National Bankshares
Market Cap
US$213.3m
Last Updated
2021/02/26 23:42 UTC
Data Sources
Company Financials +
Executive Summary
National Bankshares, Inc. operates as the bank holding company for the National Bank of Blacksburg that provides retail and commercial banking services to individuals, businesses, non-profits, and local governments. More Details
Rewards
Risk Analysis
Earnings are forecast to decline by an average of 4.4% per year for the next 3 years
Snowflake Analysis
Flawless balance sheet 6 star dividend payer.
Similar Companies
Share Price & News
How has National Bankshares's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: NKSH is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: NKSH's weekly volatility has decreased from 11% to 4% over the past year.
Market Performance
7 Day Return
-0.6%
NKSH
-0.2%
US Banks
-4.6%
US Market
1 Year Return
-5.1%
NKSH
19.8%
US Banks
38.5%
US Market
Return vs Industry: NKSH underperformed the US Banks industry which returned 19.4% over the past year.
Return vs Market: NKSH underperformed the US Market which returned 38.9% over the past year.
Shareholder returns
| NKSH | Industry | Market | |
|---|---|---|---|
| 7 Day | -0.6% | -0.2% | -4.6% |
| 30 Day | 1.6% | 15.4% | 0.6% |
| 90 Day | 5.9% | 22.3% | 1.9% |
| 1 Year | -0.8%-5.1% | 24.2%19.8% | 41.5%38.5% |
| 3 Year | -10.9%-19.6% | 11.6%2.0% | 56.7%46.7% |
| 5 Year | 20.1%1.9% | 91.3%67.0% | 123.5%98.6% |
Long-Term Price Volatility Vs. Market
How volatile is National Bankshares's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
Need To Know: National Bankshares, Inc. (NASDAQ:NKSH) Insiders Have Been Buying Shares1 month ago | Simply Wall St
Reflecting on National Bankshares' (NASDAQ:NKSH) Share Price Returns Over The Last Year2 months ago | Simply Wall St
Do Institutions Own National Bankshares, Inc. (NASDAQ:NKSH) Shares?Valuation
Is National Bankshares undervalued compared to its fair value and its price relative to the market?
24.6%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: NKSH ($33.16) is trading below our estimate of fair value ($43.98)
Significantly Below Fair Value: NKSH is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: NKSH is poor value based on its PE Ratio (13.4x) compared to the US Banks industry average (12.5x).
PE vs Market: NKSH is good value based on its PE Ratio (13.4x) compared to the US market (21.2x).
Price to Earnings Growth Ratio
PEG Ratio: NKSH's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: NKSH's PB Ratio (1.1x) is in line with the US Banks industry average.
Next Steps
Future Growth
How is National Bankshares forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?
-4.4%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: NKSH's earnings are forecast to decline over the next 3 years (-4.4% per year).
Earnings vs Market: NKSH's earnings are forecast to decline over the next 3 years (-4.4% per year).
High Growth Earnings: NKSH's earnings are forecast to decline over the next 3 years.
Revenue vs Market: NKSH's revenue (2.5% per year) is forecast to grow slower than the US market (10.4% per year).
High Growth Revenue: NKSH's revenue (2.5% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: NKSH's Return on Equity is forecast to be low in 3 years time (7.1%).
Next Steps
Past Performance
How has National Bankshares performed over the past 5 years?
2.5%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: NKSH has high quality earnings.
Growing Profit Margin: NKSH's current net profit margins (36.4%) are lower than last year (37.6%).
Past Earnings Growth Analysis
Earnings Trend: NKSH's earnings have grown by 2.5% per year over the past 5 years.
Accelerating Growth: NKSH's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: NKSH had negative earnings growth (-7.9%) over the past year, making it difficult to compare to the Banks industry average (0.5%).
Return on Equity
High ROE: NKSH's Return on Equity (8%) is considered low.
Next Steps
Financial Health
How is National 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
Financial Institutions Analysis
Asset Level: NKSH's Assets to Equity ratio (7.6x) is low.
Allowance for Bad Loans: NKSH has a sufficient allowance for bad loans (230%).
Low Risk Liabilities: 98% of NKSH's liabilities are made up of primarily low risk sources of funding.
Loan Level: NKSH has an appropriate level of Loans to Assets ratio (50%).
Low Risk Deposits: NKSH's Loans to Deposits ratio (59%) is appropriate.
