Is VersaBank Stock a Good Investment?

VersaBank Investment Advice

VBNK

To provide specific investment advice or recommendations on VersaBank stock, we recommend investors consider the following general factors when evaluating VersaBank. This will help you to make an informed decision on whether to include VersaBank in one of your diversified portfolios:

Examine VersaBank's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
Research VersaBank's leadership team and their track record. Good management can help VersaBank navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
Consider the overall health of the Regional Banks space and any emerging trends that could impact VersaBank's business and its evolving consumer preferences.
Compare VersaBank's performance and market position to its competitors. Analyze how VersaBank is positioned in terms of product offerings, innovation, and market share.
Check if VersaBank pays a dividend and its dividend yield and payout ratio.
Review what financial analysts are saying about VersaBank's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.

It's important to note that investing in VersaBank stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if VersaBank is a good investment.

Sell

Buy

Strong Buy

Our advice tool can cross-verify current analyst consensus on VersaBank and to analyze the firm potential to grow in the current economic cycle. To make sure VersaBank is not overpriced, please validate all VersaBank fundamentals, including its book value per share, and the relationship between the ebitda and number of employees . Given that VersaBank has a number of shares shorted of 32.42 K, we advise you to double-check VersaBank market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your current risk tolerance and investing horizon.

Market Performance	Solid	Details
Volatility	Not too volatile	Details
Hype Condition	Under hyped	Details
Current Valuation	Overvalued	Details
Odds Of Distress	Low	Details
Economic Sensitivity	Responds to the market	Details
Investor Sentiment	Impartial	Details
Analyst Consensus	Strong Buy	Details
Financial Strenth (F Score)	Healthy	Details
Financial Leverage	Not Rated	Details
Reporting Quality (M-Score)	Unlikely Manipulator	Details

Examine VersaBank Stock

Researching VersaBank's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 39.0% of the company outstanding shares are owned by insiders. The company has Price to Book (P/B) ratio of 1.66. Historically many companies with similar price-to-book (P/B) ratio do better than the market in the long run. VersaBank last dividend was issued on the 4th of October 2024.

To determine if VersaBank is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding VersaBank's research are outlined below:

	About 39.0% of the company outstanding shares are owned by insiders
	On 31st of October 2024 VersaBank paid $ 0.0185 per share dividend to its current shareholders
	Latest headline from zacks.com: StoneX Group Inc. Surpasses Q4 Earnings and Revenue Estimates

VersaBank Quarterly Gross Profit

73.7 Million

VersaBank uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in VersaBank. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to VersaBank's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.

	13th of March 2024 Upcoming Quarterly Report	View
	5th of June 2024 Next Financial Report	View
	31st of January 2024 Next Fiscal Quarter End	View
	11th of December 2024 Next Fiscal Year End	View
	31st of October 2023 Last Quarter Report	View
	31st of October 2023 Last Financial Announcement	View

Earnings surprises can significantly impact VersaBank's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises VersaBank's investors have experienced.

Reported	Fiscal Date	Estimated EPS	Reported EPS	Surprise
2014-03-05	2014-01-31	0.08	0.07	-0.01	12
2020-11-25	2020-10-31	0.18	0.2	0.02	11
2018-02-28	2018-01-31	0.14	0.16	0.02	14
2017-11-29	2017-10-31	0.13	0.11	-0.02	15
2016-11-30	2016-10-31	0.11	0.09	-0.02	18
2016-03-02	2016-01-31	0.07	0.09	0.02	28
2022-03-02	2022-01-31	0.22	0.19	-0.03	13
2018-11-28	2018-10-31	0.18	0.21	0.03	16

Know VersaBank's Top Institutional Investors

Have you ever been surprised when a price of an equity instrument such as VersaBank is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading VersaBank backward and forwards among themselves. VersaBank's institutional investor refers to the entity that pools money to purchase VersaBank's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.

		Shares
Greenwich Investment Management Inc	2024-06-30	69.1 K
Pembroke Management Ltd	2024-09-30	50.9 K
Royal Bank Of Canada	2024-06-30	50.4 K
Dimensional Fund Advisors, Inc.	2024-09-30	50.1 K
Morgan Stanley - Brokerage Accounts	2024-06-30	23.6 K
K2 Principal Fund Lp	2024-09-30	15.9 K
Citadel Advisors Llc	2024-09-30	11.4 K
Bank Of America Corp	2024-06-30	11.1 K
Benjamin F. Edwards & Company, Llc	2024-06-30	10.7 K
Alliancebernstein L.p.	2024-06-30	1.6 M
Cibc World Markets Inc.	2024-06-30	1.3 M

Note, although VersaBank's institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

VersaBank's market capitalization trends

The company currently falls under 'Small-Cap' category with a current market capitalization of 467.79 M.

Market Cap

158.55 Million

VersaBank's profitablity analysis

	Last Reported	Projected for Next Year
Return On Tangible Assets	0.01	0.01
Return On Capital Employed	0.08	0.08
Return On Assets	0.01	0.01
Return On Equity	0.10	0.05

The company has Profit Margin (PM) of 0.41 %, which maeans that even a very small decline in it revenue will erase profits resulting in a net loss. This is way below average. Similarly, it shows Operating Margin (OM) of 0.5 %, which suggests for every 100 dollars of sales, it generated a net operating income of $0.5.

Determining VersaBank's profitability involves analyzing its financial statements and using various financial metrics to determine if VersaBank is a good buy. For example, gross profit margin measures VersaBank's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of VersaBank's profitability and make more informed investment decisions.

Evaluate VersaBank's management efficiency

VersaBank has return on total asset (ROA) of 0.011 % which means that it generated a profit of $0.011 on every $100 spent on assets. This is way below average. Similarly, it shows a return on stockholder's equity (ROE) of 0.1207 %, meaning that it created $0.1207 on every $100 dollars invested by stockholders. VersaBank's management efficiency ratios could be used to measure how well VersaBank manages its routine affairs as well as how well it operates its assets and liabilities. Return On Capital Employed is expected to rise to 0.08 this year, although the value of Return On Tangible Assets will most likely fall to 0.01. At this time, VersaBank's Liabilities And Stockholders Equity is quite stable compared to the past year. Non Current Liabilities Total is expected to rise to about 4.6 B this year, although the value of Total Current Liabilities will most likely fall to about 10.6 M.

	Last Reported	Projected for Next Year
Book Value Per Share	12.92	8.16
Tangible Book Value Per Share	12.63	8.06
Enterprise Value Over EBITDA	3.79	3.98
Price Book Value Ratio	0.83	0.84
Enterprise Value Multiple	3.79	3.98
Price Fair Value	0.83	0.84
Enterprise Value	225.5 M	236.8 M

Leadership effectiveness at VersaBank is a strong indicator of its financial stability. We analyze various metrics to provide insights into the stock's investment viability.

Dividend Yield

0.004

Forward Dividend Yield

0.004

Forward Dividend Rate

0.07

Beta

1.057

Basic technical analysis of VersaBank Stock

As of the 1st of December, VersaBank has the Risk Adjusted Performance of 0.1952, coefficient of variation of 404.96, and Semi Deviation of 1.33. In relation to fundamental indicators, the technical analysis model makes it possible for you to check existing technical drivers of VersaBank, as well as the relationship between them.

VersaBank's Outstanding Corporate Bonds

VersaBank issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. VersaBank uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most VersaBank bonds can be classified according to their maturity, which is the date when VersaBank has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.

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	Boeing Co 2196 Corp Bond US097023DG73	View
	HSBC Holdings PLC Corp Bond US404280DR76	View
	MPLX LP 4875 Corp Bond US55336VAG59	View
	MPLX LP 4125 Corp Bond US55336VAK61	View
	MPLX LP 52 Corp Bond US55336VAL45	View
	International Game Technology Corp Bond US460599AD57	View

View All VersaBank Corporate Bonds

Understand VersaBank's technical and predictive indicators

Using predictive indicators to make investment decisions involves analyzing VersaBank's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.

	Risk Adjusted Performance	0.1952
	Market Risk Adjusted Performance	0.4058
	Mean Deviation	1.66
	Semi Deviation	1.33
	Downside Deviation	1.75
	Coefficient Of Variation	404.96
	Standard Deviation	2.12
	Variance	4.47
	Information Ratio	0.1819
	Jensen Alpha	0.3472
	Total Risk Alpha	0.1592
	Sortino Ratio	0.2196
	Treynor Ratio	0.3958
	Maximum Drawdown	8.96
	Value At Risk	(2.37)
	Potential Upside	4.63
	Downside Variance	3.07
	Semi Variance	1.76
	Expected Short fall	(1.95)
	Skewness	0.3343
	Kurtosis	(0.19)

	Risk Adjusted Performance	0.1952
	Market Risk Adjusted Performance	0.4058
	Mean Deviation	1.66
	Semi Deviation	1.33
	Downside Deviation	1.75
	Coefficient Of Variation	404.96
	Standard Deviation	2.12
	Variance	4.47
	Information Ratio	0.1819
	Jensen Alpha	0.3472
	Total Risk Alpha	0.1592
	Sortino Ratio	0.2196
	Treynor Ratio	0.3958
	Maximum Drawdown	8.96
	Value At Risk	(2.37)
	Potential Upside	4.63
	Downside Variance	3.07
	Semi Variance	1.76
	Expected Short fall	(1.95)
	Skewness	0.3343
	Kurtosis	(0.19)

Consider VersaBank's intraday indicators

VersaBank intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of VersaBank stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.

	Accumulation Distribution	0.0316
	Daily Balance Of Power	0.0862
	Rate Of Daily Change	1.0
	Day Median Price	18.09
	Day Typical Price	18.06
	Market Facilitation Index	0.58
	Price Action Indicator	(0.07)
	Period Momentum Indicator	0.05

VersaBank Corporate Filings

6K	25th of November 2024 A report filed by foreign private issuers with SEC. A foreign private issuer is a non-U.S. company with securities traded on U.S. exchanges.	View Verify
	22nd of November 2024 Other Reports	View Verify

VersaBank time-series forecasting models is one of many VersaBank's stock analysis techniques aimed to predict future share value based on previously observed values. Time-series forecasting models ae widely used for non-stationary data. Non-stationary data are called the data whose statistical properties e.g. the mean and standard deviation are not constant over time but instead, these metrics vary over time. These non-stationary VersaBank's historical data is usually called time-series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the market movement and maximize returns from investment trading.

VersaBank Stock media impact

Far too much social signal, news, headlines, and media speculation about VersaBank that are available to investors today. That information is available publicly through VersaBank media outlets and privately through word of mouth or via VersaBank internal channels. However, regardless of the origin, that massive amount of VersaBank data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.

A primary focus of VersaBank news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of VersaBank relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to VersaBank's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive VersaBank alpha.

VersaBank Sentiment by Major News Outlets

Investor sentiment, mood or attitude towards VersaBank can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.

Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.

VersaBank Corporate Management

BA BA	VP Fin	Profile
LLB BA	Chief Officer	Profile
MBA MEng	Chief Officer	Profile
BCom MBA	Chief Officer	Profile
Terri Wilson	VP Control	Profile

When determining whether VersaBank is a good investment, qualitative aspects like company management, corporate governance, and ethical practices play a significant role. A comparison with peer companies also provides context and helps to understand if VersaBank Stock is undervalued or overvalued. This multi-faceted approach, blending both quantitative and qualitative analysis, forms a solid foundation for making an informed investment decision about Versabank Stock. Highlighted below are key reports to facilitate an investment decision about Versabank Stock: