OB:SNOR

Stock Analysis Report

Sparebank 1 Nordvest

Executive Summary

Sparebank 1 Nordvest provides various banking services in Norway.

Snowflake

Fundamentals

Very undervalued with acceptable track record.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-0.9%

SNOR

-3.5%

NO Banks

-1.1%

NO Market


1 Year Return

0%

SNOR

6.9%

NO Banks

-3.9%

NO Market

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

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


Shareholder returns

SNORIndustryMarket
7 Day-0.9%-3.5%-1.1%
30 Day-0.9%1.1%1.7%
90 Day1.9%10.6%8.7%
1 Year5.7%0%12.1%6.9%1.3%-3.9%
3 Yearn/a48.9%30.8%40.9%23.2%
5 Yearn/a73.6%37.6%54.6%19.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Sparebank 1 Nordvest 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: SNOR (NOK108) is trading below our estimate of fair value (NOK848.19)

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


Price To Earnings Ratio

PE vs Industry: SNOR is good value based on its PE Ratio (6.7x) compared to the Banks industry average (8.2x).

PE vs Market: SNOR is good value based on its PE Ratio (6.7x) compared to the Norwegian market (13x).


Price to Earnings Growth Ratio

PEG Ratio: SNOR is good value based on its PEG Ratio (0.8x)


Price to Book Ratio

PB vs Industry: SNOR is good value based on its PB Ratio (0.1x) compared to the NO Banks industry average (0.5x).


Next Steps

Future Growth

How is Sparebank 1 Nordvest forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

8.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SNOR's forecast earnings growth (8.8% per year) is above the savings rate (1.8%).

Earnings vs Market: SNOR's earnings (8.8% per year) are forecast to grow slower than the Norwegian market (20.7% per year).

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

Revenue vs Market: SNOR's revenue is expected to decline over the next 3 years (-2.2% per year).

High Growth Revenue: SNOR's revenue is forecast to decline over the next 3 years (-2.2% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SNOR's Return on Equity is forecast to be low in 3 years time (7%).


Next Steps

Past Performance

How has Sparebank 1 Nordvest performed over the past 5 years?

-20.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SNOR has a high level of non-cash earnings.

Growing Profit Margin: SNOR's current net profit margins (7.1%) are higher than last year (3.8%).


Past Earnings Growth Analysis

Earnings Trend: SNOR's earnings have declined by -20.3% per year over the past 5 years.

Accelerating Growth: SNOR's earnings growth over the past year (111.6%) exceeds its 5-year average (-20.3% per year).

Earnings vs Industry: SNOR earnings growth over the past year (111.6%) exceeded the Banks industry 12.2%.


Return on Equity

High ROE: SNOR's Return on Equity (10.3%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Sparebank 1 Nordvest'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: SNOR has a low level of unsold assets or inventory.

Debt Coverage by Assets: SNOR's debt is not covered by short term assets (assets are 0.5x debt).


Financial Institutions Analysis

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

Allowance for Bad Loans: Insufficient data to determine if SNOR has a sufficient allowance for bad loans.

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

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

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

Level of Bad Loans: Insufficient data to determine if SNOR has an appropriate level of bad loans.


Next Steps

Dividend

What is Sparebank 1 Nordvest's current dividend yield, its reliability and sustainability?

5.56%

Current Dividend Yield


Dividend Yield vs Market

company5.6%marketbottom25%2.5%markettop25%6.0%industryaverage5.0%forecastin3Years6.6%

Current dividend yield vs market & industry

Notable Dividend: SNOR's dividend (5.56%) is higher than the bottom 25% of dividend payers in the Norwegian market (2.5%).

High Dividend: SNOR's dividend (5.56%) is low compared to the top 25% of dividend payers in the Norwegian market (5.99%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, SNOR has been paying a dividend for less than 10 years.

Growing Dividend: SNOR's dividend payments have increased, but the company has only paid a dividend for 2 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (37.4%), SNOR's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: SNOR's dividends in 3 years are forecast to be covered by earnings (61.4% payout ratio).


