Announcement • Apr 12
American National Bankshares Inc. Files Form 15 American National Bankshares Inc. has announced that it has filed a Form 15 with the Securities and Exchange Commission to voluntarily deregister its Common Stock under the Securities Exchange Act of 1934, as amended. The par value of the company's Common Stock was $1 per share. Announcement • Apr 01
American National Bankshares Requests Nasdaq to Suspend Trading in Shares of Common Stock Before the Opening of Trading on April 1, 2024 On April 1, 2024, American National Bankshares Inc. (‘American National’) completed its previously announced merger (the ‘Merger’) with Atlantic Union Bankshares Corporation (‘Atlantic Union’), pursuant to the Agreement and Plan of Merger, dated as of July 24, 2023 (the ‘Merger Agreement’), by and between Atlantic Union and American National. At the effective time of the Merger (the ‘Effective Time’), American National merged with and into Atlantic Union, with Atlantic Union continuing as the surviving corporation. Immediately following the Merger, American National Bank and Trust Company, American National’s wholly owned subsidiary bank, merged with and into Atlantic Union Bank, Atlantic Union’s wholly owned subsidiary bank, with Atlantic Union Bank continuing as the surviving bank. At the Effective Time, under the terms of the Merger Agreement, each share of common stock of American National (the ‘American National Common Stock’), excluding certain specified shares owned by Atlantic Union or American National, that was issued and outstanding immediately prior to the Effective Time, was converted into the right to receive 1.35 shares of common stock of Atlantic Union (the ‘Atlantic Union Common Stock’), with cash paid in lieu of fractional shares. At the Effective Time, each unvested restricted stock award of American National was deemed to be fully vested and was cancelled and converted automatically into the right to receive 1.35 shares of Atlantic Union Common Stock in respect of each share of American National Common Stock underlying such award. As a result of the Merger, American National no longer fulfills the listing requirements of the Nasdaq Global Select Market (‘Nasdaq’). On March 31, 2024, American National notified Nasdaq that the transactions contemplated by the Merger Agreement were expected to close on April 1, 2024. American National requested that Nasdaq (i) suspend trading in shares of American National Common Stock before the opening of trading on April 1, 2024 and (ii) file with the SEC a notification of delisting of American National Common Stock on Form 25 under Section 12(b) of the Securities Exchange Act of 1934, as amended (the ‘Exchange Act’). As a result, American National Common Stock is no longer listed on Nasdaq. Atlantic Union, as successor to American National, intends to file with the SEC certifications on Form 15 under the Exchange Act to deregister American National Common Stock under Section 12(g) of the Exchange Act and suspend American National’s reporting obligations under Sections 13 and 15(d) of the Exchange Act as promptly as possible. Reported Earnings • Mar 18
Full year 2023 earnings: EPS and revenues miss analyst expectations Full year 2023 results: EPS: US$2.46 (down from US$3.23 in FY 2022). Revenue: US$102.4m (down 4.7% from FY 2022). Net income: US$26.2m (down 24% from FY 2022). Profit margin: 26% (down from 32% in FY 2022). The decrease in margin was primarily driven by lower revenue. Net interest margin (NIM): 2.86% (down from 2.97% in FY 2022). Cost-to-income ratio: 62.3% (up from 57.4% in FY 2022). Non-performing loans: 0.25% (up from 0.06% in FY 2022). Revenue missed analyst estimates by 3.5%. Earnings per share (EPS) also missed analyst estimates by 11%. Over the last 3 years on average, earnings per share has fallen by 5% per year but the company’s share price has increased by 10% per year, which means it is well ahead of earnings. Announcement • Feb 08
American National Bankshares Inc. Announces Quarterly Cash Dividend, Payable on February 26, 2024 On February 7, 2024, American National Bankshares Inc. declared a quarterly cash dividend of $0.30 per share of common stock. The dividend is payable February 26, 2024, to shareholders of record as of February 20, 2024. Announcement • Jan 24
American National Bankshares Inc. Reports Net Charge Off for the Fourth Quarter Ended December 31, 2023 American National Bankshares Inc. reported net charge off for the fourth quarter ended December 31, 2023. The fourth quarter of 2023 reflected net loan charge-offs of $269,000 compared to $315,000 of net recoveries in the third quarter, primarily accounting for the change quarter-over-quarter. Reported Earnings • Jan 23
