Annuncio • Mar 04
Luther Burbank Files Form 15 Luther Burbank Corporation has announced that it has filed a Form 15 with the Securities and Exchange Commission to voluntarily deregister its common stock under the Securities Exchange Act of 1934, as amended. Board Change • Jan 01
Insufficient new directors There is 1 new director who has joined the board in the last 3 years. The company's board is composed of: 1 new director. 3 experienced directors. 4 highly experienced directors. Independent Director Mario Yzaguirre was the last director to join the board, commencing their role in 2021. The company’s insufficient board refreshment is considered a risk according to the Simply Wall St Risk Model. New Risk • Nov 24
New major risk - Revenue and earnings growth Earnings are forecast to decline by an average of 11% per year for the foreseeable future. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are expected to decline, then in most cases the share price will decline over time as well. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risk Earnings are forecast to decline by an average of 11% per year for the foreseeable future. Minor Risk Profit margins are more than 30% lower than last year (30% net profit margin). New Risk • Nov 01
New minor risk - Profit margin trend The company's profit margins are lower than last year and have reduced by more than 30%. Net profit margin: 30% Last year net profit margin: 48% This is considered a minor risk. A large drop in profit margin could indicate the company does not have strong competitive advantages or it is yet to establish itself and its core business. Even if it is a well established business, this may make it a much riskier investment than one that has a combination of proven competitive advantages and a stable or growing profit margin. This is currently the only risk that has been identified for the company. Annuncio • Oct 31
Luther Burbank Corporation Reports Net Charge-Offs for the Third Quarter Ended September 30, 2023 Luther Burbank Corporation reported net charge-offs for the third quarter ended September 30, 2023. For the quarter, the company reported net charge-offs of $463,000. Annuncio • Jul 26
Luther Burbank Corporation, Annual General Meeting, Oct 24, 2023 Luther Burbank Corporation, Annual General Meeting, Oct 24, 2023. Reported Earnings • Jul 26
Second quarter 2023 earnings released: EPS: US$0.14 (vs US$0.44 in 2Q 2022) Second quarter 2023 results: EPS: US$0.14 (down from US$0.44 in 2Q 2022). Revenue: US$26.0m (down 43% from 2Q 2022). Net income: US$6.92m (down 69% from 2Q 2022). Profit margin: 27% (down from 50% in 2Q 2022). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has increased by 20% per year but the company’s share price has only increased by 3% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Jun 07
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to €9.25, the stock trades at a forward P/E ratio of 12x. Average forward P/E is 7x in the Banks industry in Europe. Total loss to shareholders of 25% over the past year. Reported Earnings • Apr 26
First quarter 2023 earnings released: EPS: US$0.26 (vs US$0.45 in 1Q 2022) First quarter 2023 results: EPS: US$0.26 (down from US$0.45 in 1Q 2022). Revenue: US$36.0m (down 24% from 1Q 2022). Net income: US$13.4m (down 41% from 1Q 2022). Profit margin: 37% (down from 48% in 1Q 2022). The decrease in margin was driven by lower revenue. Valuation Update With 7 Day Price Move • Mar 14
Investor sentiment deteriorates as stock falls 17% After last week's 17% share price decline to €8.85, the stock trades at a forward P/E ratio of 11x. Average forward P/E is 11x in the Mortgage industry in Europe. Total loss to shareholders of 25% over the past year. Reported Earnings • Jan 25
Full year 2022 earnings released: EPS: US$1.58 (vs US$1.70 in FY 2021) Full year 2022 results: EPS: US$1.58 (down from US$1.70 in FY 2021). Revenue: US$177.8m (down 2.9% from FY 2021). Net income: US$80.2m (down 8.6% from FY 2021). Profit margin: 45% (down from 48% in FY 2021). The decrease in margin was primarily driven by lower revenue. Revenue is expected to decline by 12% p.a. on average during the next 2 years, while revenues in the Mortgage industry in Europe are expected to grow by 5.2%. Reported Earnings • Oct 27
