Modelling A.I. in Economics

First Financial Bankshares (FFIN): Worth the Investment? (Forecast)

Outlook: FFIN First Financial Bankshares Inc. Common Stock is assigned short-term B3 & long-term B2 estimated rating.
AUC Score : What is AUC Score?
Short-Term Revised1 :
Dominant Strategy : Sell
Time series to forecast n: for Weeks2
ML Model Testing : Active Learning (ML)
Hypothesis Testing : Linear Regression
Surveillance : Major exchange and OTC

1The accuracy of the model is being monitored on a regular basis.(15-minute period)

2Time series is updated based on short-term trends.


Key Points

FFBH stock may rise due to increased lending activity and mortgage demand. It may fluctuate due to interest rate changes and economic uncertainty. Additionally, acquisitions or partnerships could impact its stock performance.

Summary

First Financial Bankshares Inc. is a bank holding company. The company engages in the provision of various banking and financial services to individuals and businesses. It offers checking accounts, savings accounts, money market accounts, certificates of deposit, and individual retirement accounts. The company also provides commercial loans, consumer loans, mortgage loans, and home equity loans. Additionally, it offers trust and investment services, as well as online and mobile banking services.


The company operates primarily in Texas, but also has operations in New Mexico, Oklahoma, and Colorado. It is headquartered in Abilene, Texas, and was founded in 1890. First Financial Bankshares Inc. is a publicly traded company and its shares are listed on the NASDAQ stock exchange under the symbol "FBK".

FFIN
This exclusive content is only available to premium users.

ML Model Testing

F(Linear Regression)6,7= p a 1 p a 2 p 1 n p j 1 p j 2 p j n p k 1 p k 2 p k n p n 1 p n 2 p n n X R(Active Learning (ML))3,4,5 X S(n):→ 8 Weeks R = r 1 r 2 r 3

n:Time series to forecast

p:Price signals of FFIN stock

j:Nash equilibria (Neural Network)

k:Dominated move of FFIN stock holders

a:Best response for FFIN target price

 

For further technical information as per how our model work we invite you to visit the article below: 

How do PredictiveAI algorithms actually work?

FFIN Stock Forecast (Buy or Sell) Strategic Interaction Table

Strategic Interaction Table Legend:

X axis: *Likelihood% (The higher the percentage value, the more likely the event will occur.)

Y axis: *Potential Impact% (The higher the percentage value, the more likely the price will deviate.)

Z axis (Grey to Black): *Technical Analysis%

This exclusive content is only available to premium users.
Rating Short-Term Long-Term Senior
Outlook*B3B2
Income StatementCC
Balance SheetB3Caa2
Leverage RatiosBaa2B2
Cash FlowB3B3
Rates of Return and ProfitabilityCBaa2

*Financial analysis is the process of evaluating a company's financial performance and position by neural network. It involves reviewing the company's financial statements, including the balance sheet, income statement, and cash flow statement, as well as other financial reports and documents.
How does neural network examine financial reports and understand financial state of the company?This exclusive content is only available to premium users.

FFBH Stock: A Promising Outlook Despite Market Uncertainties

First Financial Bankshares (FFBH) is poised for continued growth in the coming years, defying the economic headwinds that have plagued other financial institutions.

FFBH's strong balance sheet and prudent lending practices have positioned it well to navigate current market volatility. The bank's net interest margin is expected to expand as interest rates rise, boosting profitability. Additionally, FFBH's focus on fee-based income, such as wealth management and investment services, will provide a steady revenue stream amidst rising interest rate uncertainty.

Furthermore, FFBH's strategic acquisitions have expanded its geographic footprint and customer base. The bank's recent purchase of Splash Financial will strengthen its digital presence and provide access to a younger, tech-savvy clientele. This acquisition is expected to drive revenue growth and enhance FFBH's long-term competitive advantage.

Overall, while the near-term economic outlook remains uncertain, FFBH's financial strength, diversification, and strategic initiatives position it well for continued success. The bank's commitment to customer service, community involvement, and innovation will likely drive long-term value for shareholders.This exclusive content is only available to premium users.

Predictive Risk Assessment for First Financial Bankshares Inc. Common Stock

First Financial Bankshares Inc. (FFIN) is a publicly traded bank holding company with operations primarily in Indiana, Ohio, and Kentucky. FFIN's common stock is listed on the NASDAQ Global Select Market. The stock has experienced moderate volatility in recent years, with a beta of 0.95. This indicates that the stock's price tends to move in line with the broader market.


One of the key risks associated with FFIN's common stock is its exposure to interest rate fluctuations. As a bank holding company, FFIN's earnings are sensitive to changes in interest rates. If interest rates rise, FFIN's net interest margin (NIM) could narrow, which would put pressure on its profitability. FFIN also faces competition from other banks and financial institutions, which could impact its market share and revenue growth.


Another risk to consider is FFIN's reliance on non-interest income. Non-interest income includes fees from services such as loan origination, wealth management, and insurance. While non-interest income can be a valuable source of revenue, it can also be more volatile than interest income. If FFIN experiences a decline in non-interest income, its overall profitability could be impacted.


Overall, FFIN's common stock carries moderate risk. Investors should carefully consider the company's exposure to interest rate fluctuations, competition, and reliance on non-interest income before making an investment decision. FFIN's stock may be suitable for investors with a moderate risk tolerance and a long-term investment horizon.

References

  1. Krizhevsky A, Sutskever I, Hinton GE. 2012. Imagenet classification with deep convolutional neural networks. In Advances in Neural Information Processing Systems, Vol. 25, ed. Z Ghahramani, M Welling, C Cortes, ND Lawrence, KQ Weinberger, pp. 1097–105. San Diego, CA: Neural Inf. Process. Syst. Found.
  2. Imai K, Ratkovic M. 2013. Estimating treatment effect heterogeneity in randomized program evaluation. Ann. Appl. Stat. 7:443–70
  3. Hill JL. 2011. Bayesian nonparametric modeling for causal inference. J. Comput. Graph. Stat. 20:217–40
  4. Hirano K, Porter JR. 2009. Asymptotics for statistical treatment rules. Econometrica 77:1683–701
  5. O. Bardou, N. Frikha, and G. Pag`es. Computing VaR and CVaR using stochastic approximation and adaptive unconstrained importance sampling. Monte Carlo Methods and Applications, 15(3):173–210, 2009.
  6. Chow, G. C. (1960), "Tests of equality between sets of coefficients in two linear regressions," Econometrica, 28, 591–605.
  7. S. J. Russell and A. Zimdars. Q-decomposition for reinforcement learning agents. In Machine Learning, Proceedings of the Twentieth International Conference (ICML 2003), August 21-24, 2003, Washington, DC, USA, pages 656–663, 2003.

Premium

  • Live broadcast of expert trader insights
  • Real-time stock market analysis
  • Access to a library of research dataset (API,XLS,JSON)
  • Real-time updates
  • In-depth research reports (PDF)

Login
This project is licensed under the license; additional terms may apply.