Meridian Bancorp, Inc. operates as the holding company for East Boston Savings Bank that provides various financial products and services for individuals and businesses primarily in Suffolk, Norfolk, Middlesex, and Essex Counties, Massachusetts.
Meridian Bancorp Competitors
Price History & Performance
|Historical stock prices|
|Current Share Price||US$20.14|
|52 Week High||US$9.75|
|52 Week Low||US$22.97|
|1 Month Change||-3.73%|
|3 Month Change||-4.96%|
|1 Year Change||101.20%|
|3 Year Change||18.82%|
|5 Year Change||30.95%|
|Change since IPO||413.65%|
Recent News & Updates
|EBSB||US Mortgage||US Market|
Return vs Industry: EBSB exceeded the US Mortgage industry which returned 22.9% over the past year.
Return vs Market: EBSB exceeded the US Market which returned 36.2% over the past year.
Stable Share Price: EBSB is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: EBSB's weekly volatility (3%) has been stable over the past year.
About the Company
Meridian Bancorp, Inc. operates as the holding company for East Boston Savings Bank that provides various financial products and services for individuals and businesses primarily in Suffolk, Norfolk, Middlesex, and Essex Counties, Massachusetts. The company accepts various deposit products, including non-interest-bearing demand deposits, such as checking accounts; interest-bearing demand accounts, including NOW and money market accounts; savings accounts; and certificates of deposit, as well as commercial checking accounts. Its loan portfolio includes commercial real estate loans, which are secured by properties used for business purposes, such as office buildings, industrial facilities, and retail facilities; one- to four-family residential loans, such as mortgage loans that enable borrowers to purchase or refinance existing homes; multi-family real estate loans; construction loans; commercial and industrial loans; home equity lines of credit; and consumer loans, including automobile loans, loans secured by savings or certificate accounts, credit builders, and annuity and overdraft loans.
Meridian Bancorp Fundamentals Summary
|EBSB fundamental statistics|
Is EBSB overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|EBSB income statement (TTM)|
|Cost of Revenue||US$0|
Last Reported Earnings
Jun 30, 2021
Next Earnings Date
|Earnings per share (EPS)||1.51|
|Net Profit Margin||37.41%|
How did EBSB perform over the long term?See historical performance and comparison
2.0%Current Dividend Yield
Is Meridian Bancorp undervalued compared to its fair value and its price relative to the market?
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: EBSB ($20.14) is trading above our estimate of fair value ($19.69)
Significantly Below Fair Value: EBSB is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: EBSB is poor value based on its PE Ratio (13.4x) compared to the US Mortgage industry average (12x).
PE vs Market: EBSB is good value based on its PE Ratio (13.4x) compared to the US market (17.7x).
Price to Earnings Growth Ratio
PEG Ratio: EBSB's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: EBSB is overvalued based on its PB Ratio (1.3x) compared to the US Mortgage industry average (1x).
How is Meridian Bancorp forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: EBSB's earnings are forecast to decline over the next 3 years (-3.2% per year).
Earnings vs Market: EBSB's earnings are forecast to decline over the next 3 years (-3.2% per year).
High Growth Earnings: EBSB's earnings are forecast to decline over the next 3 years.
Revenue vs Market: EBSB's revenue (3.4% per year) is forecast to grow slower than the US market (9.8% per year).
High Growth Revenue: EBSB's revenue (3.4% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if EBSB's Return on Equity is forecast to be high in 3 years time
How has Meridian Bancorp performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: EBSB has high quality earnings.
Growing Profit Margin: EBSB's current net profit margins (37.4%) are higher than last year (35.7%).
Past Earnings Growth Analysis
Earnings Trend: EBSB's earnings have grown by 17.4% per year over the past 5 years.
Accelerating Growth: EBSB's earnings growth over the past year (12.9%) is below its 5-year average (17.4% per year).
Earnings vs Industry: EBSB earnings growth over the past year (12.9%) underperformed the Mortgage industry 36.9%.
Return on Equity
High ROE: EBSB's Return on Equity (9.4%) is considered low.
How is Meridian Bancorp's financial position? (This company is analysed differently as a bank or financial institution)
Financial Position Analysis
Debt to Equity History and Analysis
Financial Institutions Analysis
Asset Level: EBSB's Assets to Equity ratio (7.8x) is low.
Allowance for Bad Loans: EBSB has a sufficient allowance for bad loans (614%).
Low Risk Liabilities: 89% of EBSB's liabilities are made up of primarily low risk sources of funding.
Loan Level: EBSB has an appropriate level of Loans to Assets ratio (79%).
Low Risk Deposits: EBSB's Loans to Deposits ratio (101%) is appropriate.
Level of Bad Loans: EBSB has an appropriate level of bad loans (0.2%).
What is Meridian Bancorp current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: EBSB's dividend (1.99%) is higher than the bottom 25% of dividend payers in the US market (1.35%).
High Dividend: EBSB's dividend (1.99%) is low compared to the top 25% of dividend payers in the US market (3.63%).
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, EBSB has been paying a dividend for less than 10 years.
Growing Dividend: EBSB's dividend payments have increased, but the company has only paid a dividend for 6 years.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (23.9%), EBSB's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Richard Gavegnano (73 yo)
Mr. Richard J. Gavegnano has been Chief Executive Officer of Meridian Bancorp, Inc. (formerly, Meridian Interstate Bancorp, Inc.) since 2007. Mr. Gavegnano serves as the Chief Executive Officer of Meridian...
CEO Compensation Analysis
Compensation vs Market: Richard's total compensation ($USD2.33M) is about average for companies of similar size in the US market ($USD2.35M).
Compensation vs Earnings: Richard's compensation has increased by more than 20% in the past year.
Experienced Management: EBSB's management team is seasoned and experienced (5.5 years average tenure).
Experienced Board: EBSB's board of directors are seasoned and experienced ( 11.7 years average tenure).
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.
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Meridian Bancorp, Inc.'s employee growth, exchange listings and data sources
- Name: Meridian Bancorp, Inc.
- Ticker: EBSB
- Exchange: NasdaqGS
- Founded: 1848
- Industry: Thrifts and Mortgage Finance
- Sector: Banks
- Market Cap: US$978.588m
- Shares outstanding: 50.39m
- Website: https://www.ebsb.com
Number of Employees
- Meridian Bancorp, Inc.
- 67 Prospect Street
- United States
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/09/23 23:04|
|End of Day Share Price||2021/09/23 00:00|
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.