Third quarter 2022 earnings released: EPS: US$0.41 (vs US$0.48 in 3Q 2021) Third quarter 2022 results: EPS: US$0.41 (down from US$0.48 in 3Q 2021). Revenue: US$45.2m (down 8.7% from 3Q 2021). Net income: US$21.0m (down 15% from 3Q 2021). Profit margin: 46% (down from 50% in 3Q 2021). The decrease in margin was driven by lower revenue. Revenue is expected to decline by 6.6% p.a. on average during the next 3 years, while revenues in the Mortgage industry in Europe are expected to grow by 7.0%. Annuncio • Oct 26
Luther Burbank Corporation Declares Quarterly Cash Dividend, Payable on November 14, 2022 Luther Burbank Corporation Board of Directors of the Company declared a quarterly cash dividend of $0.12 per common share. The dividend is payable on November 14, 2022 to shareholders of record as of November 4, 2022. Annuncio • Oct 08
Luther Burbank Corporation to Report Q3, 2022 Results on Oct 25, 2022 Luther Burbank Corporation announced that they will report Q3, 2022 results at 4:00 PM, US Eastern Standard Time on Oct 25, 2022 Annuncio • Jul 27
Luther Burbank Corporation Declares Quarterly Cash Dividend, Payable on August 15, 2022 Luther Burbank Corporation announced that on July 26, 2022, the Board of Directors of the Company declared a quarterly cash dividend of $0.12 per common share. The dividend is payable on August 15, 2022 to shareholders of record as of August 5, 2022. Reported Earnings • Jul 27
Second quarter 2022 earnings released: EPS: US$0.44 (vs US$0.41 in 2Q 2021) Second quarter 2022 results: EPS: US$0.44 (up from US$0.41 in 2Q 2021). Revenue: US$45.3m (up 3.2% from 2Q 2021). Net income: US$22.6m (up 6.4% from 2Q 2021). Profit margin: 50% (up from 48% in 2Q 2021). Over the next year, revenue is expected to shrink by 12% compared to a 11% growth forecast for the industry in Germany. Annuncio • Jul 09
Luther Burbank Corporation to Report First Half, 2022 Results on Jul 26, 2022 Luther Burbank Corporation announced that they will report first half, 2022 results on Jul 26, 2022 Recent Insider Transactions • May 12
Key Executive recently sold €75k worth of stock On the 6th of May, Parham Medhat sold around 6k shares on-market at roughly €12.57 per share. This was the largest sale by an insider in the last 3 months. This was Parham's only on-market trade for the last 12 months. Reported Earnings • Apr 28
First quarter 2022 earnings released: EPS: US$0.45 (vs US$0.35 in 1Q 2021) First quarter 2022 results: EPS: US$0.45 (up from US$0.35 in 1Q 2021). Revenue: US$47.6m (up 15% from 1Q 2021). Net income: US$22.9m (up 25% from 1Q 2021). Profit margin: 48% (up from 44% in 1Q 2021). The increase in margin was driven by higher revenue. Over the next year, revenue is expected to shrink by 5.9% compared to a 11% growth forecast for the industry in Germany. Annuncio • Apr 27
Luther Burbank Corporation Announces Quarterly Dividend Luther Burbank Corporation announces quarterly cash dividend of $0.12 per common share declared. Annuncio • Apr 09
Luther Burbank Corporation to Report Q1, 2022 Results on Apr 26, 2022 Luther Burbank Corporation announced that they will report Q1, 2022 results After-Market on Apr 26, 2022 Buying Opportunity • Mar 24
Now 20% undervalued after recent price drop Over the last 90 days, the stock is down 1.6%. The fair value is estimated to be US$15.21, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 11% per annum over the last 3 years. Earnings per share has grown by 23% per annum over the last 3 years. Reported Earnings • Mar 16
Full year 2021 earnings: Revenues and EPS in line with analyst expectations Full year 2021 results: EPS: US$1.70 (up from US$0.75 in FY 2020). Revenue: US$183.1m (up 40% from FY 2020). Net income: US$87.8m (up 120% from FY 2020). Profit margin: 48% (up from 31% in FY 2020). The increase in margin was driven by higher revenue. Net interest margin (NIM): 2.40% (up from 1.97% in FY 2020). Cost-to-income ratio: 34.3% (down from 52.4% in FY 2020). Non-performing loans: 0.04% (down from 0.11% in FY 2020). Revenue was in line with analyst estimates. Over the next year, revenue is expected to shrink by 1.5% compared to a 14% growth forecast for the banks industry in Germany. Reported Earnings • Jan 26
