olivLaw · US equity research
FS Bancorp, Inc. FSBW
Savings Institutions, Not Federally Chartered · SIC 6036 · Vertical: Savings Institutions, Not Federally Chartered (SIC 6036)
FS Bancorp is the holding company of 1st Security Bank, a community bank focused on relationships with families, businesses and industry niches in the Puget Sound and Pacific Northwest. It is expanding into Portland and Vancouver through the Pacific West Bancorp acquisition completed in August 2026, while total assets stood at 3.2 billion USD at year-end 2025.
At the close of 04 Nov 2026, FS Bancorp, Inc. (FSBW) stock was 44.47 USD (+0.95% on the day), with market capitalisation 330.5 m USD, P/E 10.2 on diluted EPS of 4.37 USD over the last 12 months, dividend yield 3.06%, beta 0.60, 52-week range 37.04–45.27 USD. Latest reported quarter (Q2 2026): net income of 7.9 m USD (+2.7% YoY), diluted EPS 1.04 USD.
Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.
Price history
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Technical reading
- RSI (14)
- 54.6
- neutral
- Bollinger (20, 2)
- 43.61 – 44.95
- in the upper half of the band · %B 0.64 · band width 3.0%
- SMA 50 / 200
- 43.90 / 42.05
- uptrend (price > SMA50 > SMA200)
- MACD (12, 26, 9)
- 0.04 / 0.07
- MACD below signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | S&P 500 | vs S&P 500 | Vertical median | |
|---|---|---|---|---|
| 1 month | +0.1% | −2.0% | +2.1 pp | — |
| 3 months | +2.3% | −2.2% | +4.5 pp | — |
| 6 months | +7.5% | +4.3% | +3.2 pp | — |
| Year to date | +8.0% | +10.6% | −2.6 pp | — |
| 1 year | +15.4% | +10.5% | +4.9 pp | +33.3% |
| 3 years | +48.3% | +73.7% | −25.3 pp | +49.7% |
| 5 years | +21.0% | +61.7% | −40.7 pp | — |
Price returns, dividends excluded.
Quarterly results
Latest quarter: Q2 2026 · 30 Jun 2026
Quarterly margins
Quarterly statements · USD
| Fiscal year | Q3 '24 | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | Q2 '26 |
|---|---|---|---|---|---|---|---|---|
| SG&A | 3.8 m | 3.2 m | 3.4 m | 3.8 m | 4.0 m | 3.7 m | 3.4 m | 2.7 m |
| Depreciation & amortisation | 2.2 m ≈ | -5.4 m | 2.3 m | 3.9 m ≈ | 3.2 m ≈ | -6.6 m | 2.3 m | 2.4 m ≈ |
| Pre-tax income | 9.9 m | 9.9 m | 9.5 m | 9.8 m | 11.6 m | 10.3 m | 9.9 m | 10.1 m |
| Income tax | -420.0 k | 2.5 m | 1.4 m | 2.0 m | 2.4 m | 1.9 m | 2.1 m | 2.1 m |
| Net income | 10.3 m | 7.4 m | 8.0 m | 7.7 m | 9.2 m | 8.4 m | 7.8 m | 7.9 m |
| Diluted EPS | 1.29 | 0.93 ≈ | 1.01 | 0.99 | 1.18 | 1.13 ≈ | 1.02 | 1.04 |
| Operating cash flow | -891.0 k ≈ | 41.5 m | 8.2 m | 7.1 m ≈ | 44.6 m ≈ | 12.4 m | 8.7 m | 52.0 m ≈ |
| Capex | 621.0 k ≈ | 382.0 k | 350.0 k | 1.3 m ≈ | 3.0 m ≈ | 15.7 m | 273.0 k | 574.0 k ≈ |
| Dividends paid | 2.1 m ≈ | 2.1 m | 2.2 m | 2.2 m ≈ | 3.8 m ≈ | 2.1 m | 2.2 m | 2.2 m ≈ |
| Share repurchases | 147.0 k ≈ | 0 | 3.8 m | 5.2 m ≈ | 4.9 m ≈ | 1.5 m | 620.0 k | 3.6 m ≈ |
≈ derived quarter (cumulative difference / share-days average)
E/P over time
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Today's P/E sits at the 100 percentile of its own 39-quarter history (min 3.5, median 7.0, max 9.9; quarters with earnings only).
