NasdaqGS:AMNB

Stock Analysis Report

American National Bankshares

Executive Summary

American National Bankshares Inc. operates as the bank holding company for American National Bank and Trust Company that provides financial products and services.


Snowflake Analysis

Flawless balance sheet, undervalued and pays a dividend.


Similar Companies

Share Price & News

How has American National Bankshares's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

9.0%

AMNB

16.8%

US Banks

12.5%

US Market


1 Year Return

-33.1%

AMNB

-26.9%

US Banks

-12.7%

US Market

Return vs Industry: AMNB underperformed the US Banks industry which returned -26.9% over the past year.

Return vs Market: AMNB underperformed the US Market which returned -12.7% over the past year.


Shareholder returns

AMNBIndustryMarket
7 Day9.0%16.8%12.5%
30 Day-24.5%-24.7%-14.7%
90 Day-41.1%-38.6%-21.5%
1 Year-31.0%-33.1%-24.8%-26.9%-10.9%-12.7%
3 Year-32.4%-37.8%-16.9%-23.0%12.6%5.4%
5 Year19.6%2.5%12.0%-0.7%31.9%17.5%

Price Volatility Vs. Market

How volatile is American National Bankshares's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is American National Bankshares undervalued compared to its fair value and its price relative to the market?

48.4%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: AMNB ($23.31) is trading below our estimate of fair value ($45.19)

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


Price To Earnings Ratio

PE vs Industry: AMNB is poor value based on its PE Ratio (11.7x) compared to the Banks industry average (8.8x).

PE vs Market: AMNB is good value based on its PE Ratio (11.7x) compared to the US market (13x).


Price to Earnings Growth Ratio

PEG Ratio: AMNB is good value based on its PEG Ratio (0.7x)


Price to Book Ratio

PB vs Industry: AMNB is good value based on its PB Ratio (0.8x) compared to the US Banks industry average (0.8x).


Next Steps

Future Growth

How is American National Bankshares forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

17.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AMNB's forecast earnings growth (17.1% per year) is above the savings rate (1.7%).

Earnings vs Market: AMNB's earnings (17.1% per year) are forecast to grow faster than the US market (12.3% per year).

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

Revenue vs Market: AMNB's revenue (3.9% per year) is forecast to grow slower than the US market (7.3% per year).

High Growth Revenue: AMNB's revenue (3.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: AMNB's Return on Equity is forecast to be low in 3 years time (8.9%).


Next Steps

Past Performance

How has American National Bankshares performed over the past 5 years?

9.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AMNB has a large one-off loss of $11.8M impacting its December 31 2019 financial results.

Growing Profit Margin: AMNB's current net profit margins (22.8%) are lower than last year (31.2%).


Past Earnings Growth Analysis

Earnings Trend: AMNB's earnings have grown by 9.2% per year over the past 5 years.

Accelerating Growth: AMNB's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: AMNB had negative earnings growth (-7.4%) over the past year, making it difficult to compare to the Banks industry average (11%).


Return on Equity

High ROE: AMNB's Return on Equity (6.5%) is considered low.


Next Steps

Financial Health

How is American National Bankshares'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: AMNB has a low level of unsold assets or inventory.

Debt Coverage by Assets: AMNB's debt is covered by short term assets (assets are 1.1x debt).


Financial Institutions Analysis

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

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

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

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

Low Risk Deposits: AMNB's loans are broadly funded by customer deposits.

Level of Bad Loans: AMNB has an appropriate level of bad loans (0.13%)


Next Steps

Dividend

What is American National Bankshares's current dividend yield, its reliability and sustainability?

4.63%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: AMNB's dividend (4.63%) is higher than the bottom 25% of dividend payers in the US market (1.98%).

High Dividend: AMNB's dividend (4.63%) is low compared to the top 25% of dividend payers in the US market (5.49%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (52.4%), AMNB's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: AMNB's dividends in 3 years are forecast to be well covered by earnings (39.9% payout ratio).


