Sierra Bancorp (BSRR) seems to be delivering solid value for retail investors, particularly when examining its Return on Assets (ROA) of 0.98%, which indicates efficient management of its asset base. Coupled with a reasonable Price to Earnings ratio of 8.49X, the stock appears to be priced attractively, suggesting potential for growth and value retention in the regional banking sector.
Important Points
Sierra Bancorp is currently showing stability. The company has an Efficiency Ratio, often referred to as the Sharpe Ratio, of 0.0252. This suggests a return of 0.0252% per unit of risk over the past three months. We've identified twenty-nine technical indicators for Sierra Bancorp that can help assess its volatility. To ensure our risk estimate aligns with the expected return of 0.0783%, consider verifying the Risk Adjusted Performance of 0.0235, a semi-deviation of 2.46, and a Coefficient of Variation of 5247.11.
Typically, a company's
financial statements are the reports that show the
financial position of the company. There are three main documents that fall into the category of financial statements. These documents include Sierra Bancorp income statement, its balance sheet, and the statement of cash flows. Potential Sierra Bancorp investors and stakeholders use financial statements to determine how well the company is positioned to perform in the future. Although Sierra Bancorp investors may use each financial statement separately, they are all related. The changes in Sierra Bancorp's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Sierra Bancorp's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet, but not equivalent to net income shown on the income statement. Please read more on our
technical analysis and
fundamental analysis pages.
The goal of Sierra Bancorp
fundamental analysis is to do accurate financial forecasts. There are several possible objectives to fundamental analysis, such as projecting of Sierra Bancorp performance into the future periods or doing a reasonable stock valuation. The intrinsic value of Sierra Bancorp shares is the value that is considered the true value of the share. If
the intrinsic value of Sierra is higher than its market price, buying is generally recommended. If it is equal to the market price, it is recommended to hold; and if it is less than the market price, then one should sell all shares Sierra Bancorp. Please read more on our
fundamental analysis page.
How effective is Sierra Bancorp in utilizing its assets?
Sierra Bancorp reports assets on its Balance Sheet. It represents the amount of Sierra resources that either has an existing economic value or will provide some form of benefits in the future. By effectively utilizing its assets, Sierra Bancorp aims to generate revenue, control costs, drive operational efficiency, and enhance profitability. Optimizing asset utilization helps maximize shareholder value and maintain a competitive position in the Regional Banks space. To get a better handle on how balance sheet or income statements item affect Sierra volatility, please check the breakdown of all its
fundamentals.
Are Sierra Bancorp Earnings Expected to grow?
The
future earnings power of Sierra Bancorp involves the interaction of many company-specific, industry, and economic forces. Earnings estimates embody investors' opinions of Sierra Bancorp factors such as sales growth, product demand, competitive industry environment, profit margins, and cost controls. Sierra Bancorp
stock prices adjust as these expectations change or are proven wrong. The main thing to remember is that equities with high expected earnings growth tend to underperform the market because it is usually difficult to meet the market's high expectations. Companies with low earnings expectations tend to do better than expected. Please use our latest analysis of Sierra
expected earnings.
And What about dividends?
A dividend is the distribution of a portion of Sierra Bancorp earnings, decided and managed by the company's board of directors and paid to a class of its shareholders. Note, announcements of dividend payouts are generally accompanied by a proportional increase or decrease in a company's stock price. Sierra Bancorp dividend payments follow a chronological order of events, and the associated dates are important to determine the shareholders who qualify for receiving the dividend payment. Sierra one year expected dividend income is about USD0.7 per share.
As of 02/04/2025,
Dividends Paid is likely to grow to about 16.6
M, while
Dividend Yield is likely to drop 0.02.
Investing in dividend-paying stocks, such as Sierra Bancorp is one of the few strategies that are good for long-term investment. Ex-dividend dates are significant because investors in Sierra Bancorp must own a stock before its ex-dividend date to receive its next dividend.
This type of analysis is very useful when you want to generate a past dividend schedule and payout information for Sierra Bancorp. Then that information in the form of graph and calendar can be used to fully explain how Du Pont dividends can provide a real clue to its valuation.
Sierra Bancorp Gross Profit
Sierra Bancorp Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Sierra Bancorp previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show Sierra Bancorp Gross Profit growth over the last 10 years. Please check Sierra Bancorp's
gross profit and other
fundamental indicators for more details.
