NasdaqCM:NCBS

Stock Analysis Report

Executive Summary

Nicolet Bankshares, Inc. operates as the holding company for Nicolet National Bank that provides commercial and retail banking services for businesses and individuals.

Rewards

Trading at 33.6% below its fair value

Earnings grew by 33.2% over the past year

Risk Analysis

No risks detected for NCBS from our risk checks.


Snowflake Analysis

Flawless balance sheet with proven track record.


Similar Companies

Share Price & News

How has Nicolet Bankshares's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

1.1%

NCBS

-0.3%

US Banks

0.06%

US Market


1 Year Return

28.3%

NCBS

11.1%

US Banks

19.3%

US Market

Return vs Industry: NCBS exceeded the US Banks industry which returned 11.1% over the past year.

Return vs Market: NCBS exceeded the US Market which returned 19.3% over the past year.


Shareholder returns

NCBSIndustryMarket
7 Day1.1%-0.3%0.06%
30 Day0.7%-0.5%1.7%
90 Day3.4%0.6%9.0%
1 Year28.3%28.3%14.4%11.1%21.8%19.3%
3 Year48.9%48.9%24.7%15.7%49.5%39.9%
5 Year176.0%176.0%74.9%55.1%73.1%54.1%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Nicolet Bankshares undervalued compared to its fair value and its price relative to the market?

34.9%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: NCBS ($73.19) is trading below our estimate of fair value ($110.18)

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


Price To Earnings Ratio

PE vs Industry: NCBS is poor value based on its PE Ratio (12.8x) compared to the Banks industry average (12.6x).

PE vs Market: NCBS is good value based on its PE Ratio (12.8x) compared to the US market (18.5x).


Price to Earnings Growth Ratio

PEG Ratio: NCBS is poor value based on its PEG Ratio (16.2x)


Price to Book Ratio

PB vs Industry: NCBS is overvalued based on its PB Ratio (1.6x) compared to the US Banks industry average (1.2x).


Next Steps

Future Growth

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

3.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: NCBS's forecast earnings growth (0.8% per year) is below the savings rate (1.7%).

Earnings vs Market: NCBS's earnings (0.8% per year) are forecast to grow slower than the US market (14.2% per year).

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

Revenue vs Market: NCBS's revenue is expected to decline over the next 3 years (-12.9% per year).

High Growth Revenue: NCBS's revenue is forecast to decline over the next 3 years (-12.9% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: NCBS's Return on Equity is forecast to be low in 3 years time (9.6%).


Next Steps

Past Performance

How has Nicolet Bankshares performed over the past 5 years?

36.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: NCBS has high quality earnings.

Growing Profit Margin: NCBS's current net profit margins (32.5%) are higher than last year (28.4%).


Past Earnings Growth Analysis

Earnings Trend: NCBS's earnings have grown significantly by 36.2% per year over the past 5 years.

Accelerating Growth: NCBS's earnings growth over the past year (33.2%) is below its 5-year average (36.2% per year).

Earnings vs Industry: NCBS earnings growth over the past year (33.2%) exceeded the Banks industry 12.2%.


Return on Equity

High ROE: NCBS's Return on Equity (12.8%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Nicolet Bankshares'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: NCBS has a low level of unsold assets or inventory.

Debt Coverage by Assets: NCBS's debt is covered by short term assets (assets are 3.3x debt).


Financial Institutions Analysis

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

Allowance for Bad Loans: NCBS has a sufficient allowance for bad loans.

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

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

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

Level of Bad Loans: NCBS has an appropriate level of bad loans (0.41%)


Next Steps

Dividend

What is Nicolet Bankshares's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage2.8%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

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


Stability and Growth of Payments

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

Growing Dividend: Insufficient data to determine if NCBS'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 NCBS'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?

15.3yrs

Average management tenure


CEO

Bob Atwell (62yo)

20.1yrs

Tenure

US$1,100,309

Compensation

Mr. Robert B. Atwell, also known as Bob, has been the Chairman, Chief Executive Officer and President of Nicolet Bankshares Inc. since May 24, 2016. Mr., Atwell served as a Co-Chairman, Co-Chief Executive  ...


