Timberland Bancorp Inc (TSBK) stock analysis

P/E above its 5-year median

Timberland Bancorp's P/E of 12.0 is above its own 5-year median of 9.6.

P/E below the industry

Timberland Bancorp's P/E of 12.0 is below the Savings Institutions median of 13.7.

P/S above the industry

Timberland Bancorp's price-to-sales of 4.29 is above the Savings Institutions median of 3.77.

P/B above the industry

Timberland Bancorp's price-to-book of 1.37 is above the Savings Institutions median of 1.04.

Trading above fair value

The share price of $48.02 is above our fair value estimate of $41.35.

Margin of safety under 20%

The price is 16.1% above fair value, so there is no margin of safety.

Revenue growing under 10% a year

Revenue grew 6.4% a year over the last three fiscal years, short of the 10% we look for.

EPS growing under 10% a year

Diluted EPS grew 9.2% a year over the last three fiscal years.

Earnings growth accelerating

Net income grew 16.4% over the last twelve months, against a 5-year average of 3.7% a year.

Growing faster than the industry

Revenue grew 9.4% over the last twelve months; the Savings Institutions median is 9.0%.

Company guidance

No outlook found in earnings releases from the last twelve months.

Gross margin trend

Banks and insurers do not report gross profit.

Return on equity under 15%

Return on equity was 11.9% over the last twelve months and averaged 11.7% over five years; we look for 15% on both.

Return on assets over 1%

Return on assets was 1.6%; for a bank or insurer, 1% or more is considered good.

Return on equity above the industry

Timberland Bancorp's return on equity of 11.9% is above the Savings Institutions median of 6.1%.

Earnings grew over 5 years

Net income grew 3.7% a year on average over the last five fiscal years.

Net margin above its 5-year average

Net margin was 36.2% over the last twelve months, against a 5-year average of 35.2%.

Net margin above the industry

Timberland Bancorp's net margin of 36.2% is above the Savings Institutions median of 20.3%.

Well capitalized

Equity is 13.3% of total assets; 8% or more is a comfortable cushion.

Loans funded by deposits

Loans equal 84.8% of deposits, so lending is funded by customer deposits.

Adequate loan-loss reserve

The allowance for credit losses is 1.3% of loans; we look for at least 1%.

Efficient operations

Non-interest expense takes 53.6% of revenue; under 60% is efficient for a bank.

Deposits growing

Deposits grew 5.6% over the past year.

Borrowings

Needs debt and equity figures.

Pays a dividend

Timberland Bancorp paid dividends worth 3.1% of the share price over the last twelve months.

Yield below Treasuries

The 3.1% yield is below the 4.4% on a 1-year Treasury.

Yield below the top quarter

The top quarter of US dividend payers yield 3.8% or more; Timberland Bancorp yields 3.1%.

Dividend stability

Fewer than five years of dividend history.

Covered by earnings

Dividends take 28.0% of net income.

Covered by free cash flow

Dividends take 30.3% of free cash flow.