DB:WAO

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Washington Federal

Executive Summary

Washington Federal, Inc. operates as the bank holding company for Washington Federal, National Association that provides lending, depository, insurance, and other banking services in the United States.


Snowflake Analysis

Flawless balance sheet average dividend payer.


Similar Companies

Share Price & News

How has Washington Federal's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: WAO's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

0%

WAO

5.7%

DE Mortgage

3.1%

DE Market


1 Year Return

-18.3%

WAO

-23.8%

DE Mortgage

0.1%

DE Market

Return vs Industry: WAO exceeded the German Mortgage industry which returned -23.1% over the past year.

Return vs Market: WAO underperformed the German Market which returned 0% over the past year.


Shareholder returns

WAOIndustryMarket
7 Day0%5.7%3.1%
30 Day-5.8%5.9%5.6%
90 Day-18.0%-24.0%-1.8%
1 Year-16.1%-18.3%-21.8%-23.8%1.8%0.1%
3 Year-16.0%-21.8%-17.7%-25.5%-7.2%-14.3%
5 Year26.7%12.2%-1.0%-14.2%4.3%-9.1%

Price Volatility Vs. Market

How volatile is Washington Federal's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Washington Federal undervalued compared to its fair value and its price relative to the market?

17.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: WAO (€22.8) is trading below our estimate of fair value (€27.39)

Significantly Below Fair Value: WAO is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: WAO is poor value based on its PE Ratio (9.7x) compared to the Mortgage industry average (8.5x).

PE vs Market: WAO is good value based on its PE Ratio (9.7x) compared to the German market (18.9x).


Price to Earnings Growth Ratio

PEG Ratio: WAO's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: WAO is overvalued based on its PB Ratio (1x) compared to the XE Mortgage industry average (0.6x).


Next Steps

Future Growth

How is Washington Federal forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

-27.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: WAO's earnings are forecast to decline over the next 3 years (-27.1% per year).

Earnings vs Market: WAO's earnings are forecast to decline over the next 3 years (-27.1% per year).

High Growth Earnings: WAO's earnings are forecast to decline over the next 3 years.

Revenue vs Market: WAO's revenue is expected to decline over the next 3 years (-1.9% per year).

High Growth Revenue: WAO's revenue is forecast to decline over the next 3 years (-1.9% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if WAO's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Washington Federal performed over the past 5 years?

7.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: WAO has high quality earnings.

Growing Profit Margin: WAO's current net profit margins (36%) are lower than last year (38.4%).


Past Earnings Growth Analysis

Earnings Trend: WAO's earnings have grown by 7.6% per year over the past 5 years.

Accelerating Growth: WAO's earnings growth over the past year (1.4%) is below its 5-year average (7.6% per year).

Earnings vs Industry: WAO earnings growth over the past year (1.4%) exceeded the Mortgage industry 1%.


Return on Equity

High ROE: WAO's Return on Equity (10.6%) is considered low.


Next Steps

Financial Health

How is Washington Federal's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet


Financial Institutions Analysis

Asset Level: WAO's Assets to Equity ratio (8.7x) is low.

Allowance for Bad Loans: WAO has a sufficient allowance for bad loans (428%).

Low Risk Liabilities: 79% of WAO's liabilities are made up of primarily low risk sources of funding.

Loan Level: WAO has an appropriate level of Loans to Assets ratio (69%).

Low Risk Deposits: WAO's Loans to Deposits ratio (99%) is appropriate.

Level of Bad Loans: WAO has an appropriate level of bad loans (0.2%).


Next Steps

Dividend

What is Washington Federal's current dividend yield, its reliability and sustainability?

3.38%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: WAO's dividend (3.4%) is higher than the bottom 25% of dividend payers in the German market (1.29%).

High Dividend: WAO's dividend (3.4%) is low compared to the top 25% of dividend payers in the German market (3.86%).


Stability and Growth of Payments

Stable Dividend: WAO's dividends per share have been stable in the past 10 years.

