Stock Analysis Report

Executive Summary

ESSA Bancorp, Inc. operates as the holding company for ESSA Bank & Trust that provides a range of financial services to individuals, families, and businesses in Pennsylvania.


PE ratio (14.6x) is below the US market (18.9x)

Earnings grew by 93.3% over the past year

Pays a reliable dividend of 2.56%

Risk Analysis

No risks detected for ESSA from our risk checks.

Snowflake Analysis

Flawless balance sheet with solid track record and pays a dividend.

Similar Companies

Share Price & News

How has ESSA Bancorp's share price performed over time and what events caused price changes?

Latest Share Price and Events

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

Market Performance

7 Day Return




US Mortgage


US Market

1 Year Return




US Mortgage


US Market

Return vs Industry: ESSA underperformed the US Mortgage industry which returned 18.8% over the past year.

Return vs Market: ESSA underperformed the US Market which returned 24.7% over the past year.

Shareholder returns

7 Day-0.2%-1.3%-1.3%
30 Day2.1%-1.4%1.8%
90 Day5.0%-1.0%9.3%
1 Year14.7%11.9%16.9%14.4%24.6%22.0%
3 Year15.4%7.2%25.7%17.1%49.2%39.6%
5 Year60.2%41.2%73.2%54.5%77.9%58.3%

Price Volatility Vs. Market

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

Simply Wall St News


Is ESSA 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: ESSA ($17.21) is trading above our estimate of fair value ($4.97)

Significantly Below Fair Value: ESSA is trading above our estimate of fair value.

Price To Earnings Ratio

PE vs Industry: ESSA is poor value based on its PE Ratio (14.6x) compared to the Mortgage industry average (14.2x).

PE vs Market: ESSA is good value based on its PE Ratio (14.6x) compared to the US market (18.9x).

Price to Earnings Growth Ratio

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

Price to Book Ratio

PB vs Industry: ESSA is good value based on its PB Ratio (1x) compared to the US Mortgage industry average (1.1x).

Next Steps

Future Growth

How is ESSA Bancorp forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?


Forecasted Banks industry annual growth in earnings

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as ESSA Bancorp has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.

Next Steps

Past Performance

How has ESSA Bancorp performed over the past 5 years?


Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: ESSA has high quality earnings.

Growing Profit Margin: ESSA's current net profit margins (23.8%) are higher than last year (12.5%).

Past Earnings Growth Analysis

Earnings Trend: ESSA's earnings have grown by 1.1% per year over the past 5 years.

Accelerating Growth: ESSA's earnings growth over the past year (93.3%) exceeds its 5-year average (1.1% per year).

Earnings vs Industry: ESSA earnings growth over the past year (93.3%) exceeded the Mortgage industry 23.1%.

Return on Equity

High ROE: ESSA's Return on Equity (6.7%) is considered low.

Return on Assets

Return on Capital Employed

Next Steps

Financial Health

How is ESSA Bancorp'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: ESSA has a low level of unsold assets or inventory.

Debt Coverage by Assets: ESSA's debt is not covered by short term assets (assets are 0.2x debt).

Financial Institutions Analysis

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

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

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

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

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

Level of Bad Loans: ESSA has an appropriate level of bad loans (0.75%)

Next Steps


What is ESSA Bancorp's current dividend yield, its reliability and sustainability?


Current Dividend Yield

Dividend Yield vs Market


Current dividend yield vs market & industry

Notable Dividend: ESSA's dividend (2.56%) is higher than the bottom 25% of dividend payers in the US market (1.4%).

High Dividend: ESSA's dividend (2.56%) is low compared to the top 25% of dividend payers in the US market (3.66%).

Stability and Growth of Payments

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

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

Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (34%), ESSA'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.

Next Steps


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


Average management tenure


Gary Olson (65yo)





Mr. Gary S. Olson has been the President and Chief Executive Officer at ESSA Bancorp, Inc. and its subsidiary ESSA Bank & Trust since 2000. Mr. Olson began his career at ESSA Bank & Trust in 1977. He has b ...

CEO Compensation Analysis

Compensation vs Market: Gary's total compensation ($USD723.57K) is below average for companies of similar size in the US market ($USD1.08M).

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

Management Age and Tenure


Average Tenure


Average Age

Experienced Management: ESSA's management team is seasoned and experienced (10.5 years average tenure).

Board Age and Tenure


Average Tenure


Average Age

Experienced Board: ESSA's board of directors are considered experienced (6.8 years average tenure).

