Chemung Financial (CHMG) and The Competition Critical Survey

Chemung Financial (NASDAQ:CHMG) is one of 919 publicly-traded companies in the “Banks” industry, but how does it contrast to its peers? We will compare Chemung Financial to related companies based on the strength of its dividends, profitability, institutional ownership, risk, earnings, valuation and analyst recommendations.

Risk & Volatility

Chemung Financial has a beta of 0.58, meaning that its share price is 42% less volatile than the S&P 500. Comparatively, Chemung Financial’s peers have a beta of 0.61, meaning that their average share price is 39% less volatile than the S&P 500.

Dividends

Chemung Financial pays an annual dividend of $1.44 per share and has a dividend yield of 1.7%. Chemung Financial pays out 18.1% of its earnings in the form of a dividend. As a group, “Banks” companies pay a dividend yield of 8.9% and pay out 28.9% of their earnings in the form of a dividend. Chemung Financial has raised its dividend for 1 consecutive years.

Analyst Ratings

This is a summary of current ratings and recommmendations for Chemung Financial and its peers, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Chemung Financial	0	2	4	1	2.86
Chemung Financial Competitors	7484	30232	27813	1478	2.35

Chemung Financial presently has a consensus target price of $88.75, indicating a potential upside of 2.85%. As a group, “Banks” companies have a potential upside of 14.25%. Given Chemung Financial’s peers higher probable upside, analysts clearly believe Chemung Financial has less favorable growth aspects than its peers.

Profitability

This table compares Chemung Financial and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Chemung Financial	23.36%	14.64%	1.39%
Chemung Financial Competitors	15.65%	9.43%	0.93%

Insider & Institutional Ownership

47.5% of Chemung Financial shares are held by institutional investors. Comparatively, 47.8% of shares of all “Banks” companies are held by institutional investors. 12.7% of Chemung Financial shares are held by company insiders. Comparatively, 9.7% of shares of all “Banks” companies are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Earnings & Valuation

This table compares Chemung Financial and its peers top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Chemung Financial	$140.78 million	$15.10 million	10.83
Chemung Financial Competitors	$9.95 billion	$2.42 billion	21.49

Chemung Financial’s peers have higher revenue and earnings than Chemung Financial. Chemung Financial is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Summary

Chemung Financial beats its peers on 8 of the 15 factors compared.

Chemung Financial Company Profile

Chemung Financial Corporation operates as a bank holding company for Chemung Canal Trust Company that provides a range of banking, financing, fiduciary, and other financial services. The company provides demand, savings, and time deposits; non-interest and interest-bearing checking accounts; and insured money market accounts. It also offers commercial and agricultural loans comprising loans to small to mid-sized businesses; commercial and residential mortgage loans; and consumer loans, including home equity lines of credit and home equity term loans. In addition, the company provides interest rate swaps, letters of credit, employee benefit plans, insurance products, mutual fund, brokerage, and tax preparation services. Further, it offers guardian, custodian, trustee, investment, pension, estate planning, and employee benefit administrative services, as well as acts as an agent for pension, profit-sharing, and other employee benefit trusts. Chemung Financial Corporation was founded in 1833 and is headquartered in Elmira, New York.