Orrstown Financial Services, Inc. operates as the holding company for Orrstown Bank that provides commercial banking and trust services in the United States.
Very undervalued with flawless balance sheet.
Share Price & News
How has Orrstown Financial Services's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: ORRF's share price has been volatile over the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: ORRF underperformed the US Banks industry which returned -31.1% over the past year.
Return vs Market: ORRF underperformed the US Market which returned -13.6% over the past year.
Price Volatility Vs. Market
How volatile is Orrstown Financial Services's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall StHow Does Orrstown Financial Services's (NASDAQ:ORRF) P/E Compare To Its Industry, After The Share Price Drop?
3 weeks ago | Simply Wall StDo You Like Orrstown Financial Services, Inc. (NASDAQ:ORRF) At This P/E Ratio?
1 month ago | Simply Wall StWhat Kind Of Shareholder Owns Most Orrstown Financial Services, Inc. (NASDAQ:ORRF) Stock?
Is Orrstown Financial Services undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: ORRF ($12.26) is trading below our estimate of fair value ($17.62)
Significantly Below Fair Value: ORRF is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: ORRF is good value based on its PE Ratio (7.5x) compared to the Banks industry average (8.8x).
PE vs Market: ORRF is good value based on its PE Ratio (7.5x) compared to the US market (12.9x).
Price to Earnings Growth Ratio
PEG Ratio: ORRF is good value based on its PEG Ratio (0.6x)
Price to Book Ratio
PB vs Industry: ORRF is good value based on its PB Ratio (0.6x) compared to the US Banks industry average (0.8x).
How is Orrstown Financial Services forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ORRF's forecast earnings growth (12.4% per year) is above the savings rate (1.7%).
Earnings vs Market: ORRF's earnings (12.4% per year) are forecast to grow faster than the US market (12.3% per year).
High Growth Earnings: ORRF's earnings are forecast to grow, but not significantly.
Revenue vs Market: ORRF's revenue is expected to decline over the next 3 years (-13.2% per year).
High Growth Revenue: ORRF's revenue is forecast to decline over the next 3 years (-13.2% per year).
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: ORRF's Return on Equity is forecast to be low in 3 years time (9%).
How has Orrstown Financial Services performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ORRF has a large one-off loss of $9.0M impacting its December 31 2019 financial results.
Growing Profit Margin: ORRF's current net profit margins (17.4%) are lower than last year (17.7%).
Past Earnings Growth Analysis
Earnings Trend: ORRF's earnings have declined by -16.3% per year over the past 5 years.
Accelerating Growth: ORRF's earnings growth over the past year (32.2%) exceeds its 5-year average (-16.3% per year).
Earnings vs Industry: ORRF earnings growth over the past year (32.2%) exceeded the Banks industry 10.9%.
Return on Equity
High ROE: ORRF's Return on Equity (7.6%) is considered low.
How is Orrstown Financial Services's financial position? (This company is analysed differently as a bank or financial institution)
Financial Position Analysis
Debt to Equity History and Analysis
Inventory Level: ORRF has a low level of unsold assets or inventory.
Debt Coverage by Assets: ORRF's debt is not covered by short term assets (assets are 0.3x debt).
Financial Institutions Analysis
Asset Level: ORRF's level of assets compared to its equity is moderate.
Allowance for Bad Loans: ORRF has a sufficient allowance for bad loans.
Low Risk Liabilities: ORRF's liabilities are made up of primarily low risk sources of funding.
Loan Level: ORRF has an acceptable proportion of non-loan assets held.
Low Risk Deposits: ORRF's loans are broadly funded by customer deposits.
Level of Bad Loans: ORRF has an appropriate level of bad loans (0.65%)
What is Orrstown Financial Services's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: ORRF's dividend (5.55%) is higher than the bottom 25% of dividend payers in the US market (2%).
High Dividend: ORRF's dividend (5.55%) is low compared to the top 25% of dividend payers in the US market (5.56%).
Stability and Growth of Payments
Stable Dividend: ORRF's dividend payments have been volatile in the past 10 years.
