OTCPK:DSFN

Stock Analysis Report

Executive Summary

DSA Financial Corporation operates as the holding company for Dearborn Savings Bank that provides various financial services.

Rewards

Earnings grew by 17.2% over the past year

Pays a reliable dividend of 3.13%

Risk Analysis

Earnings have declined by -5.02% per year over past 5 years

Latest financial reports are more than 6 months old

Does not have meaningful revenue ($4M)

Does not have a meaningful market cap ($19M)



Snowflake Analysis

Proven track record with adequate balance sheet and pays a dividend.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: DSFN has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-1.1%

DSFN

-2.1%

US Mortgage

0.9%

US Market


1 Year Return

n/a

DSFN

6.8%

US Mortgage

20.0%

US Market

Return vs Industry: Insufficient data to determine how DSFN performed against the US Mortgage industry.

Return vs Market: Insufficient data to determine how DSFN performed against the US Market.


Shareholder returns

DSFNIndustryMarket
7 Day-1.1%-2.1%0.9%
30 Day-0.7%-1.6%1.4%
90 Day0.4%-1.9%8.8%
1 Yearn/a9.3%6.8%22.5%20.0%
3 Year42.8%27.7%19.3%10.9%49.9%40.3%
5 Year61.2%32.5%60.9%43.1%73.2%54.1%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

22.98x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: DSFN ($14.05) is trading above our estimate of fair value ($5.89)

Significantly Below Fair Value: DSFN is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: DSFN is poor value based on its PE Ratio (23x) compared to the Mortgage industry average (13.7x).

PE vs Market: DSFN is poor value based on its PE Ratio (23x) compared to the US market (18.4x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: DSFN is overvalued based on its PB Ratio (1.3x) compared to the US Mortgage industry average (1.1x).


Next Steps

Future Growth

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

6.4%

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 DSA Financial 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.


Next Steps

Past Performance

How has DSA Financial performed over the past 5 years?

-5.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: DSFN has high quality earnings.

Growing Profit Margin: DSFN's current net profit margins (19.9%) are higher than last year (16.7%).


Past Earnings Growth Analysis

Earnings Trend: DSFN's earnings have declined by -5% per year over the past 5 years.

Accelerating Growth: DSFN's earnings growth over the past year (17.2%) exceeds its 5-year average (-5% per year).

Earnings vs Industry: DSFN earnings growth over the past year (17.2%) exceeded the Mortgage industry 11.1%.


Return on Equity

High ROE: DSFN's Return on Equity (5.4%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is DSA Financial'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: DSFN has a low level of unsold assets or inventory.

Debt Coverage by Assets: DSFN's debt is not covered by short term assets (assets are 0.9x debt).


Financial Institutions Analysis

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

Allowance for Bad Loans: Insufficient data to determine if DSFN has a sufficient allowance for bad loans.

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

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

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

Level of Bad Loans: Insufficient data to determine if DSFN has an appropriate level of bad loans.


Next Steps

Dividend

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

3.13%

Current Dividend Yield


Dividend Yield vs Market

company3.1%marketbottom25%1.4%markettop25%3.7%industryaverage2.9%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: DSFN's dividend (3.13%) is higher than the bottom 25% of dividend payers in the US market (1.44%).

High Dividend: DSFN's dividend (3.13%) is low compared to the top 25% of dividend payers in the US market (3.69%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (72%), DSFN's dividend payments are 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?

10.2yrs

Average board tenure


CEO

John Young (50yo)

4.3yrs

Tenure

0

Mr. John P. Young has been the Chief Executive Officer and President of Dearborn Savings Bank and DSA Financial Corp. from September 18, 2015. Mr. Young joined Dearborn Savings in 2009 as the Director of L ...


Board Members

NamePositionTenureCompensationOwnership
David Lorey
Chairman of the Board10.2yrsno datano data
Ronald Denney
Vice Chairman of the Board0yrsno datano data
Dennis Richter
Director16.1yrsno datano data
Daniel Hummel
Director3.9yrsno datano data
Charles Brandel
Secretary10.2yrsno datano data

10.2yrs

Average Tenure

64yo

Average Age

Experienced Board: DSFN's board of directors are seasoned and experienced ( 10.2 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.


Top Shareholders

Company Information

DSA Financial Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: DSA Financial Corporation
  • Ticker: DSFN
  • Exchange: OTCPK
  • Founded: 2004
  • Industry: Thrifts and Mortgage Finance
  • Sector: Banks
  • Market Cap: US$18.930m
  • Shares outstanding: 1.35m
  • Website: https://www.dearbornsavings.com

Location

  • DSA Financial Corporation
  • 595 West Eads Parkway
  • Lawrenceburg
  • Indiana
  • 47025
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
DSFNOTCPK (Pink Sheets LLC)YesCommon StockUSUSDApr 1994

Biography

DSA Financial Corporation operates as the holding company for Dearborn Savings Bank that provides various financial services. The company offers checking accounts, savings accounts, certificate of deposits, and IRA accounts, as well as residential, residential construction, home equity, business loans. DSA Financial Corporation was incorporated in 2004 and is based in Lawrenceburg, Indiana. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/18 00:02
End of Day Share Price2020/02/13 00:00
Earnings2019/03/31
Annual Earnings2018/06/30


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.