Full year 2023 earnings: EPS and revenues miss analyst expectations Full year 2023 results: EPS: US$2.46 (down from US$3.23 in FY 2022). Revenue: US$102.4m (down 4.7% from FY 2022). Net income: US$26.2m (down 24% from FY 2022). Profit margin: 26% (down from 32% in FY 2022). The decrease in margin was primarily driven by lower revenue. Revenue missed analyst estimates by 3.5%. Earnings per share (EPS) also missed analyst estimates by 11%. Over the last 3 years on average, earnings per share has fallen by 5% per year but the company’s share price has increased by 19% per year, which means it is well ahead of earnings. Announcement • Nov 23
American National Bankshares Inc. Announces Quarterly Cash Dividend, Payable on December 15, 2023 American National Bankshares Inc. announced its Board of Directors has declared a quarterly cash dividend of $0.30 per common share, payable December 15, 2023, to shareholders of record on December 1, 2023. Reported Earnings • Oct 19
Third quarter 2023 earnings: EPS exceeds analyst expectations while revenues lag behind Third quarter 2023 results: EPS: US$0.55 (down from US$0.87 in 3Q 2022). Revenue: US$26.0m (down 7.7% from 3Q 2022). Net income: US$5.79m (down 38% from 3Q 2022). Profit margin: 22% (down from 33% in 3Q 2022). The decrease in margin was primarily driven by lower revenue. Revenue missed analyst estimates by 4.0%. Earnings per share (EPS) exceeded analyst estimates by 5.9%. Revenue is forecast to stay flat during the next 2 years compared to a 4.1% growth forecast for the Banks industry in the US. Over the last 3 years on average, earnings per share has increased by 2% per year but the company’s share price has increased by 17% per year, which means it is tracking significantly ahead of earnings growth. Price Target Changed • Oct 08
Price target increased by 34% to US$43.00 Up from US$32.00, the current price target is provided by 1 analyst. New target price is 12% above last closing price of US$38.26. The company is forecast to post earnings per share of US$2.58 for next year compared to US$3.23 last year. Upcoming Dividend • Aug 24
Upcoming dividend of US$0.30 per share at 3.1% yield Eligible shareholders must have bought the stock before 31 August 2023. Payment date: 15 September 2023. Payout ratio is a comfortable 37% and this is well supported by cash flows. Trailing yield: 3.1%. Lower than top quartile of American dividend payers (4.9%). Lower than average of industry peers (3.7%). Announcement • Jul 26
Atlantic Union Bankshares Corporation (NYSE:AUB) entered into a definitive merger agreement to acquire American National Bankshares Inc. (NasdaqGS:AMNB) for approximately $440 million. Atlantic Union Bankshares Corporation (NYSE:AUB) entered into a definitive merger agreement to acquire American National Bankshares Inc. (NasdaqGS:AMNB) for approximately $440 million on July 24, 2023. Subject to the terms and conditions of the merger agreement, at the effective time of the merger, each outstanding share of common stock of American National will be converted into the right to receive 1.35 shares of common stock of Atlantic Union, with cash to be paid in lieu of any fractional shares. At closing, American National will merge with and into Atlantic Union. Post closing, Atlantic Union shareholders will own approximately 84% of the proforma company and American National shareholders will own approximately 16%. A termination fee of $17,232,000 will be payable by American National, upon termination of the merger agreement under certain circumstances. Upon closing of the transaction, the respective Boards of Directors of Atlantic Union and Atlantic Union Bank will each be increased in size by two, and two current members of the Board of Directors of American National, Nancy Howell Agee, lead independent director of American National, and Joel R. Shepherd, director of American National, will each be appointed to the Boards of Directors of Atlantic Union and Atlantic Union Bank.
The completion of the merger is subject to customary conditions, including, among others, (a) the approval of the merger agreement by the shareholders of American National, (b) authorization for listing on the NYSE of the shares of Atlantic Union Common Stock to be issued in the merger, (c) the receipt of required regulatory approvals including the approval of the Board of Governors of the Federal Reserve System in connection with the merger and the Bank Merger, (d) the effectiveness of the Registration Statement on Form S-4 for the Atlantic Union Common Stock to be issued in the merger, and (e) merger shall qualify as a “reorganization” within the meaning of Section 368(a) of the Code. The merger agreement was unanimously approved by the Board of Directors of each of Atlantic Union and American National. The transaction is expected to close in the first quarter of 2024.
