NasdaqCM:OFED

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Oconee Federal Financial

Executive Summary

Oconee Federal Financial Corp. operates as a holding company for Oconee Federal Savings and Loan Association that provides various banking products and services in the Oconee County area of northwestern South Carolina and the northeast area of Georgia. More Details


Snowflake Analysis

Excellent balance sheet with acceptable track record.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-6.1%

OFED

-6.7%

US Mortgage

-4.1%

US Market


1 Year Return

1.5%

OFED

-20.7%

US Mortgage

12.0%

US Market

Return vs Industry: OFED exceeded the US Mortgage industry which returned -20.7% over the past year.

Return vs Market: OFED underperformed the US Market which returned 12% over the past year.


Shareholder returns

OFEDIndustryMarket
7 Day-6.1%-6.7%-4.1%
30 Day6.1%1.9%-0.2%
90 Day-10.3%1.5%2.8%
1 Year3.3%1.5%-18.4%-20.7%14.6%12.0%
3 Year-19.0%-22.8%9.6%0.5%35.8%26.8%
5 Year31.9%21.2%16.8%1.6%75.2%55.6%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

33.38x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: OFED ($22.79) is trading above our estimate of fair value ($6.74)

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


Price To Earnings Ratio

PE vs Industry: OFED is poor value based on its PE Ratio (33.4x) compared to the US Mortgage industry average (10.7x).

PE vs Market: OFED is poor value based on its PE Ratio (33.4x) compared to the US market (18.1x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: OFED is overvalued based on its PB Ratio (1.4x) compared to the US Mortgage industry average (0.8x).


Next Steps

Future Growth

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

-12.3%

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 Oconee Federal 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.


Next Steps

Past Performance

How has Oconee Federal Financial performed over the past 5 years?

-7.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: OFED has high quality earnings.

Growing Profit Margin: OFED's current net profit margins (23%) are higher than last year (22.2%).


Past Earnings Growth Analysis

Earnings Trend: OFED's earnings have declined by 7.6% per year over the past 5 years.

Accelerating Growth: OFED's earnings growth over the past year (3.9%) exceeds its 5-year average (-7.6% per year).

Earnings vs Industry: OFED earnings growth over the past year (3.9%) underperformed the Mortgage industry 6.2%.


Return on Equity

High ROE: OFED's Return on Equity (4.4%) is considered low.


Next Steps

Financial Health

How is Oconee Federal 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: OFED's Assets to Equity ratio (5.8x) is low.

Allowance for Bad Loans: OFED has a low allowance for bad loans (49%).

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

Loan Level: OFED has an appropriate level of Loans to Assets ratio (69%).

Low Risk Deposits: OFED's Loans to Deposits ratio (84%) is appropriate.

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


Next Steps

Dividend

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

1.76%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: OFED's dividend (1.76%) is higher than the bottom 25% of dividend payers in the US market (1.69%).

High Dividend: OFED's dividend (1.76%) is low compared to the top 25% of dividend payers in the US market (4.78%).


Stability and Growth of Payments

Stable Dividend: OFED's dividends per share have been stable in the past 10 years.

Growing Dividend: OFED's dividend payments have not increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (58.6%), OFED's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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

3.8yrs

Average management tenure


CEO

Curt Evatt (48 yo)

3.75yrs

Tenure

US$346,775

Compensation

Mr. Curtis T. Evatt, also known as Curt, has been the Chief Executive Officer of Oconee Federal Financial Corp. and Oconee Federal Savings and Loan Association since January 1, 2017. Mr. Evatt has been the ...


CEO Compensation Analysis

Compensation vs Market: Curt's total compensation ($USD346.78K) is below average for companies of similar size in the US market ($USD593.13K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Curtis Evatt
President3.75yrsUS$346.78k1.23%
$ 1.6m
John Hobbs
Executive VP & CFO3.5yrsUS$178.66k0.018%
$ 22.4k
David Stafford
Executive VP & COOno dataUS$207.23k0.11%
$ 146.5k
Charles Latiff
Executive VP & Chief Banking Officer5.42yrsUS$252.84k0.17%
$ 222.2k
Harry Mays
Secretary & Independent Director11.75yrsUS$35.25k0.20%
$ 254.5k

3.8yrs

Average Tenure

48yo

Average Age

Experienced Management: OFED's management team is considered experienced (3.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Curtis Evatt
President3.75yrsUS$346.78k1.23%
$ 1.6m
Harry Mays
Secretary & Independent Director11.75yrsUS$35.25k0.20%
$ 254.5k
Robert McLellan
Independent Chairman of the Board3.75yrsUS$41.86k0.33%
$ 418.4k
Cecil Sandifer
Independent Director35.75yrsUS$35.25k0.84%
$ 1.1m
W. Poore
Independent Director25.75yrsUS$35.25k0.56%
$ 711.5k

11.8yrs

Average Tenure

72yo

Average Age

Experienced Board: OFED's board of directors are seasoned and experienced ( 11.8 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

Oconee Federal Financial Corp.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Oconee Federal Financial Corp.
  • Ticker: OFED
  • Exchange: NasdaqCM
  • Founded: 1924
  • Industry: Thrifts and Mortgage Finance
  • Sector: Banks
  • Market Cap: US$127.725m
  • Shares outstanding: 5.60m
  • Website: https://www.oconeefederal.com

Number of Employees


Location

  • Oconee Federal Financial Corp.
  • 201 East North Second Street
  • Seneca
  • South Carolina
  • 29678
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
OFEDNasdaqCM (Nasdaq Capital Market)YesCommon SharesUSUSDJan 2011

Biography

Oconee Federal Financial Corp. operates as a holding company for Oconee Federal Savings and Loan Association that provides various banking products and services in the Oconee County area of northwestern So ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/30 04:42
End of Day Share Price2020/10/29 00:00
Earnings2020/06/30
Annual Earnings2020/06/30


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.