3. American National Bankshares
American National Bankshares (AMNB) of Danville, Va., has seen its stock return 15% year-to-date, closing Thursday at $22.24. The shares declined 13% during 2011.
Based on a 23-cent quarterly payout, the shares have a dividend yield of 4.14%.
The company had $1.3 billion in total assets as of March 31, with 25 branches in Virginia and North Carolina. American National's ROA has ranged between 0.48% and 1.43% over the past year. During the second quarter of 2011, earnings were down because of $835,000 in expenses related to the acquisition of MidCarolina Financial Corp., which included eight branches. The shares trade for 1.6 times tangible book value, and for 12 times the consensus 2013 EPS estimate of $1.88. The consensus 2012 EPS estimate is also $1.88. Morris rates American National Bankshares a "Buy," with a price target of $24.50, saying on April 27 that "the shares represent an attractive total return from current levels," adding that "the MidCarolina transaction continues to bear fruit and coupled with the likely entry into the Russell 3000 in June should provide both support and a near term catalyst for the shares." Morris estimates the company will earn two dollars a share this year, followed by EPS of $2.07 during 2013. Interested in more on American National Bankshares? See TheStreet Ratings' report card for this stock.Select the service that is right for you!
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