Northrim BanCorp, Inc.

NasdaqGS:NRIM Stock Report

Market Cap: US$483.7m

Northrim BanCorp Valuation

Is NRIM undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of NRIM when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: NRIM ($86) is trading below our estimate of fair value ($94.57)

Significantly Below Fair Value: NRIM is trading below fair value, but not by a significant amount.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for NRIM?

Key metric: As NRIM is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for NRIM. This is calculated by dividing NRIM's market cap by their current earnings.
What is NRIM's PE Ratio?
PE Ratio14.5x
EarningsUS$32.66m
Market CapUS$483.73m

Price to Earnings Ratio vs Peers

How does NRIM's PE Ratio compare to its peers?

The above table shows the PE ratio for NRIM vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average16x
GCBC Greene County Bancorp
21.7xn/aUS$536.5m
CBNK Capital Bancorp
15.6x30.1%US$510.3m
EBTC Enterprise Bancorp
14.7xn/aUS$529.7m
BSRR Sierra Bancorp
12x3.5%US$445.3m
NRIM Northrim BanCorp
14.5x24.7%US$483.7m

Price-To-Earnings vs Peers: NRIM is good value based on its Price-To-Earnings Ratio (14.5x) compared to the peer average (16x).


Price to Earnings Ratio vs Industry

How does NRIM's PE Ratio compare vs other companies in the US Banks Industry?

4 CompaniesPrice / EarningsEstimated GrowthMarket Cap
FRCB First Republic Bank
0.02xn/aUS$27.98m
BKGM BankGuam Holding
1xn/aUS$18.48m
SBNY Signature Bank
0.002xn/aUS$2.18m
BCBH.F Caribbean Investment Holdings
0.00001xn/aUS$132.00
No more companies available in this PE range
NRIM 14.5xIndustry Avg. 13.0xNo. of Companies77PE0612182430+
4 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: NRIM is expensive based on its Price-To-Earnings Ratio (14.5x) compared to the US Banks industry average (13.1x).


Price to Earnings Ratio vs Fair Ratio

What is NRIM's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

NRIM PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio14.5x
Fair PE Ratio16.3x

Price-To-Earnings vs Fair Ratio: NRIM is good value based on its Price-To-Earnings Ratio (14.5x) compared to the estimated Fair Price-To-Earnings Ratio (16.3x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.


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