Scott Randall Anderson, Christopher L. Kochard & Christopher Dewberry of Keefe, Bruyette & Woods, Inc., a Stifel Company, is acting as financial advisors and fairness opinion providers to American National. Scott H. Richter and Benjamin A. McCall of Williams Mullen acted as legal advisor to American National. Piper Sandler & Co. is acting as financial advisor to Atlantic Union. Frank M. Conner III, Michael P. Reed and Charlotte May of Covington & Burling LLP acted as legal advisor to Atlantic Union. Reported Earnings • Jul 25
Second quarter 2023 earnings: EPS and revenues miss analyst expectations Second quarter 2023 results: EPS: US$0.67 (down from US$0.76 in 2Q 2022). Revenue: US$25.2m (down 2.0% from 2Q 2022). Net income: US$7.14m (down 12% from 2Q 2022). Profit margin: 28% (down from 32% in 2Q 2022). The decrease in margin was primarily driven by higher expenses. Revenue missed analyst estimates by 4.4%. Earnings per share (EPS) also missed analyst estimates by 5.6%. Revenue is expected to decline by 1.6% p.a. on average during the next 2 years, while revenues in the Banks industry in the US are expected to grow by 4.4%. Over the last 3 years on average, earnings per share has increased by 6% per year but the company’s share price has increased by 19% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Jul 22
American National Bankshares Inc. Announces Quarterly Cash Dividend, Payable on September 15, 2023 American National Bankshares Inc. announced its Board of Directors has declared a quarterly cash dividend of $0.30 per common share, payable September 15, 2023 to shareholders of record on September 1, 2023. Upcoming Dividend • May 25
Upcoming dividend of US$0.30 per share at 4.4% yield Eligible shareholders must have bought the stock before 01 June 2023. Payment date: 16 June 2023. Payout ratio is a comfortable 36% and this is well supported by cash flows. Trailing yield: 4.4%. Lower than top quartile of American dividend payers (5.1%). Higher than average of industry peers (3.7%). Announcement • May 18
American National Bankshares Inc. Announces Quarterly Cash Dividend, Payable on June 16, 2023 American National Bankshares Inc. announced its Board of Directors has declared a quarterly cash dividend of $0.30 per common share, payable on June 16, 2023 to shareholders of record on June 2, 2023. Price Target Changed • Apr 08
Price target decreased by 14% to US$35.00 Down from US$40.50, the current price target is provided by 1 analyst. New target price is 18% above last closing price of US$29.68. Stock is down 19% over the past year. The company is forecast to post earnings per share of US$3.00 for next year compared to US$3.23 last year. Recent Insider Transactions • Mar 17
President recently bought US$94k worth of stock On the 14th of March, Jeffrey Haley bought around 3k shares on-market at roughly US$31.67 per share. This transaction amounted to 3.6% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. This was Jeffrey's only on-market trade for the last 12 months. Reported Earnings • Mar 16
Full year 2022 earnings: EPS and revenues miss analyst expectations Full year 2022 results: EPS: US$3.23 (down from US$4.00 in FY 2021). Revenue: US$107.4m (down 6.0% from FY 2021). Net income: US$34.4m (down 21% from FY 2021). Profit margin: 32% (down from 38% in FY 2021). The decrease in margin was primarily driven by lower revenue. Net interest margin (NIM): 2.97% (down from 3.05% in FY 2021). Cost-to-income ratio: 57.4% (up from 51.0% in FY 2021). Non-performing loans: 0.06% (down from 0.11% in FY 2021). Revenue missed analyst estimates by 1.3%. Earnings per share (EPS) also missed analyst estimates by 3.0%. Revenue is forecast to grow 6.8% p.a. on average during the next 2 years, compared to a 6.4% growth forecast for the Banks industry in the US. Over the last 3 years on average, earnings per share has increased by 18% per year but the company’s share price has only increased by 8% per year, which means it is significantly lagging earnings growth. Announcement • Jan 27
American National Bankshares Inc. (NasdaqGS:AMNB) announces an Equity Buyback for $10 million worth of its shares. American National Bankshares Inc. (NasdaqGS:AMNB) announces a share repurchase program. Under the program, the company will repurchase up to $10 million worth of its shares. The program is valid till December 31, 2023. Reported Earnings • Jan 21
Full year 2022 earnings: EPS and revenues miss analyst expectations Full year 2022 results: EPS: US$3.23 (down from US$4.00 in FY 2021). Revenue: US$107.4m (down 6.0% from FY 2021). Net income: US$34.4m (down 21% from FY 2021). Profit margin: 32% (down from 38% in FY 2021). The decrease in margin was primarily driven by lower revenue. Revenue missed analyst estimates by 1.3%. Earnings per share (EPS) also missed analyst estimates by 3.0%. Revenue is forecast to grow 6.7% p.a. on average during the next 2 years, compared to a 6.2% growth forecast for the Banks industry in the US. Over the last 3 years on average, earnings per share has increased by 18% per year but the company’s share price has remained flat, which means it is significantly lagging earnings. Announcement • Dec 14