Fiscal years
| Fiscal year | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 1.7 m | 2.9 m | 2.7 m | 3.0 m | 3.2 m | 4.6 m | unavailable | unavailable |
| Revenue YoY | −50.8% | +66.9% | −8.5% | +12.9% | +5.8% | +44.8% | unavailable | unavailable |
| Net income | 24.3 m | 22.7 m | 39.3 m | 37.4 m | 29.6 m | 36.1 m | 35.0 m | 33.3 m |
| Net income YoY | +72.9% | −6.7% | +72.8% | −4.7% | −20.8% | +21.6% | −2.9% | −4.8% |
| Diluted EPS | 6.29 | 5.01 | 4.49 | 4.37 | 3.70 | 4.56 | 4.36 | 4.29 |
| Diluted EPS YoY | +47.0% | −20.3% | −10.4% | −2.7% | −15.3% | +23.2% | −4.4% | −1.6% |
| net % | 1,395.2% | 779.8% | 1,473.3% | 1,243.3% | 930.9% | 781.7% | unavailable | unavailable |
| Free cash flow | 17.6 m | 6.7 m | -33.7 m | 107.0 m | 183.3 m | 76.0 m | 49.2 m | 51.9 m |
Reported results vs expectations
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Balance sheet & financial health
Fiscal year 2025 · 31 Dec 2025
- Cash
- 28.2 m USD
- Financial debt
- 129.3 m USD
- Net debt
- 101.1 m USD
- Equity
- 307.7 m USD
- Total assets
- 3.2 bn USD
- Debt / equity
- 0.42x
- Current ratio
- unavailable
- ROE
- 11.1%
- ROA
- 1.1%
- FCF margin
- unavailable
Financial statements (source on every figure)
Revenue and net income (USD)
Income statement · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Net interest income | 74.1 m | 86.6 m | 104.3 m | 123.3 m | 123.1 m | 130.4 m | SEC (XBRL)· 13 Mar 2026verified |
| Net fee income | 55.4 m | 37.5 m | 18.1 m | 20.5 m | 21.6 m | 22.3 m | SEC (XBRL)· 13 Mar 2026verified |
| Non-interest expense | 66.6 m | 76.2 m | 79.2 m | 93.7 m | 97.6 m | 102.0 m | SEC (XBRL)· 13 Mar 2026verified |
| Pre-tax income | 49.9 m | 47.4 m | 37.0 m | 45.3 m | 41.6 m | 41.1 m | SEC (XBRL)· 13 Mar 2026verified |
| Net income | 39.3 m | 37.4 m | 29.6 m | 36.1 m | 35.0 m | 33.3 m | SEC (XBRL)· 13 Mar 2026verified |
| Diluted EPS | 4.49 | 4.37 | 3.70 | 4.56 | 4.36 | 4.29 | SEC (XBRL)· 13 Mar 2026verified |
| Dividend per share | 0.42 | 0.56 | 0.90 | 1.00 | 1.06 | 1.34 | SEC (XBRL)· 13 Mar 2026verified |
Balance sheet · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Cash | 91.6 m | 26.5 m | 41.4 m | 65.7 m | 31.6 m | 28.2 m | SEC (XBRL)· 13 Mar 2026verified |
| Loans | 1.5 bn | 1.7 bn | 2.2 bn | 2.4 bn | 2.5 bn | 2.6 bn | SEC (XBRL)· 13 Mar 2026verified |
| Total assets | 2.1 bn | 2.3 bn | 2.6 bn | 3.0 bn | 3.0 bn | 3.2 bn | SEC (XBRL)· 13 Mar 2026verified |
| Deposits | 1.7 bn | 1.9 bn | 2.1 bn | 2.5 bn | 2.3 bn | 2.7 bn | SEC (XBRL)· 13 Mar 2026verified |
| Short-term debt | — | — | 186.5 m | 93.7 m | 307.8 m | 129.3 m | SEC (XBRL)· 13 Mar 2026verified |
| Long-term debt | 165.8 m | 42.5 m | 186.5 m | — | — | — | SEC (XBRL)· 16 Mar 2023verified |
| Total liabilities | 1.9 bn | 2.0 bn | 2.4 bn | 2.7 bn | 2.7 bn | 2.9 bn | SEC (XBRL)· 13 Mar 2026verified |
| Equity | 230.0 m † | 247.5 m † | 231.7 m † | 264.5 m † | 295.8 m † | 307.7 m † | SEC (XBRL)· 13 Mar 2026verified |
† equity attributable to the parent's shareholders: in these years the issuer no longer reports the total including non-controlling interests.
