company background image
UNB

Union Bankshares NasdaqGM:UNB Stock Report

Last Price

US$27.17

Market Cap

US$122.1m

7D

7.8%

1Y

-19.2%

Updated

06 Aug, 2022

Data

Company Financials
UNB fundamental analysis
Snowflake Score
Valuation3/6
Future Growth0/6
Past Performance3/6
Financial Health6/6
Dividends5/6

UNB Stock Overview

Union Bankshares, Inc. operates as the bank holding company for Union Bank that provides retail, commercial, and municipal banking products and services in northern Vermont and New Hampshire.

Rewards

Trading at 63.3% below our estimate of its fair value

Pays a high and reliable dividend of 5.15%

Risk Analysis

No risks detected for UNB from our risk checks.

Union Bankshares Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Union Bankshares
Historical stock prices
Current Share PriceUS$27.17
52 Week HighUS$37.99
52 Week LowUS$24.82
Beta0.78
1 Month Change1.27%
3 Month Change-8.36%
1 Year Change-19.23%
3 Year Change-8.67%
5 Year Change-35.92%
Change since IPO213.50%

Recent News & Updates

Jul 20

Union Bankshares GAAP EPS of $0.65, Net interest income of $9.7M

Union Bankshares press release (NASDAQ:UNB): Q2 GAAP EPS of $0.65. Net interest income of $9.7M (+9.0% Y/Y).

Shareholder Returns

UNBUS BanksUS Market
7D7.8%0.3%1.0%
1Y-19.2%-14.1%-12.9%

Return vs Industry: UNB underperformed the US Banks industry which returned -14.1% over the past year.

Return vs Market: UNB underperformed the US Market which returned -12.8% over the past year.

Price Volatility

Is UNB's price volatile compared to industry and market?
UNB volatility
UNB Average Weekly Movement4.8%
Banks Industry Average Movement3.7%
Market Average Movement7.9%
10% most volatile stocks in US Market17.1%
10% least volatile stocks in US Market3.2%

Stable Share Price: UNB is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: UNB's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1891194David Silvermanhttps://www.ublocal.com

Union Bankshares, Inc. operates as the bank holding company for Union Bank that provides retail, commercial, and municipal banking products and services in northern Vermont and New Hampshire. It offers retail depository services, such as personal checking, savings, money market, IRA/SEP/KEOGH, and health savings accounts, as well as certificates of deposit. The company also provides commercial real estate loans; commercial loans for plant and equipment, working capital, real estate renovation, and other business purposes to business owners and investors; small business administration guaranteed loans; home improvement loans and overdraft; and residential construction and mortgage loans.

Union Bankshares Fundamentals Summary

How do Union Bankshares's earnings and revenue compare to its market cap?
UNB fundamental statistics
Market CapUS$122.15m
Earnings (TTM)US$12.72m
Revenue (TTM)US$48.63m

9.6x

P/E Ratio

2.0x

P/B Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
UNB income statement (TTM)
RevenueUS$48.63m
Cost of RevenueUS$0
Gross ProfitUS$48.63m
Other ExpensesUS$35.92m
EarningsUS$12.72m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)2.83
Gross Margin100.00%
Net Profit Margin26.15%
Debt/Equity Ratio27.0%

How did UNB perform over the long term?

See historical performance and comparison

Dividends

5.2%

Current Dividend Yield

23%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is UNB undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for UNB?

Other financial metrics that can be useful for relative valuation.

UNB key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenuen/a
Enterprise Value/EBITDAn/a
PEG Ration/a

Price to Earnings Ratio vs Peers

How does UNB's PE Ratio compare to its peers?

UNB PE Ratio vs Peers
The above table shows the PE ratio for UNB vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average8.1x
FUNC First United
5.3xn/aUS$123.1m
CPKF Chesapeake Financial Shares
8.5x3.0%US$119.4m
CWBC Community West Bancshares
8.9x5.7%US$117.4m
DIMC Dimeco
10xn/aUS$119.7m
UNB Union Bankshares
9.6xn/aUS$122.1m

Price-To-Earnings vs Peers: UNB is expensive based on its Price-To-Earnings Ratio (9.6x) compared to the peer average (8.1x).


Price to Earnings Ratio vs Industry

How does UNB's PE Ratio compare vs other companies in the US Banks Industry?

