OTCPK:UBNC

Stock Analysis Report

Executive Summary

Union Bank provides various banking and financial products and services to individuals and businesses.

Snowflake

Fundamentals

Adequate balance sheet with acceptable track record.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-0.7%

UBNC

3.7%

US Banks

1.8%

US Market


1 Year Return

-5.4%

UBNC

1.9%

US Banks

7.3%

US Market

Return vs Industry: UBNC underperformed the US Banks industry which returned 1.9% over the past year.

Return vs Market: UBNC underperformed the US Market which returned 7.3% over the past year.


Shareholder returns

UBNCIndustryMarket
7 Day-0.7%3.7%1.8%
30 Day-0.8%0.2%-0.7%
90 Day-1.0%2.5%0.06%
1 Year-4.2%-5.4%4.9%1.9%9.7%7.3%
3 Year20.9%16.6%51.7%41.2%46.3%36.9%
5 Year84.6%73.2%69.7%51.2%64.5%46.5%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

12.62x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Undervalued: UBNC ($14.55) is trading above our estimate of fair value ($2.81)

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


Price To Earnings Ratio

PE vs Industry: UBNC is poor value based on its PE Ratio (12.6x) compared to the Banks industry average (12.6x).

PE vs Market: UBNC is good value based on its PE Ratio (12.6x) compared to the US market (17.7x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: UBNC is good value based on its PB Ratio (1x) compared to the US Banks industry average (1.2x).


Next Steps

Future Growth

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

11.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: UBNC's forecast earnings growth (11% per year) is above the savings rate (2.7%).

Earnings vs Market: UBNC's earnings (11% per year) are forecast to grow slower than the US market (14.6% per year).

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

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

High Growth Revenue: Insufficient data to determine if UBNC'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 UBNC's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Union Bank performed over the past 5 years?

18.2%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: UBNC's earnings have grown by 18.2% per year over the past 5 years.

Accelerating Growth: UBNC's earnings growth over the past year (56.7%) exceeds its 5-year average (18.2% per year).

Earnings vs Industry: UBNC earnings growth over the past year (56.7%) exceeded the Banks industry 30.5%.


Return on Equity

High ROE: UBNC's Return on Equity (8.3%) is considered low.


Return on Assets

ROA vs Industry: UBNC'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 UBNC's Return on Capital Employed to determine if it has improved over the past 3 years.


Next Steps

Financial Health

How is Union 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

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

Debt Coverage by Assets: UBNC's debt is not covered by short term assets (assets are 0.7x debt).


Financial Institutions Analysis

Asset Level: UBNC's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if UBNC has a sufficient allowance for bad loans.

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

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

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

Level of Bad Loans: Insufficient data to determine if UBNC has an appropriate level of bad loans.


Next Steps

Dividend

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

1.34%

Current Dividend Yield


Dividend Yield vs Market

company1.3%marketbottom25%1.5%markettop25%3.7%industryaverage3.0%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: UBNC's dividend (1.34%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.45%).

High Dividend: UBNC's dividend (1.34%) is low compared to the top 25% of dividend payers in the US market (3.72%).

Stable Dividend: UBNC's dividend payments have been volatile in the past 10 years.

Growing Dividend: UBNC's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (17.1%), UBNC's dividend payments are 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.


Next Steps

Management

What is the CEO of Union Bank's salary, the management and board of directors tenure and is there insider trading?

4.8yrs

Average management tenure


CEO

Rob Jones (62yo)

17.8yrs

Tenure

US$416,362

Compensation

Mr. Vincent Robert Jones, also known as Rob, has been President and Chief Executive Officer of Union Bank (formerly known as Little Bank, Inc.) since July 2017. Mr. Jones served as the Chief Executive Offi ...


CEO Compensation Analysis

Compensation vs. Market: Rob's total compensation ($USD416.36K) is about average for companies of similar size in the US market ($USD491.38K).

Compensation vs Earnings: Rob's compensation has increased by more than 20% in the past year.


Management Age and Tenure

4.8yrs

Average Tenure

52yo

Average Age

Experienced Management: UBNC's management team is considered experienced (4.8 years average tenure).


Board Age and Tenure

18.3yrs

Average Tenure

63yo

Average Age

Experienced Board: UBNC's board of directors are seasoned and experienced ( 18.3 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

  • Rob Jones (62yo)

    President

    • Tenure: 17.8yrs
    • Compensation: US$416.36k
  • Doyle Thigpen (60yo)

    Executive VP

    • Tenure: 21.8yrs
  • Anne Corey (52yo)

    Executive VP & Chief Credit Officer

    • Tenure: 4.8yrs
  • David Morgan (58yo)

    Executive VP & Triangle Market Executive

    • Tenure: 0yrs
  • Wes Barnes

    Senior VP & City Executive of Greenville Office

    • Tenure: 1.2yrs
  • Chris Moncourtois

    Senior VP and Area Executive of Lenoir & Onslow Counties

    • Tenure: 3.6yrs
  • Steve Woolard

    Senior VP & City Executive of New Bern Office

    • Tenure: 0yrs
  • Susan Barrett (42yo)

    Executive VP & COO

    • Tenure: 16.1yrs
  • Amy Watts (51yo)

    Executive VP & Senior Credit Officer

    • Tenure: 0yrs
  • John Burns (50yo)

    Executive VP & Chief Banking Officer

    • Tenure: 2.3yrs

Board Members

  • Lee Burrows (60yo)

    Chairman of the Board

    • Tenure: 5.8yrs
  • Rob Jones (62yo)

    President

    • Tenure: 17.8yrs
    • Compensation: US$416.36k
  • James Hill

    Director

    • Tenure: 19.8yrs
  • Joseph Blizzard

    Director

    • Tenure: 9.8yrs
  • Marty Beam

    Director

    • Tenure: 18.8yrs
  • C. Howard

    Director

    • Tenure: 21.8yrs
  • Cam McRae

    Director

    • Tenure: 20.8yrs
  • David Weil

    Director

    • Tenure: 18.8yrs
  • Crawford Knott (64yo)

    Vice Chairman of the Board

    • Tenure: 2.8yrs
  • Franklin Hancock (73yo)

    Director

    • Tenure: 2.8yrs

Company Information

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


Key Information

  • Name: Union Bank
  • Ticker: UBNC
  • Exchange: OTCPK
  • Founded: 1998
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$86.909m
  • Shares outstanding: 5.97m
  • Website: https://www.unionbanknc.com

Location

  • Union Bank
  • 1011A Red Banks Road
  • Greenville
  • North Carolina
  • 27858
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
UBNCOTCPK (Pink Sheets LLC)YesCommon StockUSUSDNov 1998

Biography

Union Bank provides various banking and financial products and services to individuals and businesses. The company offers checking accounts, savings and money market accounts, certificates of deposit, and  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/17 23:39
End of Day Share Price2019/10/16 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.