OTCPK:VABK

Stock Analysis Report

Virginia National Bankshares

Executive Summary

Virginia National Bankshares Corporation operates as the holding company for Virginia National Bank that offers a range of commercial and retail banking services.


Snowflake Analysis

Flawless balance sheet and fair value.


Similar Companies

Share Price & News

How has Virginia National Bankshares's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

-0.5%

VABK

-1.2%

US Banks

-1.1%

US Market


1 Year Return

-1.6%

VABK

10.3%

US Banks

17.9%

US Market

Return vs Industry: VABK underperformed the US Banks industry which returned 10.3% over the past year.

Return vs Market: VABK underperformed the US Market which returned 17.9% over the past year.


Shareholder returns

VABKIndustryMarket
7 Day-0.5%-1.2%-1.1%
30 Day-1.6%-0.3%1.4%
90 Day-1.3%-0.9%6.9%
1 Year1.6%-1.6%13.5%10.3%20.3%17.9%
3 Year44.2%33.7%24.0%15.1%47.8%38.3%
5 Year105.1%83.3%73.8%54.1%71.9%53.0%

Price Volatility Vs. Market

How volatile is Virginia National Bankshares's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Virginia National Bankshares undervalued compared to its fair value and its price relative to the market?

25.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: VABK ($37) is trading below our estimate of fair value ($49.42)

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


Price To Earnings Ratio

PE vs Industry: VABK is poor value based on its PE Ratio (14.9x) compared to the Banks industry average (12.6x).

PE vs Market: VABK is good value based on its PE Ratio (14.9x) compared to the US market (18.2x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: VABK is overvalued based on its PB Ratio (1.3x) compared to the US Banks industry average (1.2x).


Next Steps

Future Growth

How is Virginia National Bankshares forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

2.2%

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 Virginia National Bankshares 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 Virginia National Bankshares 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 Virginia National Bankshares's filings and announcements here.
  • Explore growth companies in the Banks industry.

Past Performance

How has Virginia National Bankshares performed over the past 5 years?

22.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: VABK has high quality earnings.

Growing Profit Margin: VABK's current net profit margins (25.6%) are lower than last year (31.9%).


Past Earnings Growth Analysis

Earnings Trend: VABK's earnings have grown significantly by 22.1% per year over the past 5 years.

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

Earnings vs Industry: VABK had negative earnings growth (-21%) over the past year, making it difficult to compare to the Banks industry average (12.2%).


Return on Equity

High ROE: VABK's Return on Equity (8.8%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Virginia National Bankshares'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: VABK has a low level of unsold assets or inventory.

Debt Coverage by Assets: VABK's debt is not covered by short term assets (assets are -7.7x debt).


Financial Institutions Analysis

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

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

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

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

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

Level of Bad Loans: VABK has an appropriate level of bad loans (0.2%)


Next Steps

Dividend

What is Virginia National Bankshares's current dividend yield, its reliability and sustainability?

3.24%

Current Dividend Yield


Dividend Yield vs Market

company3.2%marketbottom25%1.4%markettop25%3.7%industryaverage2.9%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: VABK's dividend (3.24%) is higher than the bottom 25% of dividend payers in the US market (1.45%).

High Dividend: VABK's dividend (3.24%) is low compared to the top 25% of dividend payers in the US market (3.73%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, VABK has been paying a dividend for less than 10 years.

Growing Dividend: VABK's dividend payments have increased, but the company has only paid a dividend for 7 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (47.1%), VABK'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

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

4.8yrs

Average board tenure


CEO

Glenn Rust (63yo)

7.1yrs

Tenure

US$554,391

Compensation

Mr. Glenn W. Rust serves as the Chief Executive Officer and President of Virginia National Bankshares Corporation (the "Company") and VNBTrust, National Association ("VNBTrust"). Mr. Rust has been the Chie ...


CEO Compensation Analysis

Compensation vs Market: Glenn's total compensation ($USD554.39K) is about average for companies of similar size in the US market ($USD522.48K).

Compensation vs Earnings: Glenn's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Board Members

NamePositionTenureCompensationOwnership
Glenn Rust
President7.1yrsUS$554.39k0.98% $980.1k
Hunter Craig
Director0.08yrsUS$9.00k8.48% $8.4m
William Dittmar
Chairman of the Board0yrsUS$27.65k7.49% $7.5m
Steven Blaine
Independent Director22.1yrsUS$27.65k0.14% $139.7k
H. Benham
Independent Director4.8yrsUS$27.65k0.72% $719.9k
Susan Payne
Independent Director4.8yrsUS$27.65k0.54% $537.1k
James Holland
Independent Director6.7yrsUS$63.65k0.61% $602.8k
Gregory Wells
Independent Director8.1yrsUS$27.65k0.28% $274.1k
Bryan Wright
Independent Director4.8yrsUS$27.65k0.33% $333.0k
Linda Houston
Independent Director2.1yrsUS$27.65k0.034% $34.3k

4.8yrs

Average Tenure

64yo

Average Age

Experienced Board: VABK's board of directors are considered experienced (4.8 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.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Virginia National Bankshares Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Virginia National Bankshares Corporation
  • Ticker: VABK
  • Exchange: OTCPK
  • Founded: 1998
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$99.604m
  • Shares outstanding: 2.69m
  • Website: https://www.vnbcorp.com

Number of Employees


Location

  • Virginia National Bankshares Corporation
  • 404 People Place
  • Charlottesville
  • Virginia
  • 22911
  • United States

Listings

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

Biography

Virginia National Bankshares Corporation operates as the holding company for Virginia National Bank that offers a range of commercial and retail banking services. The company operates through two segments, the Bank and VNB Wealth. It provides checking accounts, NOW accounts, money market deposit accounts, certificates of deposit, individual retirement accounts, and other depository services. The company also offers short-to-long term commercial, real estate, consumer, and residential mortgage loans. In addition, it provides automated teller machines, Internet banking, treasury, and cash management services, as well as merchant and debit card services; and investment advisory, brokerage, annuity, and insurance products and services. Further, the company offers investment management, wealth advisory, and trust and estate administration services. It serves individuals, businesses, and charitable organizations. As of March 26, 2019, the company operated through four banking offices in Charlottesville and one in Winchester, as well as a loan production office in Harrisonburg. Virginia National Bankshares Corporation was founded in 1998 and is headquartered in Charlottesville, Virginia. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/23 23:49
End of Day Share Price2020/02/21 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.