NasdaqGS:MRLN

Stock Analysis Report

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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 and slightly overvalued.


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 not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 10% a week.

Volatility Over Time: MRLN's weekly volatility has decreased from 16% to 10% over the past year.


Market Performance


7 Day Return

6.3%

MRLN

1.9%

US Diversified Financial

2.8%

US Market


1 Year Return

-50.4%

MRLN

5.0%

US Diversified Financial

20.7%

US Market

Return vs Industry: MRLN underperformed the US Diversified Financial industry which returned 5.8% over the past year.

Return vs Market: MRLN underperformed the US Market which returned 19.8% over the past year.


Shareholder returns

MRLNIndustryMarket
7 Day6.3%1.9%2.8%
30 Day56.5%15.5%12.3%
90 Day52.7%6.7%6.4%
1 Year-47.4%-50.4%5.1%5.0%23.4%20.7%
3 Year-50.5%-55.4%19.2%18.7%47.2%37.4%
5 Year-27.9%-38.7%68.7%67.8%94.1%72.7%

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?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: MRLN ($10.64) is trading below our estimate of fair value ($33.43)

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


Price To Earnings Ratio

PE vs Industry: MRLN is unprofitable, so we can't compare its PE Ratio to the US Diversified Financial industry average.

PE vs Market: MRLN is unprofitable, so we can't compare its PE Ratio to the US market.


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's PB Ratio (0.7x) is in line with the US Diversified Financial industry average.


Next Steps

Future Growth

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

0.03%

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.


Next Steps

Past Performance

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

-4.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MRLN is currently unprofitable.

Growing Profit Margin: MRLN is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: MRLN is unprofitable, and losses have increased over the past 5 years at a rate of 4.3% per year.

Accelerating Growth: Unable to compare MRLN's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: MRLN is unprofitable, making it difficult to compare its past year earnings growth to the Diversified Financial industry (40.8%).


Return on Equity

High ROE: MRLN has a negative Return on Equity (-3.59%), as it is currently unprofitable.


Next Steps

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 (6.1x) is low.

Allowance for Bad Loans: MRLN has a sufficient allowance for bad loans (732%).

Low Risk Liabilities: 89% 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 (77%).

Low Risk Deposits: MRLN's Loans to Deposits ratio (103%) is appropriate.

Level of Bad Loans: MRLN has an appropriate level of bad loans (0.9%).


Next Steps

Dividend

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

5.26%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: MRLN's dividend (5.26%) is higher than the bottom 25% of dividend payers in the US market (1.47%).

High Dividend: MRLN's dividend (5.26%) is in the top 25% of dividend payers in the US market (4.05%)


Stability and Growth of Payments

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

Growing Dividend: MRLN's dividend payments have increased, but the company has only paid a dividend for 9 years.


Current Payout to Shareholders

Dividend Coverage: MRLN is paying a dividend but the company is unprofitable.


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?

3.2yrs

Average management tenure


CEO

Jeff Hilzinger (62 yo)

4.42yrs

Tenure

US$1,912,214

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 ($USD1.91M) is above average for companies of similar size in the US market ($USD561.31K).

Compensation vs Earnings: Jeff's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
Jeffrey Hilzinger
President4.42yrsUS$1.91m0.56%
$ 686.3k
Michael Bogansky
Senior VP & CFO1.75yrsUS$847.08k0.050%
$ 61.2k
Gregory Sting
Senior VP & COOno dataUS$558.17k0.14%
$ 165.1k
Louis Maslowe
Chief Risk Officer & Senior VPno dataUS$742.49k0.031%
$ 37.6k
James Sherlock
Senior VP & Chief Information Officerno datano data0.047%
$ 56.7k
Ryan Melcher
Senior VP0.83yrno data0.021%
$ 25.7k
Mark Scardigli
Chief Sales Officer3.08yrsno datano data
Laura Anger
Chief Human Resources Officer & Senior VP3.33yrsno data0.0094%
$ 11.4k
Daniel Castellini
Senior Vice President3.5yrsno datano data
Aswin Rajappa
Chief Strategy Officer0.42yrno data0.0085%
$ 10.4k
Karen Kozak
Director of Sales Trainingno datano datano data
Kathleen McGurk
Vice President of Indirect Funding Platform (IFP) & Alliance Development5.25yrsno datano data

3.2yrs

Average Tenure

53yo

Average Age

Experienced Management: MRLN's management team is considered experienced (3.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Jeffrey Hilzinger
President4.42yrsUS$1.91m0.56%
$ 686.3k
Lawrence DeAngelo
Independent Chairman of the Board6.42yrsUS$176.49k2.61%
$ 3.2m
Matthew Sullivan
Independent Director12.58yrsUS$129.49k0.51%
$ 622.4k
James Wert
Independent Director22.75yrsUS$136.99k0.68%
$ 830.9k
John Calamari
Independent Director17yrsUS$134.99k0.44%
$ 539.5k
John Teets
Independent Director10.5yrsUS$125.49k0.32%
$ 385.1k
Scott Heimes
Independent Director5.58yrsUS$109.99k0.17%
$ 204.4k

10.5yrs

Average Tenure

62yo

Average Age

Experienced Board: MRLN's board of directors are seasoned and experienced ( 10.5 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: MRLN 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$121.800m
  • Shares outstanding: 11.83m
  • Website: https://marlincapitalsolutions.com

Number of Employees


Location

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

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MRLNNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDNov 2003
MBMDB (Deutsche Boerse AG)YesCommon StockDEEURNov 2003

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 Analysis2020/11/27 23:14
End of Day Share Price2020/11/27 00:00
Earnings2020/09/30
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.