American National Bankshares Inc. Announces the Passing of Director, Charles Somerville Harris American National Bankshares Inc. announced the unfortunate passing of Charles Somerville Harris. Mr. Harris passed away unexpectedly on December 7, 2022 in his home. Harris served as a director of American National Bankshares since 2008. He was a member of the Company’s Audit, Risk & Compliance, and Stock Grant and Option Committees. Mr. Harris was the Assistant to the President for External Relations at Averett University until his retirement in 2021. His long and successful career and impressive legacy is captured in a post from Averett University. Upcoming Dividend • Nov 24
Upcoming dividend of US$0.30 per share Eligible shareholders must have bought the stock before 01 December 2022. Payment date: 16 December 2022. Payout ratio is a comfortable 32% and this is well supported by cash flows. Trailing yield: 3.1%. Lower than top quartile of American dividend payers (4.3%). In line with average of industry peers (2.9%). Announcement • Nov 17
American National Bankshares Inc. Announces Increase in Quarterly Dividend, Payable December 16, 2022 American National Bankshares Inc. announced its Board of Directors has declared a quarterly cash dividend of $0.30 per common share, payable December 16, 2022 to shareholders of record on December 2, 2022. Reported Earnings • Oct 22
Third quarter 2022 earnings released: EPS: US$0.87 (vs US$0.94 in 3Q 2021) Third quarter 2022 results: EPS: US$0.87 (down from US$0.94 in 3Q 2021). Revenue: US$28.2m (up 1.5% from 3Q 2021). Net income: US$9.26m (down 9.1% from 3Q 2021). Profit margin: 33% (down from 37% in 3Q 2021). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 23% per year but the company’s share price has fallen by 1% per year, which means it is significantly lagging earnings. Announcement • Oct 21
American National Bankshares Inc. Reports Charge-Offs for the Third Quarter Ended September 30, 2022 American National Bankshares Inc. reported charge-offs for the third quarter ended September 30, 2022. For the quarter, the company's charge-offs was $31,000 against $19,000 a year ago. Announcement • Oct 20
American National Bankshares Inc. Announces Changes to Board of Directors American National Bankshares Inc. announced the additions of J. Nathan Duggins III, Managing Partner of Tuggle Duggins in Greensboro, North Carolina and William J. Farrell II, President of Berglund Automotive Group in Roanoke, Virginia to the board.They were also appointed to the board of American National Bank and Trust Company, the Company’s wholly owned subsidiary bank. Duggins is the Managing Partner of Tuggle Duggins and led in the commercial development of its new corporate offices in downtown Greensboro in 2020. Founded in 1974, Tuggle Duggins provides services to domestic and international clients from a wide assortment of industries in the areas of corporate law and finance, litigation and dispute resolution, employment, intellectual property, real estate, tax, estate planning, and wealth management. As President of Berglund Automotive, Farrell currently oversees the daily operation of 12 dealerships representing more than 25 brands in Virginia. The family-owned automotive group is in its 44th year of business, employing over 600 people. In addition to serving as a member of American National Bank & Trust Company’s North Carolina State Banking Board, Duggins is extremely active in the Greensboro community and beyond. He has served in many organizations in the region including but not limited to the Guilford Education Alliance, the Guilford Merchants Association and GMA‘s philanthropic foundation. He’s also served as a member of the Greensboro Transportation Authority, the Wake Forest University Law School Board of Visitors, the University of North Carolina Greensboro Board of Trustees, and chair of the 2022 American Heart Ball. A Greensboro Native, Duggins graduated from the University of North Carolina at Chapel Hill and Wake Forest University School of Law. He and his wife live in Greensboro and have three children. A veteran of the automotive industry, Farrell brings a keen business acumen to American National. He has prior experience in the community banking space, as a past board member of Home Town Bankshares Inc. American National completed its acquisition of HomeTown Bankshares in April of 2019. Farrell has remained involved with American National since the acquisition, assisting with the transition and subsequently serving on its Virginia State Banking Board. He also is very involved in the Roanoke community, with board service at the Virginia Western Educational Foundation, Visit Virginia’s Blue Ridge and the Virginia Automobile Dealers Association to name a few organizations. Farrell attended Radford University and he and his wife live in Roanoke and have two children. Seeking Alpha • Oct 20
American National Bankshares GAAP EPS of $0.87 beats by $0.05, revenue of $28.77M American National Bankshares press release (NASDAQ:AMNB): Q3 GAAP EPS of $0.87 beats by $0.05.
Revenue of $28.77M (+2.0% Y/Y).
Earnings produced a return on average tangible common equity of 15.74% for the third quarter of 2022, compared to 13.87% in the previous quarter and 16.01% for the same quarter in the prior year (non-GAAP).
Net interest income increased $2.5 million, or 11.7%, when compared to the previous quarter, and increased $914 thousand, or 4.0%, when compared to the same quarter in 2021.
Fully taxable equivalent (“FTE”) net interest margin was 3.20% for the quarter, up from 2.76% in the second quarter of 2022 and up from 3.09% in the same quarter of the prior year (non-GAAP).
