NasdaqCM:SBFG

Stock Analysis Report

Executive Summary

SB Financial Group, Inc., through its subsidiaries, provides a range of commercial banking and wealth management services to individual and corporate customers primarily in Ohio, Indiana, and Michigan.

Snowflake

Fundamentals

Flawless balance sheet and undervalued.


Similar Companies

Share Price & News

How has SB Financial Group's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

0.2%

SBFG

4.8%

US Banks

2.3%

US Market


1 Year Return

-17.3%

SBFG

0.04%

US Banks

5.6%

US Market

Return vs Industry: SBFG underperformed the US Banks industry which returned 0% over the past year.

Return vs Market: SBFG underperformed the US Market which returned 5.6% over the past year.


Shareholder returns

SBFGIndustryMarket
7 Day0.2%4.8%2.3%
30 Day0.4%-0.5%-1.0%
90 Day-0.5%2.0%-0.7%
1 Year-15.7%-17.3%2.9%0.04%7.9%5.6%
3 Year39.1%31.8%51.5%41.1%45.6%36.3%
5 Year94.9%77.4%70.9%52.3%65.8%47.6%

Price Volatility Vs. Market

How volatile is SB Financial Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is SB Financial Group undervalued compared to its fair value and its price relative to the market?

17.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: SBFG ($16.41) is trading below our estimate of fair value ($19.8)

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


Price To Earnings Ratio

PE vs Industry: SBFG is good value based on its PE Ratio (10.7x) compared to the Banks industry average (12.6x).

PE vs Market: SBFG is good value based on its PE Ratio (10.7x) compared to the US market (17.7x).


Price to Earnings Growth Ratio

Low PEG Ratio: SBFG is good value based on its PEG Ratio (0.7x)


Price to Book Ratio

PB vs Industry: SBFG is good value based on its PB Ratio (0.9x) compared to the US Banks industry average (1.2x).


Next Steps

Future Growth

How is SB Financial Group forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

15.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SBFG's forecast earnings growth (15.9% per year) is above the savings rate (2.7%).

Earnings vs Market: SBFG's earnings (15.9% per year) are forecast to grow faster than the US market (14.5% per year).

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

Revenue vs Market: SBFG's revenue is expected to decline over the next 3 years (-16.7% per year).

High Growth Revenue: SBFG's revenue is forecast to decline over the next 3 years (-16.7% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

How has SB Financial Group performed over the past 5 years?

16.9%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: SBFG's earnings have grown by 16.9% per year over the past 5 years.

Accelerating Growth: SBFG's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: SBFG had negative earnings growth (-12.2%) over the past year, making it difficult to compare to the Banks industry average (31.8%).


Return on Equity

High ROE: SBFG's Return on Equity (8.2%) is considered low.


Return on Assets

ROA vs Industry: SBFG's Return on Assets is below or equal to the Banks industry average last year.


Return on Capital Employed

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


Next Steps

Financial Health

How is SB Financial Group'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: SBFG has a low level of unsold assets or inventory.

Debt Coverage by Assets: SBFG's debt is covered by short term assets (assets are 1.368900x debt).


Financial Institutions Analysis

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

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

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

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

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

Level of Bad Loans: SBFG has an appropriate level of bad loans (0.48%)


Next Steps

Dividend

What is SB Financial Group's current dividend yield, its reliability and sustainability?

2.19%

Current Dividend Yield


Dividend Yield vs Market

company2.2%marketbottom25%1.5%markettop25%3.8%industryaverage3.0%forecastin3Years2.3%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: SBFG's dividend (2.19%) is higher than the bottom 25% of dividend payers in the US market (1.46%).

High Dividend: SBFG's dividend (2.19%) is low compared to the top 25% of dividend payers in the US market (3.76%).

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

Growing Dividend: SBFG's dividend payments have not increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (22.1%), SBFG's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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

9.7yrs

Average management tenure


CEO

Mark Klein (64yo)

9.8yrs

Tenure

US$689,254

Compensation

Mr. Mark A. Klein serves as the President and Chief Executive Officer of State Bank and Trust Company (“State Bank”) since 2006, and as President and Chief Executive Officer of SB Financial Group, Inc. sin ...


CEO Compensation Analysis

Compensation vs. Market: Mark's total compensation ($USD689.25K) is about average for companies of similar size in the US market ($USD493.00K).

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


Management Age and Tenure

9.7yrs

Average Tenure

57yo

Average Age

Experienced Management: SBFG's management team is seasoned and experienced (9.7 years average tenure).


