NasdaqCM:FCBP

Stock Analysis Report

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Executive Summary

First Choice Bancorp operates as the bank holding company for First Choice Bank that provides retail, personal, and commercial banking products and services to individuals, families, and small and medium-sized businesses. More Details


Snowflake Analysis

Flawless balance sheet, good value and pays a dividend.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: FCBP is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: FCBP's weekly volatility (6%) has been stable over the past year.


Market Performance


7 Day Return

4.0%

FCBP

5.7%

US Banks

2.1%

US Market


1 Year Return

-24.1%

FCBP

-17.0%

US Banks

19.8%

US Market

Return vs Industry: FCBP underperformed the US Banks industry which returned -17% over the past year.

Return vs Market: FCBP underperformed the US Market which returned 19.7% over the past year.


Shareholder returns

FCBPIndustryMarket
7 Day4.0%5.7%2.1%
30 Day20.1%23.3%8.1%
90 Day21.1%18.5%6.0%
1 Year-20.7%-24.1%-14.0%-17.0%22.5%19.8%
3 Year-20.0%-28.5%-3.3%-11.4%46.5%36.8%
5 Year37.0%18.1%40.4%22.9%96.9%75.3%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is First Choice Bancorp undervalued compared to its fair value and its price relative to the market?

8.37x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: FCBP ($17.3) is trading above our estimate of fair value ($16.56)

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


Price To Earnings Ratio

PE vs Industry: FCBP is good value based on its PE Ratio (8.4x) compared to the US Banks industry average (11.5x).

PE vs Market: FCBP is good value based on its PE Ratio (8.4x) compared to the US market (19.7x).


Price to Earnings Growth Ratio

PEG Ratio: FCBP is good value based on its PEG Ratio (0.9x)


Price to Book Ratio

PB vs Industry: FCBP is good value based on its PB Ratio (0.7x) compared to the US Banks industry average (0.9x).


Next Steps

Future Growth

How is First Choice Bancorp forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

9.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: FCBP's forecast earnings growth (9.1% per year) is above the savings rate (2.2%).

Earnings vs Market: FCBP's earnings (9.1% per year) are forecast to grow slower than the US market (22% per year).

High Growth Earnings: FCBP's earnings are forecast to grow, but not significantly.

Revenue vs Market: FCBP's revenue (7.5% per year) is forecast to grow slower than the US market (10.2% per year).

High Growth Revenue: FCBP's revenue (7.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: FCBP's Return on Equity is forecast to be low in 3 years time (9.9%).


Next Steps

Past Performance

How has First Choice Bancorp performed over the past 5 years?

35.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: FCBP has high quality earnings.

Growing Profit Margin: FCBP's current net profit margins (29.6%) are lower than last year (33.4%).


Past Earnings Growth Analysis

Earnings Trend: FCBP's earnings have grown significantly by 35.2% per year over the past 5 years.

Accelerating Growth: FCBP's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: FCBP had negative earnings growth (-15.7%) over the past year, making it difficult to compare to the Banks industry average (-4.3%).


Return on Equity

High ROE: FCBP's Return on Equity (8.9%) is considered low.


Next Steps

Financial Health

How is First Choice 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


Financial Institutions Analysis

Asset Level: FCBP's Assets to Equity ratio (8.3x) is low.

Allowance for Bad Loans: FCBP has a sufficient allowance for bad loans (144%).

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

Loan Level: FCBP has an appropriate level of Loans to Assets ratio (83%).

Low Risk Deposits: FCBP's Loans to Deposits ratio (120%) is appropriate.

Level of Bad Loans: FCBP has an appropriate level of bad loans (0.7%).


Next Steps

Dividend

What is First Choice Bancorp current dividend yield, its reliability and sustainability?

5.78%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: FCBP's dividend (5.78%) is higher than the bottom 25% of dividend payers in the US market (1.47%).

High Dividend: FCBP's dividend (5.78%) is in the top 25% of dividend payers in the US market (4.05%)


Stability and Growth of Payments

Stable Dividend: FCBP has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: FCBP's dividend payments have increased, but the company has only paid a dividend for 6 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (48.4%), FCBP's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: FCBP's dividends in 3 years are forecast to be well covered by earnings (40.5% payout ratio).


Next Steps

Management

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

4.1yrs

Average management tenure


CEO

Bob Franko (72 yo)

3.17yrs

Tenure

US$977,393

Compensation

Mr. Robert M. Franko, also known as Bob, serves as President, Chief Executive Officer and Director of First Choice Bancorp since September 2017 and has served as President and Chief Executive Officer and a...


CEO Compensation Analysis

Compensation vs Market: Bob's total compensation ($USD977.39K) is about average for companies of similar size in the US market ($USD1.11M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Robert Franko
CFO, President3.17yrsUS$977.39k0.63%
$ 1.3m
Yolanda Su
Executive VP & Chief Operations Administrator15.25yrsUS$388.66k0.42%
$ 855.2k
Phillip Thong
Independent Vice Chairman of the Board & Corporate Secretary3.17yrsUS$113.75k1.14%
$ 2.3m
Khoi Dang
Executive VP & General Counsel1.67yrsUS$511.76k0.13%
$ 267.2k
Gene May
Chief Credit Officer & Executive VP9yrsUS$369.52k0.16%
$ 331.2k
Diana Hanson
Chief Accounting Officer1yrno data0.030%
$ 61.2k
Nicole Swain
Chief Banking Officer4.75yrsno datano data
Lorraine Lee
Executive VP2.83yrsno datano data
John Harelson
Regional Vice President for Solana Beach Office4.75yrsno datano data
Ben Buskey
Regional Vice President of Orange County4.08yrsno datano data

4.1yrs

Average Tenure

64yo

Average Age

Experienced Management: FCBP's management team is considered experienced (4.1 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Robert Franko
CFO, President3.17yrsUS$977.39k0.63%
$ 1.3m
Phillip Thong
Independent Vice Chairman of the Board & Corporate Secretary3.17yrsUS$113.75k1.14%
$ 2.3m
Luis Maizel
Independent Director2.25yrsUS$44.93k0.34%
$ 695.9k
Fred Jensen
Independent Director3.17yrsUS$108.62k0.10%
$ 205.8k
James Gray
Independent Director3.17yrsUS$113.18k0.35%
$ 717.5k
Peter Hui
Independent Chairman of the Board3.17yrsUS$103.51k6.89%
$ 14.0m
Pravin Pranav
Independent Director3.17yrsUS$81.91k1.6%
$ 3.2m
Lynn McKenzie-Tallerico
Independent Director0.83yrno data0.017%
$ 34.6k

3.2yrs

Average Tenure

68yo

Average Age

Experienced Board: FCBP's board of directors are considered experienced (3.2 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: FCBP 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

First Choice Bancorp's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: First Choice Bancorp
  • Ticker: FCBP
  • Exchange: NasdaqCM
  • Founded: 2005
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$202.516m
  • Shares outstanding: 11.71m
  • Website: https://www.firstchoicebankca.com

Number of Employees


Location

  • First Choice Bancorp
  • 17785 Center Court Drive North
  • Suite 750
  • Cerritos
  • California
  • 90703
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
FCBPNasdaqCM (Nasdaq Capital Market)YesNew Common StockUSUSDMar 2014
45FDB (Deutsche Boerse AG)YesNew Common StockDEEURMar 2014

Biography

First Choice Bancorp operates as the bank holding company for First Choice Bank that provides retail, personal, and commercial banking products and services to individuals, families, and small and medium-s...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/11/27 00:11
End of Day Share Price2020/11/25 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.