First Commerce Bank (OTCPK:CMRB) - Share price, News & Analysis

CMRB fundamental analysis
Snowflake Score
Valuation	4/6
Future Growth	0/6
Past Performance	5/6
Financial Health	6/6
Dividends	0/6

CMRB Stock Overview

First Commerce Bank provides various banking products and services to small and medium-sized businesses, professional entities, and individuals.

Rewards

Trading at 51% below our estimate of its fair value

Earnings grew by 37.6% over the past year

Risk Analysis

No risks detected for CMRB from our risk checks.

First Commerce Bank Competitors

Price History & Performance

Summary of all time highs, changes and price drops for First Commerce Bank
Historical stock prices
Current Share Price	US$6.56
52 Week High	US$6.70
52 Week Low	US$5.35
Beta	0.50
1 Month Change	0.15%
3 Month Change	0.92%
1 Year Change	19.27%
3 Year Change	11.19%
5 Year Change	26.15%
Change since IPO	0.92%

Shareholder Returns

	CMRB	US Banks	US Market
7D	0.08%	0.3%	-0.9%
1Y	19.3%	-16.9%	-20.8%

Return vs Industry: CMRB exceeded the US Banks industry which returned -16.9% over the past year.

Return vs Market: CMRB exceeded the US Market which returned -20.8% over the past year.

Price Volatility

Is CMRB's price volatile compared to industry and market?
CMRB volatility
CMRB Average Weekly Movement	1.4%
Banks Industry Average Movement	3.8%
Market Average Movement	7.9%
10% most volatile stocks in US Market	16.5%
10% least volatile stocks in US Market	3.1%

Stable Share Price: CMRB is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 1% a week.

Volatility Over Time: CMRB's weekly volatility (1%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
2006	n/a	Donald Mindiak	https://www.firstcommercebk.com

First Commerce Bank provides various banking products and services to small and medium-sized businesses, professional entities, and individuals. Its business banking products and services include checking, business statement savings, money market, and deposit escrow sub-accounts, as well as ACH origination and remote deposit services; and personal banking products and services comprising checking, money market, and savings accounts. The company offers commercial/business loans, such as commercial mortgage, construction, SBA, and term loans, and equipment financing services, as well as line of credit.

First Commerce Bank Fundamentals Summary

How do First Commerce Bank's earnings and revenue compare to its market cap?
CMRB fundamental statistics
Market Cap	US$152.25m
Earnings (TTM)	US$16.64m
Revenue (TTM)	US$45.90m

9.2x

P/E Ratio

0.9x

P/B Ratio

Is CMRB overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
CMRB income statement (TTM)
Revenue	US$45.90m
Cost of Revenue	US$0
Gross Profit	US$45.90m
Other Expenses	US$29.27m
Earnings	US$16.64m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	0.72
Gross Margin	100.00%
Net Profit Margin	36.24%
Debt/Equity Ratio	0%

How did CMRB perform over the long term?

See historical performance and comparison

We’ve recently updated our valuation analysis.

Valuation

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

Valuation Score

4/6

Valuation Score 4/6

Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
PEG Ratio

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for CMRB. This is calculated by dividing CMRB's market cap by their current preferred multiple.
What is CMRB's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	US$152.25m

CMRB 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/Revenue	n/a
Enterprise Value/EBITDA	n/a
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

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

CMRB PE Ratio vs Peers

The above table shows the PE ratio for CMRB vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PE	Estimated Growth	Market Cap
Peer Average	12x

Forward PE

Price-To-Earnings vs Peers: CMRB is good value based on its Price-To-Earnings Ratio (9.2x) compared to the peer average (12x).

Price to Earnings Ratio vs Industry

How does CMRB's PE Ratio compare vs other companies in the U.S. Banks Industry?

Price-To-Earnings vs Industry: CMRB is good value based on its Price-To-Earnings Ratio (9.2x) compared to the US Banks industry average (9.6x)

Price to Earnings Ratio vs Fair Ratio

What is CMRB'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.

CMRB PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	9.2x
Fair PE Ratio	n/a

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

Share Price vs Fair Value

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

Below Fair Value: CMRB ($6.56) is trading below our estimate of fair value ($13.38)

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

Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate CMRB's PEG Ratio to determine if it is good value.

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Future Growth

How is First Commerce Bank 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

10.1%

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 First Commerce Bank 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.

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Examine whether First Commerce Bank 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.
While we do not consider unaudited financials to be a reliable enough to include in our analysis, you can access them on the OTC Markets Website. If you are looking for more of a qualitative research into the company, you can access First Commerce Bank's filings and announcements here.

Past Performance

How has First Commerce Bank performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

5.9%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: CMRB has high quality earnings.

Growing Profit Margin: CMRB's current net profit margins (36.2%) are higher than last year (32.3%).

Past Earnings Growth Analysis

Earnings Trend: CMRB's earnings have grown by 5.9% per year over the past 5 years.

Accelerating Growth: CMRB's earnings growth over the past year (37.6%) exceeds its 5-year average (5.9% per year).

Earnings vs Industry: CMRB earnings growth over the past year (37.6%) exceeded the Banks industry 20.7%.

Return on Equity

High ROE: CMRB's Return on Equity (9.5%) is considered low.

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Financial Health

How is First Commerce Bank'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: CMRB's Assets to Equity ratio (6.6x) is low.

Allowance for Bad Loans: CMRB has a sufficient allowance for bad loans (194%).

Low Risk Liabilities: 98% of CMRB's liabilities are made up of primarily low risk sources of funding.

Loan Level: CMRB has an appropriate level of Loans to Assets ratio (79%).

Low Risk Deposits: CMRB's Loans to Deposits ratio (95%) is appropriate.

Level of Bad Loans: CMRB has an appropriate level of bad loans (1%).

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Dividend

What is First Commerce Bank current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

Dividend Yield vs Market

Notable Dividend: Unable to evaluate CMRB's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate CMRB's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.

Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if CMRB's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if CMRB's dividend payments have been increasing.

Current Payout to Shareholders

Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.

Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of CMRB's dividend in 3 years as they are not forecast to pay a notable one for the US market.

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Management

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

1.1yrs

Average management tenure

CEO

Donald Mindiak (62 yo)

1.42yrs

Tenure

Mr. Donald Mindiak serves as President of First Commerce Bank since 2021 and serves as its Chief Executive Officer since March 11, 2022. He served as Chief Operating Officer of First Commerce Bank since 20...

Leadership Team

Experienced Management: CMRB's management team is not considered experienced ( 1.1 years average tenure), which suggests a new team.

Board Members

Experienced Board: CMRB's board of directors are seasoned and experienced ( 12.4 years average tenure).

Ownership

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

Insider Trading Volume

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

Ownership Breakdown

Dilution of Shares: Insufficient data to determine if shareholders have been diluted in the past year.

Data	Last Updated (UTC time)
Company Analysis	2022/06/23 00:00
End of Day Share Price	2022/06/17 00:00
Earnings	2022/03/31
Annual Earnings	2021/12/31