NasdaqGS:RBB

Stock Analysis Report

Executive Summary

RBB Bancorp operates as the bank holding company for Royal Business Bank that provides various banking products and services to the Chinese-American communities.

Snowflake

Fundamentals

Flawless balance sheet and good value.


Similar Companies

Share Price & News

How has RBB Bancorp's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

1.3%

RBB

4.1%

US Banks

1.0%

US Market


1 Year Return

-5.7%

RBB

7.2%

US Banks

8.0%

US Market

Return vs Industry: RBB underperformed the US Banks industry which returned 7.2% over the past year.

Return vs Market: RBB underperformed the US Market which returned 8% over the past year.


Shareholder returns

RBBIndustryMarket
7 Day1.3%4.1%1.0%
30 Day1.9%2.8%-0.07%
90 Day4.8%2.9%-1.0%
1 Year-4.2%-5.7%10.3%7.2%10.4%8.0%
3 Yearn/a53.9%43.3%46.2%36.7%
5 Yearn/a71.9%53.1%64.3%46.2%

Price Volatility Vs. Market

How volatile is RBB Bancorp's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is RBB Bancorp undervalued compared to its fair value and its price relative to the market?

31.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: RBB ($19.99) is trading below our estimate of fair value ($29.11)

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


Price To Earnings Ratio

PE vs Industry: RBB is good value based on its PE Ratio (9.9x) compared to the Banks industry average (12.6x).

PE vs Market: RBB is good value based on its PE Ratio (9.9x) compared to the US market (17.6x).


Price to Earnings Growth Ratio

PEG Ratio: RBB is poor value based on its PEG Ratio (4.4x)


Price to Book Ratio

PB vs Industry: RBB is good value based on its PB Ratio (1x) compared to the US Banks industry average (1.2x).


Next Steps

Future Growth

How is RBB Bancorp forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

2.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: RBB's forecast earnings growth (2.2% per year) is below the savings rate (2.7%).

Earnings vs Market: RBB's earnings (2.2% per year) are forecast to grow slower than the US market (14.5% per year).

High Growth Earnings: RBB's earnings are forecast to grow, but not significantly.

Revenue vs Market: RBB's revenue (7.3% per year) is forecast to grow faster than the US market (7.2% per year).

High Growth Revenue: RBB's revenue (7.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: RBB's Return on Equity is forecast to be low in 3 years time (9.4%).


Next Steps

Past Performance

How has RBB Bancorp performed over the past 5 years?

29.2%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: RBB's earnings have grown significantly by 29.2% per year over the past 5 years.

Accelerating Growth: RBB's earnings growth over the past year (28.7%) is below its 5-year average (29.2% per year).

Earnings vs Industry: RBB earnings growth over the past year (28.7%) underperformed the Banks industry 30.1%.


Return on Equity

High ROE: RBB's Return on Equity (9.7%) is considered low.


Return on Assets

ROA vs Industry: RBB has a higher Return on Assets than the Banks industry average last year.


Return on Capital Employed

ROCE Improving: Insufficient data to calculate RBB's Return on Capital Employed to determine if it has improved over the past 3 years.


Next Steps

Financial Health

How is RBB Bancorp'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

Inventory Level: RBB has a low level of unsold assets or inventory.

Debt Coverage by Assets: RBB's debt is covered by short term assets (assets are 3.159950x debt).


Financial Institutions Analysis

Asset Level: RBB's level of assets compared to its equity is low.

Allowance for Bad Loans: RBB has a sufficient allowance for bad loans.

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

Loan Level: RBB has an acceptable proportion of non-loan assets held.

Low Risk Deposits: RBB's loans are broadly funded by customer deposits.

Level of Bad Loans: RBB has an appropriate level of bad loans (0.3%)


Next Steps

Dividend

What is RBB Bancorp's current dividend yield, its reliability and sustainability?

2.00%

Current Dividend Yield


Upcoming Dividend Payment

Purchase RBB Bancorp before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield vs Market

company2.0%marketbottom25%1.4%markettop25%3.7%industryaverage3.0%forecastin3Years2.2%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: RBB's dividend (2%) is higher than the bottom 25% of dividend payers in the US market (1.44%).

High Dividend: RBB's dividend (2%) is low compared to the top 25% of dividend payers in the US market (3.68%).

Stable Dividend: Whilst dividend payments have been stable, RBB has been paying a dividend for less than 10 years.

Growing Dividend: RBB's dividend payments have increased, but the company has only paid a dividend for 2 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (19.4%), RBB's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: RBB's dividends in 3 years are forecast to be well covered by earnings (23.9% payout ratio).


Next Steps

Management

What is the CEO of RBB Bancorp's salary, the management and board of directors tenure and is there insider trading?

