Added to YB: 2024-12-10
Pitch date: 2024-12-10
VBNK [bullish]
VersaBank
+24.38%
current return
Author Info
Cluseau Research seeks to exploit these two edges by identifying special situations that provide a compelling risk-to-reward that are “off limits” to traditional Institutional Investors. Sign up for the newsletter.
Company Info
VersaBank provides various banking products and services in Canada and the United States. The company operates through four segments: Digital Banking Canada, Digital Banking USA, DRTC (Cybersecurity), and Digital Meteor.
Market Cap
CAD 853.5M
Pitch Price
CAD 15.68
Price Target
N/A
Dividend
0.38%
EV/EBITDA
N/A
P/E
28.10
EV/Sales
N/A
Sector
Banks
Category
growth
VBNK Prepares for U.S. Expansion: Higher NIM and ROE Could Drive Stock Re-Rating
VBNK: Added position. Q4 miss due to US RPP delay. Adj EPS $0.38 CAD. $525M cash for CMHC & US RPP rollout. CMHC loans to $600M by 2024, 100% gov-backed. US RPP to boost ROE via syndication, targeting 20-25% ROE vs 13-14% in Canada. Trading at 12x Canadian run-rate earnings, US growth not priced in.
Read full article (3 min)