NasdaqGS:WNEB

Stock Analysis Report

Western New England Bancorp

Executive Summary

Western New England Bancorp, Inc. operates as the holding company for Westfield Bank that provides commercial and retail banking products and services to individuals and businesses.

Snowflake

Fundamentals

Excellent balance sheet and slightly overvalued.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-3.1%

NasdaqGS:WNEB

2.1%

US Mortgage

2.1%

US Market


1 Year Return

-21.6%

NasdaqGS:WNEB

-0.7%

US Mortgage

-0.04%

US Market

WNEB underperformed the Mortgage industry which returned -0.7% over the past year.

WNEB underperformed the Market in United States of America which returned -0% over the past year.


Share holder returns

WNEBIndustryMarket
7 Day-3.1%2.1%2.1%
30 Day-7.2%-1.9%-3.2%
90 Day-8.8%0.6%2.8%
1 Year-20.0%-21.6%1.4%-0.7%2.2%-0.04%
3 Year16.8%11.4%32.9%24.1%41.5%32.3%
5 Year26.9%17.2%59.3%42.6%55.0%37.8%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Western New England Bancorp undervalued based on future cash flows and its price relative to the stock market?

16.22x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Western New England Bancorp's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Western New England Bancorp's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Western New England Bancorp is overvalued based on earnings compared to the US Mortgage industry average.

Western New England Bancorp is good value based on earnings compared to the United States of America market.


Price Based on Expected Growth

Western New England Bancorp is poor value based on expected growth next year.


Price Based on Value of Assets

Western New England Bancorp is good value based on assets compared to the US Mortgage industry average.


Next Steps

Future Growth

How is Western New England Bancorp expected to perform in the next 1 to 3 years based on estimates from 5 analysts?

3.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Western New England Bancorp's revenue is expected to grow by 0.9% yearly, however this is not considered high growth (20% yearly).

Western New England Bancorp's earnings are expected to grow by 3.4% yearly, however this is not considered high growth (20% yearly).

Western New England Bancorp's revenue growth is positive but not above the United States of America market average.

Western New England Bancorp's earnings growth is positive but not above the United States of America market average.

Western New England Bancorp's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if Western New England Bancorp will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has Western New England Bancorp performed over the past 5 years?

24.2%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Western New England Bancorp has delivered over 20% year on year earnings growth in the past 5 years.

Western New England Bancorp's 1-year earnings growth is less than its 5-year average (19.1% vs 24.2%)

Western New England Bancorp's earnings growth has not exceeded the US Mortgage industry average in the past year (19.1% vs 32.9%).


Return on Equity

Western New England Bancorp has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Western New England Bancorp used its assets less efficiently than the US Mortgage industry average last year based on Return on Assets.


Return on Capital Employed

Unable to establish if Western New England Bancorp improved its use of capital last year versus 3 years ago (Return on Capital Employed) due to insufficient past data.


Next Steps

Financial Health

How is Western New England 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

Information is not available.

Information is not available.


Financial Institutions Analysis

Western New England Bancorp has an acceptable proportion of non-loan assets held.

Western New England Bancorp has a low allowance for bad loans.

Western New England Bancorp's liabilities are made up of primarily low risk sources of funding.

Western New England Bancorp's level of assets compared to its equity is low (i.e. an appropriate level of borrowing to fund lending).

Loans at Western New England Bancorp are broadly funded by customer deposits.

Western New England Bancorp has an acceptable level of bad loans (less than 2%).


Next Steps

Dividend

What is Western New England Bancorp's current dividend yield, its reliability and sustainability?

2.47%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Western New England Bancorp's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.49%).

Western New England Bancorp's dividend is below the markets top 25% of dividend payers in United States of America (3.82%).

Dividends per share have been volatile in the past 10 years (annual drop of over 20%).

Dividends per share have fallen over the past 10 years.


Current Payout to Shareholders

Dividends paid are well covered by earnings (2.9x coverage).


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

What is the CEO of Western New England Bancorp's salary, the management and board of directors tenure and is there insider trading?

6.8yrs

Average management tenure


CEO

Jim Hagan (58yo)

10.7yrs

Tenure

US$752,738

Compensation

Mr. James C. Hagan, also known as Jim, has been the Chief Executive Officer of Western New England Bancorp, Inc. (formerly Westfield Financial Inc.) and Westfield Bank since December 31, 2008. Mr. Hagan ha ...


CEO Compensation Analysis

Jim's remuneration is lower than average for companies of similar size in United States of America.

