FARMERS & MERCHANTS BANCO/OH (FMAO) Stock Fundamental Analysis
NASDAQ:FMAO - Nasdaq - US30779N1054 - Common Stock - Currency: USD
FMAO gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 405 industry peers in the Banks industry. FMAO may be in some trouble as it scores bad on both profitability and health. FMAO is quite expensive at the moment. It does show a decent growth rate. FMAO also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year FMAO was profitable.
In the past year FMAO had a positive cash flow from operations.
FMAO had positive earnings in each of the past 5 years.
Of the past 5 years FMAO 4 years had a positive operating cash flow.
1.2 Ratios
The Return On Assets of FMAO (0.67%) is comparable to the rest of the industry.
With a Return On Equity value of 6.81%, FMAO is not doing good in the industry: 62.16% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.67% | ||
| ROE | 6.81% | ||
| ROIC | N/A |
ROA(3y)0.84%
ROA(5y)0.89%
ROE(3y)8.55%
ROE(5y)8.3%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
FMAO has a Profit Margin (23.18%) which is in line with its industry peers.
In the last couple of years the Profit Margin of FMAO has declined.
The Operating Margin and Gross Margin are not available for FMAO so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 23.18% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-1.52%
PM growth 5Y-1.83%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
FMAO does not have a ROIC to compare to the WACC, probably because it is not profitable.
FMAO has more shares outstanding than it did 1 year ago.
FMAO has more shares outstanding than it did 5 years ago.
The debt/assets ratio for FMAO has been reduced compared to a year ago.
2.2 Solvency
The Debt to FCF ratio of FMAO is 1.66, which is an excellent value as it means it would take FMAO, only 1.66 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 1.66, FMAO is doing good in the industry, outperforming 64.91% of the companies in the same industry.
FMAO has a Debt/Equity ratio of 0.19. This is a healthy value indicating a solid balance between debt and equity.
FMAO has a Debt to Equity ratio (0.19) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.19 | ||
| Debt/FCF | 1.66 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC12.39%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
FMAO shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 13.77%, which is quite good.
The Earnings Per Share has been growing slightly by 3.37% on average over the past years.
FMAO shows a small growth in Revenue. In the last year, the Revenue has grown by 4.20%.
The Revenue has been growing by 9.23% on average over the past years. This is quite good.
EPS 1Y (TTM)13.77%
EPS 3Y-1.37%
EPS 5Y3.37%
EPS Q2Q%48.78%
Revenue 1Y (TTM)4.2%
Revenue growth 3Y5.24%
Revenue growth 5Y9.23%
Sales Q2Q%14.52%
3.2 Future
The Earnings Per Share is expected to grow by 4.84% on average over the next years.
The Revenue is expected to grow by 4.55% on average over the next years.
EPS Next Y-0.68%
EPS Next 2Y4.84%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year2.55%
Revenue Next 2Y4.55%
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 13.26, which indicates a correct valuation of FMAO.
Compared to the rest of the industry, the Price/Earnings ratio of FMAO is on the same level as its industry peers.
Compared to an average S&P500 Price/Earnings ratio of 29.63, FMAO is valued rather cheaply.
With a Price/Forward Earnings ratio of 13.35, FMAO is valued correctly.
FMAO's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. FMAO is more expensive than 63.66% of the companies in the same industry.
FMAO is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.68, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.26 | ||
| Fwd PE | 13.35 |
4.2 Price Multiples
FMAO's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. FMAO is cheaper than 75.94% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.23 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)3.94
EPS Next 2Y4.84%
EPS Next 3YN/A
5. Dividend
5.1 Amount
FMAO has a Yearly Dividend Yield of 3.47%.
In the last 3 months the price of FMAO has falen by -23.64%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
Compared to an average industry Dividend Yield of 3.18, FMAO pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.27, FMAO pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.47% |
5.2 History
The dividend of FMAO is nicely growing with an annual growth rate of 9.29%!
FMAO has been paying a dividend for at least 10 years, so it has a reliable track record.
FMAO has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)9.29%
Div Incr Years14
Div Non Decr Years14
5.3 Sustainability
FMAO pays out 51.50% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of FMAO is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP51.5%
EPS Next 2Y4.84%
EPS Next 3YN/A
25.19
-0.31 (-1.22%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)
Earnings (Next)
Inst Owners27.72%
Inst Owner Change-94.19%
Ins Owners6.58%
Ins Owner Change0.01%
Market Cap345.10M
Analysts48.89
Price Target29.33 (16.44%)
Short Float %0.77%
Short Ratio4.6
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.47% |
Yearly Dividend0.83
Dividend Growth(5Y)9.29%
DP51.5%
Div Incr Years14
Div Non Decr Years14
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)15.33%
Min EPS beat(2)15.18%
Max EPS beat(2)15.48%
EPS beat(4)4
Avg EPS beat(4)17.14%
Min EPS beat(4)10.29%
Max EPS beat(4)27.61%
EPS beat(8)4
Avg EPS beat(8)2.55%
EPS beat(12)7
Avg EPS beat(12)2%
EPS beat(16)8
Avg EPS beat(16)1.58%
Revenue beat(2)2
Avg Revenue beat(2)10.14%
Min Revenue beat(2)2.35%
Max Revenue beat(2)17.93%
Revenue beat(4)4
Avg Revenue beat(4)6.1%
Min Revenue beat(4)0.97%
Max Revenue beat(4)17.93%
Revenue beat(8)6
Avg Revenue beat(8)5.24%
Revenue beat(12)10
Avg Revenue beat(12)10.43%
Revenue beat(16)14
Avg Revenue beat(16)15.67%
PT rev (1m)-8%
PT rev (3m)-2.13%
EPS NQ rev (1m)0.52%
EPS NQ rev (3m)0.52%
EPS NY rev (1m)-1.2%
EPS NY rev (3m)-1.2%
Revenue NQ rev (1m)4.33%
Revenue NQ rev (3m)4.33%
Revenue NY rev (1m)-5.14%
Revenue NY rev (3m)-0.81%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.26 | ||
| Fwd PE | 13.35 | ||
| P/S | 3.5 | ||
| P/FCF | 9.23 | ||
| P/OCF | 8.53 | ||
| P/B | 1.03 | ||
| P/tB | 1.42 | ||
| EV/EBITDA | N/A |
EPS(TTM)1.9
EY7.54%
EPS(NY)1.89
Fwd EY7.49%
FCF(TTM)2.73
FCFY10.83%
OCF(TTM)2.95
OCFY11.72%
SpS7.19
BVpS24.48
TBVpS17.76
PEG (NY)N/A
PEG (5Y)3.94
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.67% | ||
| ROE | 6.81% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | 23.18% | ||
| GM | N/A | ||
| FCFM | 37.94% |
ROA(3y)0.84%
ROA(5y)0.89%
ROE(3y)8.55%
ROE(5y)8.3%
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
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-1.52%
PM growth 5Y-1.83%
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover0.03
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.19 | ||
| Debt/FCF | 1.66 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 48.1% | ||
| Cap/Sales | 3.12% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | 163.71% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score6
WACC12.39%
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)13.77%
EPS 3Y-1.37%
EPS 5Y3.37%
EPS Q2Q%48.78%
EPS Next Y-0.68%
EPS Next 2Y4.84%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)4.2%
Revenue growth 3Y5.24%
Revenue growth 5Y9.23%
Sales Q2Q%14.52%
Revenue Next Year2.55%
Revenue Next 2Y4.55%
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 1Y83.5%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y33.67%
OCF growth 3YN/A
OCF growth 5YN/A