Norion is a niche bank focused on real-estate financing (50%) and SME (19%). As a niche player in the financial sector the company has better growth opportunities. The bank operates in segments with higher risks and higher margins. When well-managed this results in higher profit margins.

The share is valued at <7x PE 2023 with >15% ROE. The company is undervalued at 0.5 PEG and is an attractive value investment (compared to the larger banks).

A bit higher risk than traditional big banks, since it works with credits that have higher risk and higher yield. The P/E=7.3 and the business seam to growth with low risk. Norion could be negative effected by lower rates, but it is hard to determine in what way. On the negative side the margins might be a bit lower, potentially the need for mortgages will decrease. On the positive side clients defaulting on loans should be lower and Norion’s funding cost would go down. All in all I see a P/E around 10 as a good buy.