FIBK - First Interstate BancSystem: A Downgrade On Low Asset Quality And Deposit Woes
2024-05-07 22:36:04 ET
Summary
- First Interstate BancSystem has underperformed expectations, with shares up 12.8% compared to the S&P 500's 13% increase.
- The bank's profit perspective improved recently, but deposits continue to decline, indicating weakness.
- Despite cheap shares, the bank's low asset quality and deposit woes are terribly concerning.
Several months ago, in July of 2023, I ended up performing a deep dive analysis into First Interstate BancSystem ( FIBK ), a reasonably sized bank that today has a market capitalization of $2.82 billion. With over 300 banking offices spread across 14 states, the institution has a wide reach. Historically speaking, it has focused most of its investments on commercial construction, and residential real estate loans. But like pretty much any other bank out there, it's diverse in its activities....
First Interstate BancSystem: A Downgrade On Low Asset Quality And Deposit Woes