NasdaqGS:ESSA

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.

Snowflake

Fundamentals

Excellent balance sheet average dividend payer.

Risks

  • ESSA Bancorp is covered by less than 3 analysts.

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


Market Performance


7 Day Return

3.0%

NasdaqGS:ESSA

2.1%

US Mortgage

2.1%

US Market


1 Year Return

-7.7%

NasdaqGS:ESSA

-0.7%

US Mortgage

-0.04%

US Market

ESSA underperformed the Mortgage industry which returned -1.5% over the past year.

ESSA underperformed the Market in United States of America which returned 0.2% over the past year.


Share holder returns

ESSAIndustryMarket
7 Day3.0%2.1%2.1%
30 Day-0.7%-1.9%-3.2%
90 Day-2.6%0.6%2.8%
1 Year-5.4%-7.7%1.4%-0.7%2.2%-0.04%
3 Year17.9%9.7%32.9%24.1%41.5%32.3%
5 Year50.4%32.6%59.3%42.6%55.0%37.8%

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

Valuation

Is ESSA Bancorp undervalued based on future cash flows and its price relative to the stock market?

13.53x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

ESSA Bancorp's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

ESSA Bancorp's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

ESSA Bancorp is good value based on earnings compared to the US Mortgage industry average.

ESSA Bancorp is good value based on earnings compared to the United States of America market.


Price Based on Expected Growth

ESSA Bancorp earnings are not expected to grow next year, we can't assess if its growth is good value.


Price Based on Value of Assets

ESSA Bancorp is good value based on assets compared to the US Mortgage industry average.


Next Steps

Future Growth

How is ESSA Bancorp expected to perform in the next 1 to 3 years based on estimates from 1 analyst?

-2.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

ESSA Bancorp's revenue is expected to grow by 2.8% yearly, however this is not considered high growth (20% yearly).

ESSA Bancorp's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.

ESSA Bancorp's revenue growth is positive but not above the United States of America market average.

ESSA Bancorp's earnings are expected to decrease over the next 1-3 years, this is below the United States of America market average.

ESSA Bancorp's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if ESSA Bancorp will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has ESSA Bancorp performed over the past 5 years?

-1.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

ESSA Bancorp's year on year earnings growth rate was negative over the past 5 years, however the most recent earnings are above average.

ESSA Bancorp's 1-year earnings growth exceeds its 5-year average (120% vs -1.5%)

ESSA Bancorp's earnings growth has exceeded the US Mortgage industry average in the past year (120% vs 32.9%).


Return on Equity

ESSA Bancorp has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

ESSA Bancorp used its assets less efficiently than the US Mortgage industry average last year based on Return on Assets.


Return on Capital Employed

Unable to establish if ESSA Bancorp improved its use of capital last year versus 3 years ago (Return on Capital Employed) due to insufficient past data.


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

Information is not available.

Information is not available.


Financial Institutions Analysis

ESSA Bancorp has an acceptable proportion of non-loan assets held.

ESSA Bancorp has a low allowance for bad loans.

ESSA Bancorp's liabilities are made up of primarily low risk sources of funding.

ESSA Bancorp's level of assets compared to its equity is low (i.e. an appropriate level of borrowing to fund lending).

Loans at ESSA Bancorp are broadly funded by customer deposits.

ESSA Bancorp has an acceptable level of bad loans (less than 2%).


Next Steps

Dividend

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

2.67%

Expected Dividend Yield


Dividend Yield and Payments Analysis

ESSA Bancorp's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.49%).

ESSA Bancorp's dividend is below the markets top 25% of dividend payers in United States of America (3.84%).

Dividends per share have been stable in the past 10 years.

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are well covered by earnings (2.8x coverage).


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

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

10.1yrs

Average management tenure


CEO

Gary Olson (65yo)

13.6yrs

Tenure

US$723,571

Compensation

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

Gary's remuneration is lower than average for companies of similar size in United States of America.

Gary's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

10.1yrs

Average Tenure

59yo

Average Age

The average tenure for the ESSA Bancorp management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

6.8yrs

Average Tenure

59.5yo

Average Age

The tenure for the ESSA Bancorp board of directors is about average.


Insider Trading

More shares have been bought than sold by ESSA Bancorp individual insiders in the past 3 months, but not in substantial volumes.