Next Steps

Management

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

3.2yrs

Average management tenure


CEO

Jeff Haley (59yo)

7.17s

Tenure

US$825,569

Compensation

Mr. Jeffrey Vernon Haley, also known as Jeff, has been the President of American National Bankshares Inc., since January 1, 2012 and its Chief Executive Officer since January 1, 2013. Mr. Haley has been th ...


CEO Compensation Analysis

Compensation vs Market: Jeff's total compensation ($USD825.57K) is below average for companies of similar size in the US market ($USD1.49M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Jeffrey Haley
President7.17yrsUS$825.57k0.57% $1.4m
H. Strader
Executive VP & Chief Banking Officerno dataUS$554.28k0.19% $489.7k
Edward Martin
Executive Vice President0.25yrUS$302.99k0.040% $103.3k
Jeffrey Farrar
Executive VP0.42yrno data0.027% $69.3k
Cathy Liles
Senior VP & Chief Accounting Officer4.17yrsno datano data
William Kirby
SVP of American National Bank & Trust Co. and Market President of American National Bank & Trust Co.3.17yrsno datano data
Cynthia Vogler
Senior Vice President0.17yrno datano data
Mark Strosnider
Vice President of National Bank & Trust Company14.92yrsno datano data
Carolyn Compton
Assistant Secretary and Assistant Vice President of American National Bankno datano datano data
Brandon Atkins
SVP of American National Bank & Trust Co. & Senior Risk Officer of American National Bank & Trust Co3.17yrsno datano data

3.2yrs

Average Tenure

58yo

Average Age

Experienced Management: AMNB's management team is considered experienced (3.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Jeffrey Haley
President7.17yrsUS$825.57k0.57% $1.4m
Charles Majors
Chairman of the Board8.17yrsUS$160.00k0.54% $1.4m
Claude Owen
Independent Director36.17yrsUS$56.40k0.30% $763.7k
Fred Blair
Former Director Emeritus28.17yrsUS$48.90k0.22% $555.8k
Michael Haley
Lead Director0.83yrUS$54.60k0.17% $429.2k
F. Hornaday
Independent Director8.67yrsUS$48.90k0.28% $713.1k
Frank Crist
Directorno dataUS$48.90k1.05% $2.7m
Charles Harris
Independent Director11.33yrsUS$46.78k0.086% $221.0k
Dan Pleasant
Independent Director9.17yrsUS$50.10k0.24% $612.8k
Ronda Penn
Independent Director4.67yrsUS$49.20k0.062% $157.9k

9.2yrs

Average Tenure

69yo

Average Age

Experienced Board: AMNB's board of directors are considered experienced (9.2 years average tenure).


Ownership

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


Insider Trading Volume

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


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 21.1%.


Top Shareholders

Company Information

American National Bankshares Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: American National Bankshares Inc.
  • Ticker: AMNB
  • Exchange: NasdaqGS
  • Founded: 1909
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$255.605m
  • Shares outstanding: 10.97m
  • Website: https://www.amnb.com

Number of Employees


Location

  • American National Bankshares Inc.
  • 628 Main Street
  • Danville
  • Virginia
  • 24541
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AMNBNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDDec 1993

Biography

American National Bankshares Inc. operates as the bank holding company for American National Bank and Trust Company that provides financial products and services. The company operates through two segments, Community Banking, and Trust and Investment Services. It accepts deposit products, including checking, money market, savings, and consumer and commercial time deposits, as well as certificates of deposit. The company’s loan products comprise commercial and residential real estate loans, commercial loans to small and medium-sized businesses, construction and land development loans, home equity loans, mortgage loans, and consumer loans. It also offers trust and investment services, such as estate planning, trust account administration, investment management, and retail brokerage services; online and telephone banking services; insurance services; and investment management services, including purchasing equity, fixed income, and mutual fund investments for customer accounts, as well as operates 34 automated teller machines. As of December 31, 2018, it operated 24 banking offices and 2 loan production offices in Roanoke, Virginia and Raleigh, North Carolina. American National Bankshares Inc. was founded in 1909 and is headquartered in Danville, Virginia. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/30 00:23
End of Day Share Price2020/03/27 00:00
Earnings2019/12/31
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.