Red River Bancshares Inc. Common Stock (RRBI)

FairStock Score: 65/100 — STEADY

Key Financials

Strengths

• Solid return on equity of 12.6% above cost of capital
• Revenue growth of 16.0% demonstrates strong top-line momentum

Concerns

• Altman Z-Score of 0.3 places it in the financial distress zone—elevated bankruptcy risk

AI Analysis

Red River Bancshares Inc. Common Stock is a micro-cap financial services company valued at $612 million. The business generates $126 million in annual revenue with a 9.1% net margin. From a quality standpoint, Red shows distressed Altman Z-Score of 0.3 warrants caution and adequate 13% ROE. On valuation, the stock is attractively valued at 13.3x earnings, with trades above its Graham Number with a negative 2% margin. Growth dynamics show revenue growing at 16.0% and profit growth of 22.7%. Our composite FairStock Score of 65/100 reflects above-average fundamentals overall. Investors should weigh the business quality against the current price and their own margin of safety requirements.

Bull Case

Red's 16% revenue growth trajectory could accelerate as it captures additional market share in the financial services sector. Operational leverage in the business model means incremental revenue growth could disproportionately boost bottom-line profitability.

Bear Case

Macro headwinds or sector-specific disruption could pressure margins, particularly if competitive intensity increases in the financial services space. Regulatory changes, input cost inflation, or demand normalization represent underappreciated risks that could materially impact forward estimates.

Data from SEC filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer