Capitalcube gives Bank of Marin Bancorp a score of 43.
Our analysis is based on comparing Bank of Marin Bancorp with the following peers – Guaranty Bancorp, Western Alliance Bancorporation, Westamerica Bancorporation, SVB Financial Group, Umpqua Holdings Corporation and Heritage Commerce Corp (GBNK-US, WAL-US, WABC-US, SIVB-US, UMPQ-US and HTBK-US).
Bank of Marin Bancorp has a fundamental score of 43 and has a relative valuation of NEUTRAL.
- It trades at a lower Price/Book multiple (1.73) than its peer median (2.17).
- The market expects BMRC-US to grow at about the same rate as the peers and to maintain the median returns it currently generates.
- BMRC-US‘s relative capital efficiency and net profit margins are both around the median level.
- Changes in annual earnings (relative to peers) are better than the change in its revenues (relative to peers), implying the company is focused more on earnings.
- BMRC-US‘s return on equity currently and over the past five years is around the peer median and suggest that it does not have any particular operational advantages versus peers.
- While BMRC-US‘s revenues growth has been below the peer median in the last few years, the market still gives the stock a P/E ratio that is around peer median and seems to see the company as a long-term strategic bet.
- The company’s equity capital investment program suggests it is under-investing in a business that is producing peer median returns.
Drivers of Margin
- Margins do not suggest any relative benefit from a pricing or an operating cost advantage.
- The company’s net interest income (net interest income/total revenues) of 89.99% is around peer median suggesting that BMRC-US‘s lending operations does not benefit from any differentiating pricing advantage. In addition, BMRC-US‘s pre-tax margin of 38.43% is also around the peer median suggesting no operating cost advantage relative to peers.
- The company’s comparatively low proportion of fee based income (i.e. non interest income/total revenues) of 10.01% versus peer median of 17.69% — suggests that BMRC-US‘s operating margins are likely to be more volatile. In addition, BMRC-US‘s proportion of overhead costs (i.e. non interest expense/total revenues) of 62.19x is around peer median — suggesting no cost advantage on fee-based overhead operations.
Quadrant label definitions. Hover to know more
Bank of Marin Bancorp is a bank holding company. The firm operates through the Bank of Marin, which engages in the provision financial services to customers. It offers traditional community banking activities and wealth management and trust services; personal and business checking and savings accounts; certificates of deposit; individual retirement accounts; health savings accounts; remote deposit capture; direct deposit of payroll; social security; and pension checks and fraud prevention services. The company was founded on July 1, 2007 and is headquartered in Novato, CA.