9.3yrs

Average management tenure


CEO

Alan Thian (66yo)

11.8yrs

Tenure

US$3,526,541

Compensation

Mr. Yee Phong Thian, also known as Alan, has been the Chairman, Chief Executive Officer and President of RBB Bancorp and Royal Business Bank since 2008. Mr. Thian served as an Executive Vice President and  ...


CEO Compensation Analysis

Compensation vs. Market: Insufficient data to establish whether Alan's total compensation is reasonable compared to companies of similar size in the US market.

Compensation vs Earnings: Alan's compensation has increased by more than 20% in the past year.


Management Age and Tenure

9.3yrs

Average Tenure

63yo

Average Age

Experienced Management: RBB's management team is seasoned and experienced (9.3 years average tenure).


Board Age and Tenure

8.8yrs

Average Tenure

56yo

Average Age

Experienced Board: RBB's board of directors are considered experienced (8.8 years average tenure).


Insider Trading

Insider Buying: RBB insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$2,300,00012 Sep 19
Peter M. Chang
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares115,000
Max PriceUS$20.00
BuyUS$112,20004 Jun 19
James W. Kao
EntityIndividual
Shares6,000
Max PriceUS$18.70
BuyUS$188,00031 May 19
James W. Kao
EntityIndividual
Shares10,000
Max PriceUS$18.80
SellUS$20,08021 Feb 19
Chie-Min Koo
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,000
Max PriceUS$21.00
BuyUS$19,11005 Feb 19
Wilson Mach
EntityIndividual
Shares1,000
Max PriceUS$19.11
BuyUS$21,52006 Nov 18
Wilson Mach
EntityIndividual
Shares1,000
Max PriceUS$21.52

Ownership Breakdown


Management Team

  • Alan Thian (66yo)

    Chairman

    • Tenure: 11.8yrs
    • Compensation: US$3.53m
  • Dave Morris (58yo)

    Executive VP & CFO

    • Tenure: 9.3yrs
    • Compensation: US$424.74k
  • Peggy Huang (63yo)

    Secretary

    • Tenure: 0yrs
    • Compensation: US$92.36k
  • Simon C. Pang (63yo)

    Executive VP & Chief Strategy Officer

    • Tenure: 0yrs
    • Compensation: US$343.13k
  • Vincent Liu (63yo)

    Executive VP & Chief Risk Officer

    • Tenure: 0yrs
  • Jeffrey Yeh (57yo)

    Executive VP & Chief Credit Officer

    • Tenure: 5.8yrs
  • Sophy Chu

    Senior VP & Compliance Officer

    • Tenure: 0yrs
  • Alberto Alverado

    Senior Advisor & Legal Counsel

    • Tenure: 0yrs
  • Erik Grier

    First VP & Chief Information Officer

    • Tenure: 0yrs
  • Michele Rocha

    Senior VP & HR Director

    • Tenure: 0yrs

Board Members

  • Ko-Yen Lin (75yo)

    Independent Director

    • Tenure: 8.8yrs
    • Compensation: US$96.40k
  • Alan Thian (66yo)

    Chairman

    • Tenure: 11.8yrs
    • Compensation: US$3.53m
  • Catherine Thian (68yo)

    Director

    • Tenure: 8.8yrs
    • Compensation: US$99.83k
  • Christopher Koo (61yo)

    Independent Director

    • Tenure: 8.8yrs
    • Compensation: US$96.23k
  • Christopher Lin (78yo)

    Independent Director

    • Tenure: 8.8yrs
    • Compensation: US$94.40k
  • Peter M. Chang (47yo)

    Independent Director

    • Tenure: 8.8yrs
    • Compensation: US$94.63k
  • Wendell Chen (42yo)

    Independent Director

    • Tenure: 0yrs
    • Compensation: US$97.72k
  • Raymond Yu (51yo)

    Vice Chairman

    • Tenure: 1yrs
    • Compensation: US$3.60k
  • Richard Lin (37yo)

    Director

    • Tenure: 8.8yrs
    • Compensation: US$89.91k
  • Paul Lin (39yo)

    Independent Director

    • Tenure: 7.8yrs
    • Compensation: US$96.13k

Company Information

RBB Bancorp's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: RBB Bancorp
  • Ticker: RBB
  • Exchange: NasdaqGS
  • Founded: 2008
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$402.003m
  • Shares outstanding: 20.11m
  • Website: https://www.royalbusinessbankusa.com

Number of Employees


Location

  • RBB Bancorp
  • 1055 Wilshire Boulevard
  • 12th Floor
  • Los Angeles
  • California
  • 90017
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
RBBNasdaqGS (Nasdaq Global Select)YesCommon SharesUSUSDJul 2017

Biography

RBB Bancorp operates as the bank holding company for Royal Business Bank that provides various banking products and services to the Chinese-American communities. Its deposit products include checking, savi ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/22 00:19
End of Day Share Price2019/10/21 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.