A Deeper Perspective
Although in the United States, the Securities and Exchange Commission has enforced strong rules to prevent insiders from engaging in insider trading, finding insiders among active shareholders of Sierra Bancorp is not uncomon. Institutional investor usually refers to an organization that invests money in Sierra Bancorp on behalf of clients or other money managers. Buying and selling of large positions of Sierra Bancorp stock by institutional investors can create supply and demand imbalances that result in sudden price moves of Sierra Bancorp stock. Let's take a look at how the ownership of Sierra is distributed among investors.
Ownership Allocation
The
market capitalization of Sierra Bancorp is $428.21 Million. Over half of Sierra Bancorp's outstanding shares are owned by
institutional holders. These institutional holders are typically referred to as corporate investors that take positions in a given instrument to benefit from reduced trade commissions. Note, that even with substantial
debt, if the true value of the company is larger than the current market value, you may still be able to generate positive returns on investment in this company at some point.
| Retail Investors30.44% | Insiders10.29% | Institutions59.27% |
| Retail Investors | 30.44 |
| Insiders | 10.29 |
| Institutions | 59.27 |
Please be aware that individual investors typically purchase shares for their personal accounts and usually in smaller quantities compared to institutional investors. While they might influence Sierra Bancorp's decisions if they own a significant combined portion of its shares, such influence is relatively rare. Conversely, institutional investors - like mutual funds, pension funds, hedge funds, and other investment companies - often have a substantial sway over Sierra Bancorp's decisions due to their larger holdings.
Asset Utilization
The concept of asset utilization usually refers to the revenue earned for every dollar of assets a company currently reports. The latest return on assets of Sierra connotes not a very effective usage of assets in January.
| Non Current Assets Total4.4 B | Non Currrent Assets Other4.4 B | | | | | | |
| Non Current Assets Total | 4.41 Billion | 44.89 |
| Non Currrent Assets Other | 4.35 Billion | 44.33 |
| Other Assets | 22.23 Million | 0.23 |
| Total Current Assets | 85.87 Million | 0.87 |
| Other Current Assets | 84.6 Million | 0.86 |
| Intangible Assets | 1.2 Million | 0.0122 |
| Net Tangible Assets | 243.1 Million | 2.48 |
| Earning Assets | 621.77 Million | 6.33 |
Value is in the eye of the beholder, especially when it comes to investing. Sierra Bancorp, trading under the ticker BSRR, presents a mixed bag for retail investors. With a market capitalization of $428.21 million and a PE ratio of 11.81, the stock appears reasonably priced. However, the operating margin of just 0.39% suggests that the company is operating on thin margins, which could be a concern for potential investors. On the brighter side, the bank's forward dividend yield of 3.36% offers a steady income stream, making it an attractive option for those seeking dividend income.
Possible February bounce back of Sierra?
Sierra Bancorp's stock is currently exhibiting a kurtosis of 16.86, indicating significant price swings. This suggests that the stock has recently experienced some dramatic movements. Such volatility might signal either a correction or a rebound, making it an interesting stock to monitor in February. If the market steadies, Sierra Bancorp could potentially recover, presenting an opportunity for investors willing to navigate its volatility. However, it's crucial to consider the broader market landscape before making any investment decisions.
The stock shows below-average downside deviation, with an Information Ratio of 0.0 and a Jensen Alpha of 0.02. Understanding market volatility trends can help investors time their trades effectively.
High volatility, especially in bear markets, can impact Sierra Bancorp's stock price, prompting investors to adjust their portfolios as prices fluctuate.Considering the current dynamics, Sierra Bancorp appears to be a stock with gradual growth potential, showing a promising yet measured trajectory. With the analyst consensus pointing towards a "Buy" recommendation, there is a clear indication of confidence in the stock's prospects. The possible upside price is pegged at 33.63, suggesting room for growth from its current levels. While it's important to acknowledge that investing in Sierra Bancorp may not lead to rapid gains, its stability and the potential for a steady upswing could make it an attractive option for investors seeking a more conservative addition to their portfolios. The EPS estimate for the next year is anticipated to be 2.8, reinforcing the company's potential for continued profitability. As always, prospective investors should consider their risk tolerance and investment horizon when deciding if Sierra Bancorp aligns with their financial goals..
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Aina Ster is a Member of Macroaxis Editorial Board. Aina delivers weekly perspective on ongoing market and economic trends, analysis and tips from predictive analysis to forecasting across various financial instruments.
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