DB:1GJ

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

First Guaranty Bancshares

Executive Summary

First Guaranty Bancshares, Inc. operates as the holding company for First Guaranty Bank that provides commercial banking services to businesses, professionals, and individuals in Louisiana and Texas.


Snowflake Analysis

Undervalued with excellent balance sheet and pays a dividend.


Similar Companies

Share Price & News

How has First Guaranty Bancshares's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 1GJ's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

0%

1GJ

2.1%

DE Banks

2.0%

DE Market


1 Year Return

-32.4%

1GJ

-30.0%

DE Banks

-2.6%

DE Market

Return vs Industry: 1GJ underperformed the German Banks industry which returned -30% over the past year.

Return vs Market: 1GJ underperformed the German Market which returned -2.6% over the past year.


Shareholder returns

1GJIndustryMarket
7 Day0%2.1%2.0%
30 Day-11.7%4.8%8.4%
90 Day-33.1%-25.1%-7.3%
1 Year-30.1%-32.4%-29.5%-30.0%-1.0%-2.6%
3 Year-33.1%-38.6%-46.2%-48.5%-6.6%-13.9%
5 Yearn/a-43.1%-54.1%1.1%-11.7%

Price Volatility Vs. Market

How volatile is First Guaranty Bancshares's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is First Guaranty Bancshares undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 1GJ (€11.3) is trading below our estimate of fair value (€23.77)

Significantly Below Fair Value: 1GJ is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 1GJ is good value based on its PE Ratio (7.8x) compared to the Banks industry average (17.9x).

PE vs Market: 1GJ is good value based on its PE Ratio (7.8x) compared to the German market (18.6x).


Price to Earnings Growth Ratio

PEG Ratio: 1GJ is poor value based on its PEG Ratio (1.2x)


Price to Book Ratio

PB vs Industry: 1GJ is good value based on its PB Ratio (0.7x) compared to the DE Banks industry average (0.8x).


Next Steps

Future Growth

How is First Guaranty Bancshares forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

6.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 1GJ's forecast earnings growth (6.4% per year) is above the savings rate (0.2%).

Earnings vs Market: 1GJ's earnings (6.4% per year) are forecast to grow slower than the German market (22.1% per year).

High Growth Earnings: 1GJ's earnings are forecast to grow, but not significantly.

Revenue vs Market: 1GJ's revenue (11.9% per year) is forecast to grow faster than the German market (5.7% per year).

High Growth Revenue: 1GJ's revenue (11.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if 1GJ's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has First Guaranty Bancshares performed over the past 5 years?

0.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 1GJ has high quality earnings.

Growing Profit Margin: 1GJ's current net profit margins (21.6%) are lower than last year (22.4%).


Past Earnings Growth Analysis

Earnings Trend: 1GJ's earnings have grown by 0.8% per year over the past 5 years.

Accelerating Growth: 1GJ's earnings growth over the past year (8.8%) exceeds its 5-year average (0.8% per year).

Earnings vs Industry: 1GJ earnings growth over the past year (8.8%) exceeded the Banks industry 4.1%.


Return on Equity

High ROE: 1GJ's Return on Equity (8.8%) is considered low.


Next Steps

Financial Health

How is First Guaranty Bancshares's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet


Financial Institutions Analysis

Asset Level: 1GJ's Assets to Equity ratio (13.3x) is moderate.

Allowance for Bad Loans: 1GJ has a low allowance for bad loans (52%).

Low Risk Liabilities: 94% of 1GJ's liabilities are made up of primarily low risk sources of funding.

Loan Level: 1GJ has an appropriate level of Loans to Assets ratio (68%).

Low Risk Deposits: 1GJ's Loans to Deposits ratio (79%) is appropriate.

Level of Bad Loans: 1GJ has an appropriate level of bad loans (1.5%).


Next Steps

Dividend

What is First Guaranty Bancshares's current dividend yield, its reliability and sustainability?

5.33%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 1GJ's dividend (5.33%) is higher than the bottom 25% of dividend payers in the German market (1.33%).

