Southern Michigan Valuation
| SOMC Stock | USD 19.25 0.25 1.28% |
At this time, the company appears to be fairly valued. Southern Michigan Bancorp has a current Real Value of $18.56 per share. The regular price of the company is $19.25. Our model measures the value of Southern Michigan Bancorp from inspecting the company fundamentals such as Return On Equity of 0.14, shares outstanding of 4.54 M, and Operating Margin of 0.34 % as well as reviewing its technical indicators and probability of bankruptcy.
Fairly Valued
Today
Please note that Southern Michigan's price fluctuation is very steady at this time. Calculation of the real value of Southern Michigan Bancorp is based on 3 months time horizon. Increasing Southern Michigan's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Southern Michigan is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Southern Pink Sheet. However, Southern Michigan's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 19.25 | Real 18.56 | Hype 19.25 |
The real value of Southern Pink Sheet, also known as its intrinsic value, is the underlying worth of Southern Michigan Bancorp Company, which is reflected in its stock price. It is based on Southern Michigan's financial performance, growth prospects, management team, or industry conditions. The intrinsic value of Southern Michigan's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, or news.
Estimating the potential upside or downside of Southern Michigan Bancorp helps investors to forecast how Southern pink sheet's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Southern Michigan more accurately as focusing exclusively on Southern Michigan's fundamentals will not take into account other important factors: Southern Michigan Total Value Analysis
Southern Michigan Bancorp is at this time expected to have valuation of 53.47 M with market capitalization of 93.17 M, debt of 57.03 M, and cash on hands of 89.56 M. Please note that valuation may be misleading and is a subject to auditing or accounting errors. We encourage investors to vigilantly validate all of the Southern Michigan fundamentals before making equity appraisal based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
53.47 M | 93.17 M | 57.03 M | 89.56 M |
Southern Michigan Investor Information
The company has price-to-book ratio of 1.09. Typically companies with comparable Price to Book (P/B) are able to outperform the market in the long run. Southern Michigan Bancorp last dividend was issued on the 5th of January 2023. The entity had 2:1 split on the 17th of May 2021. Based on the analysis of Southern Michigan's profitability, liquidity, and operating efficiency, Southern Michigan Bancorp is not in a good financial situation at this time. It has a very high probability of going through financial hardship in January.Southern Michigan Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Southern Michigan has an asset utilization ratio of 8.23 percent. This indicates that the Company is making $0.0823 for each dollar of assets. An increasing asset utilization means that Southern Michigan Bancorp is more efficient with each dollar of assets it utilizes for everyday operations.Southern Michigan Profitability Analysis
The company reported the previous year's revenue of 43.52 M. Net Income was 11.76 M with profit before overhead, payroll, taxes, and interest of 40.83 M.Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Southern Michigan's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Southern Michigan and how it compares across the competition.
About Southern Michigan Valuation
The pink sheet valuation mechanism determines Southern Michigan's current worth on a weekly basis. Our valuation model uses a comparative analysis of Southern Michigan. We calculate exposure to Southern Michigan's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Southern Michigan's related companies.Southern Michigan Bancorp, Inc. operates as the bank holding company for Southern Michigan Bank Trust that provides a range of commercial banking services to individuals, businesses, institutions, and governmental agencies primarily in the southwest Michigan communities. The company was founded in 1871 and is based in Coldwater, Michigan. Southern Michigan operates under BanksRegional classification in the United States and is traded on OTC Exchange.
8 Steps to conduct Southern Michigan's Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Southern Michigan's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct Southern Michigan's valuation analysis, follow these 8 steps:- Gather financial information: Obtain Southern Michigan's financial statements, including balance sheets, income statements, and cash flow statements.
- Determine Southern Michigan's revenue streams: Identify Southern Michigan's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research Southern Michigan's industry and market trends, including the size of the market, growth rate, and competition.
- Establish Southern Michigan's growth potential: Evaluate Southern Michigan's management, business model, and growth potential.
- Determine Southern Michigan's financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate Southern Michigan's estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Southern Michigan Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines.
| Price Earnings Ratio | 8.0266 | |
| Quarterly Earnings Growth Y O Y | 0.145 | |
| Retained Earnings | 71.6 M | |
| Forward Annual Dividend Rate | 0.52 | |
| Shares Float | 3 M |
Complementary Tools for Southern Pink Sheet analysis
When running Southern Michigan's price analysis, check to measure Southern Michigan's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Southern Michigan is operating at the current time. Most of Southern Michigan's value examination focuses on studying past and present price action to predict the probability of Southern Michigan's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Southern Michigan's price. Additionally, you may evaluate how the addition of Southern Michigan to your portfolios can decrease your overall portfolio volatility.
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