NasdaqGS:EQBK

Stock Analysis Report

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Executive Summary

Equity Bancshares, Inc. operates as the bank holding company for Equity Bank that provides a range of financial services primarily to businesses, business owners, and individuals. More Details

Rewards

Trading at 9.5% below our estimate of its fair value

Earnings are forecast to grow 102.37% per year

Risk Analysis

No risks detected for EQBK from our risk checks.


Snowflake Analysis

Excellent balance sheet with moderate growth potential.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: EQBK is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: EQBK's weekly volatility (7%) has been stable over the past year.


Market Performance


7 Day Return

-3.0%

EQBK

-3.2%

US Banks

2.6%

US Market


1 Year Return

-18.1%

EQBK

-6.1%

US Banks

26.0%

US Market

Return vs Industry: EQBK underperformed the US Banks industry which returned -6.1% over the past year.

Return vs Market: EQBK underperformed the US Market which returned 26% over the past year.


Shareholder returns

EQBKIndustryMarket
7 Day-3.0%-3.2%2.6%
30 Day8.6%6.4%5.1%
90 Day24.1%35.3%17.1%
1 Year-18.1%-18.1%-2.6%-6.1%28.9%26.0%
3 Year-35.8%-35.8%-3.0%-11.3%46.3%36.6%
5 Year5.8%5.8%77.3%54.9%126.9%101.6%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

9.5%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: EQBK ($23.15) is trading below our estimate of fair value ($25.57)

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


Price To Earnings Ratio

PE vs Industry: EQBK is unprofitable, so we can't compare its PE Ratio to the US Banks industry average.

PE vs Market: EQBK is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate EQBK's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: EQBK is good value based on its PB Ratio (0.9x) compared to the US Banks industry average (1x).


Next Steps

Future Growth

How is Equity Bancshares forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

102.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: EQBK is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2%).

Earnings vs Market: EQBK is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: EQBK's is expected to become profitable in the next 3 years.

Revenue vs Market: EQBK's revenue (1.3% per year) is forecast to grow slower than the US market (10.6% per year).

High Growth Revenue: EQBK's revenue (1.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: EQBK's Return on Equity is forecast to be low in 3 years time (6.8%).


Next Steps

Past Performance

How has Equity Bancshares performed over the past 5 years?

-4.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: EQBK is currently unprofitable.

Growing Profit Margin: EQBK is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: EQBK is unprofitable, and losses have increased over the past 5 years at a rate of 4.2% per year.

Accelerating Growth: Unable to compare EQBK's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: EQBK is unprofitable, making it difficult to compare its past year earnings growth to the Banks industry (-3%).


Return on Equity

High ROE: EQBK has a negative Return on Equity (-19.26%), as it is currently unprofitable.


Next Steps

Financial Health

How is Equity 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


Financial Institutions Analysis

Asset Level: EQBK's Assets to Equity ratio (9.6x) is low.

Allowance for Bad Loans: EQBK has a low allowance for bad loans (64%).

Low Risk Liabilities: 90% of EQBK's liabilities are made up of primarily low risk sources of funding.

Loan Level: EQBK has an appropriate level of Loans to Assets ratio (70%).

Low Risk Deposits: EQBK's Loans to Deposits ratio (86%) is appropriate.

Level of Bad Loans: EQBK has an appropriate level of bad loans (1.9%).


Next Steps

Dividend

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


Dividend Yield vs Market

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

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


Stability and Growth of Payments

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

Growing Dividend: Insufficient data to determine if EQBK'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 EQBK's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

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

2.3yrs

Average management tenure


CEO

Brad Elliott (54 yo)

18.17yrs

Tenure

US$2,416,530

Compensation

Mr. Brad S. Elliott is the Founder, Chairman and Chief Executive Officer of Equity Bancshares, Inc. and served as its President. He also serves as Chairman and Chief Executive Officer of Equity Bank. Befor...


CEO Compensation Analysis

Compensation vs Market: Brad's total compensation ($USD2.42M) is above average for companies of similar size in the US market ($USD1.65M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Brad Elliott
Founder18.17yrsUS$2.42m1.52%
$ 5.2m
Gregory Kossover
Executive VP9.08yrsUS$1.29m0.47%
$ 1.6m
Craig Anderson
Executive Vice President0.67yrUS$828.92k0.045%
$ 154.5k
Eric Newell
Executive VP & CFO0.67yrno datano data
John Blakeney
Executive VP & Chief Information Officer3.42yrsno data0.028%
$ 95.5k
Brett Reber
Executive VP & General Counsel2.25yrsno data0.014%
$ 49.4k
John Hanley
Senior VP & Senior Director of Marketingno datano datano data
Patrick Harbert
President of Community Marketsno datano data0.18%
$ 603.0k
Mark Parman
Executive VP & Director of Metro Bankingno datano data0.055%
$ 190.5k
Craig Mayo
Executive VP & Chief Credit Officer2.83yrsno data0.0022%
$ 7.7k
Gaylyn McGregor
Executive Vice President of Trust & Wealth Managementno datano data0.014%
$ 47.3k
Timothy Kerr
Senior VP & Community Marketsno datano datano data

2.3yrs

Average Tenure

57.5yo

Average Age

Experienced Management: EQBK's management team is considered experienced (2.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Brad Elliott
Founder18.17yrsUS$2.42m1.52%
$ 5.2m
Gregory Kossover
Executive VP9.08yrsUS$1.29m0.47%
$ 1.6m
Jeffrey Bloomer
Independent Director7yrsUS$55.13k0.064%
$ 220.8k
Gregory Gaeddert
Independent Director14yrsUS$65.43k0.22%
$ 762.6k
Jerry Maland
Independent Director4.17yrsUS$55.13k0.93%
$ 3.2m
Harvey Sorensen
Independent Director18yrsUS$62.40k0.36%
$ 1.3m
James Berglund
Independent Director14yrsUS$85.30k0.21%
$ 708.5k
Benjamen Hutton
Independent Director0.75yrno data0.081%
$ 277.0k
Junetta Everett
Independent Director0.75yrno data0.013%
$ 45.5k
Gary Allerheiligen
Independent Director7yrsUS$67.23k0.18%
$ 619.9k
Randee Koger
Independent Director1.75yrsUS$54.33k0.32%
$ 1.1m
Shawn Penner
Independent Director18yrsUS$85.80k0.89%
$ 3.1m

8.0yrs

Average Tenure

61yo

Average Age

Experienced Board: EQBK's board of directors are considered experienced (8 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

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


Key Information

  • Name: Equity Bancshares, Inc.
  • Ticker: EQBK
  • Exchange: NasdaqGS
  • Founded: 2002
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$343.858m
  • Shares outstanding: 14.85m
  • Website: https://www.equitybank.com

Number of Employees


Location

  • Equity Bancshares, Inc.
  • 7701 East Kellogg Drive
  • Suite 300
  • Wichita
  • Kansas
  • 67207
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
EQBKNasdaqGS (Nasdaq Global Select)YesClass A Common StockUSUSDNov 2015
44XDB (Deutsche Boerse AG)YesClass A Common StockDEEURNov 2015

Biography

Equity Bancshares, Inc. operates as the bank holding company for Equity Bank that provides a range of financial services primarily to businesses, business owners, and individuals. The company accepts vario...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/01/26 01:06
End of Day Share Price2021/01/25 00:00
Earnings2020/09/30
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.