A tale of two trends for GreenBank

By Geert De Lombaerde Posted on October 26, 2009 at 10:40 am

The parent company of the Nashville MSA’s No. 10 deposit holder lost $7.7 million in the third quarter but saw a few key credit-quality indicators improve slightly. That has its shares (Ticker: GRNB) up about 10 percent this morning.

In Middle Tennessee (which included areas outside the Nashville area), the bank continued to shrink its loan portfolio – which is now down 9 percent this year – but saw deposits rise by almost $120 million during the quarter.

UPDATE: Howe Barnes analyst Mark Muth says that, despite the drop in nonperforming assets, “it’s too early to declare victory given the depths of GRNB’s credit issues… At some point, deep value investors may be inclined to build positions in the shares, though we believe it is still early for that call.”

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Tags: banking, earnings reports, Green Bankshares Inc., lending  

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