High Dividend: 1GJ's dividend (5.33%) is in the top 25% of dividend payers in the German market (4.04%)


Stability and Growth of Payments

Stable Dividend: 1GJ's dividends per share have been stable in the past 10 years.

Growing Dividend: 1GJ's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (39.3%), 1GJ's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

10.0yrs

Average management tenure


CEO

Alton Lewis (70yo)

10.58yrs

Tenure

US$499,723

Compensation

Mr. Alton B. Lewis, Jr. has been the Chief Executive Officer and President of First Guaranty Bank and also its holding company First Guaranty Bancshares, Inc. since October 1, 2009. Mr. Lewis has been the  ...


CEO Compensation Analysis

Compensation vs Market: Alton's total compensation ($USD499.72K) is about average for companies of similar size in the German market ($USD427.16K).

Compensation vs Earnings: Alton's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Alton Lewis
Vice Chairman10.58yrsUS$499.72k0.74% $790.0k
Eric Dosch
Treasurer10yrsUS$222.12k0.19% $205.5k
Michael Cross
Chief Lending Officer of First Guaranty Bank5.33yrsno datano data

10.0yrs

Average Tenure

63yo

Average Age

Experienced Management: 1GJ's management team is seasoned and experienced (10 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Alton Lewis
Vice Chairman10.58yrsUS$499.72k0.74% $790.0k
Marshall Reynolds
Independent Chairman of the Board12.83yrsUS$25.40k23.55% $25.1m
Charles Brister
Director of First Guaranty Bank24.33yrsUS$12.84kno data
Daniel Packer
Director of First Guaranty Bank15.33yrsUS$3.20kno data
Anthony Berner
Director of First Guaranty Bank23.33yrsUS$13.95kno data
William Hood
Independent Director23.33yrsUS$53.08k2.72% $2.9m
Morgan Nalty
Director of First Guaranty Bank19.33yrsUS$5.20kno data
Edwin Hoover
Director of First Guaranty Bank26.33yrsUS$12.85kno data
Edgar Smith
Independent Director5.58yrsUS$22.28k3.29% $3.5m
Jack Rossi
Independent Director2.25yrsUS$22.69k0.011% $12.0k

17.3yrs

Average Tenure

69yo

Average Age

Experienced Board: 1GJ's board of directors are seasoned and experienced ( 17.3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: 1GJ insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

First Guaranty Bancshares, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: First Guaranty Bancshares, Inc.
  • Ticker: 1GJ
  • Exchange: DB
  • Founded: 1934
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$116.992m
  • Listing Market Cap: US$106.498m
  • Shares outstanding: 9.74m
  • Website: https://www.fgb.net

Number of Employees


Location

  • First Guaranty Bancshares, Inc.
  • 400 East Thomas Street
  • Hammond
  • Louisiana
  • 70401
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
FGBINasdaqGM (Nasdaq Global Market)YesCommon Stock USD 1USUSDMar 2004
1GJDB (Deutsche Boerse AG)YesCommon Stock USD 1DEEURMar 2004

Biography

First Guaranty Bancshares, Inc. operates as the holding company for First Guaranty Bank that provides commercial banking services to businesses, professionals, and individuals in Louisiana and Texas. It offers various deposit products, including personal and business checking, savings, money market, and demand accounts, as well as time deposits. The company also provides loans, such as non-farm non-residential loans secured by real estate, commercial and industrial loans, one- to four-family residential loans, construction and land development loans, agricultural loans, farmland loans, consumer and other loans, and multifamily loans. In addition, it offers a range of consumer services, including personal and commercial credit cards, remote deposit capture, safe deposit boxes, official checks, Internet banking, automated teller machines, online bill pay, mobile banking, and lockbox services. The company operates through 27 banking facilities located in market services areas of Hammond, Baton Rouge, Lafayette, Shreveport-Bossier City, Dallas-Fort Worth-Arlington, and Waco. First Guaranty Bancshares, Inc. was founded in 1934 and is headquartered in Hammond, Louisiana. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/05/27 05:16
End of Day Share Price2020/05/26 00:00
Earnings2020/03/31
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.