Melrose Bancorp, Inc. operates as the bank holding company for Melrose Bank that provides various banking products and services.
Flawless balance sheet with poor track record.
Share Price & News
How has Melrose Bancorp's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: MELR has not had significant price volatility in the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: MELR exceeded the US Banks industry which returned -19.4% over the past year.
Return vs Market: MELR exceeded the US Market which returned 9.2% over the past year.
Price Volatility Vs. Market
How volatile is Melrose Bancorp's share price compared to the market and industry in the last 5 years?
Simply Wall St News
11 months ago | Simply Wall StShould You Worry About Melrose Bancorp, Inc.'s (NASDAQ:MELR) CEO Pay?
1 year ago | Simply Wall StRead This Before Buying Melrose Bancorp, Inc. (NASDAQ:MELR) Shares
1 year ago | Simply Wall StIntroducing Melrose Bancorp (NASDAQ:MELR), A Stock That Climbed 26% In The Last Three Years
Is Melrose Bancorp undervalued compared to its fair value and its price relative to the market?
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: MELR ($24.96) is trading above our estimate of fair value ($6.34)
Significantly Below Fair Value: MELR is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: MELR is poor value based on its PE Ratio (107.5x) compared to the Banks industry average (9.7x).
PE vs Market: MELR is poor value based on its PE Ratio (107.5x) compared to the US market (16.1x).
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate MELR's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: MELR is overvalued based on its PB Ratio (1.3x) compared to the US Banks industry average (0.8x).
How is Melrose Bancorp forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?
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 Melrose Bancorp 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.
- Examine Melrose Bancorp's financial health to determine how well-positioned it is against times of financial stress by looking at its level of debt over time and how much cash it has left.
- 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 Melrose Bancorp's filings and announcements here.
- Explore growth companies in the Banks industry.
How has Melrose Bancorp performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: MELR has a large one-off loss of $600.0K impacting its December 31 2019 financial results.
Growing Profit Margin: MELR's current net profit margins (6.7%) are lower than last year (22.3%).
Past Earnings Growth Analysis
Earnings Trend: MELR has become profitable over the past 5 years, growing earnings by 27.6% per year.
Accelerating Growth: MELR's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: MELR had negative earnings growth (-71.6%) over the past year, making it difficult to compare to the Banks industry average (2.8%).
Return on Equity
High ROE: MELR's Return on Equity (1.2%) is considered low.
How is Melrose Bancorp's financial position? (This company is analysed differently as a bank or financial institution)
Financial Position Analysis
Debt to Equity History and Analysis
Financial Institutions Analysis
Asset Level: MELR's Assets to Equity ratio (8.4x) is low.
Allowance for Bad Loans: MELR has a sufficient allowance for bad loans (921%).
Low Risk Liabilities: 90% of MELR's liabilities are made up of primarily low risk sources of funding.
Loan Level: MELR has an appropriate level of Loans to Assets ratio (84%).
Low Risk Deposits: MELR's Loans to Deposits ratio (106%) is appropriate.
Level of Bad Loans: MELR has an appropriate level of bad loans (0.1%).
What is Melrose Bancorp's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: MELR's dividend (1.36%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.65%).
High Dividend: MELR's dividend (1.36%) is low compared to the top 25% of dividend payers in the US market (4.39%).
Stability and Growth of Payments
Stable Dividend: Too early to tell whether MELR's dividend payments have been stable as they only just started paying a dividend.
Growing Dividend: Too early to tell if MELR's dividend payments are increasing as they only just started paying a dividend.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (146.4%), MELR's dividend payments are not well 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.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Jeff Jones (57yo)
Mr. Jeffrey D. Jones, also known as Jeff, has been President and Chief Executive Officer at Melrose Bancorp, Inc since 2001. Mr. Jones has been President and Chief Executive Officer of Melrose Cooperative ...
CEO Compensation Analysis
Compensation vs Market: Jeff's total compensation ($USD450.79K) is about average for companies of similar size in the US market ($USD589.00K).
Compensation vs Earnings: Jeff's compensation has been consistent with company performance over the past year.
|Senior VP & CFO||6.33yrs||US$246.83k||1.84% $909.3k|
|Senior VP of Lending & Marketing||2.42yrs||US$205.85k||2.34% $1.2m|
|Corporate Secretary||no data||no data||no data|
Experienced Management: MELR's management team is seasoned and experienced (6.3 years average tenure).
|Independent Chairman of the Board||6.33yrs||US$35.20k||2.23% $1.1m|
|Independent Director||6.33yrs||US$23.50k||1.62% $798.7k|
|Independent Director||6.33yrs||US$24.19k||1.52% $752.2k|
|Independent Director||no data||US$17.10k||1.51% $748.8k|
|Independent Director||6.33yrs||US$17.10k||1.55% $764.2k|
|Independent Director||4.58yrs||US$16.60k||0.076% $37.4k|
Experienced Board: MELR's board of directors are considered experienced (6.3 years average tenure).
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.
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Melrose Bancorp, Inc.'s company bio, employee growth, exchange listings and data sources
- Name: Melrose Bancorp, Inc.
- Ticker: MELR
- Exchange: OTCPK
- Founded: 1890
- Industry: Regional Banks
- Sector: Banks
- Market Cap: US$49.450m
- Shares outstanding: 1.98m
- Website: https://www.melrosebank.com
Number of Employees
- Melrose Bancorp, Inc.
- 638 Main Street
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|MELR||OTCPK (Pink Sheets LLC)||Yes||Common Stock||US||USD||Oct 2014|
Melrose Bancorp, Inc. operates as the bank holding company for Melrose Bank that provides various banking products and services. The company offers various deposit products and services, such as certificate of deposit accounts, savings accounts, money market accounts, and demand and NOW accounts. Its loan products include one- to four-family residential real estate loans, home equity lines of credit, commercial real estate loans, construction loans, and consumer loans. The company also provides online and mobile banking services. It serves individuals, families, and businesses through a full-service banking office in Melrose, Massachusetts. Melrose Bancorp, Inc. was founded in 1890 and is based in Melrose, Massachusetts.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/06/03 04:58|
|End of Day Share Price||2020/05/29 00:00|
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.