Noninterest revenues decreased $77 thousand, or 1.6%, when compared to the previous quarter, and decreased $363 thousand, or 7.1%, compared to the same quarter in the prior year.
Noninterest expense increased $993 thousand, or 6.4%, when compared to the previous quarter, and increased $1.6 million, or 10.8%, when compared to the same quarter in the prior year.
Average loans held for investment, excluding U.S. Small Business Administration Paycheck Protection Program (“PPP”) loans, grew $57.2 million, or 11.4% annualized, during the third quarter as compared to the previous quarter of $44.5 million, or 9.1% annualized.
The Company recognized a provision for loan losses in the third quarter of 2022 of $615 thousand compared to $581 thousand in the second quarter of 2022 and $482 thousand in the third quarter of 2021. Annualized net charge-offs (recoveries) as a percentage of average loans outstanding were (0.01%) for the third quarter of 2022 compared to 0.01% in the previous quarter and (0.01%) in the same quarter of 2021.
Nonperforming assets as a percentage of total assets were 0.05% at September 30, 2022 and June 30, 2022, down from 0.06% at September 30, 2021. Upcoming Dividend • Aug 25
Upcoming dividend of US$0.28 per share Eligible shareholders must have bought the stock before 01 September 2022. Payment date: 16 September 2022. Payout ratio is a comfortable 31% and this is well supported by cash flows. Trailing yield: 3.2%. Lower than top quartile of American dividend payers (4.1%). In line with average of industry peers (3.1%). Reported Earnings • Jul 22
Second quarter 2022 earnings released: EPS: US$0.76 (vs US$0.99 in 2Q 2021) Second quarter 2022 results: EPS: US$0.76 (down from US$0.99 in 2Q 2021). Revenue: US$25.7m (down 8.9% from 2Q 2021). Net income: US$8.14m (down 24% from 2Q 2021). Profit margin: 32% (down from 38% in 2Q 2021). Over the last 3 years on average, earnings per share has increased by 28% per year but the company’s share price has fallen by 1% per year, which means it is significantly lagging earnings. Announcement • Jul 21
American National Bankshares Inc. Announces Quarterly Cash Dividend, Payable on September 16, 2022 American National Bankshares Inc. announced its Board of Directors has declared a quarterly cash dividend of $0.28 per common share, payable September 16, 2022 to shareholders of record September 2, 2022. Upcoming Dividend • May 26
Upcoming dividend of US$0.28 per share Eligible shareholders must have bought the stock before 02 June 2022. Payment date: 17 June 2022. Payout ratio is a comfortable 29% and this is well supported by cash flows. Trailing yield: 3.2%. Lower than top quartile of American dividend payers (4.0%). Higher than average of industry peers (2.9%). Announcement • May 18
American National Bankshares Inc. Announces Quarterly Cash Dividend, Payable on June 17, 2022 American National Bankshares Inc. announced its Board of Directors has declared a quarterly cash dividend of $0.28 per common share, payable June 17, 2022 to shareholders of record June 3, 2022. Board Change • May 02
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 5 experienced directors. 7 highly experienced directors. Independent Director Nancy Agee was the last director to join the board, commencing their role in 2019. The following issues are considered to be risks according to the Simply Wall St Risk Model: Insufficient board refreshment. Reported Earnings • Apr 27
First quarter 2022 earnings: EPS and revenues exceed analyst expectations First quarter 2022 results: EPS: US$0.84 (down from US$1.03 in 1Q 2021). Revenue: US$26.8m (down 5.4% from 1Q 2021). Net income: US$9.00m (down 20% from 1Q 2021). Profit margin: 34% (down from 40% in 1Q 2021). The decrease in margin was primarily driven by lower revenue. Revenue exceeded analyst estimates by 1.9%. Earnings per share (EPS) also surpassed analyst estimates by 16%. Over the next year, revenue is expected to shrink by 4.8% compared to a 11% growth forecast for the industry in the US. Over the last 3 years on average, earnings per share has increased by 26% per year but the company’s share price has fallen by 2% per year, which means it is significantly lagging earnings. Announcement • Apr 05
American National Bankshares Inc., Annual General Meeting, May 17, 2022 American National Bankshares Inc., Annual General Meeting, May 17, 2022, at 09:00 US Eastern Standard Time. Location: The Wednesday Club, 1002 Main Street Danville Virginia United States Agenda: To elect four Class II directors of the Company to serve three-year terms expiring at the 2025 Annual Meeting; to ratify the appointment of Yount, Hyde & Barbour, P.C., independent registered public accounting firm, as auditors of the Company for the year ending December 31, 2022; to hold an advisory vote on executive compensation of the Company's named executive officers as disclosed in the accompanying proxy statement; and to transact any other business that may properly come before the meeting or any adjournment thereof. Reported Earnings • Mar 15