Cash flow · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Dividends paid | 3.6 m | 4.6 m | 7.1 m | 7.8 m | 8.3 m | 10.3 m | SEC (XBRL)· 13 Mar 2026verified |
| Share repurchases | 9.8 m | 14.0 m | 15.6 m | 223.0 k | 2.5 m | 15.4 m | SEC (XBRL)· 13 Mar 2026verified |
Computed indicators
Growth
Profitability
Returns
Market and valuation
Banking
32 indicators that do not apply to the sector.
Valuation
olivLaw classification
Score: 55 / 100
A scoring methodology on indicators and valuation, not investment advice.
Closing price
04 Nov 2026Source: olivLaw, closing series
Market cap: 330.5 m USD
Key indicators
Coverage and freshness
Score by group
- Valuation75
- Returns29
- Quality60
- Balance sheet0
- Growth45
Estimated value range
The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 17.61 – 72.97 USD.
Valuation assumptions are editorial choices, not measured; beta is not measured.
Method ranges (USD per share)
— — Mid · ▏ Price
Valuation methods
- Residual income43.42 – 45.40 (Mid 44.39)
- Justified P/B45.83 – 61.63 (Mid 52.57)
- Dividend discount (DDM)17.61 – 23.68 (Mid 20.20)
- Peers: P/E66.28 – 72.97 (Mid 71.63)5 companies used · median multiple 16.4x · quartiles 15.2x – 16.7xBBT, ECBK, GCBC, PBFS, RBKB
- Peers: P/B37.44 – 61.44 (Mid 46.14)8 companies used · median multiple 1.1x · quartiles 0.9x – 1.4xBBT, ECBK, FBLA, FLG, FNWB, GCBC, PBFS, RBKB
Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.
Assumptions (illustrative, editorial)
- Risk-free rate
- 4.3%
- Equity risk premium
- 5.0%
- Beta (default)
- 1.00
- Cost of equity
- 9.3%
- Terminal growth
- 2.5%
Factor scorecard
Neutral profile · Score 55/100
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROE · Quality | 10.8% | 88 (vs peers) | 19% |
| ROA · Quality | 1.0% | 46 (on a fixed band) | 7% |
| Cost-to-income · Quality | 66.1% | 0 (on a fixed band) | 12% |
| Net interest margin · Quality | 4.2% | 100 (on a fixed band) | 7% |
| EPS CAGR 3Y · Growth | 0.5% | 4 (on a fixed band) | 10% |
| Revenue CAGR 3Y · Growth | 20.1% | 100 (on a fixed band) | 7% |
| NPL ratio · Balance sheet | unavailable | unavailable | — |
| Cost of risk · Balance sheet | unavailable | unavailable | — |
| Loan-to-deposit · Balance sheet | 107.4% | 0 (on a fixed band) | 5% |
| P/B · Valuation | 1.0x | 50 (vs peers) | 12% |
| P/E (TTM) · Valuation | 10.2x | 100 (vs peers) | 12% |
| Dividend yield · Returns | 3.1% | 29 (on a fixed band) | 10% |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet· partial0/100 · 1/3 factors with a value
- Growth45/100 · 2/2 factors with a value
- Quality60/100 · 4/4 factors with a value
- Returns29/100 · 1/1 factors with a value
- Valuation75/100 · 2/2 factors with a value
A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.
Memo
FS Bancorp, Inc. (FSBW). Latest full fiscal year: 2023; data up to 2026-06-30.
Figures computed from the financial statements: net interest income 130.4 m USD in 2025; YoY growth 44.8%; ROE 10.8%.
The estimated value range is 43.42–61.44 USD per share (median of 5 methods, agreement: medium); assumptions are illustrative. Against the central value of 46.14 USD, the price of 44.47 USD leaves a potential of 3.7% (value / price − 1) and a margin of safety of 3.6% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.
olivLaw score 55/100, methodological classification: neutral profile (score, margin of safety and method agreement together; not a judgement of the right price). Groups assessed only in part: balance. Not investment advice.
