South Plains Financial Q4 2025 Earnings Highlights
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
0mins
Source: seekingalpha
- Earnings Growth: South Plains Financial reported a 17.8% increase in diluted earnings per share for the full year, with net interest income of $43 million in Q4 and a net interest margin expansion to 4%, indicating sustained profitability that is expected to drive future shareholder returns.
- Loan Growth: Loans held for investment rose by $91 million to $3.14 billion in Q4, primarily due to organic growth in multifamily property and direct energy loans, with expectations for loan growth to accelerate to mid- to high single-digit rates in 2026, further enhancing earning power.
- Acquisition Strategy: The company has reached a definitive agreement to acquire BOH Holdings, expected to be approximately 11% accretive to earnings by 2027 with a payback period of less than three years, demonstrating strategic decision-making aimed at expanding market share and improving balance sheet quality.
- Dividend Continuity: The Board authorized a quarterly dividend of $0.17 per share, marking the 27th consecutive dividend, reflecting the company's commitment to returning value to shareholders while maintaining growth in profitability and enhancing investor confidence.
Analyst Views on SPFI
Wall Street analysts forecast SPFI stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for SPFI is 43.67 USD with a low forecast of 41.00 USD and a high forecast of 46.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
3 Analyst Rating
2 Buy
1 Hold
0 Sell
Moderate Buy
Current: 40.990
Low
41.00
Averages
43.67
High
46.00
Current: 40.990
Low
41.00
Averages
43.67
High
46.00
About SPFI
South Plains Financial, Inc. is the bank holding company for City Bank (the Bank). The Bank is an independent bank in West Texas and has additional banking operations in the Dallas, El Paso, Greater Houston, the Permian Basin, and College Station, Texas markets, and the Ruidoso, New Mexico market. It provides a range of commercial and consumer financial services to small and medium-sized businesses and individuals in its market areas. Its business activities include commercial and retail banking, along with investment, trust and mortgage services. The Bank is primarily involved in real estate, commercial, agricultural and consumer lending activities with customers throughout Texas and Eastern New Mexico. It offers a variety of deposit products, including demand deposit accounts, interest-bearing products, savings accounts and certificates of deposits. The Bank also provides a range of traditional trust products and services along with several retirement services and products.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
