NasdaqGM:RNDB

Stock Analysis Report

Executive Summary

Randolph Bancorp, Inc. operates as the bank holding company for Envision Bank that provides financial services to individuals, families, and small to mid-size businesses in Massachusetts, Rhode Island, and southern New Hampshire.


Snowflake Analysis

Flawless balance sheet with acceptable track record.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

6.1%

RNDB

6.3%

US Mortgage

5.3%

US Market


1 Year Return

-37.2%

RNDB

-26.6%

US Mortgage

-10.7%

US Market

Return vs Industry: RNDB underperformed the US Mortgage industry which returned -25.4% over the past year.

Return vs Market: RNDB underperformed the US Market which returned -10.4% over the past year.


Shareholder returns

RNDBIndustryMarket
7 Day6.1%6.3%5.3%
30 Dayn/a-26.5%-13.6%
90 Day-44.7%-34.1%-19.8%
1 Year-37.2%-37.2%-24.8%-26.6%-8.9%-10.7%
3 Year-38.6%-38.6%-18.0%-23.8%15.5%8.0%
5 Yearn/a2.8%-8.7%35.2%20.4%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

15x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate RNDB's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate RNDB's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: RNDB is poor value based on its PE Ratio (15.1x) compared to the Mortgage industry average (10.6x).

PE vs Market: RNDB is poor value based on its PE Ratio (15.1x) compared to the US market (13.1x).


Price to Earnings Growth Ratio

PEG Ratio: RNDB's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: RNDB is good value based on its PB Ratio (0.6x) compared to the US Mortgage industry average (0.8x).


Next Steps

Future Growth

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

-0.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: RNDB's earnings are forecast to decline over the next 3 years (-0.9% per year).

Earnings vs Market: RNDB's earnings are forecast to decline over the next 3 years (-0.9% per year).

High Growth Earnings: RNDB's earnings are forecast to decline over the next 3 years.

Revenue vs Market: RNDB's revenue is expected to decline over the next 3 years (-45.7% per year).

High Growth Revenue: RNDB's revenue is forecast to decline over the next 3 years (-45.7% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if RNDB's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Randolph Bancorp performed over the past 5 years?

15.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: RNDB has high quality earnings.

Growing Profit Margin: RNDB became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: RNDB has become profitable over the past 5 years, growing earnings by 15.8% per year.

Accelerating Growth: RNDB has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: RNDB has become profitable in the last year, making it difficult to compare its past year earnings growth to the Mortgage industry (11.1%).


Return on Equity

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


Next Steps

Financial Health

How is Randolph 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: RNDB has a low level of unsold assets or inventory.

Debt Coverage by Assets: RNDB's debt is covered by short term assets (assets are 1.7x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: RNDB is profitable, therefore cash runway is not a concern.

Forecast Cash Runway: RNDB is profitable, therefore cash runway is not a concern.


Financial Institutions Analysis

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

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

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

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

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

Level of Bad Loans: RNDB has an appropriate level of bad loans (0.69%)


Next Steps

Dividend

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


Dividend Yield vs Market

Notable Dividend: Unable to evaluate RNDB's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate RNDB's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if RNDB's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if RNDB's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of RNDB's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

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

6.3yrs

Average management tenure


CEO

Jim McDonough (68yo)

6.92s

Tenure

US$416,458

Compensation

Mr. James P. McDonough, also known as Jim, has been Chief Executive Officer and President of Envision Bank since March 26, 2013. Mr. McDonough served as Chancellor and Chief Financial Officer of the Roman  ...


CEO Compensation Analysis

Compensation vs Market: Jim's total compensation ($USD416.46K) is below average for companies of similar size in the US market ($USD602.37K).

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


Leadership Team

NamePositionTenureCompensationOwnership
James McDonough
President6.92yrsUS$416.46k2.81% $1.4m
Michael Devlin
Executive VP4.42yrsUS$263.46k0.48% $238.9k
Ryan Kirwin
Executive Vice President of Residential Lending6.58yrsUS$273.83k0.37% $183.9k
Thomas Foresta
Senior VP & Chief Information Officer6.33yrsno data0.52% $255.7k
Richard Olson
Senior Vice President of Retail Banking & Marketing6.5yrsUS$209.10k0.54% $266.4k
Donna Thaxter
Senior Vice President of Customer Experience in Residential Lending2.42yrsno data0.24% $121.0k
Peter Fraser
Senior VP & President of First Eastern Mortgage Division3.75yrsno datano data
Nancy Curry
Senior Vice President of Commercial Lending1yrno data0.21% $103.9k
Martie Dwyer
Senior VP & Senior Commercial Loan Officer6.83yrsUS$215.81kno data

6.3yrs

Average Tenure

56.5yo

Average Age

Experienced Management: RNDB's management team is seasoned and experienced (6.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
James McDonough
President6.92yrsUS$416.46k2.81% $1.4m
Daniel Joyce
Independent Director8.25yrsUS$39.00k0.42% $207.4k
Kenneth Quigley
Chairman1.83yrsUS$43.00k0.63% $311.6k
Paul Donovan
Independent Director7.25yrsUS$37.00k0.65% $321.7k
John O'Connor
Independent Director7.25yrsUS$39.00k0.17% $83.6k
James Welch
Independent Director9.25yrsUS$39.00k0.37% $181.5k
Richard Pierce
Independent Director25.25yrsUS$32.00k0.30% $150.8k
Louis Trubiano
Independent Director13.25yrsUS$40.75k1.15% $571.0k
Janis Wentzell
Independent Director21.25yrsUS$32.00k0.36% $176.3k

8.3yrs

Average Tenure

68yo

Average Age

Experienced Board: RNDB's board of directors are considered experienced (8.2 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: RNDB 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

Randolph Bancorp, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Randolph Bancorp, Inc.
  • Ticker: RNDB
  • Exchange: NasdaqGM
  • Founded: 1851
  • Industry: Thrifts and Mortgage Finance
  • Sector: Banks
  • Market Cap: US$49.614m
  • Shares outstanding: 5.17m
  • Website: https://www.randolphbancorp.com

Number of Employees


Location

  • Randolph Bancorp, Inc.
  • 10 Cabot Place
  • Stoughton
  • Massachusetts
  • 2072
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
RNDBNasdaqGM (Nasdaq Global Market)YesCommon StockUSUSDJul 2016

Biography

Randolph Bancorp, Inc. operates as the bank holding company for Envision Bank that provides financial services to individuals, families, and small to mid-size businesses in Massachusetts, Rhode Island, and southern New Hampshire. It operates through two segments, Envision Bank and Envision Mortgage. The company accepts checking, NOW, money market, and savings accounts, as well as certificates of deposit and IRAs. It also offers one- to four-family residential mortgage, commercial real estate, commercial and industrial, construction, and consumer loans; home equity loans and lines of credit; and investment securities. In addition, the company provides remote deposit capture products for business customers to meet their online banking needs. As of February 26, 2019, it operated five retail branch locations and loan operations centers in North Attleboro and Stoughton, Massachusetts; and seven loan production offices in Massachusetts and one loan production office in New Hampshire. The company was founded in 1851 and is based in Stoughton, Massachusetts. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/01 04:15
End of Day Share Price2020/03/31 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.