NasdaqCM:HBMD

Stock Analysis Report

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Market Cap

US$363.3m

Last Updated

2021/07/23 02:53 UTC

Data Sources

Company Financials +

Executive Summary

Howard Bancorp, Inc. operates as the bank holding company for Howard Bank that provides commercial banking, mortgage banking, and consumer finance products and services to businesses, business owners, professionals, and other consumers. More Details


Snowflake Analysis

Flawless balance sheet with questionable track record.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: HBMD is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: HBMD's weekly volatility (9%) has been stable over the past year.


Market Performance


7 Day Return

-3.7%

HBMD

-2.8%

US Banks

0.4%

US Market


1 Year Return

89.8%

HBMD

54.2%

US Banks

36.9%

US Market

Return vs Industry: HBMD exceeded the US Banks industry which returned 58.4% over the past year.

Return vs Market: HBMD exceeded the US Market which returned 35.1% over the past year.


Shareholder returns

HBMDIndustryMarket
7 Day-3.7%-2.8%0.4%
30 Day15.6%-2.4%1.6%
90 Day20.6%-3.2%2.7%
1 Year89.8%89.8%58.5%54.2%39.1%36.9%
3 Year10.4%10.4%17.4%7.3%61.0%51.0%
5 Year51.8%51.8%92.7%68.5%122.5%97.8%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

15.96x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: HBMD ($19.32) is trading above our estimate of fair value ($17.94)

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


Price To Earnings Ratio

PE vs Industry: HBMD is poor value based on its PE Ratio (16x) compared to the US Banks industry average (11.4x).

PE vs Market: HBMD is good value based on its PE Ratio (16x) compared to the US market (18.9x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: HBMD's PB Ratio (1.2x) is in line with the US Banks industry average.


Future Growth

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

-7.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: HBMD's earnings are forecast to decline over the next 3 years (-7.5% per year).

Earnings vs Market: HBMD's earnings are forecast to decline over the next 3 years (-7.5% per year).

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

Revenue vs Market: HBMD's revenue (0.7% per year) is forecast to grow slower than the US market (9.3% per year).

High Growth Revenue: HBMD's revenue (0.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: HBMD's Return on Equity is forecast to be low in 3 years time (6.4%).


Past Performance

How has Howard Bancorp performed over the past 5 years?

-14.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: HBMD has high quality earnings.

Growing Profit Margin: HBMD became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: HBMD's earnings have declined by 14.8% per year over the past 5 years.

Accelerating Growth: HBMD has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: HBMD has become profitable in the last year, making it difficult to compare its past year earnings growth to the Banks industry (24.4%).


Return on Equity

High ROE: HBMD's Return on Equity (7.5%) is considered low.


Financial Health

How is Howard 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: HBMD's Assets to Equity ratio (8.6x) is low.

Allowance for Bad Loans: HBMD has a sufficient allowance for bad loans (117%).

Low Risk Liabilities: 88% of HBMD's liabilities are made up of primarily low risk sources of funding.

Loan Level: HBMD has an appropriate level of Loans to Assets ratio (74%).

Low Risk Deposits: HBMD's Loans to Deposits ratio (95%) is appropriate.

Level of Bad Loans: HBMD has an appropriate level of bad loans (0.8%).


Dividend

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


Dividend Yield vs Market

Notable Dividend: Unable to evaluate HBMD's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate HBMD's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if HBMD's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if HBMD's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of HBMD's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

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

3.5yrs

Average management tenure


CEO

Mary Scully (70 yo)

15.58yrs

Tenure

US$697,677

Compensation

Ms. Mary Ann Scully is the Chief Executive Officer of Howard Bank and is Chairperson of its Board of Directors. A lifelong banker with more than 40 years of varied executive experiences in the Maryland mar...


CEO Compensation Analysis

Compensation vs Market: Mary's total compensation ($USD697.68K) is below average for companies of similar size in the US market ($USD1.72M).

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


Leadership Team

Experienced Management: HBMD's management team is considered experienced (3.5 years average tenure).


Board Members

Experienced Board: HBMD's board of directors are considered experienced (5.2 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

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


Key Information

  • Name: Howard Bancorp, Inc.
  • Ticker: HBMD
  • Exchange: NasdaqCM
  • Founded: 2004
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$363.286m
  • Shares outstanding: 18.80m
  • Website: https://www.howardbank.com

Number of Employees


Location

  • Howard Bancorp, Inc.
  • 3301 Boston Street
  • Baltimore
  • Maryland
  • 21224
  • United States

Listings


Biography

Howard Bancorp, Inc. operates as the bank holding company for Howard Bank that provides commercial banking, mortgage banking, and consumer finance products and services to businesses, business owners, prof...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/07/23 02:53
End of Day Share Price2021/07/22 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.