FRME Valuation
First Merchants Corp
$
39.090
- Overview
- Forecast
- Valuation
- Earnings
FRME Relative Valuation
FRME's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, FRME is overvalued; if below, it's undervalued.
Historical Valuation
First Merchants Corp (FRME) is now in the Undervalued zone, suggesting that its current forward PE ratio of 9.77 is considered Undervalued compared with the five-year average of 10.30. The fair price of First Merchants Corp (FRME) is between 39.82 to 49.16 according to relative valuation methord. Compared to the current price of 39.09 USD , First Merchants Corp is Undervalued By 1.84%.
Relative Value
Fair Zone
39.82-49.16
Current Price：39.09
1.84%
Undervalued
9.77
PE
1Y
3Y
5Y
Trailing
Forward
0.00
EV/EBITDA
First Merchants Corp. (FRME) has a current EV/EBITDA of 0.00. The 5-year average EV/EBITDA is 0.00. The thresholds are as follows: Strongly Undervalued below 0.00, Undervalued between 0.00 and 0.00, Fairly Valued between 0.00 and 0.00, Overvalued between 0.00 and 0.00, and Strongly Overvalued above 0.00. The current Forward EV/EBITDA of 0.00 falls within the Strongly Undervalued range.
NaN
EV/EBIT
First Merchants Corp. (FRME) has a current EV/EBIT of NaN. The 5-year average EV/EBIT is NaN. The thresholds are as follows: Strongly Undervalued below NaN, Undervalued between NaN and NaN, Fairly Valued between NaN and NaN, Overvalued between NaN and NaN, and Strongly Overvalued above NaN. The current Forward EV/EBIT of NaN falls within the range.
3.11
PS
First Merchants Corp. (FRME) has a current PS of 3.11. The 5-year average PS is 3.41. The thresholds are as follows: Strongly Undervalued below 2.26, Undervalued between 2.26 and 2.83, Fairly Valued between 3.99 and 2.83, Overvalued between 3.99 and 4.56, and Strongly Overvalued above 4.56. The current Forward PS of 3.11 falls within the Historic Trend Line -Fairly Valued range.
0.00
P/OCF
First Merchants Corp. (FRME) has a current P/OCF of 0.00. The 5-year average P/OCF is 0.00. The thresholds are as follows: Strongly Undervalued below 0.00, Undervalued between 0.00 and 0.00, Fairly Valued between 0.00 and 0.00, Overvalued between 0.00 and 0.00, and Strongly Overvalued above 0.00. The current Forward P/OCF of 0.00 falls within the Strongly Undervalued range.
0.00
P/FCF
First Merchants Corp. (FRME) has a current P/FCF of 0.00. The 5-year average P/FCF is 0.00. The thresholds are as follows: Strongly Undervalued below 0.00, Undervalued between 0.00 and 0.00, Fairly Valued between 0.00 and 0.00, Overvalued between 0.00 and 0.00, and Strongly Overvalued above 0.00. The current Forward P/FCF of 0.00 falls within the Strongly Undervalued range.
First Merchants Corp (FRME) has a current Price-to-Book (P/B) ratio of 0.92. Compared to its 3-year average P/B ratio of 1.00 , the current P/B ratio is approximately -7.31% higher. Relative to its 5-year average P/B ratio of 1.06, the current P/B ratio is about -12.69% higher. First Merchants Corp (FRME) has a Forward Free Cash Flow (FCF) yield of approximately 12.01%. Compared to its 3-year average FCF yield of 12.30%, the current FCF yield is approximately -2.40% lower. Relative to its 5-year average FCF yield of 11.21% , the current FCF yield is about 7.06% lower.
0.92
P/B
Median3y
1.00
Median5y
1.06
12.01
FCF Yield
Median3y
12.30
Median5y
11.21
Competitors Valuation Multiple
The average P/S ratio for FRME's competitors is 3.88, providing a benchmark for relative valuation. First Merchants Corp Corp (FRME) exhibits a P/S ratio of 3.11, which is -19.78% above the industry average. Given its robust revenue growth of 3.55%, this premium appears unsustainable.
Performance Decomposition
1Y
3Y
5Y
Market capitalization of FRME increased by 1.40% over the past 1 year. The primary factor behind the change was an increase in Margin Expansion from 27.24 to 37.45.
The secondary factor is the Revenue Growth, contributed 3.55%to the performance.
Overall, the performance of FRME in the past 1 year is driven by Margin Expansion. Which is more sustainable.
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FAQ
Is First Merchants Corp (FRME) currently overvalued or undervalued?
First Merchants Corp (FRME) is now in the Undervalued zone, suggesting that its current forward PE ratio of 9.77 is considered Undervalued compared with the five-year average of 10.30. The fair price of First Merchants Corp (FRME) is between 39.82 to 49.16 according to relative valuation methord. Compared to the current price of 39.09 USD , First Merchants Corp is Undervalued By 1.84% .
What is First Merchants Corp (FRME) fair value?
How does FRME's valuation metrics compare to the industry average?
What is the current P/B ratio for First Merchants Corp (FRME) as of Aug 13 2025?
What is the current FCF Yield for First Merchants Corp (FRME) as of Aug 13 2025?
What is the current Forward P/E ratio for First Merchants Corp (FRME) as of Aug 13 2025?