Insider Trading

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

Recent Insider Transactions

BuyUS$14,48905 Aug 19
Peter Gray
Senior Key Executive
Executive VP & Chief Banking Officer
Max PriceUS$14.50
BuyUS$5,07830 Jul 19
Charles Hangen
Chief Operating Officer
Executive VP & COO
Max PriceUS$15.40
BuyUS$16,22801 Mar 19
Christine Davis-Gordon
Member of the Board of Directors
Independent Director
Max PriceUS$16.23
BuyUS$25,32904 Feb 19
Peter Gray
Senior Key Executive
Executive VP & Chief Banking Officer
Max PriceUS$15.36
SellUS$30,36331 Jan 19
Elizabeth Weekes
Member of the Board of Directors
Independent Director
Max PriceUS$15.27

Ownership Breakdown

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

Management Team

  • Allan Muto (59yo)

    Executive VP & CFO

    • Tenure: 14yrs
    • Compensation: US$381.54k
  • Diane Reimer (63yo)

    Senior Vice President of Administration & Operations Division

    • Tenure: 7yrs
    • Compensation: US$302.20k
  • Gary Olson (65yo)


    • Tenure: 14yrs
    • Compensation: US$723.57k
  • Thomas Grayuski (58yo)

    Senior Vice President of Human Resources Services Division

    • Tenure: 20yrs
    • Compensation: US$388.33k
  • Suzie Farley

    VP of Investor & Community Relations

    • Bob Selitto

      Vice President

      • Chuck Hangen (46yo)

        Executive VP & COO

        • Tenure: 4.4yrs
        • Compensation: US$404.49k
      • Peter Gray

        Executive VP & Chief Banking Officer

        • Tenure: 2.1yrs
      • James Fareri

        General Counsel

        • Stephanie Lefferson

          Corporate Secretary

          Board Members

          • Frederick Kutteroff (76yo)

            Independent Director

            • Tenure: 14yrs
            • Compensation: US$46.13k
          • Elizabeth Weekes (60yo)

            Independent Director

            • Tenure: 14yrs
            • Compensation: US$41.57k
          • John Schoonover (78yo)

            Director Emeritus

            • Tenure: 4.8yrs
            • Compensation: US$41.50k
          • Robert Selig (71yo)

            Chairman of the Board

            • Tenure: 0.8yrs
            • Compensation: US$41.66k
          • Gary Olson (65yo)


            • Tenure: 14yrs
            • Compensation: US$723.57k
          • Daniel J. Henning (67yo)

            Independent Director

            • Tenure: 14yrs
            • Compensation: US$42.86k
          • Brian Regan (58yo)

            Independent Director

            • Tenure: 8.8yrs
            • Compensation: US$38.07k
          • Philip Hosbach (57yo)

            Independent Director

            • Tenure: 1.5yrs
            • Compensation: US$12.50k
          • Joseph Durkin (59yo)

            Independent Director

            • Tenure: 3.8yrs
            • Compensation: US$38.00k
          • Christine Davis-Gordon (42yo)

            Independent Director

            • Tenure: 3.8yrs
            • Compensation: US$38.00k

          Company Information

          ESSA Bancorp, Inc.'s company bio, employee growth, exchange listings and data sources

          Key Information

          • Name: ESSA Bancorp, Inc.
          • Ticker: ESSA
          • Exchange: NasdaqGS
          • Founded: 1916
          • Industry: Thrifts and Mortgage Finance
          • Sector: Banks
          • Market Cap: US$179.846m
          • Shares outstanding: 10.47m
          • Website:

          Number of Employees


          • ESSA Bancorp, Inc.
          • 200 Palmer Street
          • Stroudsburg
          • Pennsylvania
          • 18360
          • United States


          TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
          ESSANasdaqGS (Nasdaq Global Select)YesCommon SharesUSUSDApr 2007


          ESSA Bancorp, Inc. operates as the holding company for ESSA Bank & Trust that provides a range of financial services to individuals, families, and businesses in Pennsylvania. The company accepts savings accounts, interest bearing demand accounts, checking accounts, money market accounts, club accounts, certificates of deposit and IRAs, and other qualified plan accounts, as well as commercial checking accounts. Its loan portfolio includes first mortgage loans for the purchase, construction, or refinancing of one- to four-family residential real estate property; commercial real estate loans; home equity loans and lines of credit; and commercial and consumer loans, including indirect auto loans, as well as loans secured by deposits and personal unsecured loans. In addition, it the company offers insurance benefits consulting services, such as health insurance, life insurance, short term and long term disability, dental, vision, 401(K) retirement planning, and individual health products, as well as asset management and trust, and investment services. As of September 30, 2019, it operated 22 full-service banking offices, including 7 offices in Monroe County, 3 offices in Lehigh County, 6 offices in Northampton County, 1 office in Lackawanna County, 1 office in Luzerne County, 1 office in Chester County, 2 offices in Delaware County, and 1 office in Montgomery County, Pennsylvania. The company was founded in 1916 and is based in Stroudsburg, Pennsylvania. 

          Company Analysis and Financial Data Status

          All financial data provided by Standard & Poor's Capital IQ.
          DataLast Updated (UTC time)
          Company Analysis2020/01/25 00:27
          End of Day Share Price2020/01/24 00:00
          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.