NasdaqGM:FRBA

Stock Analysis Report

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Executive Summary

First Bank provides various banking products and services to individuals, businesses, and governmental entities. More Details


Snowflake Analysis

Flawless balance sheet and good value.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

4.4%

FRBA

-1.3%

US Banks

0.08%

US Market


1 Year Return

-34.8%

FRBA

-26.7%

US Banks

12.8%

US Market

Return vs Industry: FRBA underperformed the US Banks industry which returned -26.7% over the past year.

Return vs Market: FRBA underperformed the US Market which returned 12.8% over the past year.


Shareholder returns

FRBAIndustryMarket
7 Day4.4%-1.3%0.08%
30 Day9.9%0.7%-1.8%
90 Day3.0%-2.5%7.2%
1 Year-33.9%-34.8%-24.0%-26.7%15.3%12.8%
3 Year-43.5%-45.4%-15.5%-22.4%39.2%29.9%
5 Year21.2%16.7%21.0%6.1%88.3%67.1%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

34.0%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: FRBA ($7.13) is trading below our estimate of fair value ($10.8)

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


Price To Earnings Ratio

PE vs Industry: FRBA is poor value based on its PE Ratio (10.3x) compared to the US Banks industry average (9.7x).

PE vs Market: FRBA is good value based on its PE Ratio (10.3x) compared to the US market (18.2x).


Price to Earnings Growth Ratio

PEG Ratio: FRBA is poor value based on its PEG Ratio (1.4x)


Price to Book Ratio

PB vs Industry: FRBA is good value based on its PB Ratio (0.6x) compared to the US Banks industry average (0.8x).


Next Steps

Future Growth

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

7.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: FRBA's forecast earnings growth (7.4% per year) is above the savings rate (2.2%).

Earnings vs Market: FRBA's earnings (7.4% per year) are forecast to grow slower than the US market (23.1% per year).

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

Revenue vs Market: FRBA's revenue (4.5% per year) is forecast to grow slower than the US market (9.8% per year).

High Growth Revenue: FRBA's revenue (4.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if FRBA's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has First Bank performed over the past 5 years?

28.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: FRBA has high quality earnings.

Growing Profit Margin: FRBA's current net profit margins (22.8%) are lower than last year (29.2%).


Past Earnings Growth Analysis

Earnings Trend: FRBA's earnings have grown significantly by 28.2% per year over the past 5 years.

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

Earnings vs Industry: FRBA had negative earnings growth (-17.6%) over the past year, making it difficult to compare to the Banks industry average (-3.1%).


Return on Equity

High ROE: FRBA's Return on Equity (6%) is considered low.


Next Steps

Financial Health

How is First Bank'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: FRBA's Assets to Equity ratio (10.2x) is moderate.

Allowance for Bad Loans: FRBA has a sufficient allowance for bad loans (152%).

Low Risk Liabilities: 93% of FRBA's liabilities are made up of primarily low risk sources of funding.

Loan Level: FRBA has an appropriate level of Loans to Assets ratio (84%).

Low Risk Deposits: FRBA's Loans to Deposits ratio (101%) is appropriate.

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


Next Steps

Dividend

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

1.68%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: FRBA's dividend (1.68%) is higher than the bottom 25% of dividend payers in the US market (1.66%).

High Dividend: FRBA's dividend (1.68%) is low compared to the top 25% of dividend payers in the US market (4.7%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, FRBA has been paying a dividend for less than 10 years.

Growing Dividend: FRBA's dividend payments have increased, but the company has only paid a dividend for 4 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (17.3%), FRBA'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

Management

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

4.7yrs

Average management tenure


CEO

Patrick Ryan (44 yo)

7.67yrs

Tenure

US$799,471

Compensation

Mr. Patrick L. Ryan has been the Chief Executive Officer and President at First Bank since January 1, 2013. Mr. Ryan serves as Member of Community Depository Institutions Advisory Council at Federal Reserv ...


CEO Compensation Analysis

Compensation vs Market: Patrick's total compensation ($USD799.47K) is above average for companies of similar size in the US market ($USD589.30K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Patrick Ryan
President7.67yrsUS$799.47k0.71%
$ 1.0m
Stephen Carman
Executive VP12.67yrsUS$281.43k0.22%
$ 310.0k
Peter Cahill
Executive VP & Chief Lending Officer11.83yrsUS$336.28k0.14%
$ 191.3k
Andrew Hibshman
Chief Accounting Officer & First Senior VP4.17yrsno datano data
Gabriel Dragos
First Senior VP & Chief Technology Officer0.33yrno datano data
John Shepardson
First Senior VP & Chief Administrative Officer2.5yrsno datano data
Michelle Mack
VP & Compliance and Community Reinvestment Act Officerno datano datano data
Maria Leibowitz-Curry
Senior VP & Chief Compliance Officerno datano datano data
Kimberly Cerasi
Senior Vice President & Human Resources Officerno datano datano data
Scott Civil
Senior VP & Market Executive4.67yrsno datano data
Michael Cook
Senior VP & Commercial Lending Relationship Manager4.42yrsno datano data
David DiStefano
First Senior VP & Northern New Jersey Regional President4.67yrsno datano data

4.7yrs

Average Tenure

63yo

Average Age

Experienced Management: FRBA's management team is considered experienced (4.7 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Patrick Ryan
President7.67yrsUS$799.47k0.71%
$ 1.0m
Elbert Basolis
Independent Director11.92yrsUS$55.00k0.45%
$ 631.8k
Leslie Goodman
Vice Chairman & Lead Independent Director6.17yrsUS$85.00k0.92%
$ 1.3m
Patrick Ryan
Chairman of the Board6.42yrsUS$150.00k1.3%
$ 1.8m
Douglas Borden
Independent Director3.42yrsUS$57.50k0.058%
$ 81.7k
Michael Salz
Independent Director3.42yrsUS$50.00k0.26%
$ 363.5k
Glenn Josephs
Independent Director11.92yrsUS$60.00k0.20%
$ 287.1k
John Strydesky
Independent Director10.67yrsUS$55.00k1.55%
$ 2.2m
Deborah Imperatore
Independent Director4.42yrsUS$57.50k0.23%
$ 327.6k
Gary Hofing
Director4.42yrsUS$50.00k0.074%
$ 103.6k
Christopher Chandor
Independent Director3yrsUS$50.00k0.25%
$ 345.0k
Patricia Costante
Independent Director1.42yrsUS$50.00k0.093%
$ 130.8k

5.3yrs

Average Tenure

61yo

Average Age

Experienced Board: FRBA's board of directors are considered experienced (5.3 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: FRBA insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 4.8%.


Top Shareholders

Company Information

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


Key Information

  • Name: First Bank
  • Ticker: FRBA
  • Exchange: NasdaqGM
  • Founded: 2007
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$140.139m
  • Shares outstanding: 19.65m
  • Website: https://www.firstbanknj.com

Number of Employees


Location

  • First Bank
  • 2465 Kuser Road
  • Suite 101
  • Hamilton
  • New Jersey
  • 8690
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
FRBANasdaqGM (Nasdaq Global Market)YesCommon StockUSUSDMar 2007

Biography

First Bank provides various banking products and services to individuals, businesses, and governmental entities. The company accepts various deposits, including non-interest bearing demand deposits, intere ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/09/21 10:05
End of Day Share Price2020/09/18 00:00
Earnings2020/06/30
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.