Southern National Bancorp Virginia (NASDAQ:SONA) stock had a good day in the market on Tuesday April 10. Shares moved 0.96% and closed the day at $15.84. They're now trading 14.29% below their 52-week high of $18.48.
With today's good gain, Southern National Bancorp now has a market cap of $380 million. That makes it a small cap company.
The business operates in the banking industry and employs 393 people. Its shares trade primarily on the NASDAQ GM stock exchange.
Southern National Bancorp has 23.98 million shares outstanding and 28,063 traded hands for the day. That's below the average 30-day volume of 46,511 shares.
Over the last five years, Southern National Bancorp's revenue is up by 106.23%. You can see this growth in annual revenue chart below...
In the last year alone, Southern National Bancorp's revenue has grown by 71.92%. That's a solid sign for Southern National Bancorp stock owners.
We like to invest in companies that grow their sales. A growing top line is a sign of a healthy business.
For now, Southern National Bancorp will continue to pull in revenue. So let's take a closer look at the company's total financial health. And the best way to do that is by looking at its balance sheet... Southern National Bancorp's cash comes in at $26 million and the company's debt is $408 million...
Southern National Bancorp's cash pile is smaller than its total debt. This is common for many companies. They can issue debt at a lower cost to take on new projects... but the debt to cash level is a bit high and is a concern for the business.
What is Southern National Bancorp Stock Worth?
Let's look at a few key ratios to determine the value of Southern National Bancorp stock…
Price-to-Earnings (P/E): This ratio comes in at 18.91 for Southern National Bancorp. That's a reasonable level. A high P/E ratio shows that investors are already expecting high earnings growth.
Price-to-Book (P/B): This ratio is a cornerstone for value investors. A lower number here indicates a better value play. And at 1.17, Southern National Bancorp looks reasonable… but P/B varies greatly based on the industry.
These two metrics are a great place to start when valuing a company... but your analysis should go much deeper...