Price-To-Earnings vs Industry: UNB is good value based on its Price-To-Earnings Ratio (9.6x) compared to the US Banks industry average (9.8x)


Price to Earnings Ratio vs Fair Ratio

What is UNB's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

UNB PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio9.6x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate UNB's Price-To-Earnings Fair Ratio for valuation analysis.


Share Price vs Fair Value

What is the Fair Price of UNB when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: UNB ($27.17) is trading below our estimate of fair value ($74.09)

Significantly Below Fair Value: UNB is trading below fair value by more than 20%.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.


Discover undervalued companies

Future Growth

How is Union Bankshares forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


10.4%

Forecasted Banks industry annual growth in earnings

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Union Bankshares has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Discover growth companies

  • Examine whether Union Bankshares is trading at an attractive price based on how much it is expected to earn in the future, and relative to its industry peers and the wider market.

Past Performance

How has Union Bankshares performed over the past 5 years?

Past Performance Score

3/6

Past Performance Score 3/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


11.8%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: UNB has high quality earnings.

Growing Profit Margin: UNB's current net profit margins (26.1%) are lower than last year (28.6%).


Past Earnings Growth Analysis

Earnings Trend: UNB's earnings have grown by 11.8% per year over the past 5 years.

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

Earnings vs Industry: UNB had negative earnings growth (-7.9%) over the past year, making it difficult to compare to the Banks industry average (9.2%).


Return on Equity

High ROE: UNB's Return on Equity (21.2%) is considered high.


Discover strong past performing companies

Financial Health

How is Union Bankshares's financial position? (This company is analysed differently as a bank or financial institution)

Financial Health Score

6/6

Financial Health Score 6/6

  • Asset Level

  • Allowance for Bad Loans

  • Low Risk Liabilities

  • Loan Level

  • Low Risk Deposits

  • Level of Bad Loans

Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet


Financial Institutions Analysis

Asset Level: UNB's Assets to Equity ratio (19.9x) is moderate.

Allowance for Bad Loans: UNB has a sufficient allowance for bad loans (180%).

Low Risk Liabilities: 97% of UNB's liabilities are made up of primarily low risk sources of funding.

Loan Level: UNB has an appropriate level of Loans to Assets ratio (68%).

Low Risk Deposits: UNB's Loans to Deposits ratio (74%) is appropriate.

Level of Bad Loans: UNB has an appropriate level of bad loans (0.6%).


Discover healthy companies

Dividend

What is Union Bankshares's current dividend yield, its reliability and sustainability?

Dividend Score

5/6

Dividend Score 5/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


5.15%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: UNB's dividend (5.15%) is higher than the bottom 25% of dividend payers in the US market (1.52%).

High Dividend: UNB's dividend (5.15%) is in the top 25% of dividend payers in the US market (4.09%)


Stability and Growth of Payments

Stable Dividend: UNB's dividends per share have been stable in the past 10 years.

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


Current Payout to Shareholders

Earnings Coverage: With its low payout ratio (23.4%), UNB'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 or that it will be covered by earnings.


Discover strong dividend paying companies

Management

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

9.3yrs

Average management tenure


CEO

David Silverman (61 yo)

11.33yrs

Tenure

US$740,688

Compensation

Mr. David Scott Silverman has been Chief Executive Officer of Union Bankshares, Inc., since May 16, 2012 and also serves as President and Chief Executive Officer of its subsidiary Union Bank. Mr. Silverman...


CEO Compensation Analysis

Compensation vs Market: David's total compensation ($USD740.69K) is about average for companies of similar size in the US market ($USD767.72K).

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


Leadership Team

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


Board Members

Experienced Board: UNB's board of directors are considered experienced (5.3 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: UNB 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

Union Bankshares, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Union Bankshares, Inc.
  • Ticker: UNB
  • Exchange: NasdaqGM
  • Founded: 1891
  • Industry: Regional Banks
  • Sector: Banks
  • Implied Market Cap: US$122.147m
  • Shares outstanding: 4.50m
  • Website: https://www.ublocal.com

Number of Employees


Location

  • Union Bankshares, Inc.
  • 20 Lower Main Street
  • PO Box 667
  • Morrisville
  • Vermont
  • 05661-0667
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/06 00:00
End of Day Share Price2022/08/05 00:00
Earnings2022/06/30
Annual Earnings2021/12/31


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.