Regional banking company Simmons First National (NASDAQ: SFNC) missed Wall Street’s revenue expectations in Q1 CY2026, but sales rose 11.7% year on year to $241.4 million. Its non-GAAP profit of $0.47 per share was in line with analysts’ consensus estimates.
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Simmons First National (SFNC) Q1 CY2026 Highlights:
- Net Interest Income: $197.2 million vs analyst estimates of $196.5 million (36% year-on-year decline, in line)
- Net Interest Margin: 3.8% vs analyst estimates of 3.8% (3 basis point beat)
- Revenue: $241.4 million vs analyst estimates of $243 million (11.7% year-on-year growth, 0.7% miss)
- Efficiency Ratio: 57.6% vs analyst estimates of 58% (46.4 basis point beat)
- Adjusted EPS: $0.47 vs analyst estimates of $0.47 (in line)
- Tangible Book Value per Share: $14.03 vs analyst estimates of $14.16 (16.5% year-on-year decline, 0.9% miss)
- Market Capitalization: $2.98 billion
Company Overview
With roots dating back to 1903 and a presence across Arkansas, Kansas, Missouri, Oklahoma, Tennessee, and Texas, Simmons First National (NASDAQ: SFNC) is a regional bank holding company that provides banking and financial services to individuals and businesses.
Sales Growth
From lending activities to service fees, most banks build their revenue model around two income sources. Interest rate spreads between loans and deposits create the first stream, with the second coming from charges on everything from basic bank accounts to complex investment banking transactions. Unfortunately, Simmons First National’s 3.3% annualized revenue growth over the last five years was sluggish. This fell short of our benchmark for the banking sector and is a rough starting point for our analysis.
We at StockStory place the most emphasis on long-term growth, but within financials, a half-decade historical view may miss recent interest rate changes, market returns, and industry trends. Simmons First National’s annualized revenue growth of 7.4% over the last two years is above its five-year trend, which is encouraging. 
Note: Quarters not shown were determined to be outliers, impacted by outsized investment gains/losses that are not indicative of the recurring fundamentals of the business.
This quarter, Simmons First National’s revenue grew by 11.7% year on year to $241.4 million but fell short of Wall Street’s estimates.
Net interest income made up 80.4% of the company’s total revenue during the last five years, meaning Simmons First National barely relies on non-interest income to drive its overall growth.
Markets consistently prioritize net interest income growth over fee-based revenue, recognizing its superior quality and recurring nature compared to the more unpredictable non-interest income streams.
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Tangible Book Value Per Share (TBVPS)
The balance sheet drives banking profitability since earnings flow from the spread between borrowing and lending rates. As such, valuations for these companies concentrate on capital strength and sustainable equity accumulation potential.
This is why we consider tangible book value per share (TBVPS) the most important metric to track for banks. TBVPS represents the real, liquid net worth per share of a bank, excluding intangible assets that have debatable value upon liquidation. Traditional metrics like EPS are helpful but face distortion from M&A activity and loan loss accounting rules.
Simmons First National’s TBVPS declined at a 2.8% annual clip over the last five years. A turnaround doesn’t seem to be in sight as its TBVPS also dropped by 6.4% annually over the last two years ($16.02 to $14.03 per share).
Over the next 12 months, Consensus estimates call for Simmons First National’s TBVPS to grow by 10.3% to $15.48, mediocre growth rate.
Key Takeaways from Simmons First National’s Q1 Results
We struggled to find many positives in these results. Its EPS was in line and its revenue fell slightly short of Wall Street’s estimates. Overall, this was a weaker quarter. The stock remained flat at $20.27 immediately following the results.
The latest quarter from Simmons First National’s wasn’t that good. One earnings report doesn’t define a company’s quality, though, so let’s explore whether the stock is a buy at the current price. The latest quarter does matter, but not nearly as much as longer-term fundamentals and valuation, when deciding if the stock is a buy. We cover that in our actionable full research report which you can read here (it’s free).