Full year 2021 earnings: EPS and revenues exceed analyst expectations Full year 2021 results: EPS: US$4.00 (up from US$2.74 in FY 2020). Revenue: US$114.2m (up 25% from FY 2020). Net income: US$43.5m (up 45% from FY 2020). Profit margin: 38% (up from 33% in FY 2020). The increase in margin was driven by higher revenue. Net interest margin (NIM): 3.05% (down from 3.30% in FY 2020). Cost-to-income ratio: 51.0% (down from 52.8% in FY 2020). Non-performing loans: 0.11% (down from 0.13% in FY 2020). Revenue exceeded analyst estimates by 2.0%. Earnings per share (EPS) also surpassed analyst estimates by 6.4%. Over the next year, revenue is expected to shrink by 8.0% compared to a 5.4% growth forecast for the banks industry in the US. Over the last 3 years on average, earnings per share has increased by 22% per year but the company’s share price has only increased by 2% per year, which means it is significantly lagging earnings growth. Recent Insider Transactions • Feb 25
Insider recently sold US$445k worth of stock On the 17th of February, H. Strader sold around 12k shares on-market at roughly US$38.47 per share. This was the largest sale by an insider in the last 3 months. Insiders have been net sellers, collectively disposing of US$495k more than they bought in the last 12 months. Upcoming Dividend • Feb 24
Upcoming dividend of US$0.28 per share Eligible shareholders must have bought the stock before 03 March 2022. Payment date: 18 March 2022. Payout ratio is a comfortable 27% but the company is not cash flow positive. Trailing yield: 2.9%. Lower than top quartile of American dividend payers (3.6%). Higher than average of industry peers (2.3%). Announcement • Feb 16
American National Bankshares Inc. Declares a Quarterly Cash Dividend, Payable March 18, 2022 American National Bankshares Inc. announced its Board of Directors has declared a quarterly cash dividend of $0.28 per common share, payable March 18, 2022 to shareholders of record March 4, 2022. Reported Earnings • Jan 21
Full year 2021 earnings: EPS and revenues exceed analyst expectations Full year 2021 results: EPS: US$4.00 (up from US$2.74 in FY 2020). Revenue: US$114.2m (up 25% from FY 2020). Net income: US$43.5m (up 45% from FY 2020). Profit margin: 38% (up from 33% in FY 2020). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 2.0%. Earnings per share (EPS) also surpassed analyst estimates by 6.4%. Over the next year, revenue is expected to shrink by 12% compared to a 4.3% growth forecast for the banks industry in the US. Over the last 3 years on average, earnings per share has increased by 22% per year but the company’s share price has only increased by 5% per year, which means it is significantly lagging earnings growth. Reported Earnings • Jan 21
Full year 2021 earnings: EPS and revenues exceed analyst expectations Full year 2021 results: EPS: US$4.00 (up from US$2.74 in FY 2020). Revenue: US$114.2m (up 25% from FY 2020). Net income: US$43.5m (up 45% from FY 2020). Profit margin: 38% (up from 33% in FY 2020). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 2.0%. Earnings per share (EPS) also surpassed analyst estimates by 6.4%. Over the next year, revenue is expected to shrink by 12% compared to a 4.3% growth forecast for the banks industry in the US. Over the last 3 years on average, earnings per share has increased by 22% per year but the company’s share price has only increased by 5% per year, which means it is significantly lagging earnings growth. Buying Opportunity • Jan 19
Now 23% undervalued Over the last 90 days, the stock is up 9.2%. The fair value is estimated to be US$49.32, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 13% per annum over the last 3 years. Earnings per share has grown by 17% per annum over the last 3 years. Price Target Changed • Dec 23
Price target increased to US$39.50 Up from US$36.75, the current price target is an average from 3 analysts. New target price is approximately in line with last closing price of US$38.14. Stock is up 42% over the past year. The company is forecast to post earnings per share of US$3.76 for next year compared to US$2.74 last year. Price Target Changed • Dec 23
Price target increased to US$39.50 Up from US$36.75, the current price target is an average from 3 analysts. New target price is approximately in line with last closing price of US$38.14. Stock is up 42% over the past year. The company is forecast to post earnings per share of US$3.76 for next year compared to US$2.74 last year. Upcoming Dividend • Nov 25
Upcoming dividend of US$0.28 per share Eligible shareholders must have bought the stock before 02 December 2021. Payment date: 17 December 2021. Trailing yield: 2.9%. Lower than top quartile of American dividend payers (3.5%). Higher than average of industry peers (2.2%). Reported Earnings • Oct 22
