NasdaqCM:FSBW

Stock Analysis Report

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Executive Summary

FS Bancorp, Inc. operates as a bank holding company for 1st Security Bank of Washington that provides banking and financial services to local families, local and regional businesses, and industry niches. More Details


Snowflake Analysis

Flawless balance sheet and good value.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

2.0%

FSBW

-1.3%

US Mortgage

-0.4%

US Market


1 Year Return

-12.0%

FSBW

-17.5%

US Mortgage

18.3%

US Market

Return vs Industry: FSBW exceeded the US Mortgage industry which returned -17.5% over the past year.

Return vs Market: FSBW underperformed the US Market which returned 18.3% over the past year.


Shareholder returns

FSBWIndustryMarket
7 Day2.0%-1.3%-0.4%
30 Day21.7%7.7%6.6%
90 Day28.0%14.5%8.6%
1 Year-10.3%-12.0%-15.0%-17.5%21.0%18.3%
3 Year-7.0%-10.6%-2.7%-10.7%42.1%32.7%
5 Year100.0%87.7%26.9%9.9%85.6%64.7%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

40.2%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: FSBW ($48.08) is trading below our estimate of fair value ($80.43)

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


Price To Earnings Ratio

PE vs Industry: FSBW is good value based on its PE Ratio (7.5x) compared to the US Mortgage industry average (11.1x).

PE vs Market: FSBW is good value based on its PE Ratio (7.5x) compared to the US market (19.2x).


Price to Earnings Growth Ratio

PEG Ratio: FSBW's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

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


Next Steps

Future Growth

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

-20.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: FSBW's earnings are forecast to decline over the next 3 years (-20.5% per year).

Earnings vs Market: FSBW's earnings are forecast to decline over the next 3 years (-20.5% per year).

High Growth Earnings: FSBW's earnings are forecast to decline over the next 3 years.

Revenue vs Market: FSBW's revenue (0.2% per year) is forecast to grow slower than the US market (9.9% per year).

High Growth Revenue: FSBW's revenue (0.2% 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 FSBW's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has FS Bancorp performed over the past 5 years?

27.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: FSBW has a high level of non-cash earnings.

Growing Profit Margin: FSBW's current net profit margins (29.2%) are lower than last year (31.3%).


Past Earnings Growth Analysis

Earnings Trend: FSBW's earnings have grown significantly by 27.1% per year over the past 5 years.

Accelerating Growth: FSBW's earnings growth over the past year (10.6%) is below its 5-year average (27.1% per year).

Earnings vs Industry: FSBW earnings growth over the past year (10.6%) exceeded the Mortgage industry 6.7%.


Return on Equity

High ROE: FSBW's Return on Equity (13.5%) is considered low.


Next Steps

Financial Health

How is FS 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: FSBW's Assets to Equity ratio (9.6x) is low.

Allowance for Bad Loans: FSBW has a sufficient allowance for bad loans (273%).

Low Risk Liabilities: 89% of FSBW's liabilities are made up of primarily low risk sources of funding.

Loan Level: FSBW has an appropriate level of Loans to Assets ratio (72%).

Low Risk Deposits: FSBW's Loans to Deposits ratio (90%) is appropriate.

Level of Bad Loans: FSBW has an appropriate level of bad loans (0.5%).


Next Steps

Dividend

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

1.75%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: FSBW's dividend (1.75%) is higher than the bottom 25% of dividend payers in the US market (1.63%).

High Dividend: FSBW's dividend (1.75%) is low compared to the top 25% of dividend payers in the US market (4.56%).


Stability and Growth of Payments

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

Growing Dividend: FSBW's dividend payments have increased, but the company has only paid a dividend for 7 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (12%), FSBW's dividend payments are thoroughly 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?

9.1yrs

Average management tenure


CEO

Joe Adams (61 yo)

9.08yrs

Tenure

US$1,290,142

Compensation

Mr. Joseph C. Adams, also known as Joe, has been the Chief Executive Officer of FS Bancorp, Inc. (Former Name: 1st Security Bancorp, Inc) since September 2011. Mr. Adams has been the Chief Executive Office ...


CEO Compensation Analysis

Compensation vs Market: Joe's total compensation ($USD1.29M) is about average for companies of similar size in the US market ($USD1.24M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Joseph Adams
CEO & Director9.08yrsUS$1.29m0.94%
$ 1.9m
Donn Costa
Executive VP of Home Lendingno dataUS$795.13k1.59%
$ 3.3m
Dennis O'Leary
Executive VP & Chief Lending Officerno dataUS$795.35k0.82%
$ 1.7m
Matthew Mullet
CFO, Treasurer & Secretary9.08yrsUS$1.02m1.12%
$ 2.3m
Shana Allen
Senior VP of Technology & Ops and Chief Information Officer of 1St Security Bank of Washingtonno datano datano data
May-Ling Sowell
SVP & Compliance Officerno datano datano data
Kelli Nielsen
Executive Vice President of Retail Banking & Marketingno datano data0.11%
$ 222.6k
Vickie Jarman
Executive VP & Chief Human Resources Officerno datano data0.097%
$ 199.5k
Deanne Goff
Senior VP of Retail Banking - 1st Security Bank of Washingtonno datano datano data
Robert Fuller
Chief Credit Officer7.08yrsno data0.34%
$ 705.8k
Jill Coates
Senior VP of Home Lending Creditno datano datano data
Paul Taylor
Senior VP of Home Lending Operationsno datano datano data

9.1yrs

Average Tenure

52yo

Average Age

Experienced Management: FSBW's management team is seasoned and experienced (9.1 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Joseph Adams
CEO & Director9.08yrsUS$1.29m0.94%
$ 1.9m
Joseph Zavaglia
Independent Director9.08yrsUS$73.32k0.19%
$ 392.2k
Ted Leech
Independent Chairman of the Board9.08yrsUS$87.73k0.72%
$ 1.5m
Margaret Piesik
Independent Director14.75yrsUS$78.72k0.20%
$ 418.8k
Michael Mansfield
Independent Director12.75yrsUS$74.98k0.88%
$ 1.8m
Mark Tueffers
Independent Director4.42yrsUS$71.26k0.33%
$ 688.5k
Marina Cofer-Wildsmith
Independent Director8.75yrsUS$71.07k0.082%
$ 170.2k

9.1yrs

Average Tenure

63yo

Average Age

Experienced Board: FSBW's board of directors are considered experienced (9.1 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: Insufficient data to determine if 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

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


Key Information

  • Name: FS Bancorp, Inc.
  • Ticker: FSBW
  • Exchange: NasdaqCM
  • Founded: 1936
  • Industry: Thrifts and Mortgage Finance
  • Sector: Banks
  • Market Cap: US$206.358m
  • Shares outstanding: 4.29m
  • Website: https://www.fsbwa.com

Number of Employees


Location

  • FS Bancorp, Inc.
  • 6920 220th Street SW
  • Mountlake Terrace
  • Washington
  • 98043
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
FSBWNasdaqCM (Nasdaq Capital Market)YesCommon StockUSUSDJul 2012

Biography

FS Bancorp, Inc. operates as a bank holding company for 1st Security Bank of Washington that provides banking and financial services to local families, local and regional businesses, and industry niches. T ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/25 01:13
End of Day Share Price2020/10/23 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.