NasdaqGS:SASR

Stock Analysis Report

Executive Summary

Sandy Spring Bancorp, Inc. operates as the bank holding company for Sandy Spring Bank that provides commercial banking services to individuals and businesses in central Maryland, Northern Virginia, and Washington D.C.

Snowflake

Fundamentals

Flawless balance sheet, undervalued and pays a dividend.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-0.7%

SASR

1.4%

US Banks

1.0%

US Market


1 Year Return

-10.3%

SASR

0.2%

US Banks

6.7%

US Market

Return vs Industry: SASR underperformed the US Banks industry which returned 0.2% over the past year.

Return vs Market: SASR underperformed the US Market which returned 6.7% over the past year.


Share holder returns

SASRIndustryMarket
7 Day-0.7%1.4%1.0%
30 Day-7.9%-2.6%-1.8%
90 Day-5.1%0.8%-1.8%
1 Year-7.2%-10.3%3.1%0.2%9.1%6.7%
3 Year22.0%11.7%52.0%41.5%46.1%36.6%
5 Year68.8%44.4%69.7%51.2%66.9%48.6%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Sandy Spring Bancorp undervalued based on future cash flows and its price relative to the stock market?

29%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Undervalued: SASR ($33.22) is trading below our estimate of fair value ($46.65)

Significantly Undervalued: SASR is trading below fair value, but not by a significant amount.


Price Based on Earnings

PE vs Industry: SASR is good value based on its PE Ratio (10.5x) compared to the Banks industry average (12.5x).

PE vs Market: SASR is good value based on its PE Ratio (10.5x) compared to the US market (17.5x).


Price Based on Expected Growth

Low PEG Ratio: SASR is good value based on its PEG Ratio (0.5x)


Price Based on Value of Assets

PB vs Industry: SASR is good value based on its PB Ratio (1.1x) compared to the US Banks industry average (1.2x).


Next Steps

Future Growth

How is Sandy Spring Bancorp expected to perform in the next 1 to 3 years based on estimates from 4 analysts?

20.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Earnings vs Savings Rate: SASR's forecast earnings growth (20.4% per year) is above the savings rate (2.7%).

Earnings vs Market: SASR's earnings (20.4% per year) are forecast to grow faster than the US market (14.5% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: SASR's revenue (14.1% per year) is forecast to grow faster than the US market (7.3% per year).

High Growth Revenue: SASR's revenue (14.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Estimates


Future Return on Equity

High Future ROE: SASR's Return on Equity is forecast to be low in 3 years time (10.3%).


Next Steps

Past Performance

How has Sandy Spring Bancorp performed over the past 5 years?

22.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: SASR's earnings have grown significantly by 22.6% per year over the past 5 years.

Accelerating Growth: SASR's earnings growth over the past year (63.3%) exceeds its 5-year average (22.6% per year).

Earnings vs Industry: SASR earnings growth over the past year (63.3%) exceeded the Banks industry 31.8%.


Return on Equity

High ROE: SASR's Return on Equity (10.1%) is considered low.


Return on Assets

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


Return on Capital Employed

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


Next Steps

Financial Health

How is Sandy Spring 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: SASR has a low level of unsold assets or inventory.

Debt Coverage by Assets: SASR's debt is not covered by short term assets (assets are 0.4x debt).


Financial Institutions Analysis

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

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

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

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

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

Level of Bad Loans: SASR has an appropriate level of bad loans (0.58%)


Next Steps

Dividend

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

3.74%

Expected Dividend Yield


Dividend Yield vs Market

company3.6%marketbottom25%1.5%markettop25%3.8%industryaverage2.5%forecastin3Years3.7%

Current dividend yield vs market & industry


Dividend Yield and Payments Analysis

Notable Dividend: SASR's dividend (3.61%) is higher than the bottom 25% of dividend payers in the US market (1.46%).

High Dividend: SASR's dividend (3.61%) is low compared to the top 25% of dividend payers in the US market (3.77%).

Stable Dividend: SASR's dividend payments have been volatile in the past 10 years.

Growing Dividend: SASR's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (36%), SASR's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: SASR's dividends in 3 years are forecast to be well covered by earnings (32.8% payout ratio).


Next Steps

Management

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

8.8yrs

Average management tenure


CEO

Dan Schrider (55yo)

10.8yrs

Tenure

US$1,754,015

Compensation

Mr. Daniel J. Schrider, also known as Dan, has been the President and Chief Executive Officer at Sandy Spring Bancorp Inc. and Sandy Spring Bank, Inc. since March 26, 2008 and January 1, 2009 respectively  ...


