OTCPK:FSRL

Stock Analysis Report

First Reliance Bancshares

Executive Summary

First Reliance Bancshares, Inc. operates as the holding company for First Reliance Bank that provides banking services in the United States.

Snowflake

Fundamentals

Flawless balance sheet and slightly overvalued.

Share Price & News

How has First Reliance Bancshares's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-1.9%

FSRL

1.7%

US Banks

1.3%

US Market


1 Year Return

9.0%

FSRL

0.3%

US Banks

5.9%

US Market

Return vs Industry: FSRL exceeded the US Banks industry which returned 0.3% over the past year.

Return vs Market: FSRL exceeded the US Market which returned 5.9% over the past year.


Shareholder returns

FSRLIndustryMarket
7 Day-1.9%1.7%1.3%
30 Day-2.5%-2.4%-1.9%
90 Day10.4%1.0%-1.8%
1 Year9.0%9.0%3.2%0.3%8.3%5.9%
3 Year45.7%45.7%52.1%41.7%45.6%36.2%
5 Year150.0%150.0%69.8%51.4%66.1%47.9%

Price Volatility Vs. Market

How volatile is First Reliance Bancshares's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is First Reliance Bancshares undervalued compared to its fair value and its price relative to the market?

15.47x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Undervalued: FSRL ($7.75) is trading above our estimate of fair value ($3.4)

Significantly Undervalued: FSRL is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: FSRL is poor value based on its PE Ratio (15.5x) compared to the Banks industry average (12.5x).

PE vs Market: FSRL is good value based on its PE Ratio (15.5x) compared to the US market (17.5x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: FSRL is good value based on its PB Ratio (1.2x) compared to the US Banks industry average (1.2x).


Next Steps

Future Growth

How is First Reliance Bancshares forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

13.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: FSRL's forecast earnings growth (13.4% per year) is above the savings rate (2.7%).

Earnings vs Market: FSRL's earnings (13.4% per year) are forecast to grow slower than the US market (14.4% per year).

High Growth Earnings: FSRL's earnings are forecast to grow, but not significantly.

Revenue vs Market: Insufficient data to determine if FSRL's revenue is forecast to grow faster than the US market.

High Growth Revenue: Insufficient data to determine if FSRL's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: Insufficient data to determine if FSRL's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has First Reliance Bancshares performed over the past 5 years?

-4.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: FSRL has become profitable over the past 5 years, growing earnings by -4.1% per year.

Accelerating Growth: FSRL has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: FSRL has become profitable in the last year, making it difficult to compare its past year earnings growth to the Banks industry (31.8%).


Return on Equity

High ROE: FSRL's Return on Equity (7%) is considered low.


Return on Assets

ROA vs Industry: FSRL's Return on Assets is below or equal to the Banks industry average last year.


Return on Capital Employed

ROCE Improving: Insufficient data to calculate FSRL's Return on Capital Employed to determine if it has improved over the past 3 years.


Next Steps

Financial Health

How is First Reliance 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

Inventory Level: FSRL has a low level of unsold assets or inventory.

Debt Coverage by Assets: FSRL's debt is covered by short term assets (assets are 1.146420x debt).


Financial Institutions Analysis

Asset Level: FSRL's level of assets compared to its equity is moderate.

Allowance for Bad Loans: FSRL has a sufficient allowance for bad loans.

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

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

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

Level of Bad Loans: FSRL has an appropriate level of bad loans (0.5%)


Next Steps

Dividend

What is First Reliance Bancshares's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.5%markettop25%3.8%industryaverage3.1%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

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

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

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

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


Current Payout to Shareholders

Dividend 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 FSRL's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

What is the CEO of First Reliance Bancshares's salary, the management and board of directors tenure and is there insider trading?

17.1yrs

Average management tenure


CEO

Rick Saunders (58yo)

18.5yrs

Tenure

US$411,306

Compensation

Background: Mr. Fredrick Saunders has worked in finance and banking as his career of choice from an early age. From 1983 through 1997, he was Senior Vice President and City Executive of Florence for Pee D ...


CEO Compensation Analysis

Compensation vs. Market: Rick's total compensation ($USD0.00) is too low to compare against companies of similar size in the US market ($USD495.77K).

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


Management Age and Tenure

17.1yrs

Average Tenure

56.5yo

Average Age

Experienced Management: FSRL's management team is seasoned and experienced (17.1 years average tenure).


Board Age and Tenure

17.5yrs

Average Tenure

66yo

Average Age

Experienced Board: FSRL's board of directors are seasoned and experienced ( 17.5 years average tenure).


Insider Trading

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


Ownership Breakdown


Management Team

  • Rick Saunders (58yo)

    President

    • Tenure: 18.5yrs
    • Compensation: US$411.31k
  • Paul Saunders (57yo)

    Senior VP

    • Tenure: 18.5yrs
    • Compensation: US$9.50k
  • A. Porter (68yo)

    VP, Senior Loan Administrator & Director

    • Tenure: 18.5yrs
    • Compensation: US$17.20k
  • Jeff Paolucci (49yo)

    Executive VP

    • Tenure: 16.4yrs
    • Compensation: US$306.83k
  • Jack McElveen (56yo)

    Executive VP & Chief Credit Officer

    • Tenure: 0yrs
  • David Barksdale (55yo)

    President of North Carolina - First Reliance Bank

    • Tenure: 1.8yrs
  • Chuck Stuart

    Executive Vice President of Mortgage Lending

    • Tenure: 0yrs
  • Ben Brazell

    President of South Carolina - First Reliance Bank

    • Tenure: 0yrs

Board Members

  • Rick Saunders (58yo)

    President

    • Tenure: 18.5yrs
    • Compensation: US$411.31k
  • Paul Saunders (57yo)

    Senior VP

    • Tenure: 18.5yrs
    • Compensation: US$9.50k
  • A. Porter (68yo)

    VP, Senior Loan Administrator & Director

    • Tenure: 18.5yrs
    • Compensation: US$17.20k
  • John Jebaily (67yo)

    Director

    • Tenure: 18.5yrs
    • Compensation: US$17.70k
  • C. Lusk (60yo)

    Director

    • Tenure: 18.5yrs
    • Compensation: US$16.95k
  • Jay Lingle (66yo)

    Director

    • Tenure: 8.5yrs
    • Compensation: US$14.75k
  • Jeff Paolucci (49yo)

    Executive VP

    • Tenure: 16.4yrs
    • Compensation: US$306.83k
  • J. Scott (73yo)

    Chairman of the Board

    • Tenure: 2.6yrs
    • Compensation: US$14.80k
  • Cass Parris (68yo)

    Director

    • Tenure: 8yrs
    • Compensation: US$11.55k
  • Kerstin Nemec

    Director

    • Tenure: 2.2yrs

Company Information

First Reliance Bancshares, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: First Reliance Bancshares, Inc.
  • Ticker: FSRL
  • Exchange: OTCPK
  • Founded: 1999
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$64.583m
  • Shares outstanding: 8.33m
  • Website: https://www.firstreliance.com

Number of Employees


Location

  • First Reliance Bancshares, Inc.
  • 2170 West Palmetto Street
  • Florence
  • South Carolina
  • 29501
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
FSRLOTCPK (Pink Sheets LLC)YesCommon StockUSUSDMar 2004

Biography

First Reliance Bancshares, Inc. operates as the holding company for First Reliance Bank that provides banking services in the United States. The company offers checking, savings, and individual retirement  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/14 23:49
End of Day Share Price2019/10/14 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.