Third quarter 2021 earnings released: EPS US$0.94 (vs US$0.66 in 3Q 2020) The company reported a strong third quarter result with improved earnings, revenues and profit margins. Third quarter 2021 results: Revenue: US$27.7m (up 20% from 3Q 2020). Net income: US$10.2m (up 41% from 3Q 2020). Profit margin: 37% (up from 31% in 3Q 2020). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 17% per year but the company’s share price has only increased by 1% per year, which means it is significantly lagging earnings growth. Upcoming Dividend • Aug 26
Upcoming dividend of US$0.27 per share Eligible shareholders must have bought the stock before 02 September 2021. Payment date: 17 September 2021. Trailing yield: 3.2%. Lower than top quartile of American dividend payers (3.5%). Higher than average of industry peers (2.3%). Major Estimate Revision • Jul 29
Consensus EPS estimates increase to US$3.58 The consensus outlook for earnings per share (EPS) in 2021 has improved. 2021 revenue forecast increased from US$102.4m to US$106.0m. EPS estimate increased from US$3.19 to US$3.58 per share. Net income forecast to shrink 9.3% next year vs 1.6% growth forecast for Banks industry in the US . Consensus price target of US$36.50 unchanged from last update. Share price rose 3.3% to US$31.50 over the past week. Reported Earnings • Jul 23
Second quarter 2021 earnings released: EPS US$0.99 (vs US$0.50 in 2Q 2020) The company reported a strong second quarter result with improved earnings, revenues and profit margins. Second quarter 2021 results: Revenue: US$28.3m (up 46% from 2Q 2020). Net income: US$10.8m (up 96% from 2Q 2020). Profit margin: 38% (up from 28% in 2Q 2020). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 13% per year but the company’s share price has fallen by 10% per year, which means it is significantly lagging earnings. Upcoming Dividend • May 27
Upcoming dividend of US$0.27 per share Eligible shareholders must have bought the stock before 03 June 2021. Payment date: 18 June 2021. Trailing yield: 3.2%. Lower than top quartile of American dividend payers (3.5%). Higher than average of industry peers (2.2%). Executive Departure • May 26
Independent Director has left the company On the 18th of May, Kenneth Bowling's tenure as Independent Director ended after 2.1 years in the role. As of March 2021, Kenneth personally held 15.80k shares (US$522k worth at the time). A total of 2 executives have left over the last 12 months. Announcement • May 19
American National Bankshares Inc. Declares Quarterly Dividend, Payable June 18, 2021 American National Bankshares Inc. announced its Board of Directors has declared a quarterly cash dividend of $0.27 per common share, payable June 18, 2021 to shareholders of record June 4, 2021. Executive Departure • May 19
Director Emeritus has left the company On the 18th of May, Claude Owen's tenure as Director Emeritus ended after less than a year in the role. As of December 2020, Claude personally held 34.55k shares (US$906k worth at the time). Claude is the only executive to leave the company over the last 12 months. Reported Earnings • May 12
First quarter 2021 earnings released: EPS US$1.03 (vs US$0.78 in 1Q 2020) The company reported a strong first quarter result with improved earnings, revenues and profit margins. First quarter 2021 results: Revenue: US$28.3m (up 21% from 1Q 2020). Net income: US$11.3m (up 32% from 1Q 2020). Profit margin: 40% (up from 36% in 1Q 2020). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 10% per year but the company’s share price has fallen by 3% per year, which means it is significantly lagging earnings. Major Estimate Revision • Apr 29
Consensus EPS estimates increase to US$3.19 The consensus outlook for earnings per share (EPS) in 2021 has improved. 2021 revenue forecast increased from US$98.0m to US$102.4m. EPS estimate increased from US$2.73 to US$3.19 per share. Net income forecast to grow 1.3% next year vs 8.2% growth forecast for Banks industry in the US. Consensus price target of US$35.50 unchanged from last update. Share price rose 7.4% to US$34.04 over the past week. Reported Earnings • Apr 24
First quarter 2021 earnings released: EPS US$1.03 (vs US$0.78 in 1Q 2020) The company reported a strong first quarter result with improved earnings, revenues and profit margins. First quarter 2021 results: Revenue: US$28.3m (up 21% from 1Q 2020). Net income: US$11.3m (up 32% from 1Q 2020). Profit margin: 40% (up from 36% in 1Q 2020). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 10% per year but the company’s share price has fallen by 5% per year, which means it is significantly lagging earnings. Price Target Changed • Apr 09
Price target increased to US$35.50 Up from US$30.67, the current price target is an average from 3 analysts. New target price is 7.9% above last closing price of US$32.89. Stock is up 34% over the past year. Analyst Estimate Surprise Post Earnings • Mar 10
