OTCPK:SRNN

Stock Analysis Report

Southern Banc Company

Executive Summary

The Southern Banc Company, Inc. operates as the holding company for The Southern Bank Company that provides various banking products and services in Alabama.

Snowflake

Fundamentals

Adequate balance sheet and slightly overvalued.

Risks

  • Southern Banc Company is not covered by any analysts.

Share Price & News

How has Southern Banc Company's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-2.9%

OTCPK:SRNN

3.3%

US Banks

2.1%

US Market


1 Year Return

-21.0%

OTCPK:SRNN

-13.8%

US Banks

-0.04%

US Market

SRNN underperformed the Banks industry which returned -13.8% over the past year.

SRNN underperformed the Market in United States of America which returned -0% over the past year.


Share holder returns

SRNNIndustryMarket
7 Day-2.9%3.3%2.1%
30 Day-3.5%-7.0%-3.2%
90 Day-2.6%-2.3%2.8%
1 Year-21.0%-21.0%-11.3%-13.8%2.2%-0.04%
3 Year-15.3%-15.3%42.5%32.7%41.5%32.3%
5 Year-6.2%-6.2%54.2%37.6%55.0%37.8%

Price Volatility Vs. Market

How volatile is Southern Banc Company's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Southern Banc Company undervalued based on future cash flows and its price relative to the stock market?

15.11x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Unable to calculate intrinsic value for Southern Banc Company to establish if it is available at moderate discount.

Unable to calculate intrinsic value for Southern Banc Company to establish if it is available at substantial discount.


Price Based on Earnings

Southern Banc Company is overvalued based on earnings compared to the US Banks industry average.

Southern Banc Company is good value based on earnings compared to the United States of America market.


Price Based on Expected Growth

Unable to calculate PEG ratio for Southern Banc Company, we can't assess if its growth is good value.


Price Based on Value of Assets

Southern Banc Company is good value based on assets compared to the US Banks industry average.


Next Steps

Future Growth

How is Southern Banc Company expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

1.8%

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 Southern Banc Company 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 Southern Banc Company'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 Southern Banc Company's filings and announcements here.
  • Explore growth companies in the Banks industry.

Past Performance

How has Southern Banc Company performed over the past 5 years?

-1.2%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

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

Southern Banc Company has become profitable in the last year making the earnings growth rate difficult to compare to the 5-year average.

Southern Banc Company has become profitable in the last year making it difficult to compare the US Banks industry average.


Return on Equity

Southern Banc Company has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Southern Banc Company 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 Southern Banc Company 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 Southern Banc Company'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

Southern Banc Company has an acceptable proportion of non-loan assets held.

Southern Banc Company has a low allowance for bad loans.

Southern Banc Company's liabilities are made up of primarily low risk sources of funding.

Southern Banc Company's level of assets compared to its equity is low (i.e. an appropriate level of borrowing to fund lending).

Loans at Southern Banc Company are broadly funded by customer deposits.

Southern Banc Company has a high level of bad loans (greater than 2%).


Next Steps

Dividend

What is Southern Banc Company's current dividend yield, its reliability and sustainability?


Dividend Yield and Payments Analysis

Unable to evaluate Southern Banc Company's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate Southern Banc Company's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as Southern Banc Company has not reported any payouts.

Unable to verify if Southern Banc Company's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Southern Banc Company has not reported any payouts.


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 Southern Banc Company's salary, the management and board of directors tenure and is there insider trading?

18.3yrs

Average board tenure


CEO

Gates Little (49yo)

18.3yrs

Tenure

US$398,310

Compensation

Mr. Gates B. Little serves as Chairman, Chief Executive Officer and President of Southern Bank Company, Inc. Mr. Little has been the Chairman, President and Chief Executive Officer of Southern Bank Company ...


CEO Compensation Analysis

Insufficient data for Gates to establish whether their remuneration is reasonable compared to companies of similar size in United States of America.

Gates's compensation has been consistent with company performance over the past year, both up more than 20%.


Board Age and Tenure

18.3yrs

Average Tenure

58yo

Average Age

The average tenure for the Southern Banc Company board of directors is over 10 years, this suggests they are a seasoned and experienced board.


Insider Trading

No 3 month open market individual insider trading information.


Management Team

  • Gates Little (49yo)

    Chairman

    • Tenure: 18.3yrs
    • Compensation: US$398.31k
  • Teresa Elkins

    Vice President of the Southern Bank Company

    • Tenure: 0.0yrs
  • Peggy Smith

    Secretary & Treasurer

    • Tenure: 0.0yrs

Board Members

  • Gates Little (49yo)

    Chairman

    • Tenure: 18.3yrs
    • Compensation: US$398.31k
  • Thomas Dowling (82yo)

    Director

    • Tenure: 24.6yrs
  • Jim Little (58yo)

    Director

    • Tenure: 19.6yrs
  • John Bell

    Director

    • Tenure: 0.0yrs
  • Thomas Ritchie (55yo)

    Director

    • Tenure: 8.6yrs
  • Mike Haney (71yo)

    Director

    • Tenure: 7.3yrs

Company Information

The Southern Banc Company, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: The Southern Banc Company, Inc.
  • Ticker: SRNN
  • Exchange: OTCPK
  • Founded: 1936
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$6.365m
  • Shares outstanding: 766.83k
  • Website: https://www.sobanco.com

Location

  • The Southern Banc Company, Inc.
  • 221 South 6th Street
  • Gadsden
  • Alabama
  • 35901
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SRNNOTCPK (Pink Sheets LLC)YesCommon StockUSUSDOct 1995

Biography

The Southern Banc Company, Inc. operates as the holding company for The Southern Bank Company that provides various banking products and services in Alabama. Its personal banking products include checking  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/23 23:48
End of Day Share Price2019/08/23 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.