Farmers National Banc Corp (FMNB) stock analysis

P/E above its 5-year median

Farmers National Banc's P/E of 11.1 is above its own 5-year median of 9.6.

P/E below the industry

Farmers National Banc's P/E of 11.1 is below the Commercial Banks median of 12.1.

P/S below the industry

Farmers National Banc's price-to-sales of 2.63 is below the Commercial Banks median of 3.60.

P/B below the industry

Farmers National Banc's price-to-book of 1.28 is below the Commercial Banks median of 1.29.

Trading above fair value

The share price of $15.48 is above our fair value estimate of $15.16.

Margin of safety under 20%

The price is 2.1% above fair value, so there is no margin of safety.

Revenue growing 10%+ a year

Revenue grew 14.5% a year over the last three fiscal years.

EPS growing under 10% a year

Diluted EPS grew -6.8% a year over the last three fiscal years.

Earnings growth accelerating

Net income grew 26.0% over the last twelve months, against a 5-year average of 5.4% a year.

Growing faster than the industry

Revenue grew 25.8% over the last twelve months; the Commercial Banks median is 11.3%.

Guidance issued

The latest outlook (fourth quarter of 2026 net interest margin, Oct 28, 2026) was issued for the first time, so it neither adds nor takes away points.

Gross margin trend

Banks and insurers do not report gross profit.

Return on equity under 15%

Return on equity was 11.6% over the last twelve months and averaged 13.3% over five years; we look for 15% on both.

Return on assets over 1%

Return on assets was 1.1%; for a bank or insurer, 1% or more is considered good.

Return on equity above the industry

Farmers National Banc's return on equity of 11.6% is above the Commercial Banks median of 11.5%.

Earnings grew over 5 years

Net income grew 5.4% a year on average over the last five fiscal years.

Net margin below its 5-year average

Net margin was 19.6% over the last twelve months, against a 5-year average of 24.8%.

Net margin below the industry

Farmers National Banc's net margin of 19.6% is below the Commercial Banks median of 30.3%.

Well capitalized

Equity is 10.1% of total assets; 8% or more is a comfortable cushion.

Loans funded by deposits

Needs loans and deposits.

Adequate loan-loss reserve

The allowance for credit losses is not reported.

High cost base

Non-interest expense takes 63.7% of revenue; under 60% is efficient for a bank.

Deposits growing

Deposits grew 32.0% over the past year.

Modest borrowings

Borrowings other than deposits are 59.6% of equity.

Pays a dividend

Farmers National Banc paid dividends worth 4.5% of the share price over the last twelve months.

Yield above Treasuries

The 4.5% yield is above the 4.4% on a 1-year Treasury.

Yield in the top quarter

The top quarter of US dividend payers yield 3.8% or more; Farmers National Banc yields 4.5%.

Dividend stability

Fewer than five years of dividend history.

Covered by earnings

Dividends take 48.8% of net income.

Covered by free cash flow

Dividends take 41.9% of free cash flow.