Shore Bancshares
Market Cap
US$125.2m
Last Updated
2020/06/01 02:33 UTC
Data Sources
Company Financials +
Executive Summary
Shore Bancshares, Inc. operates as a bank holding company for the Shore United Bank that provides various commercial banking products and services to individuals, businesses, and other organizations.
Rewards
Risk Analysis
Earnings are forecast to decline by an average of -40.1% per year for the next 3 years
Snowflake Analysis
Undervalued with excellent balance sheet.
Similar Companies
Share Price & News
How has Shore Bancshares's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: SHBI's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
18.5%
SHBI
8.2%
US Banks
3.0%
US Market
1 Year Return
-34.7%
SHBI
-20.1%
US Banks
9.9%
US Market
Return vs Industry: SHBI underperformed the US Banks industry which returned -19.6% over the past year.
Return vs Market: SHBI underperformed the US Market which returned 9.5% over the past year.
Shareholder returns
| SHBI | Industry | Market | |
|---|---|---|---|
| 7 Day | 18.5% | 8.2% | 3.0% |
| 30 Day | -1.3% | 3.2% | 8.2% |
| 90 Day | -32.6% | -20.6% | 0.4% |
| 1 Year | -32.4%-34.7% | -17.4%-20.1% | 12.4%9.9% |
| 3 Year | -34.4%-39.0% | -8.5%-15.6% | 31.0%22.3% |
| 5 Year | 18.3%7.6% | 12.0%-1.4% | 58.1%40.3% |
Price Volatility Vs. Market
How volatile is Shore Bancshares's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
Is Shore Bancshares, Inc.'s (NASDAQ:SHBI) CEO Paid At A Competitive Rate?1 month ago | Simply Wall St
Imagine Owning Shore Bancshares (NASDAQ:SHBI) And Wondering If The 42% Share Price Slide Is Justified1 month ago | Simply Wall St
Does The Shore Bancshares, Inc. (NASDAQ:SHBI) Share Price Fall With The Market?Valuation
Is Shore Bancshares undervalued compared to its fair value and its price relative to the market?
30.1%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: SHBI ($10) is trading below our estimate of fair value ($14.3)
Significantly Below Fair Value: SHBI is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: SHBI is good value based on its PE Ratio (8.1x) compared to the Banks industry average (9.7x).
PE vs Market: SHBI is good value based on its PE Ratio (8.1x) compared to the US market (15.8x).
Price to Earnings Growth Ratio
PEG Ratio: SHBI's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: SHBI is good value based on its PB Ratio (0.6x) compared to the US Banks industry average (0.8x).
Next Steps
Future Growth
How is Shore Bancshares forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?
-40.1%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SHBI's earnings are forecast to decline over the next 3 years (-40.1% per year).
Earnings vs Market: SHBI's earnings are forecast to decline over the next 3 years (-40.1% per year).
High Growth Earnings: SHBI's earnings are forecast to decline over the next 3 years.
Revenue vs Market: SHBI's revenue is expected to decline over the next 3 years (-7.5% per year).
High Growth Revenue: SHBI's revenue is forecast to decline over the next 3 years (-7.5% per year).
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if SHBI's Return on Equity is forecast to be high in 3 years time
Next Steps
Past Performance
How has Shore Bancshares performed over the past 5 years?
21.0%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SHBI has high quality earnings.
Growing Profit Margin: SHBI's current net profit margins (26.2%) are lower than last year (27.6%).
Past Earnings Growth Analysis
Earnings Trend: SHBI's earnings have grown significantly by 21% per year over the past 5 years.
Accelerating Growth: SHBI's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: SHBI had negative earnings growth (-3.4%) over the past year, making it difficult to compare to the Banks industry average (2.9%).
Return on Equity
High ROE: SHBI's Return on Equity (8%) is considered low.
Next Steps
Financial Health
How is Shore Bancshares'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
Financial Institutions Analysis
Asset Level: SHBI's Assets to Equity ratio (8x) is low.
Allowance for Bad Loans: SHBI has a low allowance for bad loans (85%).
Low Risk Liabilities: 98% of SHBI's liabilities are made up of primarily low risk sources of funding.
Loan Level: SHBI has an appropriate level of Loans to Assets ratio (81%).
Low Risk Deposits: SHBI's Loans to Deposits ratio (94%) is appropriate.
Level of Bad Loans: SHBI has an appropriate level of bad loans (1%).
Next Steps
Dividend
What is Shore Bancshares's current dividend yield, its reliability and sustainability?
