MERIDIAN CORP (MRBK)
US58958P1049 - Common Stock
Taking everything into account, MRBK scores 3 out of 10 in our fundamental rating. MRBK was compared to 412 industry peers in the Banks industry. Both the profitability and financial health of MRBK have multiple concerns. MRBK scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
In the past year MRBK was profitable.
In the past year MRBK had a positive cash flow from operations.
In the past 5 years MRBK has always been profitable.
MRBK had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
MRBK has a worse Return On Assets (0.59%) than 73.79% of its industry peers.
The Return On Equity of MRBK (8.39%) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.59% | ||
| ROE | 8.39% | ||
| ROIC | N/A |
ROA(3y)1.24%
ROA(5y)1.23%
ROE(3y)14.71%
ROE(5y)14.29%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Profit Margin of MRBK (13.13%) is worse than 82.04% of its industry peers.
MRBK's Profit Margin has been stable in the last couple of years.
MRBK does not have Operating Margin and Gross Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 13.13% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-12.25%
PM growth 5Y0.82%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
MRBK does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, MRBK has less shares outstanding
The number of shares outstanding for MRBK has been reduced compared to 5 years ago.
Compared to 1 year ago, MRBK has a worse debt to assets ratio.
2.2 Solvency
The Debt to FCF ratio of MRBK is 13.20, which is on the high side as it means it would take MRBK, 13.20 years of fcf income to pay off all of its debts.
MRBK's Debt to FCF ratio of 13.20 is on the low side compared to the rest of the industry. MRBK is outperformed by 80.10% of its industry peers.
A Debt/Equity ratio of 1.42 is on the high side and indicates that MRBK has dependencies on debt financing.
The Debt to Equity ratio of MRBK (1.42) is worse than 87.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.42 | ||
| Debt/FCF | 13.2 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC21.06%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
MRBK shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -35.57%.
The Earnings Per Share has been decreasing by -2.72% on average over the past years.
MRBK shows a decrease in Revenue. In the last year, the revenue decreased by -9.79%.
MRBK shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.16% yearly.
EPS 1Y (TTM)-35.57%
EPS 3Y-35.67%
EPS 5Y-2.72%
EPS growth Q2Q-87.01%
Revenue 1Y (TTM)-9.79%
Revenue growth 3Y-9.45%
Revenue growth 5Y9.16%
Revenue growth Q2Q-5.51%
3.2 Future
Based on estimates for the next years, MRBK will show a very strong growth in Earnings Per Share. The EPS will grow by 21.85% on average per year.
The Revenue is expected to grow by 8.27% on average over the next years. This is quite good.
EPS Next Y19.15%
EPS Next 2Y21.85%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year4.26%
Revenue Next 2Y8.27%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 7.78 indicates a rather cheap valuation of MRBK.
MRBK's Price/Earnings ratio is rather cheap when compared to the industry. MRBK is cheaper than 81.07% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 28.02, MRBK is valued rather cheaply.
With a Price/Forward Earnings ratio of 6.53, the valuation of MRBK can be described as very cheap.
Based on the Price/Forward Earnings ratio, MRBK is valued cheaper than 93.69% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of MRBK to the average of the S&P500 Index (20.58), we can say MRBK is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.78 | ||
| Fwd PE | 6.53 |
4.2 Price Multiples
84.22% of the companies in the same industry are more expensive than MRBK, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.88 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as MRBK's earnings are expected to grow with 21.85% in the coming years.
PEG (NY)0.41
PEG (5Y)N/A
EPS Next 2Y21.85%
EPS Next 3YN/A
5. Dividend
5.1 Amount
MRBK has a Yearly Dividend Yield of 5.71%, which is a nice return.
Compared to an average industry Dividend Yield of 3.76, MRBK pays a better dividend. On top of this MRBK pays more dividend than 89.08% of the companies listed in the same industry.
MRBK's Dividend Yield is rather good when compared to the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.71% |
5.2 History
MRBK has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
MRBK pays out 42.37% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP42.37%
EPS Next 2Y21.85%
EPS Next 3YN/A
MERIDIAN CORP
NASDAQ:MRBK (5/6/2024, 7:15:44 PM)
8.95
+0.2 (+2.29%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap100.15M
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.71% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
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EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
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Revenue beat(4)
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Min Revenue beat(4)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.78 | ||
| Fwd PE | 6.53 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.41
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.59% | ||
| ROE | 8.39% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | N/A | ||
| PM (TTM) | 13.13% | ||
| GM | N/A | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.04
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.42 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-35.57%
EPS 3Y-35.67%
EPS 5Y
EPS growth Q2Q
EPS Next Y19.15%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-9.79%
Revenue growth 3Y-9.45%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y