OTCPK:SBKO

Stock Analysis Report

Executive Summary

Summit Bank provides commercial banking, financing, real estate lending, and other services to personal and business customers primarily in Lane and Deschutes Counties in Oregon.


Snowflake Analysis

Flawless balance sheet and fair value.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

5.5%

SBKO

14.6%

US Banks

9.4%

US Market


1 Year Return

-26.8%

SBKO

-24.3%

US Banks

-6.8%

US Market

Return vs Industry: SBKO underperformed the US Banks industry which returned -28.9% over the past year.

Return vs Market: SBKO underperformed the US Market which returned -10% over the past year.


Shareholder returns

SBKOIndustryMarket
7 Day5.5%14.6%9.4%
30 Day-14.4%-4.4%-3.9%
90 Day-24.9%-33.9%-16.5%
1 Year-26.8%-26.8%-22.0%-24.3%-4.8%-6.8%
3 Year-11.4%-11.4%-8.3%-15.1%23.4%15.2%
5 Year51.9%51.9%16.7%3.3%41.3%25.7%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Summit Bank undervalued compared to its fair value and its price relative to the market?

23.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: SBKO ($10.75) is trading below our estimate of fair value ($14.74)

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


Price To Earnings Ratio

PE vs Industry: SBKO is poor value based on its PE Ratio (9.9x) compared to the Banks industry average (8.7x).

PE vs Market: SBKO is good value based on its PE Ratio (9.9x) compared to the US market (13x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: SBKO is overvalued based on its PB Ratio (1.2x) compared to the US Banks industry average (0.8x).


Next Steps

Future Growth

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

-4.6%

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 Summit 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.


Next Steps

  • Examine whether Summit 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 Summit Bank's filings and announcements here.
  • Explore growth companies in the Banks industry.

Past Performance

How has Summit Bank performed over the past 5 years?

20.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SBKO has high quality earnings.

Growing Profit Margin: SBKO's current net profit margins (24.9%) are lower than last year (30.3%).


Past Earnings Growth Analysis

Earnings Trend: SBKO's earnings have grown significantly by 20.6% per year over the past 5 years.

Accelerating Growth: SBKO's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: SBKO had negative earnings growth (-2.5%) over the past year, making it difficult to compare to the Banks industry average (10.8%).


Return on Equity

High ROE: SBKO's Return on Equity (12%) is considered low.


Next Steps

Financial Health

How is Summit 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


Financial Institutions Analysis

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

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

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

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

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

Level of Bad Loans: SBKO has an appropriate level of bad loans (0.13%)


Next Steps

Dividend

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


Dividend Yield vs Market

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

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


Stability and Growth of Payments

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

Growing Dividend: Insufficient data to determine if SBKO'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 SBKO's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

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

1.3yrs

Average management tenure


CEO

Craig Wanichek (50yo)

6.67s

Tenure

Mr. Craig A. Wanichek serves as the Chairman of The Oregon Bankers Association since July, 2019. He has been the Chief Executive Officer and President of Summit Bank since August 5, 2013. Mr. Wanichek serv ...


Leadership Team

NamePositionTenureCompensationOwnership
Craig Wanichek
President6.67yrsno datano data
Scott Goldstein
Senior VP & CFOno datano datano data
Renda Wolford
VP & Director of Operationsno datano datano data
Chris Hemmings
Senior VP & Chief Administrative Officer0.33yrno datano data
Jennifer Bennett
Senior Vice President of Marketing & Business Development4.67yrsno datano data
Michaela Marcotte
Human Resource Directorno datano datano data
J. Mercer
Senior VP & Director of Municipal Banking Groupno datano datano data
William Whalen
Senior VP & Chief Credit Officer1.08yrsno datano data
Gary O'Connell
Senior VP & Central Oregon Market Presidentno datano datano data
Stacy Koos
Senior Vice President of Commercial Banking Team Leader at Eugene1.25yrsno datano data

1.3yrs

Average Tenure

52yo

Average Age

Experienced Management: SBKO's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Craig Wanichek
President6.67yrsno datano data
Ross Kari
Director5.08yrsno datano data
Andy Storment
Vice Chairman of the Boardno datano datano data
R. Weinhold
Chairman of the Board9.25yrsno datano data
Ann Mehlum
Director2.67yrsno datano data
Alan Evans
Director17.25yrsno datano data
Richard Abraham
Director17.25yrsno datano data
Steven Korth
Director12.25yrsno datano data
Dennis Orem
Director17.25yrsno datano data
J. Moore
Director10.25yrsno datano data

10.3yrs

Average Tenure

58yo

Average Age

Experienced Board: SBKO's board of directors are seasoned and experienced ( 10.3 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: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Summit Bank's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Summit Bank
  • Ticker: SBKO
  • Exchange: OTCPK
  • Founded: 2004
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$58.878m
  • Shares outstanding: 5.19m
  • Website: https://www.sbko.bank

Location

  • Summit Bank
  • 96 East Broadway
  • Eugene
  • Oregon
  • 97401
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SBKOOTCPK (Pink Sheets LLC)YesCommon StockUSUSDDec 2006

Biography

Summit Bank provides commercial banking, financing, real estate lending, and other services to personal and business customers primarily in Lane and Deschutes Counties in Oregon. It accepts various deposit products. The company also offers loan products, including home equity, personal, professional, overdraft protection, commercial, and business lines of credit, as well as standby letters of credit; equipment term loans; auto, boat, and RV loans; commercial real estate and construction loans; business VISA loans; and small business administration guaranteed loans. In addition, it provides customized business online banking, ACH and wire transfer, remote deposit, business Visa debit card with ATM access, drive-up banking, corporate credit card, and courier services; and free account access and bill pay, drive-up banking, bank-by-mail, mobile banking, 24-hour deposit, and customer services. Further, the company offers lost or stolen card services, as well as order check services. The company has its offices in Eugene and Bend; and a loan production office in Portland. Summit Bank was founded in 2004 and is headquartered in Eugene, Oregon. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/09 23:57
End of Day Share Price2020/04/09 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.