NasdaqGS:CASH

Stock Analysis Report

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Executive Summary

Meta Financial Group, Inc. operates as the holding company for MetaBank that offers various banking products and services in the United States.


Snowflake Analysis

Flawless balance sheet, undervalued and pays a dividend.


Similar Companies

Share Price & News

How has Meta Financial Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

3.7%

CASH

-4.5%

US Mortgage

4.0%

US Market


1 Year Return

-37.6%

CASH

-24.3%

US Mortgage

4.9%

US Market

Return vs Industry: CASH underperformed the US Mortgage industry which returned -24.3% over the past year.

Return vs Market: CASH underperformed the US Market which returned 4.9% over the past year.


Shareholder returns

CASHIndustryMarket
7 Day3.7%-4.5%4.0%
30 Day-16.6%15.7%1.3%
90 Day3.5%56.6%29.5%
1 Year-37.2%-37.6%-22.3%-24.3%7.2%4.9%
3 Year-39.6%-40.8%25.0%16.1%36.1%27.2%
5 Year25.1%20.3%1.0%-10.0%65.3%46.9%

Price Volatility Vs. Market

How volatile is Meta Financial Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Meta Financial Group undervalued compared to its fair value and its price relative to the market?

27.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CASH ($17.58) is trading below our estimate of fair value ($24.13)

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


Price To Earnings Ratio

PE vs Industry: CASH is good value based on its PE Ratio (5.4x) compared to the Mortgage industry average (11.1x).

PE vs Market: CASH is good value based on its PE Ratio (5.4x) compared to the US market (16.5x).


Price to Earnings Growth Ratio

PEG Ratio: CASH's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

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


Next Steps

Future Growth

How is Meta Financial Group forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

-6.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CASH's earnings are forecast to decline over the next 3 years (-6.1% per year).

Earnings vs Market: CASH's earnings are forecast to decline over the next 3 years (-6.1% per year).

High Growth Earnings: CASH's earnings are forecast to decline over the next 3 years.

Revenue vs Market: CASH's revenue (8.8% per year) is forecast to grow slower than the US market (9.2% per year).

High Growth Revenue: CASH's revenue (8.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CASH's Return on Equity is forecast to be low in 3 years time (11.1%).


Next Steps

Past Performance

How has Meta Financial Group performed over the past 5 years?

35.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CASH has high quality earnings.

Growing Profit Margin: CASH's current net profit margins (28.6%) are higher than last year (17.7%).


Past Earnings Growth Analysis

Earnings Trend: CASH's earnings have grown significantly by 35.1% per year over the past 5 years.

Accelerating Growth: CASH's earnings growth over the past year (94.2%) exceeds its 5-year average (35.1% per year).

Earnings vs Industry: CASH earnings growth over the past year (94.2%) exceeded the Mortgage industry 4.5%.


Return on Equity

High ROE: CASH's Return on Equity (15.9%) is considered low.


Next Steps

Financial Health

How is Meta Financial Group'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


Financial Institutions Analysis

Asset Level: CASH's Assets to Equity ratio (7.3x) is low.

Allowance for Bad Loans: CASH has a sufficient allowance for bad loans (208%).

Low Risk Liabilities: 79% of CASH's liabilities are made up of primarily low risk sources of funding.

Loan Level: CASH has an appropriate level of Loans to Assets ratio (61%).

Low Risk Deposits: CASH's Loans to Deposits ratio (90%) is appropriate.

Level of Bad Loans: CASH has an appropriate level of bad loans (0.9%).


Next Steps

Dividend

What is Meta Financial Group current dividend yield, its reliability and sustainability?

1.14%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: CASH's dividend (1.14%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.67%).

High Dividend: CASH's dividend (1.14%) is low compared to the top 25% of dividend payers in the US market (4.5%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (6.1%), CASH's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: CASH's dividends in 3 years are forecast to be thoroughly covered by earnings (10.7% payout ratio).


Next Steps

Management

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

1.8yrs

Average management tenure


CEO

Brad Hanson (56yo)

1.75yrs

Tenure

US$4,155,523

Compensation

Mr. Bradley C. Hanson, also known as Brad, has been a Director of CARD Corporation since April 2019. Mr. Hanson has been a Member of the Board of Directors of Meta Financial Group, Inc. (“Meta Financial”)  ...


