NasdaqCM:BWB

Stock Analysis Report

Bridgewater Bancshares

Executive Summary

Bridgewater Bancshares, Inc. operates as the bank holding company for Bridgewater Bank that provides banking products and services to commercial real estate investors, small business entrepreneurs, and high-net-worth individuals in the United States.

Snowflake

Fundamentals

Flawless balance sheet and slightly overvalued.


Similar Companies

Share Price & News

How has Bridgewater Bancshares's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

3.0%

BWB

2.8%

US Mortgage

3.4%

US Market


1 Year Return

-4.9%

BWB

12.3%

US Mortgage

5.4%

US Market

Return vs Industry: BWB underperformed the US Mortgage industry which returned 12.3% over the past year.

Return vs Market: BWB underperformed the US Market which returned 5.4% over the past year.


Shareholder returns

BWBIndustryMarket
7 Day3.0%2.8%3.4%
30 Day1.9%0.1%-1.0%
90 Day5.1%3.4%-0.4%
1 Year-4.9%-4.9%14.7%12.3%7.7%5.4%
3 Yearn/a40.3%30.9%46.2%36.8%
5 Yearn/a70.5%52.5%65.6%47.5%

Price Volatility Vs. Market

How volatile is Bridgewater Bancshares's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Bridgewater Bancshares undervalued compared to its fair value and its price relative to the market?

12.41x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Undervalued: BWB ($12.1) is trading above our estimate of fair value ($10.31)

Significantly Undervalued: BWB is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: BWB is good value based on its PE Ratio (12.4x) compared to the Mortgage industry average (14.6x).

PE vs Market: BWB is good value based on its PE Ratio (12.4x) compared to the US market (17.7x).


Price to Earnings Growth Ratio

Low PEG Ratio: BWB is poor value based on its PEG Ratio (1.5x)


Price to Book Ratio

PB vs Industry: BWB is overvalued based on its PB Ratio (1.5x) compared to the US Mortgage industry average (1.1x).


Next Steps

Future Growth

How is Bridgewater Bancshares forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

8.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BWB's forecast earnings growth (8.4% per year) is above the savings rate (2.7%).

Earnings vs Market: BWB's earnings (8.4% per year) are forecast to grow slower than the US market (14.3% per year).

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

Revenue vs Market: BWB's revenue (15% per year) is forecast to grow faster than the US market (7.3% per year).

High Growth Revenue: BWB's revenue (15% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: BWB's Return on Equity is forecast to be low in 3 years time (12.5%).


Next Steps

Past Performance

How has Bridgewater Bancshares performed over the past 5 years?

41.3%

Last years earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if BWB's year-on-year earnings growth rate was positive over the past 5 years.

Accelerating Growth: Insufficient data to compare BWB's past year earnings growth to its 5-year average.

Earnings vs Industry: BWB earnings growth over the past year (41.3%) exceeded the Mortgage industry 31.7%.


Return on Equity

High ROE: BWB's Return on Equity (12.8%) is considered low.


Return on Assets

ROA vs Industry: BWB has a higher Return on Assets than the Mortgage industry average last year.


Return on Capital Employed

ROCE Improving: Insufficient data to calculate BWB's Return on Capital Employed to determine if it has improved over the past 3 years.


Next Steps

Financial Health

How is Bridgewater Bancshares'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: BWB has a low level of unsold assets or inventory.

Debt Coverage by Assets: BWB's debt is not covered by short term assets (assets are 0.4x debt).


Financial Institutions Analysis

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

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

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

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

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

Level of Bad Loans: BWB has an appropriate level of bad loans (0.03%)


Next Steps

Dividend

What is Bridgewater Bancshares's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.5%markettop25%3.8%industryaverage2.8%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: Unable to evaluate BWB's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate BWB's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if BWB's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if BWB's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of BWB's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

What is the CEO of Bridgewater Bancshares's salary, the management and board of directors tenure and is there insider trading?

5.8yrs

Average management tenure


CEO

Jerry Baack (52yo)

14.8yrs

Tenure

US$1,337,930

Compensation

Mr. Gerald John Baack, also known as Jerry, Co-Founded Bridgewater Bancshares, Inc. and Bridgewater Bank (“Bank”) and has been its Chairman of the Board, Chief Executive Officer and President since 2005. M ...


CEO Compensation Analysis

Compensation vs. Market: Insufficient data to establish whether Jerry's total compensation is reasonable compared to companies of similar size in the US market.

