VERSABANK (VBNK.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:VBNK - CA92512J1066 - Common Stock
20.56 CAD
+0.07 (+0.34%)
Overall VBNK gets a fundamental rating of 3 out of 10. We evaluated VBNK against 23 industry peers in the Banks industry. The financial health of VBNK is average, but there are quite some concerns on its profitability. VBNK is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year VBNK was profitable.
VBNK had a positive operating cash flow in the past year.
VBNK had positive earnings in each of the past 5 years.
The reported operating cash flow has been mixed in the past 5 years: VBNK reported negative operating cash flow in multiple years.
1.2 Ratios
VBNK has a Return On Assets of 0.52%. This is in the lower half of the industry: VBNK underperforms 73.91% of its industry peers.
With a Return On Equity value of 5.40%, VBNK is not doing good in the industry: 82.61% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.52% | ||
| ROE | 5.4% | ||
| ROIC | N/A |
ROA(3y)0.81%
ROA(5y)0.84%
ROE(3y)8.94%
ROE(5y)7.96%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
VBNK has a Profit Margin (24.41%) which is comparable to the rest of the industry.
In the last couple of years the Profit Margin of VBNK has remained more or less at the same level.
VBNK 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) | 24.41% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y2.95%
PM growth 5Y0.79%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
VBNK does not have a ROIC to compare to the WACC, probably because it is not profitable.
VBNK has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, VBNK has more shares outstanding
Compared to 1 year ago, VBNK has an improved debt to assets ratio.
2.2 Solvency
VBNK has a debt to FCF ratio of 0.71. This is a very positive value and a sign of high solvency as it would only need 0.71 years to pay back of all of its debts.
The Debt to FCF ratio of VBNK (0.71) is better than 100.00% of its industry peers.
VBNK has a Debt/Equity ratio of 0.20. This is a healthy value indicating a solid balance between debt and equity.
VBNK has a better Debt to Equity ratio (0.20) than 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.2 | ||
| Debt/FCF | 0.71 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC22.68%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
VBNK shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -38.93%.
The Earnings Per Share has been growing slightly by 4.83% on average over the past years.
EPS 1Y (TTM)-38.93%
EPS 3Y4.83%
EPS 5YN/A
EPS Q2Q%-15%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%31.05%
3.2 Future
VBNK is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 57.03% yearly.
Based on estimates for the next years, VBNK will show a very strong growth in Revenue. The Revenue will grow by 29.99% on average per year.
EPS Next Y93.35%
EPS Next 2Y57.03%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year30.76%
Revenue Next 2Y29.99%
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.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 22.59, VBNK is valued on the expensive side.
VBNK's Price/Earnings ratio is rather expensive when compared to the industry. VBNK is more expensive than 91.30% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.57, VBNK is valued at the same level.
VBNK is valuated reasonably with a Price/Forward Earnings ratio of 11.69.
Based on the Price/Forward Earnings ratio, VBNK is valued a bit more expensive than 60.87% of the companies in the same industry.
VBNK's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 24.04.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.59 | ||
| Fwd PE | 11.69 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, VBNK is valued a bit cheaper than the industry average as 65.22% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.44 | ||
| 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.
VBNK's earnings are expected to grow with 57.03% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.24
PEG (5Y)N/A
EPS Next 2Y57.03%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a yearly dividend of 0.49%, VBNK is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.97, VBNK's dividend is way lower than its industry peers. On top of this 91.30% of the companies listed in the same industry pay a better dividend than VBNK!
Compared to an average S&P500 Dividend Yield of 2.00, VBNK's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.49% |
5.2 History
The dividend of VBNK decreases each year by -11.33%.
VBNK has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)-11.33%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
11.67% of the earnings are spent on dividend by VBNK. This is a low number and sustainable payout ratio.
