First MerchantsFRME -1.99%60 EV-to-FCF is 13.81 as of Jul. 06, 2026, which is 22% above its 10-year median of 11.31. GuruFocus rates FRME with a GF Score™ of 60/100 and a GF Value™ of $40.08 (Fairly Valued). The stock has 8 warning signs investors should review. Among 1,196 Banks companies, First Merchants ranks worse than 73.24% on this metric.
EV-to-FCF is calculated as enterprise value divided by its free cash flow. As of today, First Merchants's Enterprise Value is $3,874.9 Mil.
First Merchants's Free Cash Flow for the trailing twelve months (TTM) ended in Mar. 2026 was $280.5 Mil. Therefore, First Merchants's EV-to-FCF for today is 13.81.
The historical rank and industry rank for First Merchants's EV-to-FCF or its related term are showing as below:
FRME'
s EV-to-FCF Range Over the Past 10 Years
Min: 6.05 Med: 11.31 Max: 25.1
Current: 13.81
During the past 13 years, the highest EV-to-FCF of First Merchants was 25.10. The lowest was 6.05. And the median was 11.31.
FRME's EV-to-FCF is ranked worse than 73.24% of 1196
companies
in the Banks industry
Industry Median: 6.565
vs FRME: 13.81
EV-to-FCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
EV-to-FCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
First Merchants's PE Ratio (TTM) for today is calculated as:
First Merchants's share price for today is $43.44.
First Merchants's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $3.400.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Enterprise Value is used because it is a more complete measure in reflecting how much an investor pays when buying a company. Free Cash Flow is an important financial metric because it represents the actual amount of cash at a company's disposal. Companies with a low EV-to-FCF ratio, combined with a strong balance sheet are generally considered as undervalued.
First Merchants EV-to-FCF Related Terms
First Merchants EV-to-FCF Historical Data
* Premium members only.
The historical data trend for First Merchants's EV-to-FCF can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Banks - Regional subindustry, First Merchants's EV-to-FCF, along with its competitors' market caps and EV-to-FCF data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
First Merchants EV-to-FCF vs Banks Industry
For the Banks industry and Financial Services sector, First Merchants's EV-to-FCF distribution charts can be found below:
* The bar in red indicates where First Merchants's EV-to-FCF falls into.
First Merchants's current Enterprise Value is $3,874.9 Mil.
First Merchants's Free Cash Flow for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $280.5 Mil.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
First Merchants (FRME) has a EV-to-FCF of 13.81 as of Jul. 06, 2026. EV to FCF ratio is the company's enterprise value divided by free cash flow. View historical data on First Merchants and its competitors. This is 22% above median its historical median of 11.31. Over the past decade, First Merchants' EV-to-FCF has ranged from 6.05 to 25.10. According to the industry distribution chart, First Merchants ranks #876 out of 1196 companies in the Banks industry, placing it in the top 73.2%.
Is First Merchants' EV-to-FCF too high?
First Merchants' current EV-to-FCF of 13.81 is 22% above median its 10-year median of 11.31. Over the past 10 years, this metric has ranged from a low of 6.05 to a high of 25.10. The Banks industry median EV-to-FCF is 6.57. First Merchants' value of 13.81 is 110.4% above this industry median. Based on the distribution chart, First Merchants ranks #876 out of 1196 companies in the Banks industry, which is below the industry midpoint. Overall, First Merchants has a GF Score™ of 60/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does First Merchants' EV-to-FCF compare to CUBI and TRMK?
According to the Banks industry distribution chart, First Merchants ranks #876 out of 1196 companies for EV-to-FCF. This places First Merchants in the lower half of its industry. The industry median EV-to-FCF is 6.57. First Merchants' value of 13.81 is 110.4% above this benchmark. Historically, First Merchants' own EV-to-FCF has ranged from 6.05 to 25.10 over the past decade. While the company's 10-year median is 11.31 vs. the industry median of 6.57, First Merchants has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-FCF for a Banks company?
The median EV-to-FCF among Banks companies is 6.57, based on 1,196 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-FCF significantly above this median, while those in the bottom quartile fall well below. However, EV-to-FCF should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. First Merchants's current EV-to-FCF of 13.81 is 110.4% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-FCF mean?
A high EV-to-FCF can signal that a stock is expensive relative to its fundamentals. EV to FCF ratio is the company's enterprise value divided by free cash flow. View historical data on First Merchants and its competitors. For the Banks industry, the median EV-to-FCF is 6.57 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. First Merchants's current EV-to-FCF is 13.81, which is 22% above median its own 10-year median of 11.31. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is First Merchants stock overvalued right now?
Based on GuruFocus' analysis, First Merchants (FRME) is currently considered Fairly Valued. The stock's GF Value™ is $40.08, compared to a current price of $43.44 — trading 8.4% above its estimated fair value. The current EV-to-FCF is 13.81, which is 22% above median its 10-year median of 11.31 and 110.4% above the Banks industry median of 6.57. First Merchants' overall GF Score™ is 60/100 with 8 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-FCF calculated?
EV-to-FCF is calculated from a company's financial statements. For First Merchants (FRME), the current EV-to-FCF is 13.81 as of Jul. 06, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is First Merchants (FRME) Overvalued in 2026?
Based on GuruFocus' analysis, First Merchants stock appears to be overvalued.
The current stock price of $43.44 is trading 8.4% above its estimated GF Value™ of $40.08.
GuruFocus considers First Merchants to be Fairly Valued.
Key valuation signals for FRME:
EV-to-FCF: 13.81 (22% above median its 10-year median of 11.31)
GF Value™: $40.08 vs. price of $43.44 (8.4% above fair value)
Industry Position: 110.4% above the Banks median (#876 of 1196)
No single metric tells the full story. See the FRME stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
First Merchants Corp, through its subsidiaries, provides its customers with financial services delivered locally by bankers. It offers personal banking, business banking, real estate mortgage lending, cash management services, brokerage, wealth management, and insurance. The company reports in only one segment, which is community banking.
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