Full year 2021 earnings: Revenues and EPS in line with analyst expectations Full year 2021 results: EPS: US$1.70 (up from US$0.75 in FY 2020). Revenue: US$183.1m (up 40% from FY 2020). Net income: US$87.8m (up 120% from FY 2020). Profit margin: 48% (up from 31% in FY 2020). The increase in margin was driven by higher revenue. Revenue was in line with analyst estimates. Over the next year, revenue is forecast to grow 3.6%, compared to a 14% growth forecast for the banks industry in Germany. Reported Earnings • Oct 27
Third quarter 2021 earnings released: EPS US$0.48 (vs US$0.28 in 3Q 2020) The company reported a strong third quarter result with improved earnings, revenues and profit margins. Third quarter 2021 results: Revenue: US$49.5m (up 35% from 3Q 2020). Net income: US$24.7m (up 73% from 3Q 2020). Profit margin: 50% (up from 39% in 3Q 2020). The increase in margin was driven by higher revenue. Recent Insider Transactions • Sep 16
Executive VP & Chief Risk Officer recently sold €85k worth of stock On the 14th of September, Tammy Mahoney sold around 8k shares on-market at roughly €10.58 per share. This was the largest sale by an insider in the last 3 months. Insiders have been net sellers, collectively disposing of €568k more than they bought in the last 12 months. Reported Earnings • Jul 28
Second quarter 2021 earnings released: EPS US$0.41 (vs US$0.18 in 2Q 2020) The company reported a strong second quarter result with improved earnings, revenues and profit margins. Second quarter 2021 results: Revenue: US$43.9m (up 54% from 2Q 2020). Net income: US$21.2m (up 128% from 2Q 2020). Profit margin: 48% (up from 33% in 2Q 2020). The increase in margin was driven by higher revenue. Recent Insider Transactions • May 12
Independent Director recently sold €47k worth of stock On the 3rd of May, Jack Krouskup sold around 5k shares on-market at roughly €9.48 per share. In the last 3 months, there was an even bigger sale from another insider worth €304k. Insiders have been net sellers, collectively disposing of €516k more than they bought in the last 12 months. Reported Earnings • Apr 30
First quarter 2021 earnings released: EPS US$0.35 (vs US$0.14 in 1Q 2020) The company reported a strong first quarter result with improved earnings, revenues and profit margins. First quarter 2021 results: Revenue: US$41.5m (up 50% from 1Q 2020). Net income: US$18.4m (up 143% from 1Q 2020). Profit margin: 44% (up from 27% in 1Q 2020). The increase in margin was driven by higher revenue. Annuncio • Apr 29
Luther Burbank Corporation Declares Quarterly Cash Dividend, Payable on May 17, 2021 On April 27, 2021, the Board of Directors of Luther Burbank Corporation declared a quarterly cash dividend of $0.0575 per common share. The dividend is payable on May 17, 2021 to shareholders of record as of May 7, 2021. Annuncio • Mar 18
Luther Burbank Corporation, Annual General Meeting, Apr 27, 2021 Luther Burbank Corporation, Annual General Meeting, Apr 27, 2021, at 09:00 Pacific Standard Time. Location: 520 Third Street, 4th floor, Santa Rosa California United States Agenda: To consider the election of eight (8) director nominees named in this proxy statement, each for a term of one year expiring at the Company's 2022 annual meeting of stockholders; and to ratify the selection of Crowe LLP as the Company's independent registered public accounting firm for the year ending December 31, 2021. Reported Earnings • Mar 13
Full year 2020 earnings released: EPS US$0.75 (vs US$0.87 in FY 2019) The company reported a poor full year result with weaker earnings and profit margins, although revenues were flat. Full year 2020 results: Revenue: US$130.6m (flat on FY 2019). Net income: US$39.9m (down 18% from FY 2019). Profit margin: 31% (down from 37% in FY 2019). Net interest margin (NIM): 1.97% (up from 1.84% in FY 2019). Cost-to-income ratio: 52.4% (up from 46.9% in FY 2019). Non-performing loans: 0.11% (up from 0.10% in FY 2019). Analyst Estimate Surprise Post Earnings • Mar 13
Revenue beats expectations Revenue exceeded analyst estimates by 0.5%. Over the next year, revenue is forecast to grow 22% compared to a 5.9% decline forecast for the Mortgage industry in Germany. Recent Insider Transactions • Mar 11
Executive VP recently sold €304k worth of stock On the 10th of March, Liana Prieto sold around 30k shares on-market at roughly €10.12 per share. This was the largest sale by an insider in the last 3 months. Insiders have been net sellers, collectively disposing of €423k more than they bought in the last 12 months. Recent Insider Transactions • Mar 05