Growing Dividend: ORRF's dividend payments have fallen over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (36.7%), ORRF's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: ORRF's dividends in 3 years are forecast to be well covered by earnings (35.4% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Tom Quinn (60yo)
Mr. Thomas Rodney Quinn, Jr., also known as Tom, has been the Chief Executive Officer and President at Orrstown Financial Services Inc. since May 5, 2009. Mr. Quinn has been the President and Chief Executi ...
CEO Compensation Analysis
Compensation vs Market: Tom's total compensation ($USD1.39M) is above average for companies of similar size in the US market ($USD605.16K).
Compensation vs Earnings: Tom's compensation has been consistent with company performance over the past year.
|Executive VP & CFO||0.75yr||US$292.90k||0.075% $103.0k|
|Executive VP & Assistant Secretary||no data||US$452.15k||0.36% $487.9k|
|Executive VP & Chief Revenue Officer||1.17yrs||US$468.00k||0.15% $207.4k|
|Executive VP||2.25yrs||US$522.59k||0.22% $295.2k|
|Executive VP and Chief Operations & Logistics Officer||1.25yrs||no data||0.13% $171.3k|
|Chief Accounting Officer||0.083yr||no data||no data|
|Senior Vice President of Strategic Planning & Investor Relations||0.75yr||no data||no data|
|Executive VP||2.58yrs||no data||0.10% $138.5k|
|Executive VP & Chief Human Resources Officer||8.83yrs||US$178.76k||0.15% $203.9k|
Experienced Management: ORRF's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.
|Independent Director||24.25yrs||US$81.62k||0.28% $377.3k|
|Independent Director||21.25yrs||US$79.53k||0.20% $277.0k|
|Independent Chairman of the Board||29.25yrs||US$113.22k||0.37% $502.7k|
|Independent Director||10.92yrs||US$92.07k||0.12% $166.2k|
|Independent Director||6.67yrs||US$84.52k||0.11% $145.5k|
|Independent Director||1.5yrs||US$74.02k||0.091% $125.1k|
|Independent Director||7.92yrs||US$101.52k||0.18% $246.5k|
|Independent Director||4.25yrs||US$81.87k||0.082% $112.5k|
|Independent Director||4.25yrs||US$79.52k||0.079% $108.2k|
Experienced Board: ORRF's board of directors are considered experienced (9.4 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: ORRF insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 23.9%.
Orrstown Financial Services, Inc.'s company bio, employee growth, exchange listings and data sources
- Name: Orrstown Financial Services, Inc.
- Ticker: ORRF
- Exchange: NasdaqCM
- Founded: 1919
- Industry: Regional Banks
- Sector: Banks
- Market Cap: US$136.893m
- Shares outstanding: 11.17m
- Website: https://www.orrstown.com
Number of Employees
- Orrstown Financial Services, Inc.
- 77 East King Street
- PO Box 250
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|ORRF||NasdaqCM (Nasdaq Capital Market)||Yes||Common Stock||US||USD||Jul 1998|
Orrstown Financial Services, Inc. operates as the holding company for Orrstown Bank that provides commercial banking and trust services in the United States. The company accepts various deposits, including checking, savings, time, demand, and money market deposits. It also offers commercial loans, such as commercial real estate, equipment, working capital, and other commercial purpose loans; consumer loans comprising home equity and other consumer loans, as well as home equity lines of credit; residential mortgage loans; agribusiness loans; acquisition and development loans; municipal loans; and installment and other loans. In addition, the company provides renders services as trustee, executor, administrator, guardian, managing agent, custodian, and investment advisor, as well as provides other fiduciary services under the Orrstown Financial Advisors name; and offers retail brokerage services through a third-party broker/dealer arrangement. Further, it offers investment advisory services through an office in Lancaster County, Pennsylvania. The company provides its banking and bank-related services through branches located in Berks, Cumberland, Dauphin, Franklin, Lancaster, Perry, and York counties of Pennsylvania, as well as Washington County, Maryland. Orrstown Financial Services, Inc. was founded in 1919 and is headquartered in Shippensburg, Pennsylvania.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/04/03 01:13|
|End of Day Share Price||2020/04/02 00:00|
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.