P/F BankNordik, together with its subsidiaries, provides various banking products and services for individual and corporate customers in the Faroe Islands, Denmark, and Greenland.
The last earnings update was 47 days ago.
Discounted Cash Flow Calculation for CPSE:BNORDIK CSE using Excess Returns Model Model
The calculations below outline how an intrinsic value for P/F BankNordik is arrived at using the Excess Return Model. This approach is used for finance firms where free cash flow is difficult to estimate.
In the Excess Return Model the value of a firm can be written as the sum of capital invested currently in the firm and the present value of excess returns that the firm expects to make in the future.
The model is sensitive to the Return on Equity of the company versus the Cost of Equity, how these are calculated is detailed below the main calculation.
Amount off the current price
is available for.
Share price is
vs Future cash flow value of
Current Discount Checks
to be considered undervalued it must be available for at least 20% below the
current price. Less than 40% is even better.
P/F BankNordik's share price is below the future cash flow value, and at a moderate discount (> 20%).
P/F BankNordik's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.
The amount the stock market is willing to pay for
is considered below, and whether this is a fair price.
Price based on past earnings
P/F BankNordik's earnings available for a low price, and how does
this compare to other companies in the same industry?
P/F BankNordik's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.
P/F BankNordik's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can
be gauged below. We look back 3 years and see if they were any good at
predicting what actually occurred. We also show the highest and lowest estimates
looking forward to see if there is a wide range.
P/F BankNordik's performance over the past 5 years by checking for:
Has earnings increased in past 5 years? (1 check)
Has the earnings growth in the last year exceeded that of the
industry? (1 check)
Is the recent earnings growth over the last year higher than the average annual growth over the
past 5 years? (1 check)
Is the Return on Equity (ROE) higher than 20%? (1 check)
Is the Return on Assets (ROA) above industry average? (1 check)
Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent
earnings report. Some checks require at least 3 or 5 years worth of data.
has a total score of
2/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
Management is one of the most important areas of a company. We look at
unreasonable CEO compensation, how long the team and board of directors have
been around for and insider trading.
TENURE AS CEO
Mr. Árni Ellefsen has been the Chief Executive Officer of BankNordik P/F since September 25, 2015 and has been its Member of Executive Board since October 2015. Mr. Ellefsen served as the Chief Financial Officer of BankNordik P/F until September 30, 2015. He served as Head of Finance & Risk Management - Business Unit at BankNordik P/F. He worked at KPMG in Copenhagen and was a partner at the auditing firm Spekt. He joined BankNordik from the position as Director of the Faroese IT company NEMA. Mr. Ellefsen is M.Sc. from Copenhagen Business School and Chartered Accountant.
Árni's compensation has been consistent with company performance over the past year, both up more than 20%.
Árni's remuneration is about average for companies of similar size in Denmark.
Management Team Tenure
Average tenure of the
management team in years:
The tenure for the P/F BankNordik management team is about average.
CEO & Member of Executive Board
CFO & Chief Credit Officer
Chief Operating Officer
Head of Accounting & Controlling
Head of Sales & Trading
Head of IT and Development
Head of Retail Banking
Head of P/F Skyn
Head of Vørður Tryggingar HF
Board of Directors Tenure
Average tenure and age of the
board of directors in years:
The average tenure for the P/F BankNordik board of directors is less than 3 years, this suggests a new board.
P/F BankNordik (CPH:BNORDIK CSE) Has Got What It Takes To Be An Attractive Dividend Stock
Investors are often drawn to a company for its dividend. … Regular readers know we like to apply the same approach to each dividend stock, and we hope you'll find our analysis useful. … In this case, P/F BankNordik likely looks attractive to dividend investors, given its 6.4% dividend yield and eight-year payment history.
How Many P/F BankNordik (CPH:BNORDIK CSE) Shares Do Institutions Own?
Large companies usually have institutions as shareholders, and we usually see insiders owning shares in smaller companies. … P/F BankNordik is a smaller company with a market capitalization of ø1.0b, so it may still be flying under the radar of many institutional investors. … institutional investors have bought into the company.
Does P/F BankNordik's (CPH:BNORDIK CSE) CEO Salary Compare Well With Others?
This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. … How Does Árni Ellefsen's Compensation Compare With Similar Sized Companies. … We examined companies with market caps from ø660m to ø2.6b, and discovered that the median CEO total compensation of that group was ø3.6m.
P/F BankNordik, together with its subsidiaries, provides various banking products and services for individual and corporate customers in the Faroe Islands, Denmark, and Greenland. The company operates in two segments, Banking and Non-Life Insurance. It provides personal and corporate banking services; a range of property and casualty insurance products under the Trygd brand, and life insurance products under NordikLív brand; and real estate agency services under the Skyn brand. The company operates through a network of 21 banking branches. P/F BankNordik was founded in 1906 and is headquartered in Tórshavn, Denmark.
Simply Wall Street Pty Ltd (ACN 600 056 611), is a Corporate Authorised Representative (Authorised Representative Number: 467183) of Sanlam Private Wealth Pty Ltd (AFSL No. 337927). Any advice contained in this website is general advice only and has been prepared without considering your objectives, financial situation or needs. You should not rely on any advice and/or information contained in this website and before making any investment decision we recommend that you consider whether it is appropriate for your situation and seek appropriate financial, taxation and legal advice. Please read our Financial Services Guide before deciding whether to obtain financial services from us.