Growing Dividend: WAO's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (32.2%), WAO's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.6yrs

Average management tenure


CEO

Brent Beardall (48yo)

3.17yrs

Tenure

US$2,263,849

Compensation

Mr. Brent J. Beardall, CPA has been the Chief Executive Officer of Washington Federal, Inc. since April 1, 2017 and has been its President since July 26, 2016. Mr. Beardall has been the President of Washin ...


CEO Compensation Analysis

Compensation vs Market: Brent's total compensation ($USD2.26M) is above average for companies of similar size in the German market ($USD1.52M).

Compensation vs Earnings: Brent's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Brent Beardall
President3.17yrsUS$2.26m0.38% $6.8m
Vincent Beatty
Chief Financial Officer4.08yrsUS$891.16k0.082% $1.4m
Cathy Cooper
Executive VP11.42yrsUS$807.41k0.078% $1.4m
Mark Schoonover
Senior Advisor0.67yrUS$1.06m0.17% $3.0m
Robert Peters
Senior Advisor3.5yrsUS$823.49k0.069% $1.2m
Kim Robinson
Executive Vice President of Operations2.08yrsno data0.058% $1.0m
Cory Stewart
Principal Accounting Officer & Senior VP3.92yrsno data0.013% $232.7k
Jim Motz
Chief Information Officer & Executive VPno datano datano data
Arian Colachis
Senior VPno datano datano data
Brad Goode
Chief of Communications3.75yrsno datano data

3.6yrs

Average Tenure

53yo

Average Age

Experienced Management: WAO's management team is considered experienced (3.5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Brent Beardall
President3.17yrsUS$2.26m0.38% $6.8m
Randall Talbot
Independent Director7.92yrsUS$125.75k0.045% $805.2k
David Grant
Independent Director7.75yrsUS$123.75k0.052% $911.5k
W. Harris
Director Emeritusno dataUS$19.50kno data
Stephen Graham
Independent Director1.17yrsUS$71.63k0.0047% $83.2k
Linda Brower
Independent Director0.92yrUS$39.01k0.082% $1.4m
Thomas Kelley
Independent Chairman of the Board1.67yrsUS$158.75k0.033% $592.1k
Barbara Smith
Independent Director14.42yrsUS$124.75k0.037% $647.3k
Mark Tabbutt
Independent Director9.25yrsUS$125.25k0.12% $2.1m
S. Singh
Independent Director1.83yrsUS$122.00k0.0034% $60.2k

3.2yrs

Average Tenure

66yo

Average Age

Experienced Board: WAO's board of directors are considered experienced (3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: WAO insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Washington Federal, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Washington Federal, Inc.
  • Ticker: WAO
  • Exchange: DB
  • Founded: 1917
  • Industry: Thrifts and Mortgage Finance
  • Sector: Banks
  • Market Cap: US$1.969b
  • Listing Market Cap: US$1.770b
  • Shares outstanding: 75.71m
  • Website: https://www.wafdbank.com

Number of Employees


Location

  • Washington Federal, Inc.
  • 425 Pike Street
  • Seattle
  • Washington
  • 98101
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
WAFDNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDNov 1982
WAODB (Deutsche Boerse AG)YesCommon StockDEEURNov 1982

Biography

Washington Federal, Inc. operates as the bank holding company for Washington Federal, National Association that provides lending, depository, insurance, and other banking services in the United States. The company accepts deposit products, including business and personal checking accounts, and term certificates of deposit, as well as money market accounts and passbook savings accounts. It also provides single-family residential, construction, land acquisition and development, land consumer lot, multi-family residential, commercial and industrial, commercial real estate, home equity, business, and consumer loans. In addition, the company offers insurance brokerage services, such as individual and business insurance policies to customers and general public; holds and markets real estate properties; and acts as trustee. It serves consumers, mid-sized and large businesses, and owners and developers of commercial real estate. As of September 30, 2019, the company had 234 branches located in Washington, Oregon, Idaho, Arizona, Utah, Nevada, New Mexico, and Texas. Washington Federal, Inc. was founded in 1917 and is headquartered in Seattle, Washington. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/06/01 23:36
End of Day Share Price2020/05/29 00:00
Earnings2020/03/31
Annual Earnings2019/09/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.