NasdaqCM:ORRF

Stock Analysis Report

Orrstown Financial Services

Executive Summary

Orrstown Financial Services, Inc. operates as the holding company for Orrstown Bank that provides commercial banking and trust services in the United States.

Snowflake

Fundamentals

Flawless balance sheet with moderate growth potential.


Similar Companies

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


Market Performance


7 Day Return

0%

NasdaqCM:ORRF

1.4%

US Banks

-0.02%

US Market


1 Year Return

-3.0%

NasdaqCM:ORRF

-5.6%

US Banks

1.6%

US Market

ORRF outperformed the Banks industry which returned -4.5% over the past year.

ORRF underperformed the Market in United States of America which returned 1.9% over the past year.


Share holder returns

ORRFIndustryMarket
7 Day0%1.4%-0.02%
30 Day4.5%8.6%2.7%
90 Day7.6%5.7%1.4%
1 Year-0.2%-3.0%-2.9%-5.6%3.8%1.6%
3 Year15.2%7.9%55.3%44.6%45.2%35.8%
5 Year54.8%41.1%63.9%46.1%61.8%44.1%

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

Valuation

Is Orrstown Financial Services undervalued based on future cash flows and its price relative to the stock market?

19.26x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Orrstown Financial Services's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Orrstown Financial Services's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Orrstown Financial Services is overvalued based on earnings compared to the US Banks industry average.

Orrstown Financial Services is overvalued based on earnings compared to the United States of America market.


Price Based on Expected Growth

Orrstown Financial Services is good value based on expected growth next year.


Price Based on Value of Assets

Orrstown Financial Services is good value based on assets compared to the US Banks industry average.


Next Steps

Future Growth

How is Orrstown Financial Services expected to perform in the next 1 to 3 years based on estimates from 3 analysts?

34.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Orrstown Financial Services's revenue is expected to grow by 3.7% yearly, however this is not considered high growth (20% yearly).

Orrstown Financial Services's earnings are expected to grow significantly at over 20% yearly.

Orrstown Financial Services's revenue growth is positive but not above the United States of America market average.

Orrstown Financial Services's earnings growth is expected to exceed the United States of America market average.

Orrstown Financial Services's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Orrstown Financial Services is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Orrstown Financial Services performed over the past 5 years?

-17.2%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Orrstown Financial Services's year on year earnings growth rate was negative over the past 5 years, however the most recent earnings are above average.

Orrstown Financial Services's 1-year earnings growth exceeds its 5-year average (5.2% vs -17.2%)

Orrstown Financial Services's earnings growth has not exceeded the US Banks industry average in the past year (5.2% vs 31.7%).


Return on Equity

Orrstown Financial Services has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Orrstown Financial Services used its assets less efficiently than the US Banks industry average last year based on Return on Assets.


Return on Capital Employed

Unable to establish if Orrstown Financial Services improved its use of capital last year versus 3 years ago (Return on Capital Employed) due to insufficient past data.


Next Steps

Financial Health

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


Balance Sheet

Information is not available.

Information is not available.


Financial Institutions Analysis

Orrstown Financial Services has an acceptable proportion of non-loan assets held.

Orrstown Financial Services has a sufficient allowance for bad loans.

Orrstown Financial Services's liabilities are made up of primarily low risk sources of funding.

Orrstown Financial Services's level of assets compared to its equity is moderate (i.e. an appropriate level of borrowing to fund lending).

Loans at Orrstown Financial Services are broadly funded by customer deposits.

Orrstown Financial Services has an acceptable level of bad loans (less than 2%).


Next Steps

Dividend

What is Orrstown Financial Services's current dividend yield, its reliability and sustainability?

2.71%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Orrstown Financial Services's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.44%).

Orrstown Financial Services's dividend is below the markets top 25% of dividend payers in United States of America (3.69%).

Dividends per share have been volatile in the past 10 years (annual drop of over 20%).

Dividends per share have fallen over the past 10 years.


Current Payout to Shareholders

Dividends paid are well covered by earnings (2.1x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be well covered by earnings (3.4x coverage).


Next Steps

Management

What is the CEO of Orrstown Financial Services's salary, the management and board of directors tenure and is there insider trading?

3.0yrs

Average management tenure


CEO

Tom Quinn (60yo)

10.3yrs

Tenure

US$1,536,192

Compensation

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

Tom's remuneration is about average for companies of similar size in United States of America.

Tom's compensation has increased by more than 20% in the past year whilst earnings fell less than 20%.


Management Age and Tenure

3.0yrs

Average Tenure

53yo

Average Age

The tenure for the Orrstown Financial Services management team is about average.


Board Age and Tenure

8.8yrs

Average Tenure

63yo

Average Age

The tenure for the Orrstown Financial Services board of directors is about average.