Revenue and earnings beat expectations Revenue exceeded analyst estimates by 1.0%. Earnings per share (EPS) also surpassed analyst estimates by 4.2%. Over the next year, revenue is forecast to grow 6.6%, compared to a 18% growth forecast for the Banks industry in the US. Reported Earnings • Mar 10
Full year 2020 earnings released: EPS US$2.74 (vs US$1.99 in FY 2019) The company reported a decent full year result with improved earnings and profit margins, although revenues were flat. Full year 2020 results: Revenue: US$91.7m (flat on FY 2019). Net income: US$30.0m (up 44% from FY 2019). Profit margin: 33% (up from 23% in FY 2019). Net interest margin (NIM): 3.30% (down from 3.68% in FY 2019). Cost-to-income ratio: 52.8% (down from 57.3% in FY 2019). Non-performing loans: 0.13% (no change from 0.13% in FY 2019). Over the last 3 years on average, earnings per share has increased by 9% per year but the company’s share price has fallen by 3% per year, which means it is significantly lagging earnings. Is New 90 Day High Low • Feb 25
New 90-day high: US$32.22 The company is up 14% from its price of US$28.20 on 25 November 2020. The American market is up 5.0% over the last 90 days, indicating the company outperformed over that time. However, it underperformed the Banks industry, which is up 24% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is US$33.94 per share. Is New 90 Day High Low • Feb 03
New 90-day high: US$29.19 The company is up 28% from its price of US$22.81 on 04 November 2020. The American market is up 16% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Banks industry, which is up 24% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is US$34.67 per share. Analyst Estimate Surprise Post Earnings • Jan 24
Revenue and earnings beat expectations Revenue exceeded analyst estimates by 1.0%. Earnings per share (EPS) also surpassed analyst estimates by 4.2%. Over the next year, revenue is forecast to grow 6.6%, compared to a 17% growth forecast for the Banks industry in the US. Reported Earnings • Jan 24
Full year 2020 earnings released: EPS US$2.74 The company reported a decent full year result with improved earnings and profit margins, although revenues were flat. Full year 2020 results: Revenue: US$91.7m (flat on FY 2019). Net income: US$30.0m (up 44% from FY 2019). Profit margin: 33% (up from 23% in FY 2019). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has increased by 9% per year but the company’s share price has fallen by 10% per year, which means it is significantly lagging earnings. Is New 90 Day High Low • Jan 08
New 90-day high: US$29.05 The company is up 31% from its price of US$22.26 on 09 October 2020. The American market is up 11% over the last 90 days, indicating the company outperformed over that time. However, it underperformed the Banks industry, which is up 32% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is US$47.86 per share. Is New 90 Day High Low • Nov 11
New 90-day high: US$25.91 The company is up 8.0% from its price of US$24.07 on 13 August 2020. The American market is up 6.0% over the last 90 days, indicating the company outperformed over that time. However, it underperformed the Banks industry, which is up 10.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is US$40.66 per share. Analyst Estimate Surprise Post Earnings • Nov 09
Revenue and earnings beat expectations Revenue exceeded analyst estimates by 4.8%. Earnings per share (EPS) also surpassed analyst estimates by 19%. Over the next year, revenue is forecast to grow 8.5%, compared to a 18% growth forecast for the Banks industry in the US. Reported Earnings • Nov 09
Third quarter 2020 earnings released: EPS US$0.66 The company reported a poor third quarter result with weaker earnings, revenues and profit margins. Third quarter 2020 results: Revenue: US$23.2m (down 6.6% from 3Q 2019). Net income: US$7.23m (down 17% from 3Q 2019). Profit margin: 31% (down from 35% in 3Q 2019). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has increased by 7% per year but the company’s share price has fallen by 15% per year, which means it is significantly lagging earnings. Reported Earnings • Oct 23
Third quarter earnings released Over the last 12 months the company has reported total profits of US$28.7m, up 55% from the prior year. Total revenue was US$89.8m over the last 12 months, up 4.4% from the prior year. Analyst Estimate Surprise Post Earnings • Oct 23
Third-quarter earnings released: Revenue and earnings beat expectations Third-quarter revenue exceeded analyst estimates by 4.8% at US$25.8m. Earnings per share (EPS) also surpassed analyst estimates by 19% at US$0.66. Revenue is forecast to grow 6.3% over the next year, compared to a 19% growth forecast for the Banks industry in the US. Is New 90 Day High Low • Sep 22
New 90-day low: US$20.64 The company is down 9.0% from its price of US$22.57 on 24 June 2020. The American market is up 7.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Banks industry, which is down 3.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is US$40.16 per share.