Next Steps

Management

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

kr2m

CEO Compensation


CEO

Odd Folland (64yo)

14.8yrs

Tenure

kr2,226,000

Compensation

Mr. Odd Einar Folland serves as the Chief Executive Officer and Managing Director of Sparebank 1 Nordvest. Mr. Folland has been a Director of SpareBank 1 Gruppen AS since April 8, 2015 and its Chairman sin ...


CEO Compensation Analysis

Compensation vs Market: Odd's total compensation ($USD245.08K) is about average for companies of similar size in the Norwegian market ($USD349.89K).

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


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Buykr436,00025 Jun 19
Roald Rosand
EntityIndividual
Shares4,000
Max Pricekr109.00
Buykr324,00021 Feb 19
Odd Folland
EntityIndividual
Role
Chief Executive Officer
Chief Executive Officer
Shares3,000
Max Pricekr108.00
Buykr216,00019 Feb 19
Odd Folland
EntityIndividual
Role
Chief Executive Officer
Chief Executive Officer
Shares2,000
Max Pricekr108.00

Ownership Breakdown

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


Management Team

  • Odd Folland (64yo)

    Chief Executive Officer

    • Tenure: 14.8yrs
    • Compensation: kr2.23m
  • Olav Rugset

    Legal Director

    • Tenure: 0yrs
    • Compensation: kr1.42m
  • Turid Humlen

    Regional Bank Manager

    • Tenure: 0yrs
    • Compensation: kr1.19m
  • Rune Solli

    Bank Manager of Corporate Markets

    • Tenure: 0yrs
    • Compensation: kr1.28m
  • Leif Almvik

    Bank Manager of Retail Market

    • Tenure: 0yrs
    • Compensation: kr1.24m
  • Kathrine Gjestad (47yo)

    HR Manager

    • Tenure: 10.8yrs
    • Compensation: kr1.11m
  • Steinar Sogn (60yo)

    Chief Financial Officer

    • Tenure: 0yrs
    • Compensation: kr1.57m

Board Members

  • Gerd Langøy

    Director

    • Tenure: 0yrs
    • Compensation: kr83.00k
  • Vegard Nekstad

    Director

    • Tenure: 0yrs
    • Compensation: kr83.00k
  • Lars Backer (59yo)

    Chairman of the Board

    • Tenure: 0yrs
    • Compensation: kr199.00k
  • Runar Wiik

    Vice Chairman

    • Tenure: 0yrs
    • Compensation: kr93.00k
  • Gunnar Ervik

    Director

    • Tenure: 0yrs
    • Compensation: kr79.00k
  • Randi Lisberg (46yo)

    Director

    • Tenure: 0yrs
    • Compensation: kr86.00k
  • Øystein Aandahl (45yo)

    Employee Board Member

    • Tenure: 1.3yrs
    • Compensation: kr81.00k
  • Bjørn Rød

    Director

    • Tenure: 0yrs
    • Compensation: kr105.00k
  • Heidi Dahl

    Director

    • Tenure: 0yrs
    • Compensation: kr83.00k
  • Catrine Bruvoll

    Director

    • Tenure: 0yrs
    • Compensation: kr83.00k

Company Information

Sparebank 1 Nordvest's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Sparebank 1 Nordvest
  • Ticker: SNOR
  • Exchange: OB
  • Founded: 1835
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: kr242.296m
  • Shares outstanding: 2.24m
  • Website: https://www.sparebank1.no/nb/nordvest

Location

  • Sparebank 1 Nordvest
  • Langveien 21
  • Kristiansund
  • Møre og Romsdal
  • 6501
  • Norway

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SNOROB (Oslo Bors)YesEquity Capital CertificatesNONOKOct 2017

Biography

Sparebank 1 Nordvest provides various banking services in Norway. The company offers savings and deposit accounts; car, motorcycle, boat, and construction loans; and mortgages. It also provides business in ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/16 22:14
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.