NasdaqGS:MRLN

Stock Analysis Report

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Market Cap

US$271.6m

Last Updated

2021/06/12 08:44 UTC

Data Sources

Company Financials

Executive Summary

Marlin Business Services Corp. provides credit products and services to small and mid-sized businesses in the United States. More Details


Snowflake Analysis

Flawless balance sheet average dividend payer.


Similar Companies

Share Price & News

How has Marlin Business Services's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: MRLN is more volatile than 75% of US stocks over the past 3 months, typically moving +/- 15% a week.

Volatility Over Time: MRLN's weekly volatility (15%) has been stable over the past year, but is still higher than 75% of US stocks.


Market Performance


7 Day Return

1.3%

MRLN

-1.9%

US Diversified Financial

0.7%

US Market


1 Year Return

190.2%

MRLN

57.4%

US Diversified Financial

44.2%

US Market

Return vs Industry: MRLN exceeded the US Diversified Financial industry which returned 57.4% over the past year.

Return vs Market: MRLN exceeded the US Market which returned 44.2% over the past year.


Shareholder returns

MRLNIndustryMarket
7 Day1.3%-1.9%0.7%
30 Day2.0%1.1%5.6%
90 Day36.9%8.5%5.0%
1 Year205.7%190.2%57.6%57.4%46.5%44.2%
3 Year-14.3%-23.3%48.7%48.2%60.2%50.3%
5 Year81.9%55.0%103.1%102.5%128.1%102.6%

Long-Term Price Volatility Vs. Market

How volatile is Marlin Business Services's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Marlin Business Services undervalued compared to its fair value and its price relative to the market?

39.6%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: MRLN ($22.9) is trading below our estimate of fair value ($37.91)

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


Price To Earnings Ratio

PE vs Industry: MRLN is poor value based on its PE Ratio (14.3x) compared to the US Diversified Financial industry average (10.4x).

PE vs Market: MRLN is good value based on its PE Ratio (14.3x) compared to the US market (19.7x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: MRLN is overvalued based on its PB Ratio (1.3x) compared to the US Diversified Financial industry average (1x).


Future Growth

How is Marlin Business Services forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

-35.1%

Forecasted Diversified Financials 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 Marlin Business Services 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.


Past Performance

How has Marlin Business Services performed over the past 5 years?

-9.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MRLN has a high level of non-cash earnings.

Growing Profit Margin: MRLN's current net profit margins (22.9%) are higher than last year (11.4%).


Past Earnings Growth Analysis

Earnings Trend: MRLN's earnings have declined by 9.9% per year over the past 5 years.

Accelerating Growth: MRLN's earnings growth over the past year (91.4%) exceeds its 5-year average (-9.9% per year).

Earnings vs Industry: MRLN earnings growth over the past year (91.4%) exceeded the Diversified Financial industry 49.7%.


Return on Equity

High ROE: MRLN's Return on Equity (9.4%) is considered low.


Financial Health

How is Marlin Business Services'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: MRLN's Assets to Equity ratio (4.8x) is low.

Allowance for Bad Loans: MRLN has a sufficient allowance for bad loans (278%).

Low Risk Liabilities: 88% of MRLN's liabilities are made up of primarily low risk sources of funding.

Loan Level: MRLN has an appropriate level of Loans to Assets ratio (82%).

Low Risk Deposits: MRLN's Loans to Deposits ratio (118%) is appropriate.

Level of Bad Loans: MRLN has an appropriate level of bad loans (1.6%).


Dividend

What is Marlin Business Services's current dividend yield, its reliability and sustainability?

2.45%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: MRLN's dividend (2.45%) is higher than the bottom 25% of dividend payers in the US market (1.26%).

High Dividend: MRLN's dividend (2.45%) is low compared to the top 25% of dividend payers in the US market (3.35%).


Stability and Growth of Payments

Stable Dividend: MRLN's dividends per share have been stable in the past 10 years.

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (34.9%), MRLN'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?

3.9yrs

Average management tenure


CEO

Jeff Hilzinger (62 yo)

5yrs

Tenure

US$2,697,487

Compensation

Mr. Jeffrey A. Hilzinger, also known as Jeff, has been the Chief Executive Officer and President of Marlin Business Services Corp. since June 1, 2016. Mr. Hilzinger has commercial finance experience, inclu...


CEO Compensation Analysis

Compensation vs Market: Jeff's total compensation ($USD2.70M) is above average for companies of similar size in the US market ($USD1.03M).

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


Leadership Team

Experienced Management: MRLN's management team is considered experienced (3.9 years average tenure).


Board Members

Experienced Board: MRLN's board of directors are seasoned and experienced ( 11.1 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

Marlin Business Services Corp.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Marlin Business Services Corp.
  • Ticker: MRLN
  • Exchange: NasdaqGS
  • Founded: 1997
  • Industry: Specialized Finance
  • Sector: Diversified Financials
  • Market Cap: US$271.639m
  • Shares outstanding: 11.86m
  • Website: https://marlincapitalsolutions.com

Number of Employees


Location

  • Marlin Business Services Corp.
  • 300 Fellowship Road
  • Mount Laurel
  • New Jersey
  • 8054
  • United States

Listings


Biography

Marlin Business Services Corp. provides credit products and services to small and mid-sized businesses in the United States. The company’s products and services include loans and leases for the acquisition...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/06/12 08:44
End of Day Share Price2021/06/11 00:00
Earnings2021/03/31
Annual Earnings2020/12/31


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.