CEO Compensation Analysis

Compensation vs. Market: Dan's total compensation ($USD1.75M) is about average for companies of similar size in the US market ($USD2.71M).

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


Management Age and Tenure

8.8yrs

Average Tenure

56yo

Average Age

Experienced Management: SASR's management team is seasoned and experienced (8.8 years average tenure).


Board Age and Tenure

9.0yrs

Average Tenure

63.5yo

Average Age

Experienced Board: SASR's board of directors are considered experienced (9 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$29,97230 Apr 19
Joe Reeder
EntityIndividual
Shares867
Max PriceUS$34.57
BuyUS$12,32312 Mar 19
Mark Michael
EntityIndividual
Shares370
Max PriceUS$33.30
BuyUS$20,08123 Jan 19
Mona Stephenson
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares630
Max PriceUS$31.87
BuyUS$31,68922 Jan 19
James Maiwurm
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,000
Max PriceUS$31.69
BuyUS$31,86022 Jan 19
Mark Friis
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,000
Max PriceUS$31.86

Ownership Breakdown


Management Team

  • Lou Caceres (56yo)

    Executive VP of Wealth Management

    • Tenure: 0yrs
    • Compensation: US$824.88k
  • Dan Schrider (55yo)

    President

    • Tenure: 10.8yrs
    • Compensation: US$1.75m
  • Phil Mantua (61yo)

    Executive VP & CFO

    • Tenure: 15yrs
    • Compensation: US$827.02k
  • Jay O'Brien (55yo)

    Executive VP & Chief Banking Officer

    • Tenure: 12.3yrs
    • Compensation: US$945.14k
  • Aaron Kaslow

    Executive VP

    • Tenure: 0.3yrs
  • John Sadowski (56yo)

    Chief Information Officer & EVP - Sandy Spring Bank

    • Tenure: 10.6yrs
  • Michael Burke

    Treasurer & Division Executive

    • Tenure: 1yrs
  • Todd Ellis

    President of Sandy Spring Insurance

    • Tenure: 6.9yrs
  • Janet Replogle

    Vice President & Ass't Corporate Secretary

    • Tenure: 0yrs
  • Kevin Slane (59yo)

    Executive VP & Chief Risk Officer

    • Tenure: 1.3yrs
    • Compensation: US$986.38k

Board Members

  • Jim Maiwurm (70yo)

    Independent Director

    • Tenure: 4yrs
    • Compensation: US$73.25k
  • Robert Orndorff (63yo)

    Independent Chairman of the Board

    • Tenure: 9.8yrs
    • Compensation: US$112.13k
  • Craig Ruppert (66yo)

    Independent Director

    • Tenure: 17.8yrs
    • Compensation: US$71.33k
  • Dan Schrider (55yo)

    President

    • Tenure: 10.8yrs
    • Compensation: US$1.75m
  • Ralph Boyd (62yo)

    Independent Director

    • Tenure: 7.2yrs
    • Compensation: US$76.93k
  • Mark Friis (64yo)

    Independent Director

    • Tenure: 14.1yrs
    • Compensation: US$71.53k
  • Pamela Little (65yo)

    Independent Director

    • Tenure: 14.1yrs
    • Compensation: US$79.33k
  • Bob Henel (71yo)

    Independent Director

    • Tenure: 8.3yrs
    • Compensation: US$78.33k
  • Mona Stephenson (57yo)

    Independent Director

    • Tenure: 4yrs
    • Compensation: US$72.25k
  • Gary Nakamoto (55yo)

    Independent Director

    • Tenure: 8.1yrs
    • Compensation: US$68.63k

Company Information

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


Key Information

  • Name: Sandy Spring Bancorp, Inc.
  • Ticker: SASR
  • Exchange: NasdaqGS
  • Founded: 1868
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$1.192b
  • Shares outstanding: 35.89m
  • Website: https://www.sandyspringbank.com

Number of Employees


Location

  • Sandy Spring Bancorp, Inc.
  • 17801 Georgia Avenue
  • Olney
  • Maryland
  • 20832
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SASRNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDDec 1995

Biography

Sandy Spring Bancorp, Inc. operates as the bank holding company for Sandy Spring Bank that provides commercial banking services to individuals and businesses in central Maryland, Northern Virginia, and Was ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/14 01:24
End of Day Share Price2019/10/11 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.

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