NasdaqGS:AMRB

Stock Analysis Report

American River Bankshares

Executive Summary

American River Bankshares operates as the holding company for American River Bank that provides commercial banking products and services to small and middle-market businesses, and individuals.


Snowflake Analysis

Flawless balance sheet and fair value.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

0.02%

AMRB

-0.3%

US Banks

0.06%

US Market


1 Year Return

5.6%

AMRB

11.1%

US Banks

19.3%

US Market

Return vs Industry: AMRB underperformed the US Banks industry which returned 11.1% over the past year.

Return vs Market: AMRB underperformed the US Market which returned 19.3% over the past year.


Shareholder returns

AMRBIndustryMarket
7 Day0.02%-0.3%0.06%
30 Day-1.1%-0.5%1.7%
90 Day-0.7%0.6%9.0%
1 Year7.6%5.6%14.4%11.1%21.8%19.3%
3 Year2.9%-1.6%24.7%15.7%49.5%39.9%
5 Year62.4%54.6%74.9%55.1%73.1%54.1%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

15.73x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: AMRB ($14.7) is trading below our estimate of fair value ($14.73)

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


Price To Earnings Ratio

PE vs Industry: AMRB is poor value based on its PE Ratio (15.6x) compared to the Banks industry average (12.6x).

PE vs Market: AMRB is good value based on its PE Ratio (15.6x) compared to the US market (18.5x).


Price to Earnings Growth Ratio

PEG Ratio: AMRB is poor value based on its PEG Ratio (1x)


Price to Book Ratio

PB vs Industry: AMRB is good value based on its PB Ratio (1x) compared to the US Banks industry average (1.2x).


Next Steps

Future Growth

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

15.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AMRB's forecast earnings growth (15.5% per year) is above the savings rate (1.7%).

Earnings vs Market: AMRB's earnings (15.5% per year) are forecast to grow faster than the US market (14.2% per year).

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

Revenue vs Market: AMRB's revenue (8.6% per year) is forecast to grow faster than the US market (7.6% per year).

High Growth Revenue: AMRB's revenue (8.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

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

-2.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AMRB has high quality earnings.

Growing Profit Margin: AMRB's current net profit margins (22.7%) are higher than last year (22.3%).


Past Earnings Growth Analysis

Earnings Trend: AMRB's earnings have declined by -2.2% per year over the past 5 years.

Accelerating Growth: AMRB's earnings growth over the past year (12.2%) exceeds its 5-year average (-2.2% per year).

Earnings vs Industry: AMRB earnings growth over the past year (12.2%) underperformed the Banks industry 12.2%.


Return on Equity

High ROE: AMRB's Return on Equity (6.6%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is American River 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: AMRB has a low level of unsold assets or inventory.

Debt Coverage by Assets: AMRB's debt is covered by short term assets (assets are 2.6x debt).


Financial Institutions Analysis

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

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

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

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

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

Level of Bad Loans: AMRB has an appropriate level of bad loans (0.01%)


Next Steps

Dividend

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

1.89%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: AMRB's dividend (1.9%) is higher than the bottom 25% of dividend payers in the US market (1.44%).

High Dividend: AMRB's dividend (1.9%) is low compared to the top 25% of dividend payers in the US market (3.71%).


Stability and Growth of Payments

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

Growing Dividend: AMRB's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (25.5%), AMRB's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: AMRB's dividends in 3 years are forecast to be well covered by earnings (24% payout ratio).


Next Steps

Management

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

9.3yrs

Average management tenure


CEO

Dave Ritchie (61yo)

2.3yrs

Tenure

US$587,728

Compensation

Mr. David E. Ritchie, Jr. also known as Dave, has been the Chief Executive Officer and President at American River Bankshares and American River Bank since November 2017. Mr. Ritchie has more than 31 years ...


CEO Compensation Analysis

Compensation vs Market: Dave's total compensation ($USD587.73K) is about average for companies of similar size in the US market ($USD521.37K).

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


Leadership Team

NamePositionTenureCompensationOwnership
David Ritchie
President2.3yrsUS$587.73k0.44% $377.8k
Mitchell Derenzo
Executive VP & CFO25.1yrsUS$404.63k1.1% $944.5k
Kevin Bender
Executive VP & COO10.4yrsUS$399.62k0.33% $285.6k
Daniel McGregor
Executive VP & Chief Credit Officer1.8yrsUS$253.36k0.049% $42.3k
Diana Walery
VP & Director of Communications15.2yrsno datano data
Erica Dias
Vice President of Marketing & Community Engagement0yrsno datano data
Marie Crayne
Senior VP & Credit Administrator8.1yrsno datano data
Erica Fernandez
SVP & Commercial Banking Mngr0yrsno datano data

9.3yrs

Average Tenure

58.5yo

Average Age

Experienced Management: AMRB's management team is seasoned and experienced (9.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
David Ritchie
President2.3yrsUS$587.73k0.44% $377.8k
Charles Fite
Independent Chairman of the Board19.1yrsUS$72.07k3.01% $2.6m
Stephen Waks
Director Emeritus0.08yrsUS$56.44k1.36% $1.2m
Michael Ziegler
Independent Director18.1yrsUS$65.50k0.51% $441.0k
Philip Wright
Independent Director10.9yrsUS$53.09k1.54% $1.3m
William Robotham
Independent Vice Chairman of the Board6.1yrsUS$54.12k1.9% $1.6m
Kimberly Box
Independent Director7.6yrsUS$56.87k0.36% $312.2k
Jeffery Owensby
Independent Director3.2yrsUS$48.37k0.18% $152.6k
Nicolas Anderson
Independent Director1.9yrsUS$24.78k0.046% $39.6k
Julie Raney
Director0.5yrsno data0.0058% $5.0k

4.6yrs

Average Tenure

61yo

Average Age

Experienced Board: AMRB's board of directors are considered experienced (4.6 years average tenure).


Ownership

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


Insider Trading Volume

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


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

American River Bankshares's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: American River Bankshares
  • Ticker: AMRB
  • Exchange: NasdaqGS
  • Founded: 1983
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$85.967m
  • Shares outstanding: 5.85m
  • Website: https://www.americanriverbank.com

Number of Employees


Location

  • American River Bankshares
  • 3100 Zinfandel Drive
  • Suite 450
  • Rancho Cordova
  • California
  • 95670
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AMRBNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDSep 1990

Biography

American River Bankshares operates as the holding company for American River Bank that provides commercial banking products and services to small and middle-market businesses, and individuals. The company accepts checking and savings deposits; and offers money market deposit accounts and certificates of deposit. It also provides commercial, commercial real estate, multi-family real estate, commercial and residential real estate construction, residential real estate, agriculture, consumer, and other installment and term loans, as well as other customary banking services. In addition, the company conducts lease financing for various types of business equipment ranging from computer software to heavy earth-moving equipment. It operates four full-service banking offices in Sacramento County, one full-service banking office in Placer County, two full-service banking offices in Sonoma County, and three full-service banking offices in Amador County. The company was formerly known as American River Holdings and changed its name to American River Bankshares in 2004. American River Bankshares was founded in 1983 and is headquartered in Rancho Cordova, California. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/22 00:29
End of Day Share Price2020/02/21 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.