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- ROE: 10.8%
- Net interest margin: 4.2%
- Revenue CAGR 3Y: 20.1%
- P/E (TTM): 10.2x
What contradicts it
- Cost-to-income: 66.1%
- EPS CAGR 3Y: 0.5%
- Loan-to-deposit: 107.4%
- Dividend yield: 3.1%
Not assessed (insufficient data or a ratio without meaning): NPL ratio, Cost of risk.
Versus the vertical median
Savings Institutions, Not Federally Chartered (SIC 6036) · same industry (4-digit SIC) · compared with 8 companies
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| FLGFlagstar Bank, National Association | 4.5 bn | 220.3 | 0.6% | — | +17.4% | −10% / −61% |
| BBTBeacon Financial Corp | 2.6 bn | 16.4 | 8.4% | 533.6% | −92.5% | +22% / +50% |
| GCBCGreene County Bancorp, Inc. | 623.0 m | 15.2 | 15.9% | — | +11.1% | +60% / +46% |
| PBFSPioneer Bancorp, Inc. | 467.0 m | 27.1 | 5.2% | 103.4% | +5.8% | +41% / +127% |
| FSBWFS Bancorp, Inc. | 330.5 m | 10.2 | 10.8% | — | +44.8% | +15% / +48% |
| FBLAFB Bancorp, Inc. | 271.4 m | — | -0.1% | -0.4% | −3.8% | +35% / unavailable |
| RBKBRhinebeck Bancorp, Inc. | 203.7 m | 14.4 | 7.3% | 329.8% | −0.6% | +67% / +189% |
| ECBKECB Bancorp, Inc. | 200.7 m | 16.7 | 6.6% | 1,868.7% | +3.6% | +32% / +90% |
| FNWBFirst Northwest Bancorp | 98.3 m | 63.3 | 1.0% | — | −23.1% | +5% / −30% |
1- and 3-year price returns: for FSBW from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Scenarios are not available. input data missing
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
In brief
FS Bancorp is the holding company of 1st Security Bank, a community bank focused on relationships with families, businesses and industry niches in the Puget Sound and Pacific Northwest. It is expanding into Portland and Vancouver through the Pacific West Bancorp acquisition completed in August 2026, while total assets stood at 3.2 billion USD at year-end 2025 13.
SWOT
Strengths
Weaknesses
- Concentration of indirect lending on a small number of dealers exposes the company to rapid volume loss 1.
- The Home Lending segment posted a loss in the third quarter of 2026 as rates rose 3.
- A heavy weighting toward consumer and commercial real estate loans increases sensitivity to the economic cycle 1.
Opportunities
Risks
- Consumer credit riskhigh
Indirect home improvement loans are the largest part of consumer lending and are originated through dealers 1. If dealer volumes fall or the economy weakens, credit losses could rise.
- Dealer concentrationhigh
Five dealers generated most of the annual loan volume in 2025 1. Losing one of them could significantly reduce origination.
- Commercial real estate credit riskmedium
Commercial real estate loans are large and may carry balloon payments at maturity, which raises default risk 1. Declining property values could impair collateral recovery.
- Acquisition integration riskmedium
Expected synergies from the Pacific West acquisition may not be realized on the expected timeline, and integrating staff can be difficult 23.
- Interest rate riskmedium
Changes in interest rates affect net margin and asset values, and margin compression has already been observed 1.
Investment thesis
What would need to be true (bull case)
- Deposit growth and geographic expansion through the Pacific West acquisition could support revenue if integration proceeds as planned 3.
- Dividend policy and share repurchases show management returning capital to shareholders, and the consecutive dividend record signals discipline 3.
- Niche lending positions and local relationships could keep attracting customers if the Puget Sound economy remains stable 1.
What would break the thesis
- Quarterly profit fell from a year earlier and the Home Lending segment slipped into a loss, which could point to persistent pressure 3.
- Reliance on indirect lending and a narrow group of dealers could expose the company to volume shocks 1.
- Credit risk in the commercial and consumer books could increase if the regional economy weakens 1.
What to watch
- Integration of Pacific West and trend in transactional depositsQ4 2026
- Quality of the consumer loan portfolio and nonperforming loan rationext 10-K
- Net interest margin after the rate cutsQ1 2027
- Home Lending segment results in a high-rate environment2027
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
The business
1st Security Bank has served the Puget Sound area since 1907 and became a wholly owned subsidiary of FS Bancorp when it converted to stock ownership in July 2012 1. At December 31, 2025, the bank operated 27 full-service branches and 13 loan production offices, of which 22 branches were in Washington and five in Oregon 1. The company is a diversified lender with a focus on relationship lending, and retail deposits remain a crucial funding source 1.