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


Management Age and Tenure

5.8yrs

Average Tenure

54.5yo

Average Age

Experienced Management: BWB's management team is seasoned and experienced (5.8 years average tenure).


Board Age and Tenure

14.8yrs

Average Tenure

53yo

Average Age

Experienced Board: BWB's board of directors are seasoned and experienced ( 14.8 years average tenure).


Insider Trading

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


Recent Insider Transactions

BuyUS$5,96805 Aug 19
Douglas Parish
EntityIndividual
Role
Member of the Board of Directors
Director
Shares500
Max PriceUS$11.94
BuyUS$5,26401 May 19
Douglas Parish
EntityIndividual
Role
Member of the Board of Directors
Director
Shares500
Max PriceUS$10.53
BuyUS$5,65005 Feb 19
Douglas Parish
EntityIndividual
Role
Member of the Board of Directors
Director
Shares500
Max PriceUS$11.30
SellUS$57,07012 Dec 18
James Johnson
EntityIndividual
Role
Member of the Board of Directors
Director
Shares5,000
Max PriceUS$11.41
BuyUS$5,79013 Nov 18
Douglas Parish
EntityIndividual
Role
Member of the Board of Directors
Director
Shares500
Max PriceUS$11.58
BuyUS$11,05301 Nov 18
Joseph Chybowski
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares1,000
Max PriceUS$11.05

Ownership Breakdown


Management Team

  • Dan Poppe (71yo)

    Senior VP & Senior Loan Officer

    • Tenure: 0yrs
  • Jeff Shellberg (57yo)

    Co-Founder

    • Tenure: 14.8yrs
    • Compensation: US$749.69k
  • Jerry Baack (52yo)

    Founder

    • Tenure: 14.8yrs
    • Compensation: US$1.34m
  • Mary Crocker (57yo)

    Executive VP & COO

    • Tenure: 5.8yrs
    • Compensation: US$780.89k
  • Nick Place (34yo)

    Chief Lending Officer

    • Tenure: 0yrs
  • Joe Chybowski (32yo)

    Chief Financial Officer

    • Tenure: 2.8yrs
  • Lisa Salazar

    Chief Deposit Officer

    • Tenure: 0yrs
  • Tony Ferraro

    Senior Vice President of Commercial Lending

    • Tenure: 0yrs
  • Erik Schwegler

    Senior Vice President of Commercial Real Estate

    • Tenure: 0yrs

Board Members

  • David Volk

    Director

    • Tenure: 2.1yrs
    • Compensation: US$82.00k
  • Jeff Shellberg (57yo)

    Co-Founder

    • Tenure: 14.8yrs
    • Compensation: US$749.69k
  • Jerry Baack (52yo)

    Founder

    • Tenure: 14.8yrs
    • Compensation: US$1.34m
  • David Juran (51yo)

    Director

    • Tenure: 9.8yrs
    • Compensation: US$70.00k
  • Todd Urness (62yo)

    Director

    • Tenure: 14.8yrs
    • Compensation: US$70.00k
  • Jim Johnson (56yo)

    Director

    • Tenure: 14.8yrs
    • Compensation: US$70.00k
  • Tom Trutna (53yo)

    Director

    • Tenure: 14.8yrs
    • Compensation: US$70.00k
  • Doug Parish (52yo)

    Director

    • Tenure: 1.3yrs
    • Compensation: US$40.00k

Company Information

Bridgewater Bancshares, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Bridgewater Bancshares, Inc.
  • Ticker: BWB
  • Exchange: NasdaqCM
  • Founded: 2005
  • Industry: Thrifts and Mortgage Finance
  • Sector: Banks
  • Market Cap: US$348.750m
  • Shares outstanding: 28.82m
  • Website: https://www.bridgewaterbankmn.com

Number of Employees


Location

  • Bridgewater Bancshares, Inc.
  • 3800 American Boulevard West
  • Suite 100
  • Bloomington
  • Minnesota
  • 55431
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BWBNasdaqCM (Nasdaq Capital Market)YesVoting Common StockUSUSDMar 2018
1WADB (Deutsche Boerse AG)YesVoting Common StockDEEURMar 2018

Biography

Bridgewater Bancshares, Inc. operates as the bank holding company for Bridgewater Bank that provides banking products and services to commercial real estate investors, small business entrepreneurs, and hig ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/16 00:40
End of Day Share Price2019/10/15 00:00
Earnings2019/06/30
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.