OB:MING

Stock Analysis Report

SpareBank 1 SMN

Executive Summary

SpareBank 1 SMN, together with its subsidiaries, provides various financial and banking products and services.

Snowflake

Fundamentals

Excellent balance sheet with proven track record and pays a dividend.

Share Price & News

How has SpareBank 1 SMN's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: MING has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-2.4%

MING

-3.5%

NO Banks

-1.1%

NO Market


1 Year Return

10.2%

MING

6.9%

NO Banks

-3.9%

NO Market

Return vs Industry: MING exceeded the Norwegian Banks industry which returned 6.9% over the past year.

Return vs Market: MING exceeded the Norwegian Market which returned -3.9% over the past year.


Shareholder returns

MINGIndustryMarket
7 Day-2.4%-3.5%-1.1%
30 Day-2.3%1.4%1.1%
90 Day2.0%10.6%8.7%
1 Year16.6%10.2%12.1%6.9%1.2%-3.9%
3 Year80.6%55.0%48.9%30.8%40.5%22.9%
5 Year108.7%64.9%73.6%37.6%54.1%19.0%

Price Volatility Vs. Market

How volatile is SpareBank 1 SMN's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is SpareBank 1 SMN undervalued compared to its fair value and its price relative to the market?

28.0%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: MING (NOK96.9) is trading below our estimate of fair value (NOK134.63)

Significantly Below Fair Value: MING is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: MING is good value based on its PE Ratio (7.7x) compared to the Banks industry average (8.2x).

PE vs Market: MING is good value based on its PE Ratio (7.7x) compared to the Norwegian market (13.1x).


Price to Earnings Growth Ratio

PEG Ratio: MING's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: MING is overvalued based on its PB Ratio (0.7x) compared to the NO Banks industry average (0.5x).


Next Steps

Future Growth

How is SpareBank 1 SMN forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

-1.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MING's earnings are forecast to decline over the next 3 years (-1.9% per year).

Earnings vs Market: MING's earnings are forecast to decline over the next 3 years (-1.9% per year).

High Growth Earnings: MING's earnings are forecast to decline over the next 3 years.

Revenue vs Market: MING's revenue (0.4% per year) is forecast to grow slower than the Norwegian market (4.4% per year).

High Growth Revenue: MING's revenue (0.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: MING's Return on Equity is forecast to be low in 3 years time (11.1%).


Next Steps

Past Performance

How has SpareBank 1 SMN performed over the past 5 years?

-1.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MING has high quality earnings.

Growing Profit Margin: MING's current net profit margins (27.5%) are higher than last year (26.1%).


Past Earnings Growth Analysis

Earnings Trend: MING's earnings have declined by -1% per year over the past 5 years.

Accelerating Growth: MING's earnings growth over the past year (16.9%) exceeds its 5-year average (-1% per year).

Earnings vs Industry: MING earnings growth over the past year (16.9%) exceeded the Banks industry 12.2%.


Return on Equity

High ROE: MING's Return on Equity (13.1%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is SpareBank 1 SMN'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

Inventory Level: MING has a low level of unsold assets or inventory.

Debt Coverage by Assets: MING's debt is not covered by short term assets (assets are 0.6x debt).


Financial Institutions Analysis

Asset Level: MING's level of assets compared to its equity is low.

Allowance for Bad Loans: MING has a sufficient allowance for bad loans.

Low Risk Liabilities: MING's liabilities are made up of primarily low risk sources of funding.

Loan Level: MING has an acceptable proportion of non-loan assets held.

Low Risk Deposits: MING has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: MING has an appropriate level of bad loans (0.27%)


Next Steps

Dividend

What is SpareBank 1 SMN's current dividend yield, its reliability and sustainability?

5.26%

Current Dividend Yield


Dividend Yield vs Market

company5.3%marketbottom25%2.5%markettop25%6.0%industryaverage5.0%forecastin3Years6.7%

Current dividend yield vs market & industry

Notable Dividend: MING's dividend (5.26%) is higher than the bottom 25% of dividend payers in the Norwegian market (2.5%).

High Dividend: MING's dividend (5.26%) is low compared to the top 25% of dividend payers in the Norwegian market (5.99%).


Stability and Growth of Payments

Stable Dividend: MING's dividend payments have been volatile in the past 10 years.

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (40.8%), MING's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: MING's dividends in 3 years are forecast to be covered by earnings (55.3% payout ratio).


Next Steps

Management

What is the CEO of SpareBank 1 SMN's salary, the management and board of directors tenure and is there insider trading?

0.8yrs

Average management tenure


CEO

Jan-Frode Janson (50yo)

0.5yrs

Tenure

0

Mr. Jan-Frode Janson is a Director of SpareBank 1 Gruppen AS. He served as President at SpareBank 1 Nord-Norge until March 15, 2019. He was the Chief Executive Officer of SpareBank 1 Nord-Norge from Januar ...


Management Age and Tenure

0.8yrs

Average Tenure

53yo

Average Age

Experienced Management: MING's management team is not considered experienced ( 0.8 years average tenure), which suggests a new team.


Board Age and Tenure

1.8yrs

Average Tenure

57yo

Average Age

Experienced Board: MING's board of directors are not considered experienced ( 1.8 years average tenure), which suggests a new board.


