Carter Bankshares, Inc. (CARE) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

MidWestOne Financial Group, Inc.

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Peoples Financial Services Corp.

Summit Financial Group, Inc. (West Virginia)

Guaranty Bancshares, Inc. (Texas)

Macatawa Bank Corp.

Carter Bankshares, Inc.

First Foundation, Inc.

Bank of Marin Bancorp

Sterling Bancorp, Inc. (Michigan)

Why is Carter Bankshares, Inc. ?

High Profitability with a Net Interest Margin of 3.40%

Strong Long Term Fundamental Strength with a 13.75% CAGR growth in Net Profits

The company has declared Positive results for the last 3 consecutive quarters

NII(Q) Highest at USD 34.6 MM
GROSS NPA (%)(Q) Lowest at 6.29%
CASH AND EQV(HY) Highest at USD 147.72 MM

With ROA of 0.46%, it has a fair valuation with a 1.06 Price to Book Value

The stock is trading at a fair value compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 31.61%, its profits have risen by 28.1% ; the PEG ratio of the company is 0.4

High Institutional Holdings at 55.44%

These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
Their stake has increased by 4.35% over the previous quarter.

Market Beating Performance

The stock has generated a return of 31.61% in the last 1 year, much higher than market (S&P 500) returns of 13.39%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Carter Bankshares, Inc. should be less than 10%
Overall Portfolio exposure to Regional Banks should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Regional Banks)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Carter Bankshares, Inc. for you?

Low Risk, High Return

Absolute

Risk Adjusted

Volatility

Carter Bankshares, Inc.

31.61%

2.60

28.02%

S&P 500

13.39%

0.69

19.34%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

10.50%

EBIT Growth (5y)

9.10%

EBIT to Interest (avg)

Debt to EBITDA (avg)

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

Dividend Payout Ratio

Pledged Shares

Institutional Holding

55.44%

ROCE (avg)

ROE (avg)

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

1.06

EV to EBIT

14.35

EV to EBITDA

12.27

EV to Capital Employed

1.05

EV to Sales

2.11

PEG Ratio

0.42

Dividend Yield

ROCE (Latest)

7.34%

ROE (Latest)

7.41%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bullish

OBV

No Trend

Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

8What is working for the Company

NII(Q)

Highest at USD 34.6 MM

GROSS NPA (%)

CASH AND EQV(HY)

Highest at USD 147.72 MM

NET SALES(Q)

Highest at USD 59.3 MM

EPS(Q)

Highest at USD 0.39

-3What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD 27.8 MM

Here's what is working for Carter Bankshares, Inc.

NII

Highest at USD 34.6 MM and Grown

In each period in the last five periods

MOJO Watch

The bank's income from core business is increasing

Net NPA

Non Performing Loans (%)

Lowest at 6.29%

in the last four Semi-Annual periods

MOJO Watch

Proportion of stressed loans given by the bank are falling

Non Performing Loans (%)

Net Sales

Highest at USD 59.3 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (USD MM)

EPS

Highest at USD 0.39

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (USD)

Cash and Eqv

Highest at USD 147.72 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Here's what is not working for Carter Bankshares, Inc.

Operating Cash Flow

Lowest at USD 27.8 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)