CEO Compensation Analysis

Compensation vs Market: Brad's total compensation ($USD4.16M) is above average for companies of similar size in the US market ($USD3.15M).

Compensation vs Earnings: Brad's compensation has increased by more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Bradley Hanson
President1.75yrsUS$4.16m1.18% $7.2m
Glen Herrick
Executive VP & CFO6.75yrsUS$1.70m0.62% $3.8m
Sheree Thornsberry
Executive VP & Head of Payments2.83yrsUS$863.68k0.068% $414.1k
Michael Goik
Executive VP & Head of Commercial Finance1.92yrsUS$1.16m0.48% $2.9m
Brett Pharr
Co-President & COO of MetaBank0.50yrUS$942.38k0.078% $476.8k
Shelly Schneekloth
Executive VP & COO1.42yrsUS$728.51k0.045% $272.6k
Sonja Theisen
Senior VP & Chief Accounting Officer4.92yrsno data0.030% $181.2k
Charles Ingram
Executive VP & Chief Information Officer0.33yrno datano data
Brittany Elsasser
Director of Investor Relationsno datano datano data
Anthony Sharett
Executive VP0.083yrno data0.040% $246.1k

1.8yrs

Average Tenure

54yo

Average Age

Experienced Management: CASH's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Bradley Hanson
President1.75yrsUS$4.16m1.18% $7.2m
Becky Shulman
Independent Director3.83yrsUS$205.59k0.044% $265.4k
Frederick Moore
Independent Chairman of the Board1.5yrsUS$275.09k0.016% $97.7k
William Tull
Director1.92yrsUS$207.09k1.67% $10.2m
Douglas Hajek
Independent Vice Chairman of the Boardno dataUS$210.09k0.051% $307.3k
Elizabeth Hoople
Independent Director5.75yrsUS$207.09k0.070% $427.2k
Kendall Stork
Independent Director4.08yrsUS$211.09k0.043% $258.6k
Michael Kramer
Independent Director1.92yrsUS$190.09k0.23% $1.4m

3.8yrs

Average Tenure

65.5yo

Average Age

Experienced Board: CASH's board of directors are considered experienced (3.8 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: CASH insiders have only sold shares 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

Meta Financial Group, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Meta Financial Group, Inc.
  • Ticker: CASH
  • Exchange: NasdaqGS
  • Founded: 1954
  • Industry: Thrifts and Mortgage Finance
  • Sector: Banks
  • Market Cap: US$608.408m
  • Shares outstanding: 34.61m
  • Website: https://www.metafinancialgroup.com

Number of Employees


Location

  • Meta Financial Group, Inc.
  • 5501 South Broadband Lane
  • Sioux Falls
  • South Dakota
  • 57108
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CASHNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDSep 1993
FM7BST (Boerse-Stuttgart)YesCommon StockDEEURSep 1993
FM7DB (Deutsche Boerse AG)YesCommon StockDEEURSep 1993

Biography

Meta Financial Group, Inc. operates as the holding company for MetaBank that offers various banking products and services in the United States. The company accepts various deposit products, including statement savings accounts, money market savings accounts, negotiable order of withdrawal accounts, and checking accounts; and deposits related to prepaid cards, which primarily comprise checking accounts and certificate accounts. It also provides loans, such as commercial finance loans, commercial and multi-family real estate loans, one-to-four family mortgage loans, consumer finance loans, taxpayer advance loans, agriculture loans, consumer and commercial operating loans, and commercial insurance premium finance products. In addition, the company issues prepaid cards and consumer credit products; sponsors automated teller machines into various debit networks; and offers tax refund transfer and other payment industry products and services. It operates nine full-service branch offices in Storm Lake and Des Moines, Iowa; and Brookings and Sioux Falls, South Dakota, as well as 14 non-branch offices. The company was founded in 1954 and is headquartered in Sioux Falls, South Dakota. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/07/05 23:54
End of Day Share Price2020/07/02 00:00
Earnings2020/03/31
Annual Earnings2019/09/30


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.