DP11.67%
EPS Next 2Y57.03%
EPS Next 3YN/A
TSX:VBNK (12/24/2025, 7:00:00 PM)
20.56
+0.07 (+0.34%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)
Earnings (Next)
Inst Owners36.2%
Inst Owner ChangeN/A
Ins Owners0.89%
Ins Owner ChangeN/A
Market Cap656.89M
Revenue(TTM)N/A
Net Income(TTM)28.52M
Analysts82.5
Price Target17.85 (-13.18%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.49% |
Yearly Dividend0.11
Dividend Growth(5Y)-11.33%
DP11.67%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-24.16%
Min EPS beat(2)-37.75%
Max EPS beat(2)-10.56%
EPS beat(4)0
Avg EPS beat(4)-32.47%
Min EPS beat(4)-52.56%
Max EPS beat(4)-10.56%
EPS beat(8)2
Avg EPS beat(8)-17.75%
EPS beat(12)4
Avg EPS beat(12)-10.73%
EPS beat(16)4
Avg EPS beat(16)-11.99%
Revenue beat(2)1
Avg Revenue beat(2)-1.9%
Min Revenue beat(2)-5.09%
Max Revenue beat(2)1.29%
Revenue beat(4)1
Avg Revenue beat(4)-7.49%
Min Revenue beat(4)-16.53%
Max Revenue beat(4)1.29%
Revenue beat(8)1
Avg Revenue beat(8)-8.44%
Revenue beat(12)3
Avg Revenue beat(12)-7.06%
Revenue beat(16)5
Avg Revenue beat(16)-4.2%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)19.61%
EPS NQ rev (3m)0%
EPS NY rev (1m)-30.65%
EPS NY rev (3m)-39.47%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.99%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.77%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.59 | ||
| Fwd PE | 11.69 | ||
| P/S | 5.62 | ||
| P/FCF | 4.44 | ||
| P/OCF | 4.43 | ||
| P/B | 1.24 | ||
| P/tB | 1.3 | ||
| EV/EBITDA | N/A |
EPS(TTM)0.91
EY4.43%
EPS(NY)1.76
Fwd EY8.56%
FCF(TTM)4.63
FCFY22.5%
OCF(TTM)4.64
OCFY22.58%
SpS3.66
BVpS16.53
TBVpS15.81
PEG (NY)0.24
PEG (5Y)N/A
Graham Number18.4
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.52% | ||
| ROE | 5.4% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | 24.41% | ||
| GM | N/A | ||
| FCFM | 126.5% |
ROA(3y)0.81%
ROA(5y)0.84%
ROE(3y)8.94%
ROE(5y)7.96%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y2.95%
PM growth 5Y0.79%
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.02
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.2 | ||
| Debt/FCF | 0.71 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 18.45% | ||
| Cap/Sales | 0.48% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | 518.16% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score5
WACC22.68%
ROIC/WACCN/A
Cap/Depr(3y)251.87%
Cap/Depr(5y)154.76%
Cap/Sales(3y)5.89%
Cap/Sales(5y)3.61%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-38.93%
EPS 3Y4.83%
EPS 5YN/A
EPS Q2Q%-15%
EPS Next Y93.35%
EPS Next 2Y57.03%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%31.05%
Revenue Next Year30.76%
Revenue Next 2Y29.99%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1YN/A
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y311.93%
FCF growth 3YN/A
FCF growth 5Y66.94%
OCF growth 1Y311.37%
OCF growth 3YN/A
OCF growth 5Y68.97%
VERSABANK / VBNK.CA FAQ
What is the ChartMill fundamental rating of VERSABANK (VBNK.CA) stock?
ChartMill assigns a fundamental rating of 3 / 10 to VBNK.CA.
What is the valuation status of VERSABANK (VBNK.CA) stock?
ChartMill assigns a valuation rating of 5 / 10 to VERSABANK (VBNK.CA). This can be considered as Fairly Valued.
What is the profitability of VBNK stock?
VERSABANK (VBNK.CA) has a profitability rating of 2 / 10.
What is the valuation of VERSABANK based on its PE and PB ratios?
The Price/Earnings (PE) ratio for VERSABANK (VBNK.CA) is 22.59 and the Price/Book (PB) ratio is 1.24.
How sustainable is the dividend of VERSABANK (VBNK.CA) stock?
The dividend rating of VERSABANK (VBNK.CA) is 2 / 10 and the dividend payout ratio is 11.67%.