Level of Bad Loans: NKSH has an appropriate level of bad loans (0.5%).
Next Steps
Dividend
What is National Bankshares's current dividend yield, its reliability and sustainability?
4.19%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: NKSH's dividend (4.19%) is higher than the bottom 25% of dividend payers in the US market (1.35%).
High Dividend: NKSH's dividend (4.19%) is in the top 25% of dividend payers in the US market (3.72%)
Stability and Growth of Payments
Stable Dividend: NKSH's dividends per share have been stable in the past 10 years.
Growing Dividend: NKSH's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (56.1%), NKSH's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: NKSH's dividends in 3 years are forecast to be covered by earnings (60.4% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
9.1yrs
Average management tenure
CEO
F. Denardo (67 yo)
3.42yrs
Tenure
US$1,115,350
Compensation
Mr. F. Brad Denardo has been President and Chief Executive Officer of National Bankshares, Inc. since September 1, 2017 and has been its Chairman of the Board since May 15, 2019. Mr. Denardo serves as Chie...
CEO Compensation Analysis
Compensation vs Market: F.'s total compensation ($USD1.12M) is about average for companies of similar size in the US market ($USD944.53K).
Compensation vs Earnings: F.'s compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman of the Board | 3.42yrs | US$1.12m | 0.53% $ 1.1m | |
| Treasurer & CFO | 12.08yrs | US$437.35k | 0.14% $ 292.8k | |
| Senior VP of Administration & Corporate Secretary | 9.67yrs | US$306.03k | 0.073% $ 155.4k | |
| Senior VP & Chief Credit Officer of National Bank of Blacksburg | no data | US$243.85k | no data | |
| Vice President of Compliance | no data | no data | no data | |
| Senior Vice President of Credit Administration | 8.5yrs | no data | no data | |
| Senior VP & Trust Officer | no data | no data | no data | |
| Controller | no data | no data | no data | |
| President | no data | US$105.30k | no data |
9.1yrs
Average Tenure
52yo
Average Age
Experienced Management: NKSH's management team is seasoned and experienced (9.1 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman of the Board | 3.42yrs | US$1.12m | 0.53% $ 1.1m | |
| Independent Director | 18.08yrs | US$35.75k | 0.078% $ 165.8k | |
| Independent Director | 14.83yrs | US$39.40k | 0.16% $ 331.6k | |
| Independent Vice Chairman of the Board | 1.75yrs | US$36.55k | 0.69% $ 1.5m | |
| Independent Director | 15.83yrs | US$34.50k | 0.20% $ 431.0k | |
| Independent Director | 14.83yrs | US$37.80k | 0.12% $ 251.7k | |
| Independent Director | 3.75yrs | US$37.00k | 0.034% $ 72.4k | |
| Independent Director | 3.75yrs | US$35.75k | 0.13% $ 272.6k | |
| Independent Director | 8.25yrs | US$38.15k | 0.12% $ 252.0k | |
| Independent Director | 3.75yrs | US$37.00k | 0.048% $ 103.0k | |
| Independent Director | 3.75yrs | US$39.40k | 0.11% $ 239.3k | |
| Independent Director | 3.75yrs | US$38.60k | 0.088% $ 187.9k |
3.8yrs
Average Tenure
67yo
Average Age
Experienced Board: NKSH's board of directors are considered experienced (3.8 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: NKSH 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
National Bankshares, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: National Bankshares, Inc.
- Ticker: NKSH
- Exchange: NasdaqCM
- Founded: 1891
- Industry: Regional Banks
- Sector: Banks
- Market Cap: US$213.286m
- Shares outstanding: 6.43m
- Website: https://www.nationalbankshares.com
Number of Employees
Location
- National Bankshares, Inc.
- 101 Hubbard Street
- PO Box 90002
- Blacksburg
- Virginia
- 24062-9002
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| NKSH | NasdaqCM (Nasdaq Capital Market) | Yes | Common Shares | US | USD | Apr 1993 |
Biography
National Bankshares, Inc. operates as the bank holding company for the National Bank of Blacksburg that provides retail and commercial banking services to individuals, businesses, non-profits, and local go...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/02/26 23:42 |
| End of Day Share Price | 2021/02/26 00:00 |
| Earnings | 2020/12/31 |
| Annual Earnings | 2020/12/31 |
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.