NasdaqGS:FNLC

Stock Analysis Report

Executive Summary

The First Bancorp, Inc. operates as the holding company for First National Bank that provides a range of banking products and services to individual and corporate customers.


Snowflake Analysis

Excellent balance sheet established dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: FNLC's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

0.7%

FNLC

9.4%

US Banks

9.9%

US Market


1 Year Return

-20.7%

FNLC

-25.1%

US Banks

-11.9%

US Market

Return vs Industry: FNLC exceeded the US Banks industry which returned -24.8% over the past year.

Return vs Market: FNLC underperformed the US Market which returned -11.5% over the past year.


Shareholder returns

FNLCIndustryMarket
7 Day0.7%9.4%9.9%
30 Day-22.5%-26.0%-15.0%
90 Day-34.3%-38.6%-21.5%
1 Year-17.2%-20.7%-22.9%-25.1%-10.0%-11.9%
3 Year-18.6%-27.5%-17.2%-23.3%12.3%5.1%
5 Year37.9%13.7%11.6%-1.1%32.5%18.1%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

41.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: FNLC ($19.75) is trading below our estimate of fair value ($33.72)

Significantly Below Fair Value: FNLC is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: FNLC is good value based on its PE Ratio (8.4x) compared to the Banks industry average (8.9x).

PE vs Market: FNLC is good value based on its PE Ratio (8.4x) compared to the US market (13x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: FNLC is overvalued based on its PB Ratio (1x) compared to the US Banks industry average (0.8x).


Next Steps

Future Growth

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

-1.1%

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 First 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 First Bancorp performed over the past 5 years?

11.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: FNLC has high quality earnings.

Growing Profit Margin: FNLC's current net profit margins (39%) are higher than last year (38.4%).


Past Earnings Growth Analysis

Earnings Trend: FNLC's earnings have grown by 11.4% per year over the past 5 years.

Accelerating Growth: FNLC's earnings growth over the past year (8.5%) is below its 5-year average (11.4% per year).

Earnings vs Industry: FNLC earnings growth over the past year (8.5%) underperformed the Banks industry 11.2%.


Return on Equity

High ROE: FNLC's Return on Equity (12%) is considered low.


Next Steps

Financial Health

How is First 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: FNLC has a low level of unsold assets or inventory.

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


Financial Institutions Analysis

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

Allowance for Bad Loans: FNLC has a low allowance for bad loans.

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

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

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

Level of Bad Loans: FNLC has an appropriate level of bad loans (1.28%)


Next Steps

Dividend

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

6.08%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: FNLC's dividend (6.08%) is higher than the bottom 25% of dividend payers in the US market (1.98%).

High Dividend: FNLC's dividend (6.08%) is in the top 25% of dividend payers in the US market (5.45%)


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (50.4%), FNLC's dividend payments are 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

Management

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

5.2yrs

Average management tenure


CEO

Tony McKim (52yo)

5.17s

Tenure

US$956,471

Compensation

Mr. Tony C. McKim has been the Chief Executive Officer of First National Bank and The First Bancorp, Inc. since January 5, 2015. Mr. McKim has been the President of The First Bancorp, Inc. and First Nation ...


CEO Compensation Analysis

Compensation vs Market: Tony's total compensation ($USD956.47K) is below average for companies of similar size in the US market ($USD1.45M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Tony McKim
President5.17yrsUS$956.47k0.89% $1.9m
Richard Elder
Executive VP2yrsUS$319.23k0.18% $398.7k
Susan Norton
CRA Officer & Compliance Officerno dataUS$356.69k0.25% $534.6k
Charles Wootton
Executive VP & Clerk19.17yrsUS$401.71k0.26% $557.7k

5.2yrs

Average Tenure

56.5yo

Average Age

Experienced Management: FNLC's management team is seasoned and experienced (5.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Tony McKim
President5.17yrsUS$956.47k0.89% $1.9m
Stuart Smith
Independent Director23.17yrsUS$32.10k0.97% $2.1m
Robert Gregory
Independent Director33.17yrsUS$30.30k3% $6.5m
F. Ward
Director1.92yrsUS$32.70k0.40% $852.5k
Bruce Tindal
Independent Director21.17yrsUS$30.30k0.20% $422.4k
Katherine Boyd
Independent Director27.17yrsUS$31.80k0.36% $787.2k
Mark Rosborough
Independent Chairman of the Board1.92yrsUS$39.50k1.54% $3.3m
Cornelius Russell
Independent Director6yrsUS$29.40k0.064% $137.4k
Renee Kelly
Independent Director4.17yrsUS$40.50k0.050% $106.9k

15.2yrs

Average Tenure

66yo

Average Age

Experienced Board: FNLC's board of directors are seasoned and experienced ( 15.2 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: FNLC 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

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


Key Information

  • Name: The First Bancorp, Inc.
  • Ticker: FNLC
  • Exchange: NasdaqGS
  • Founded: 1985
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$215.685m
  • Shares outstanding: 10.92m
  • Website: https://www.thefirst.com

Number of Employees


Location

  • The First Bancorp, Inc.
  • Main Street
  • Damariscotta
  • Maine
  • 4543
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
FNLCNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDJul 1999

Biography

The First Bancorp, Inc. operates as the holding company for First National Bank that provides a range of banking products and services to individual and corporate customers. The company offers various deposit products, including demand, NOW, savings, money market, and certificates of deposit accounts. It also provides commercial loan products, such as mortgage loans to finance investments in real property comprising multi-family residential, commercial/retail, office, industrial, hotel, educational, and other specific or mixed use properties; loans to finance construction of owner- and non-owner occupied commercial real estate properties; and revolving and term loan obligations to business and corporate enterprises for the purpose of financing working capital or capital investment. In addition, the company offers municipal loans for capitalized expenditures, construction projects, or tax-anticipation notes; residential term loans that include amortizing home mortgages and construction loans, which include loans for owner-occupied residential construction; home equity loans and lines of credit; and consumer loans, which are amortizing loans to individuals collateralized by automobiles, pleasure crafts, and recreation vehicles, as well as unsecured short-term time notes. Further, it provides private banking, financial planning, investment management, and trust services to individuals, businesses, non-profit organizations, and municipalities. The First Bancorp, Inc. operates through 16 full-service banking offices in Lincoln, Knox, Hancock, Washington, and Penobscot counties in the Mid-Coast, Eastern, and Down East regions of Maine. The company was formerly known as First National Lincoln Corporation and changed its name to The First Bancorp, Inc. in April 2008. The First Bancorp, Inc. was founded in 1985 and is based in Damariscotta, Maine. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/29 02:18
End of Day Share Price2020/03/27 00:00
Earnings2019/12/31
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.