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Market Cap

US$93.4m

Last Updated

2021/05/11 23:40 UTC

Data Sources

Company Financials

Executive Summary

HMN Financial, Inc. operates as a bank holding company for Home Federal Savings Bank that provides various retail banking products and services. More Details


Snowflake Analysis

Flawless balance sheet and undervalued.


Similar Companies

Share Price & News

How has HMN Financial's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: HMNF is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: HMNF's weekly volatility (3%) has been stable over the past year.


Market Performance


7 Day Return

0.02%

HMNF

-12.2%

US Mortgage

-0.9%

US Market


1 Year Return

41.0%

HMNF

54.4%

US Mortgage

48.6%

US Market

Return vs Industry: HMNF underperformed the US Mortgage industry which returned 47.1% over the past year.

Return vs Market: HMNF underperformed the US Market which returned 48.3% over the past year.


Shareholder returns

HMNFIndustryMarket
7 Day0.02%-12.2%-0.9%
30 Day1.8%-13.1%-0.8%
90 Day5.0%-10.8%0.2%
1 Year41.0%41.0%58.9%54.4%50.9%48.6%
3 Year7.1%7.1%31.1%20.5%64.8%55.1%
5 Year66.9%66.9%76.3%51.2%143.2%116.7%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is HMN Financial undervalued compared to its fair value and its price relative to the market?

41.0%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: HMNF ($20.45) is trading below our estimate of fair value ($34.69)

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


Price To Earnings Ratio

PE vs Industry: HMNF is good value based on its PE Ratio (7.6x) compared to the US Mortgage industry average (12.7x).

PE vs Market: HMNF is good value based on its PE Ratio (7.6x) compared to the US market (20.2x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: HMNF is good value based on its PB Ratio (0.9x) compared to the US Mortgage industry average (1x).


Future Growth

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

-5.6%

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 HMN Financial 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.


Past Performance

How has HMN Financial performed over the past 5 years?

16.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: HMNF has high quality earnings.

Growing Profit Margin: HMNF's current net profit margins (28.2%) are higher than last year (19.6%).


Past Earnings Growth Analysis

Earnings Trend: HMNF's earnings have grown by 16% per year over the past 5 years.

Accelerating Growth: HMNF's earnings growth over the past year (63.2%) exceeds its 5-year average (16% per year).

Earnings vs Industry: HMNF earnings growth over the past year (63.2%) exceeded the Mortgage industry 21.5%.


Return on Equity

High ROE: HMNF's Return on Equity (11.7%) is considered low.


Financial Health

How is HMN Financial'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: HMNF's Assets to Equity ratio (9.2x) is low.

Allowance for Bad Loans: HMNF has a sufficient allowance for bad loans (401%).

Low Risk Liabilities: 99% of HMNF's liabilities are made up of primarily low risk sources of funding.

Loan Level: HMNF has an appropriate level of Loans to Assets ratio (66%).

Low Risk Deposits: HMNF's Loans to Deposits ratio (75%) is appropriate.

Level of Bad Loans: HMNF has an appropriate level of bad loans (0.4%).


Dividend

What is HMN Financial current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

High Dividend: Unable to evaluate HMNF'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 HMNF's dividends per share have been stable in the past.

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


Current Payout to Shareholders

Dividend Coverage: HMNF is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of HMNF'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?

11.3yrs

Average management tenure


CEO

Brad Krehbiel (61 yo)

9.08yrs

Tenure

US$512,331

Compensation

Mr. Bradley C. Krehbiel, also known as Brad, has been the Chief Executive Officer at HMN Financial, Inc. since April 2012 and has been its President since April 2010. Mr. Krehbiel has been President of Hom...


CEO Compensation Analysis

Compensation vs Market: Brad's total compensation ($USD512.33K) is about average for companies of similar size in the US market ($USD534.69K).

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


Leadership Team

Experienced Management: HMNF's management team is seasoned and experienced (11.3 years average tenure).


Board Members

Experienced Board: HMNF's board of directors are considered experienced (7.2 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: HMNF insiders have sold more shares than they have bought 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

HMN Financial, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information


Number of Employees


Location

  • HMN Financial, Inc.
  • 1016 Civic Center Drive Northwest
  • Rochester
  • Minnesota
  • 55901
  • United States

Listings


Biography

HMN Financial, Inc. operates as a bank holding company for Home Federal Savings Bank that provides various retail banking products and services. The company offers various deposit accounts, such as savings...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/05/11 23:40
End of Day Share Price2021/05/11 00:00
Earnings2021/03/31
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.