Executive VP & Chief Risk Officer recently sold €106k worth of stock On the 1st of March, Tammy Mahoney sold around 12k shares on-market at roughly €8.83 per share. This was the largest sale by an insider in the last 3 months. Insiders have been net sellers, collectively disposing of €119k more than they bought in the last 12 months. Is New 90 Day High Low • Feb 25
New 90-day high: €8.69 The company is up 2.0% from its price of €8.52 on 26 November 2020. The German market is up 7.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Mortgage industry, which is up 4.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is €10.64 per share. Reported Earnings • Jan 30
Full year 2020 earnings released: EPS US$0.75 (vs US$0.87 in FY 2019) The company reported a poor full year result with weaker earnings and profit margins, although revenues were flat. Full year 2020 results: Revenue: US$130.6m (flat on FY 2019). Net income: US$39.9m (down 18% from FY 2019). Profit margin: 31% (down from 37% in FY 2019). Net interest margin (NIM): 1.97% (up from 1.84% in FY 2019). Cost-to-income ratio: 67.2% (up from 46.9% in FY 2019). Non-performing loans: 0.10% (no change from 0.10% in FY 2019). Analyst Estimate Surprise Post Earnings • Jan 30
Revenue beats expectations Revenue exceeded analyst estimates by 0.5%. Over the next year, revenue is forecast to grow 22%, compared to a 39% growth forecast for the Mortgage industry in Germany. Annuncio • Jan 12
Luther Burbank Corporation to Report Q4, 2020 Results on Jan 26, 2021 Luther Burbank Corporation announced that they will report Q4, 2020 results After-Market on Jan 26, 2021 Annuncio • Dec 24
Renu Agrawal Joins Luther Burbank Corporation and Luther Burbank Savings Board of Directors and Audit and Risk Committee Luther Burbank Corporation, the holding company for Luther Burbank Savings (the “Bank”), has announced that Renu Agrawal has been appointed to the Board of Directors of the Company and the Bank. Ms. Agrawal has also been appointed to the Company’s and the Bank’s Audit and Risk Committee of the Board of the Directors. Ms. Agrawal most recently served as Executive Vice President and Chief Operating Officer for Wells Fargo’s Financial Institutions Group. Ms. Agrawal holds a M.B.A. from MIT Sloan School of Management and a Ph.D. in Materials Science and Engineering from MIT. She graduated with a B.Tech in metallurgy from IIT, Kanpur. Is New 90 Day High Low • Nov 11
New 90-day high: €9.17 The company is up 5.0% from its price of €8.77 on 12 August 2020. The German market is flat over the last 90 days, indicating the company outperformed over that time. However, it underperformed the Mortgage industry, which is up 12% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is €8.29 per share. Reported Earnings • Nov 10
Third quarter 2020 earnings released: EPS US$0.28 The company reported a strong third quarter result with improved earnings, revenues and profit margins. Third quarter 2020 results: Revenue: US$36.7m (up 7.7% from 3Q 2019). Net income: US$14.3m (up 12% from 3Q 2019). Profit margin: 39% (up from 37% in 3Q 2019). The increase in margin was driven by higher revenue. Analyst Estimate Surprise Post Earnings • Nov 10
Revenue beats expectations Revenue exceeded analyst estimates by 3.0%. Over the next year, revenue is forecast to grow 21%, compared to a 45% growth forecast for the Mortgage industry in Germany. Analyst Estimate Surprise Post Earnings • Oct 30
Third-quarter earnings released: Revenue beats expectations Third-quarter revenue exceeded analyst estimates by 3.0% at US$36.7m. Revenue is forecast to grow 19% over the next year, compared to a 47% growth forecast for the Mortgage industry in Germany. Reported Earnings • Oct 30
Third quarter earnings released Over the last 12 months the company has reported total profits of US$43.7m, down 7.1% from the prior year. Total revenue was US$125.9m over the last 12 months, down 4.2% from the prior year. Annuncio • Oct 10
Luther Burbank Corporation to Report Q3, 2020 Results on Oct 27, 2020 Luther Burbank Corporation announced that they will report Q3, 2020 results at 5:00 PM, Eastern Standard Time on Oct 27, 2020 Annuncio • Jul 17
Luther Burbank Corporation to Report Q2, 2020 Results on Jul 28, 2020 Luther Burbank Corporation announced that they will report Q2, 2020 results at 5:00 PM, Eastern Standard Time on Jul 28, 2020 