Insider Trading

Orrstown Financial Services individual insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$117,64613 Sep 19
Thomas Quinn
EntityIndividual
Role
Chief Executive Officer
President
Shares5,261
Max PriceUS$22.61
SellUS$20,40401 Mar 19
Anthony Ceddia
EntityIndividual
Shares1,000
Max PriceUS$20.40
SellUS$10,00012 Feb 19
Anthony Ceddia
EntityIndividual
Shares500
Max PriceUS$20.00
BuyUS$5,71230 Jan 19
David Hornberger
EntityIndividual
Shares300
Max PriceUS$19.04
BuyUS$1,97107 Dec 18
Gregory Rosenberry
EntityIndividual
Shares100
Max PriceUS$19.71
BuyUS$7,93606 Dec 18
Gregory Rosenberry
EntityIndividual
Shares400
Max PriceUS$19.84
BuyUS$7,75626 Nov 18
Cindy Joiner
EntityIndividual
Role
Member of the Board of Directors
Director
Shares380
Max PriceUS$20.41
BuyUS$10,17030 Oct 18
Michael Rice
EntityIndividual
Role
Member of the Board of Directors
Director
Shares500
Max PriceUS$20.34
BuyUS$20,61029 Oct 18
Robert Fignar
EntityIndividual
Role
Chief Operating Officer
Executive VP and Chief Operations & Logistics Officer
Shares1,000
Max PriceUS$20.61
BuyUS$6,20729 Oct 18
Joel Zullinger
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares300
Max PriceUS$20.69
BuyUS$26,79326 Oct 18
Floyd Stoner
EntityIndividual
Role
Member of the Board of Directors
Director
Shares1,300
Max PriceUS$20.61
BuyUS$12,21026 Oct 18
Cindy Joiner
EntityIndividual
Role
Member of the Board of Directors
Director
Shares600
Max PriceUS$20.35
BuyUS$6,14726 Oct 18
Mark Keller
EntityIndividual
Role
Member of the Board of Directors
Director
Shares300
Max PriceUS$20.49
BuyUS$10,00026 Oct 18
David Boyle
EntityIndividual
Shares500
Max PriceUS$20.00
BuyUS$2,02525 Oct 18
Thomas Longenecker
EntityIndividual
Role
Member of the Board of Directors
Director
Shares100
Max PriceUS$20.25
BuyUS$20,40225 Oct 18
David Hornberger
EntityIndividual
Shares1,000
Max PriceUS$20.48
BuyUS$20,50025 Oct 18
David Boyle
EntityIndividual
Shares1,000
Max PriceUS$20.50
BuyUS$9,90525 Oct 18
Thomas Quinn
EntityIndividual
Role
Chief Executive Officer
President
Shares482
Max PriceUS$20.57

Ownership Breakdown


Management Team

  • Bob Coradi (57yo)

    Executive VP

    • Tenure: 5.4yrs
    • Compensation: US$561.14k
  • Tom Brugger (52yo)

    Executive VP & CFO

    • Tenure: 0.2yrs
  • Barb Brobst (60yo)

    Executive VP & Chief Human Resources Officer at Orrstown Bank

    • Tenure: 8.3yrs
    • Compensation: US$178.76k
  • Philip Fague (59yo)

    Executive VP

    • Tenure: 1.7yrs
    • Compensation: US$456.15k
  • Tom Quinn (60yo)

    President

    • Tenure: 10.3yrs
    • Compensation: US$1.54m
  • Matt Schultheis

    Senior Vice President of Strategic Planning & Investor Relations

    • Tenure: 0.2yrs
  • Jeff Gayman (46yo)

    EVP & Market President

    • Tenure: 8.3yrs
    • Compensation: US$186.15k
  • Bob Fignar (53yo)

    Executive VP and Chief Operations & Logistics Officer

    • Tenure: 0yrs
  • Adam Metz (47yo)

    Executive VP & Chief Lending Officer

    • Tenure: 3yrs
    • Compensation: US$514.64k
  • Luke Bernstein (40yo)

    Corporate Communications Officer

    • Tenure: 2yrs

Board Members

  • Andrea Pugh (66yo)

    Director

    • Tenure: 23.7yrs
    • Compensation: US$88.24k
  • Glenn Snoke (70yo)

    Director

    • Tenure: 20.7yrs
    • Compensation: US$85.14k
  • Joel Zullinger (71yo)

    Chairman of the Board

    • Tenure: 28.7yrs
    • Compensation: US$122.77k
  • Tom Quinn (60yo)

    President

    • Tenure: 10.3yrs
    • Compensation: US$1.54m
  • Mark Keller (65yo)

    Director

    • Tenure: 10.3yrs
    • Compensation: US$113.98k
  • Eric Segal (61yo)

    Director

    • Tenure: 6.1yrs
    • Compensation: US$89.25k
  • Michael Rice (57yo)

    Director

    • Tenure: 0.9yrs
  • Floyd Stoner (70yo)

    Director

    • Tenure: 7.3yrs
    • Compensation: US$106.25k
  • Cindy Joiner (57yo)

    Director

    • Tenure: 3.7yrs
    • Compensation: US$86.60k
  • Tom Longenecker (51yo)

    Director

    • Tenure: 3.7yrs
    • Compensation: US$84.25k

Company Information

Orrstown Financial Services, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Orrstown Financial Services, Inc.
  • Ticker: ORRF
  • Exchange: NasdaqCM
  • Founded: 1919
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$257.530m
  • Shares outstanding: 11.22m
  • Website: https://www.orrstown.com

Number of Employees


Location

  • Orrstown Financial Services, Inc.
  • 77 East King Street
  • PO Box 250
  • Shippensburg
  • Pennsylvania
  • 17257
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ORRFNasdaqCM (Nasdaq Capital Market)YesCommon StockUSUSDJul 1998

Biography

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 ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/18 23:40
End of Day Share Price2019/09/18 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.