Jim's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

6.8yrs

Average Tenure

57yo

Average Age

The average tenure for the Western New England Bancorp management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

5.9yrs

Average Tenure

60yo

Average Age

The tenure for the Western New England Bancorp board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

SellUS$550,56519 Mar 19
William Wagner
EntityIndividual
Role
Vice Chairman
Senior VP
Shares55,600
Max PriceUS$9.95
SellUS$17,61419 Mar 19
William Wagner
EntityIndividual
Role
Vice Chairman
Senior VP
Shares1,772
Max PriceUS$9.94
SellUS$20,52413 Mar 19
Allen Miles
EntityIndividual
Role
Senior Key Executive
Executive VP & Senior Lender
Shares1,904
Max PriceUS$10.95
BuyUS$9,85026 Feb 19
Lisa McMahon
EntityIndividual
Role
Member of the Board of Directors
Director
Shares1,000
Max PriceUS$9.85
SellUS$1,14009 Nov 18
Allen Miles
EntityIndividual
Role
Senior Key Executive
Executive VP & Senior Lender
Shares114
Max PriceUS$10.00
BuyUS$4,92508 Nov 18
Christos Tapases
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares500
Max PriceUS$9.85
BuyUS$41,16630 Oct 18
Philip Smith
EntityIndividual
Role
Member of the Board of Directors
Director
Shares4,000
Max PriceUS$10.29

Ownership Breakdown


Management Team

  • Jim Hagan (58yo)

    President

    • Tenure: 10.7yrs
    • Compensation: US$752.74k
  • Debbie McCarthy (60yo)

    SVP & Manager of the Deposit Operations Department and Electronic Banking Departments

    • Tenure: 18.6yrs
    • Compensation: US$197.52k
  • Leo Sagan (56yo)

    Senior VP & Chief Risk Officer

    • Tenure: 2.3yrs
    • Compensation: US$422.86k
  • Gerald Ciejka (58yo)

    SVP, General Counsel & Director of HR

    • Tenure: 0.0yrs
    • Compensation: US$423.63k
  • Bill Wagner (73yo)

    Senior VP

    • Tenure: 2.8yrs
    • Compensation: US$382.52k
  • Allen Miles (56yo)

    Executive VP & Senior Lender

    • Tenure: 14.0yrs
    • Compensation: US$388.09k
  • Teri Szlosek

    Corporate Secretary & Administrative Officer

    • Tenure: 0.0yrs
  • Guida Sajdak (46yo)

    CFO, Executive VP & Treasurer

    • Tenure: 2.3yrs
    • Compensation: US$314.05k
  • Darlene Libiszewski (53yo)

    Senior VP & Chief Information Officer

    • Tenure: 2.8yrs
  • Meghan Hibner

    Vice President

    • Tenure: 0.0yrs

Board Members

  • Jim Hagan (58yo)

    President

    • Tenure: 10.7yrs
    • Compensation: US$752.74k
  • Gary Fitzgerald (53yo)

    Director

    • Tenure: 2.8yrs
    • Compensation: US$38.40k
  • Philip Smith (63yo)

    Director

    • Tenure: 10.3yrs
    • Compensation: US$50.64k
  • Steven Richter (63yo)

    Director

    • Tenure: 8.3yrs
    • Compensation: US$36.40k
  • Bill Wagner (73yo)

    Senior VP

    • Tenure: 2.8yrs
    • Compensation: US$382.52k
  • Gregg Orlen (70yo)

    Director

    • Tenure: 2.8yrs
    • Compensation: US$33.90k
  • Kevin Sweeney (53yo)

    Director

    • Tenure: 6.6yrs
    • Compensation: US$39.20k
  • Donna Damon (60yo)

    Director

    • Tenure: 8.3yrs
    • Compensation: US$37.90k
  • Chris Tapases (59yo)

    Chairman of the Board

    • Tenure: 1.3yrs
    • Compensation: US$66.34k
  • Lisa McMahon (60yo)

    Director

    • Tenure: 5.3yrs
    • Compensation: US$37.80k

Company Information

Western New England Bancorp, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Western New England Bancorp, Inc.
  • Ticker: WNEB
  • Exchange: NasdaqGS
  • Founded: 1853
  • Industry: Thrifts and Mortgage Finance
  • Sector: Banks
  • Market Cap: US$220.235m
  • Shares outstanding: 25.88m
  • Website: https://www.westfieldbank.com

Number of Employees


Location

  • Western New England Bancorp, Inc.
  • 141 Elm Street
  • Westfield
  • Massachusetts
  • 1085
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
WNEBNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDDec 2001

Biography

Western New England Bancorp, Inc. operates as the holding company for Westfield Bank that provides commercial and retail banking products and services to individuals and businesses. The company accepts var ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/24 00:05
End of Day Share Price2019/08/23 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.