7m) / Revenue TTM)
Gross Margin QoQ = 70.99% (prev 73.63%)
Tobins Q-Ratio = 0.09 (Enterprise Value 795.0m / Total Assets 9.11b)
Interest Expense / Debt = 41.69% (Interest Expense 159.8m / Debt 383.5m)
Taxrate = 22.18% (11.4m / 51.4m)
NOPAT = 162.4m (EBIT 208.7m * (1 - 22.18%))
Current Ratio = 0.18 (Total Current Assets 1.34b / Total Current Liabilities 7.52b)
Debt / Equity = 0.30 (Debt 383.5m / totalStockholderEquity, last quarter 1.28b)
Debt / EBITDA = -4.23 (Net Debt -919.7m / EBITDA 217.7m)
Debt / FCF = -4.38 (Net Debt -919.7m / FCF TTM 209.9m)
Total Stockholder Equity = 1.25b (last 4 quarters mean from totalStockholderEquity)
RoA = 1.78% (Net Income 160.7m / Total Assets 9.11b)
RoE = 12.89% (Net Income TTM 160.7m / Total Stockholder Equity 1.25b)
RoCE = 15.56% (EBIT 208.7m / Capital Employed (Equity 1.25b + L.T.Debt 94.3m))
RoIC = 8.93% (NOPAT 162.4m / Invested Capital 1.82b)
WACC = 12.98% (E(1.71b)/V(2.10b) * Re(8.63%) + D(383.5m)/V(2.10b) * Rd(41.69%) * (1-Tc(0.22)))
Discount Rate = 8.63% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -37.78 | Cagr: -0.61%
[DCF] Terminal Value 61.06% ; FCFF base≈209.7m ; Y1≈211.0m ; Y5≈224.4m
[DCF] Fair Price = 119.3 (EV 1.95b - Net Debt -919.7m = Equity 2.87b / Shares 24.1m; r=12.98% [WACC]; 5y FCF grow 0.24% → 2.50% )
EPS Correlation: 95.48 | EPS CAGR: 12.55% | SUE: 0.0 | # QB: 0
Revenue Correlation: 93.98 | Revenue CAGR: 10.11% | SUE: 0.63 | # QB: 0
EPS current Quarter (2026-06-30): EPS=1.71 | Chg30d=+3.22% | Revisions=+20% | Analysts=3
EPS next Quarter (2026-09-30): EPS=1.72 | Chg30d=+2.59% | Revisions=+20% | Analysts=3
EPS current Year (2026-12-31): EPS=6.79 | Chg30d=+2.16% | Revisions=+20% | GrowthEPS=+0.7% | GrowthRev=+5.6%
EPS next Year (2027-12-31): EPS=6.99 | Chg30d=+2.29% | Revisions=+20% | GrowthEPS=+3.0% | GrowthRev=+3.0%
[Analyst] Revisions Ratio: +20%