Board Age and Tenure

6.2yrs

Average Tenure

64yo

Average Age

Experienced Board: SBFG's board of directors are considered experienced (6.2 years average tenure).


Insider Trading

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


Recent Insider Transactions

BuyUS$8,04021 Aug 19
William Martin
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares500
Max PriceUS$16.08
BuyUS$1,60514 Aug 19
Mark Klein
EntityIndividual
Role
Chief Executive Officer
Chairman
Shares100
Max PriceUS$16.05
BuyUS$3,23014 Aug 19
Mark Klein
EntityIndividual
Role
Chief Executive Officer
Chairman
Shares200
Max PriceUS$16.30
BuyUS$62028 Jun 19
Tom Helberg
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares37
Max PriceUS$16.75
BuyUS$6,19824 Jun 19
Tom Helberg
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares370
Max PriceUS$16.75
BuyUS$17,05013 Jun 19
Mark Klein
EntityIndividual
Role
Chief Executive Officer
Chairman
Shares1,000
Max PriceUS$17.05
BuyUS$5,16011 Jun 19
George Carter
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares300
Max PriceUS$17.20
BuyUS$2,69917 May 19
George Carter
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares150
Max PriceUS$17.99
BuyUS$17,25021 Dec 18
Mark Klein
EntityIndividual
Role
Chief Executive Officer
Chairman
Shares1,000
Max PriceUS$17.25
BuyUS$3,58506 Nov 18
George Carter
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares200
Max PriceUS$17.92

Ownership Breakdown


Management Team

  • Keeta Diller (63yo)

    Corporate Secretary

    • Tenure: 0yrs
  • Mark Klein (64yo)

    Chairman

    • Tenure: 9.8yrs
    • Compensation: US$689.25k
  • Jon Gathman (45yo)

    Executive VP & Senior Lending Officer

    • Tenure: 14yrs
    • Compensation: US$267.68k
  • Tony Cosentino (57yo)

    Executive VP & CFO

    • Tenure: 9.6yrs
    • Compensation: US$328.19k
  • Melissa Martin

    Executive of Investor Relations

    • Tenure: 0yrs
  • J. Gaytan (47yo)

    Executive VP and Chief Technology Innovation & Operations Officer

    • Tenure: 1.3yrs
    • Compensation: US$254.35k
  • Scott Armey

    Senior VP & Human Resources Manager

    • Tenure: 0yrs

Board Members

  • Dick Hardgrove (80yo)

    Lead Independent Director

    • Tenure: 4.4yrs
    • Compensation: US$62.27k
  • Bob Fawcett (77yo)

    Independent Director

    • Tenure: 27.8yrs
    • Compensation: US$45.52k
  • Rita Kissner (73yo)

    Independent Director

    • Tenure: 15.1yrs
    • Compensation: US$47.10k
  • Mark Klein (64yo)

    Chairman

    • Tenure: 9.8yrs
    • Compensation: US$689.25k
  • Gaylyn Finn (70yo)

    Independent Director

    • Tenure: 9.7yrs
    • Compensation: US$52.12k
  • Tim Stolly (61yo)

    Independent Director

    • Tenure: 9.2yrs
    • Compensation: US$46.77k
  • George Carter (59yo)

    Independent Director

    • Tenure: 6.2yrs
    • Compensation: US$46.12k
  • William Martin (52yo)

    Independent Director

    • Tenure: 5.7yrs
    • Compensation: US$45.60k
  • Tom Helberg (59yo)

    Independent Director

    • Tenure: 1.7yrs
    • Compensation: US$28.58k

Company Information

SB Financial Group, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: SB Financial Group, Inc.
  • Ticker: SBFG
  • Exchange: NasdaqCM
  • Founded: 1983
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$106.858m
  • Shares outstanding: 6.51m
  • Website: https://www.yoursbfinancial.com

Number of Employees


Location

  • SB Financial Group, Inc.
  • 401 Clinton Street
  • PO Box 467
  • Defiance
  • Ohio
  • 43512
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SBFGNasdaqCM (Nasdaq Capital Market)YesCommon SharesUSUSDJul 1995
SBFG.PNasdaqCM (Nasdaq Capital Market)DEP SHS PFD 6.5%USUSDJan 2015

Biography

SB Financial Group, Inc., through its subsidiaries, provides a range of commercial banking and wealth management services to individual and corporate customers primarily in Ohio, Indiana, and Michigan. The ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/16 23:39
End of Day Share Price2019/10/16 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.