Insider Trading

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


Recent Insider Transactions

Buykr5,94405 Nov 19
Cathrine Aunvik
EntityIndividual
Shares58
Max Pricekr102.48
Buykr5,94405 Nov 19
Tomm Bøyesen
EntityIndividual
Shares58
Max Pricekr102.48
Buykr5,94405 Nov 19
Berit Rustad
EntityIndividual
Shares58
Max Pricekr102.48
Buykr5,94405 Nov 19
Ola Neråsen
EntityIndividual
Role
Chief Compliance Officer
Head of Risk Management and Compliance
Shares58
Max Pricekr102.48
Buykr5,94405 Nov 19
Rolf Brøske
EntityIndividual
Shares58
Max Pricekr102.48
Buykr1,43505 Nov 19
Margrethe Resellmo
EntityIndividual
Shares14
Max Pricekr102.48
Buykr5,94405 Nov 19
Inge Lindseth
EntityIndividual
Role
Member of the Board of Directors
Director
Shares58
Max Pricekr102.48
Buykr5,94405 Nov 19
Kjersti Hønstad
EntityIndividual
Role
Chief Legal Officer
Executive Vice President of Legal
Shares58
Max Pricekr102.48
Buykr1,43505 Nov 19
Camilla Stang
EntityIndividual
Shares14
Max Pricekr102.48
Buykr5,94405 Nov 19
Hans Tronstad
EntityIndividual
Role
Head of Corporate Communications
Head of Corporate Communications
Shares58
Max Pricekr102.48
Buykr5,94405 Nov 19
Vegard Helland
EntityIndividual
Shares58
Max Pricekr102.48
Buykr5,94405 Nov 19
Nelly Maske
EntityIndividual
Shares58
Max Pricekr102.48
Buykr1,43505 Nov 19
Christina Straub
EntityIndividual
Shares14
Max Pricekr102.48
Buykr5,94405 Nov 19
Kjell Fordal
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares58
Max Pricekr102.48
Buykr103,35612 Apr 19
Knut Solberg
EntityIndividual
Role
Chairman of Corporate Board
Chair of the Supervisory Board
Shares1,200
Max Pricekr86.13

Ownership Breakdown

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


Management Team

  • Kjell Fordal (62yo)

    Chief Financial Officer

    • Tenure: 28.8yrs
    • Compensation: kr3.77m
  • Stein Husby

    Chief Executive Officer of Sparebank 1 Markets

    • Tenure: 0yrs
  • Arne Nypan

    Chief Executive Officer of Sparebank 1 Finans Midt-Norge

    • Tenure: 0yrs
  • Kjersti Hønstad (52yo)

    Executive Vice President of Legal

    • Tenure: 0.8yrs
  • Petter de Lange

    Chief Economist

    • Tenure: 0yrs
  • Jon Havdal

    Managing Director of Regnskapshuset SMN

    • Tenure: 0yrs
  • Hans Tronstad

    Head of Corporate Communications

    • Tenure: 0yrs
  • Ola Neråsen (54yo)

    Head of Risk Management and Compliance

    • Tenure: 0yrs
    • Compensation: kr2.33m
  • Jan-Frode Janson (50yo)

    Group Chief Executive Officer

    • Tenure: 0.5yrs
  • Tom Jensen

    Chief Executive Officer of Sparebank 1 Bilplan

    • Tenure: 0yrs

Board Members

  • Morten Loktu (59yo)

    Director

    • Tenure: 6.8yrs
    • Compensation: kr233.00k
  • Bard Benum (57yo)

    Deputy Board Chair

    • Tenure: 6.7yrs
    • Compensation: kr306.00k
  • Knut Solberg (67yo)

    Chair of the Supervisory Board

    • Tenure: 1.7yrs
  • Kjell Bjordal (66yo)

    Chairman

    • Tenure: 6.8yrs
    • Compensation: kr496.00k
  • Inge Lindseth (56yo)

    Director

    • Tenure: 0.8yrs
  • Janne Thomsen (62yo)

    Director

    • Tenure: 5.6yrs
    • Compensation: kr291.00k
  • Christian Stav (51yo)

    Director

    • Tenure: 0.8yrs
  • Per Tyldum

    Supervisory Board Vice Chairman

    • Tenure: 0yrs
  • Mette Kamsvåg (48yo)

    Director

    • Tenure: 1.7yrs
    • Compensation: kr222.00k
  • Tonje Foss (48yo)

    Director

    • Tenure: 1.8yrs

Company Information

SpareBank 1 SMN's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: SpareBank 1 SMN
  • Ticker: MING
  • Exchange: OB
  • Founded: 1823
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: kr12.581b
  • Shares outstanding: 129.84m
  • Website: https://www.sparebank1.no/nb/smn

Number of Employees


Location

  • SpareBank 1 SMN
  • no. 4 Søndre gate
  • Trondheim
  • Sør-Trøndelag
  • 7011
  • Norway

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SRMG.FOTCPK (Pink Sheets LLC)YesPrimary Capital CertificatesUSUSDMay 1994
MINGOB (Oslo Bors)YesPrimary Capital CertificatesNONOKMay 1994
0IVMLSE (London Stock Exchange)YesPrimary Capital CertificatesGBNOKMay 1994
MINGOBATS-CHIXE (BATS 'Chi-X Europe')YesPrimary Capital CertificatesGBNOKMay 1994
MING51OB (Oslo Bors)8.25%-FRN PERP NOK500000NONOKMay 2012
MING52OB (Oslo Bors)FRN PERP NOK500000NONOKNov 2012

Biography

SpareBank 1 SMN, together with its subsidiaries, provides various financial and banking products and services. The company provides advisory services to personal and agricultural customers, clubs, associat ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/16 20:43
End of Day Share Price2019/11/15 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


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.