4.80%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: SHBI's dividend (4.8%) is higher than the bottom 25% of dividend payers in the US market (1.69%).
High Dividend: SHBI's dividend (4.8%) is in the top 25% of dividend payers in the US market (4.52%)
Stability and Growth of Payments
Stable Dividend: SHBI's dividend payments have been volatile in the past 10 years.
Growing Dividend: SHBI's dividend payments have fallen over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (35.8%), SHBI'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
How experienced are the management team and are they aligned to shareholders interests?
6.0yrs
Average management tenure
CEO
Scott Beatty (66yo)
7yrs
Tenure
US$739,534
Compensation
Mr. Lloyd L. Beatty Jr., also known as Scott, has served as the Shore Bancshares Inc. and Shore United Bank's President and Chief Executive Officer ("CEO") since June 2013 and as a director of the Shore Ba ...
CEO Compensation Analysis
Compensation vs Market: Scott's total compensation ($USD739.53K) is about average for companies of similar size in the US market ($USD593.13K).
Compensation vs Earnings: Scott's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 7yrs | US$739.53k | 0.78% $971.8k | |
| Executive VP & CFO | 4.08yrs | US$345.80k | 0.11% $131.9k | |
| Executive VP & COO | 4.92yrs | US$354.54k | 0.075% $93.5k | |
| Executive VP | 12.42yrs | no data | 0.10% $131.0k |
6.0yrs
Average Tenure
61.5yo
Average Age
Experienced Management: SHBI's management team is seasoned and experienced (5.8 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 7yrs | US$739.53k | 0.78% $971.8k | |
| Independent Director | 18.42yrs | US$44.50k | 0.16% $203.7k | |
| Independent Chairman of the Board | 3.42yrs | US$57.00k | 0.23% $287.2k | |
| Independent Director | 11.17yrs | US$47.00k | 0.10% $128.7k | |
| Independent Director | 8.17yrs | US$44.50k | 0.11% $136.7k | |
| Independent Director | 6.17yrs | US$47.00k | 0.052% $65.3k | |
| Independent Director | 4.17yrs | US$44.50k | 0.076% $95.3k | |
| Independent Director | 4.17yrs | US$47.00k | 0.11% $134.8k | |
| Independent Director | 4.17yrs | US$47.00k | 0.068% $84.5k |
6.2yrs
Average Tenure
63yo
Average Age
Experienced Board: SHBI's board of directors are considered experienced (6 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: SHBI 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
Shore Bancshares, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Shore Bancshares, Inc.
- Ticker: SHBI
- Exchange: NasdaqGS
- Founded: 1876
- Industry: Regional Banks
- Sector: Banks
- Market Cap: US$125.237m
- Shares outstanding: 12.52m
- Website: https://www.shoreunitedbank.com/shore-bancshares--inc-
Number of Employees
Location
- Shore Bancshares, Inc.
- 28969 Information Lane
- Easton
- Maryland
- 21601
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| SHBI | NasdaqGS (Nasdaq Global Select) | Yes | Common Stock | US | USD | Jan 1975 |
Biography
Shore Bancshares, Inc. operates as a bank holding company for the Shore United Bank that provides various commercial banking products and services to individuals, businesses, and other organizations. It offers various deposit products, including checking, savings, and money market accounts; and regular and IRA certificates of deposit, as well as CDARS programs and cash management services. The company also provides commercial loans, such as secured and unsecured loans, working capital loans, lines of credit, term loans, accounts receivable financing, real estate acquisition and development loans, construction loans, and letters of credit; residential real estate construction loans; residential mortgage loans; and loans to consumers comprising home equity, automobile, installment, home improvement, and personal lines of credit. In addition, it offers safe deposit boxes; debit and credit cards; direct deposit of payroll; merchant credit card clearing services; telephone, mobile, and Internet banking services; and automatic teller machine (ATM) services. Further, the company provides non-deposit products, such as mutual funds and annuities, and discount brokerage services; and trust, asset management, and financial planning services. It operates 21 full service branches, 23 ATMs, 2 loan production offices in Baltimore City, Baltimore County, Howard County, Kent County, Queen Anne’s County, Caroline County, Talbot County, Worcester, and Dorchester County in Maryland; Kent County, Delaware; and Accomack County, Virginia. Shore Bancshares, Inc. was founded in 1876 and is headquartered in Easton, Maryland.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/06/01 02:33 |
| End of Day Share Price | 2020/05/29 00:00 |
| Earnings | 2020/03/31 |
| Annual Earnings | 2019/12/31 |
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.