CEO Compensation Analysis

Compensation vs Market: Bob's total compensation ($USD1.10M) is below average for companies of similar size in the US market ($USD2.48M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Robert Atwell
Chairman20.1yrsUS$1.10m0.55% $4.3m
Ann Lawson
Chief Financial Officer11yrsUS$519.94k0.27% $2.1m
Michael Daniels
EVP, Secretary & Director20.1yrsUS$1.11m0.83% $6.4m
Eric Witczak
Executive Vice President of Nicolet National Bank19.5yrsUS$528.28k0.24% $1.9m
Eric Radzak
Corporate Development Officer / Investor Relations0yrsno datano data

15.3yrs

Average Tenure

55yo

Average Age

Experienced Management: NCBS's management team is seasoned and experienced (15.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Robert Atwell
Chairman20.1yrsUS$1.10m0.55% $4.3m
Michael Daniels
EVP, Secretary & Director20.1yrsUS$1.11m0.83% $6.4m
Terrence Fulwiler
Independent Director3.8yrsUS$40.48k0.16% $1.3m
Andrew Hetzel
Independent Director1.8yrsUS$29.98k0.042% $326.1k
Susan Merkatoris
Independent Director17.1yrsUS$45.73k0.94% $7.3m
Robert Weyers
Director20.1yrsUS$37.48k1.13% $8.7m
Donald Long
Independent Director20.1yrsUS$44.98k0.85% $6.6m
Randy Rose
Independent Director9.1yrsUS$45.73k0.36% $2.8m
Christopher Ghidorzi
Independent Director6.8yrsUS$52.73k0.034% $260.6k
John Dykema
Independent Director14.1yrsUS$46.48k0.66% $5.1m

15.6yrs

Average Tenure

58.5yo

Average Age

Experienced Board: NCBS's board of directors are seasoned and experienced ( 15.6 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: NCBS insiders have only sold shares 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

Nicolet Bankshares, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Nicolet Bankshares, Inc.
  • Ticker: NCBS
  • Exchange: NasdaqCM
  • Founded: 2000
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$774.406m
  • Shares outstanding: 10.59m
  • Website: https://www.nicoletbank.com

Number of Employees


Location

  • Nicolet Bankshares, Inc.
  • 111 North Washington Street
  • Green Bay
  • Wisconsin
  • 54301
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
NCBSNasdaqCM (Nasdaq Capital Market)YesCommon StockUSUSDMay 2013

Biography

Nicolet Bankshares, Inc. operates as the holding company for Nicolet National Bank that provides commercial and retail banking services for businesses and individuals. The company accepts checking, savings, and money market accounts; various certificates of deposit; and individual retirement accounts. It also offers commercial loans, including commercial, industrial, and business loans and lines of credit; owner-occupied commercial real estate loans; agricultural (AG) production and AG real estate loans; commercial real estate investment real estate loans; construction and land development loans; residential real estate loans, such as residential first lien mortgages, junior lien mortgages, home equity loans, lines of credit, and residential construction loans; and consumer loans. In addition, the company provides cash management, international banking, personal brokerage, safe deposit boxes, and trust and fiduciary services, as well as wealth management and retirement plan services. Further, it offers mortgage refinancing; online services, such as commercial, retail, and trust online banking; automated bill payment, mobile banking deposits and account access, remote deposit capture, and telephone banking services; and other services consisting of wire transfers, debit cards, credit cards, pre-paid gift cards, direct deposits, and official bank checks. Additionally, the company provides investment strategy and transactional services to financial institutions. As of December 31, 2018, it operated 38 branches located in northeast and central Wisconsin, as well as in Menominee, Michigan. The company was formerly known as Green Bay Financial Corporation and changed its name to Nicolet Bankshares, Inc. in March 2002. Nicolet Bankshares, Inc. was founded in 2000 and is headquartered in Green Bay, Wisconsin. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/22 01:59
End of Day Share Price2020/02/21 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.