Lending covers commercial real estate, multi-family, construction, one-to-four-family, home equity, consumer and commercial business loans 1. The company also runs an indirect consumer lending platform operating mainly across the Western United States 2. The 2023 branch purchase from Columbia State Bank extended the footprint into southeastern Washington and Oregon 1.
Segments
Market context
The primary market is the Seattle-Tacoma-Bellevue metropolitan area, covering King and Pierce Counties, within a nine-county Puget Sound region 1. The regional economy is diversified across aerospace, technology, biotechnology and logistics 1. Washington's unemployment rate was an estimated 4.7% at December 31, 2025, slightly above the national average of 4.4% 1.
Expansion into Oregon and the Vancouver, Washington area through Pacific West could open new deposit and lending opportunities in the Portland and Tri-Cities markets 3. Rising unemployment in some counties during 2025 could weigh on portfolio quality if regional conditions weaken 1.
Trends
- Interest rate policy and net marginheadwind
Federal Reserve rate cuts in late 2025 led to margin compression and lower yields on adjustable and variable loans 1. If rates stay volatile, net interest margin could remain under pressure.
- Regional banking consolidationmixed
The company says recent market consolidation creates lending opportunities, and the Pacific West deal illustrates that strategy 13. Integrating new assets could bring synergies but also operational risks.
- Deposit growth through acquisitiontailwind
Total deposits rose 17.1% in the third quarter of 2026, largely because of the Pacific West acquisition 3. If transactional deposits hold, funding costs could fall.
- Pressure on consumer borrowersheadwind
Indirect home improvement loans form a large part of the consumer book, and economic stress or competition could reduce volumes 1. Rising household debt could increase credit risk.
Competitive position
The company operates in the Puget Sound market, where regional and national banks compete for deposits and commercial loans, and the sources describe competition as a key factor for dealer partners and deposit gathering 1. Competitors offering better service or products could lead dealers to end relationships 1.
In indirect lending, competition can put pressure on dealers, and losing a concentrated group of partners could reduce origination volume 1. The Pacific West deal shows the company also entering competitive markets in Oregon 3.
- Pacific West Bancorp
Bank headquartered in West Linn, Oregon, acquired by FS Bancorp on August 19, 2026 and integrated into its Portland and Vancouver operations 3.
- Community and regional banks in Puget Sound
Banks in the Puget Sound area compete for deposits and commercial loans, and some have stepped back from construction lending after overexposure 1.
- Banks that exited construction lending
Several banks withdrew from development lending, opening room for FS Bancorp in that segment 1.
- Home improvement lenders and dealer financiers
Competing dealer networks and finance providers could draw away the company's contractor partners if they offer better terms 1.
Links, dependencies and risks
Who the company is tied to, from its own SEC filings (customers, suppliers, production, partners, competitors, countries, regulation), from the 5 %+ holders' statements (13D/13G) and from what other companies say about it. Click a node for its evidence; on a listed company the graph moves to it.
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News & filings
In the press
No news in our archive over the last 180 days.
SEC filings
- Current report23 Oct 2026Departure or appointment of officers · Financial statements and exhibits
- Current report21 Oct 2026Results of operations · Other events · Financial statements and exhibits
- Current report24 Aug 2026Other events · Financial statements and exhibits
- Current report21 Aug 2026Other events · Financial statements and exhibits
- Current report11 Aug 2026Regulation FD disclosure · Financial statements and exhibits
- Quarterly report10 Aug 2026
- Current report21 Jul 2026Results of operations · Other events · Financial statements and exhibits
- Current report01 Jun 2026Departure or appointment of officers · Financial statements and exhibits
- Current report27 May 2026Shareholder vote
- Quarterly report08 May 2026
Sources
- [1] Form 10-K, fiscal year ended 2025-12-31 · SEC / FS Bancorp, Inc. · 13 Mar 2026
- [2] Form 10-Q, quarter ended 2026-06-30 · SEC / FS Bancorp, Inc. · 10 Aug 2026
- [3] Form 8-K, results release (exhibit 99.1) · SEC / FS Bancorp, Inc. · 21 Oct 2026
Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.