OTCPK:HRSM.F

Stock Analysis Report

Executive Summary

The Hiroshima Bank, Ltd., together with its subsidiaries, provides financial services primarily in Hiroshima, Okayama, Yamaguchi, and Ehime prefectures.

Snowflake

Fundamentals

Excellent balance sheet and fair value.

Share Price & News

How has Hiroshima Bank's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

0%

OTCPK:HRSM.F

3.3%

US Banks

2.1%

US Market


1 Year Return

n/a

OTCPK:HRSM.F

-13.8%

US Banks

-0.04%

US Market

No trading data on HRSM.F.

No trading data on HRSM.F.


Share holder returns

HRSM.FIndustryMarket
7 Day0%3.3%2.1%
30 Day0%-7.0%-3.2%
90 Day0%-2.3%2.8%
1 Yearn/a-11.3%-13.8%2.2%-0.04%
3 Yearn/a42.5%32.7%41.5%32.3%
5 Yearn/a54.2%37.6%55.0%37.8%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Hiroshima Bank undervalued based on future cash flows and its price relative to the stock market?

6.88x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

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

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


Price Based on Earnings

Hiroshima Bank is good value based on earnings compared to the US Banks industry average.

Hiroshima Bank is good value based on earnings compared to the United States of America market.


Price Based on Expected Growth

Hiroshima Bank earnings are not expected to grow next year, we can't assess if its growth is good value.


Price Based on Value of Assets

Hiroshima Bank is good value based on assets compared to the US Banks industry average.


Next Steps

Future Growth

How is Hiroshima Bank expected to perform in the next 1 to 3 years based on estimates from 3 analysts?

-2.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Hiroshima Bank's revenue is expected to grow by 5.4% yearly, however this is not considered high growth (20% yearly).

Hiroshima Bank's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.

Hiroshima Bank's revenue growth is positive but not above the United States of America market average.

Hiroshima Bank's earnings are expected to decrease over the next 1-3 years, this is below the United States of America market average.

Hiroshima Bank's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Hiroshima Bank is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Hiroshima Bank performed over the past 5 years?

-1.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Hiroshima Bank's year on year earnings growth rate was negative over the past 5 years, however the most recent earnings are above average.

Hiroshima Bank's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Hiroshima Bank's 1-year earnings growth is negative, it can't be compared to the US Banks industry average.


Return on Equity

Hiroshima Bank has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Hiroshima Bank used its assets less efficiently than the US Banks industry average last year based on Return on Assets.


Return on Capital Employed

Unable to establish if Hiroshima Bank 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 Hiroshima Bank'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

Hiroshima Bank has an acceptable proportion of non-loan assets held.

Hiroshima Bank has a low allowance for bad loans.

Hiroshima Bank's liabilities are made up of primarily low risk sources of funding.

Hiroshima Bank's level of assets compared to its equity is moderate (i.e. an appropriate level of borrowing to fund lending).

Loans at Hiroshima Bank are broadly funded by customer deposits.

Hiroshima Bank has an acceptable level of bad loans (less than 2%).


Next Steps

Dividend

What is Hiroshima Bank's current dividend yield, its reliability and sustainability?

3.07%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Hiroshima Bank's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.47%).

Hiroshima Bank's dividend is below the markets top 25% of dividend payers in United States of America (3.75%).

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

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are well covered by earnings (4.3x 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 Hiroshima Bank's salary, the management and board of directors tenure and is there insider trading?

0.6yrs

Average management tenure


CEO

Toshio Heya (58yo)

0.9yrs

Tenure

0

Toshio Heya has been a Director at Hiroshima Bank Ltd. since June 28, 2018 and has been its President since June 2018. Apr. 1983: Joined Hiroshima Bank, Ltd. Apr. 2008: General Manager of Hiroshima Higa ...


Management Age and Tenure

0.6yrs

Average Tenure

59yo

Average Age

The average tenure for the Hiroshima Bank management team is less than 2 years, this suggests a new team.


Board Age and Tenure

2.4yrs

Average Tenure

59yo

Average Age

The average tenure for the Hiroshima Bank board of directors is less than 3 years, this suggests a new board.


Insider Trading

No 3 month insider trading information.


Ownership Breakdown


Management Team

  • Kimio Okano

    Managing Executive Officer

    • Tenure: 0.3yrs
  • Tohru Hirota (60yo)

    Senior Managing Executive Officer & Director

    • Tenure: 4.1yrs
  • Yusou Araki (59yo)

    Senior Managing Executive Officer & Director

    • Tenure: 1.9yrs
  • Toshio Heya (58yo)

    President & Director

    • Tenure: 0.9yrs
  • Hiroshi Honkawa

    Senior Managing Executive Officer

    • Tenure: 0.3yrs
  • Ikuo Kojiri

    Senior Managing Executive Officer

    • Tenure: 0.3yrs
  • Akira Ogi

    Managing Executive Officer

    • Tenure: 0.3yrs
  • Kawashiro Tokushima

    Assistant Manager

    • Tenure: 0.0yrs
  • Hiroyuki Higashiyama

    Executive Officer

    • Tenure: 0.9yrs
  • Fumitsugu Kariyada

    Executive Officer

    • Tenure: 0.9yrs

Board Members

  • Satoshi Miura (74yo)

    Director

    • Tenure: 2.9yrs
  • Masahiro Sumikawa (70yo)

    External Director

    • Tenure: 5.9yrs
  • Koji Ikeda (65yo)

    Chairman

    • Tenure: 0.9yrs
  • Tohru Hirota (60yo)

    Senior Managing Executive Officer & Director

    • Tenure: 4.1yrs
  • Yusou Araki (59yo)

    Senior Managing Executive Officer & Director

    • Tenure: 1.9yrs
  • Toshio Heya (58yo)

    President & Director

    • Tenure: 0.9yrs
  • Kaori Maeda (59yo)

    Outside Director

    • Tenure: 3.9yrs
  • Yasushi Kojiri (57yo)

    Managing Executive Officer & Director

    • Tenure: 0.9yrs
  • Katsuhiko Nakama (57yo)

    Managing Executive Officer & Director

    • Tenure: 0.9yrs
  • Akira Maeda (56yo)

    Managing Executive Officer & Director

    • Tenure: 0.9yrs

Company Information

The Hiroshima Bank, Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: The Hiroshima Bank, Ltd.
  • Ticker: HRSM.F
  • Exchange: OTCPK
  • Founded: 1878
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: JP¥175.950b
  • Listing Market Cap: JP¥1.610b
  • Shares outstanding: 311.42m
  • Website: https://www.hirogin.co.jp

Number of Employees


Location

  • The Hiroshima Bank, Ltd.
  • 3-8, Kamiya-cho 1-chome
  • Naka-ku
  • Hiroshima
  • Hiroshima
  • 730-0031
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
8379TSE (The Tokyo Stock Exchange)YesCommon StockJPJPYJan 1992
HRSM.FOTCPK (Pink Sheets LLC)YesCommon StockUSUSDJan 1992

Biography

The Hiroshima Bank, Ltd., together with its subsidiaries, provides financial services primarily in Hiroshima, Okayama, Yamaguchi, and Ehime prefectures. The company offers various deposits and loans, money ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/05/26 00:10
End of Day Share Price2019/02/25 00:00
Earnings2019/03/31
Annual Earnings2019/03/31


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.