Recent Insider Transactions

BuyUS$14,48905 Aug 19
Peter Gray
EntityIndividual
Role
Senior Key Executive
Executive VP & Chief Banking Officer
Shares1,000
Max PriceUS$14.50
BuyUS$5,07830 Jul 19
Charles Hangen
EntityIndividual
Role
Chief Operating Officer
Executive VP & COO
Shares330
Max PriceUS$15.40
BuyUS$16,22801 Mar 19
Christine Davis-Gordon
EntityIndividual
Role
Member of the Board of Directors
Director
Shares1,000
Max PriceUS$16.23
BuyUS$25,32904 Feb 19
Peter Gray
EntityIndividual
Role
Senior Key Executive
Executive VP & Chief Banking Officer
Shares1,650
Max PriceUS$15.36
SellUS$30,36331 Jan 19
Elizabeth Weekes
EntityIndividual
Role
Member of the Board of Directors
Director
Shares2,000
Max PriceUS$15.27
SellUS$9,07212 Dec 18
Robert Selitto
EntityIndividual
Role
Other Key Executive
Vice President
Shares567
Max PriceUS$16.00
SellUS$40,00029 Oct 18
Daniel J. Henning
EntityIndividual
Role
Member of the Board of Directors
Director
Shares2,500
Max PriceUS$16.00
SellUS$101,44304 Oct 18
Gary Olson
EntityIndividual
Role
Chief Executive Officer
President
Shares6,243
Max PriceUS$16.26
SellUS$37,34603 Oct 18
Gary Olson
EntityIndividual
Role
Chief Executive Officer
President
Shares2,298
Max PriceUS$16.28
SellUS$60,05802 Oct 18
Gary Olson
EntityIndividual
Role
Chief Executive Officer
President
Shares3,700
Max PriceUS$16.30
SellUS$3,76304 Sep 18
Gary Olson
EntityIndividual
Role
Chief Executive Officer
President
Shares233
Max PriceUS$16.15
SellUS$9730 Aug 18
Gary Olson
EntityIndividual
Role
Chief Executive Officer
President
Shares6
Max PriceUS$16.15
SellUS$27,85327 Aug 18
Gary Olson
EntityIndividual
Role
Chief Executive Officer
President
Shares1,719
Max PriceUS$16.40

Ownership Breakdown


Management Team

  • Allan Muto (59yo)

    Executive VP & CFO

    • Tenure: 13.6yrs
    • Compensation: US$381.54k
  • Diane Reimer (63yo)

    Senior Vice President of Administration & Operations Division

    • Tenure: 6.6yrs
    • Compensation: US$302.20k
  • Gary Olson (65yo)

    President

    • Tenure: 13.6yrs
    • Compensation: US$723.57k
  • Thomas Grayuski (58yo)

    Senior Vice President of Human Resources Services Division

    • Tenure: 19.6yrs
    • Compensation: US$388.33k
  • Suzie Farley

    VP of Investor & Community Relations

    • Tenure: 0.0yrs
  • Bob Selitto

    Vice President

    • Tenure: 0.0yrs
  • Chuck Hangen (46yo)

    Executive VP & COO

    • Tenure: 4.0yrs
    • Compensation: US$404.49k
  • Peter Gray

    Executive VP & Chief Banking Officer

    • Tenure: 1.7yrs
  • James Fareri

    General Counsel

    • Tenure: 0.0yrs
  • Stephanie Lefferson

    Corporate Secretary

    • Tenure: 0.0yrs

Board Members

  • Frederick Kutteroff (76yo)

    Director

    • Tenure: 13.6yrs
    • Compensation: US$46.13k
  • Elizabeth Weekes (60yo)

    Director

    • Tenure: 13.6yrs
    • Compensation: US$41.57k
  • Robert Selig (71yo)

    Chairman of the Board

    • Tenure: 0.4yrs
    • Compensation: US$41.66k
  • Gary Olson (65yo)

    President

    • Tenure: 13.6yrs
    • Compensation: US$723.57k
  • Daniel J. Henning (67yo)

    Director

    • Tenure: 13.6yrs
    • Compensation: US$42.86k
  • Timothy Fallon (56yo)

    Director

    • Tenure: 5.1yrs
    • Compensation: US$38.50k
  • Brian Regan (58yo)

    Director

    • Tenure: 8.4yrs
    • Compensation: US$38.07k
  • Philip Hosbach (57yo)

    Director

    • Tenure: 1.1yrs
    • Compensation: US$12.50k
  • Joseph Durkin (59yo)

    Director

    • Tenure: 3.4yrs
    • Compensation: US$38.00k
  • Christine Davis-Gordon (42yo)

    Director

    • Tenure: 3.4yrs
    • 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$164.375m
  • Shares outstanding: 10.96m
  • Website: https://ir.essabank.com

Number of Employees


Location

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

Listings

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

Biography

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 ac ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/22 23:59
End of Day Share Price2019/08/22 00:00
Earnings2019/06/30
Annual Earnings2018/09/30


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.