DB:WF2

Stock Analysis Report

Wintrust Financial

Executive Summary

Wintrust Financial Corporation operates as a financial holding company in the Chicago metropolitan area, southern Wisconsin, and northwest Indiana.

Snowflake

Fundamentals

Flawless balance sheet established dividend payer.


Similar Companies

Share Price & News

How has Wintrust Financial's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: WF2 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-0.8%

WF2

-7.8%

DE Banks

-0.5%

DE Market


1 Year Return

-11.5%

WF2

-25.6%

DE Banks

12.2%

DE Market

Return vs Industry: WF2 exceeded the German Banks industry which returned -25.6% over the past year.

Return vs Market: WF2 underperformed the German Market which returned 12.2% over the past year.


Shareholder returns

WF2IndustryMarket
7 Day-0.8%-7.8%-0.5%
30 Day5.3%-2.3%4.4%
90 Day6.6%6.7%11.1%
1 Year-10.2%-11.5%-23.3%-25.6%15.8%12.2%
3 Year0.9%-2.2%-16.8%-20.9%24.7%13.8%
5 Year71.8%63.4%-10.6%-32.3%35.0%16.6%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Wintrust Financial undervalued compared to its fair value and its price relative to the market?

22.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: WF2 (€59.5) is trading below our estimate of fair value (€76.98)

Significantly Below Fair Value: WF2 is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: WF2 is good value based on its PE Ratio (11x) compared to the Banks industry average (16x).

PE vs Market: WF2 is good value based on its PE Ratio (11x) compared to the German market (19.9x).


Price to Earnings Growth Ratio

PEG Ratio: WF2 is poor value based on its PEG Ratio (3.1x)


Price to Book Ratio

PB vs Industry: WF2 is overvalued based on its PB Ratio (1.1x) compared to the DE Banks industry average (0.8x).


Next Steps

Future Growth

How is Wintrust Financial forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?

3.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: WF2's forecast earnings growth (3.5% per year) is above the savings rate (0.2%).

Earnings vs Market: WF2's earnings (3.5% per year) are forecast to grow slower than the German market (12.9% per year).

High Growth Earnings: WF2's earnings are forecast to grow, but not significantly.

Revenue vs Market: WF2's revenue (4.9% per year) is forecast to grow faster than the German market (4.8% per year).

High Growth Revenue: WF2's revenue (4.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: WF2's Return on Equity is forecast to be low in 3 years time (9.7%).


Next Steps

Past Performance

How has Wintrust Financial performed over the past 5 years?

21.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: WF2 has high quality earnings.

Growing Profit Margin: WF2's current net profit margins (25.1%) are lower than last year (25.7%).


Past Earnings Growth Analysis

Earnings Trend: WF2's earnings have grown significantly by 21.3% per year over the past 5 years.

Accelerating Growth: WF2's earnings growth over the past year (5.3%) is below its 5-year average (21.3% per year).

Earnings vs Industry: WF2 earnings growth over the past year (5.3%) exceeded the Banks industry 3.9%.


Return on Equity

High ROE: WF2's Return on Equity (9.9%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Wintrust Financial'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

Inventory Level: WF2 has a low level of unsold assets or inventory.

Debt Coverage by Assets: WF2's debt is covered by short term assets (assets are 2x debt).


Financial Institutions Analysis

Asset Level: WF2's level of assets compared to its equity is low.

Allowance for Bad Loans: WF2 has a sufficient allowance for bad loans.

Low Risk Liabilities: WF2's liabilities are made up of primarily low risk sources of funding.

Loan Level: WF2 has an acceptable proportion of non-loan assets held.

Low Risk Deposits: WF2's loans are broadly funded by customer deposits.

Level of Bad Loans: WF2 has an appropriate level of bad loans (0.47%)


Next Steps

Dividend

What is Wintrust Financial's current dividend yield, its reliability and sustainability?

1.51%

Current Dividend Yield


Dividend Yield vs Market

company1.5%marketbottom25%1.3%markettop25%3.7%industryaverage3.8%forecastin3Years1.6%

Current dividend yield vs market & industry

Notable Dividend: WF2's dividend (1.51%) is higher than the bottom 25% of dividend payers in the German market (1.35%).

High Dividend: WF2's dividend (1.51%) is low compared to the top 25% of dividend payers in the German market (3.7%).


Stability and Growth of Payments

Stable Dividend: WF2's dividends per share have been stable in the past 10 years.

Growing Dividend: WF2's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (15.6%), WF2's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: WF2's dividends in 3 years are forecast to be well covered by earnings (16.9% payout ratio).


Next Steps

Management

What is the CEO of Wintrust Financial's salary, the management and board of directors tenure and is there insider trading?

13.4yrs

Average management tenure


CEO

Ed Wehmer (65yo)

21.5yrs

Tenure

US$4,900,431

Compensation

Mr. Edward Joseph Wehmer, also known as Ed, has been the President and Chief Executive Officer of Wintrust Financial Corporation since May 1998 and Director since 1996. Mr. Wehmer serves as an Advisory Dir ...


CEO Compensation Analysis

Compensation vs Market: Ed's total compensation ($USD4.90M) is above average for companies of similar size in the German market ($USD2.74M).

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


Management Age and Tenure

13.4yrs

Average Tenure

58yo

Average Age

Experienced Management: WF2's management team is seasoned and experienced (13.4 years average tenure).


Board Age and Tenure

14.7yrs

Average Tenure

65yo

Average Age

Experienced Board: WF2's board of directors are seasoned and experienced ( 14.7 years average tenure).


Insider Trading

Insider Buying: WF2 insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$44,84604 Nov 19
Gary Sweeney
EntityIndividual
Shares786
Max PriceUS$57.06
BuyUS$44,55022 Jul 19
Gary Sweeney
EntityIndividual
Shares747
Max PriceUS$59.64

Ownership Breakdown

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


Management Team

  • Ed Wehmer (65yo)

    President

    • Tenure: 21.5yrs
    • Compensation: US$4.90m
  • Dave Dykstra (58yo)

    Senior EVP & COO

    • Tenure: 17.8yrs
    • Compensation: US$2.17m
  • Dave Stoehr (59yo)

    Executive VP & CFO

    • Tenure: 17.8yrs
    • Compensation: US$1.22m
  • Leona Gleason (69yo)

    Chief Administrative Officer & Executive VP

    • Tenure: 0yrs
    • Compensation: US$901.80k
  • Tim Crane (57yo)

    Executive VP

    • Tenure: 3.8yrs
    • Compensation: US$1.21m
  • Tom Zidar (50yo)

    Executive VP & Market Head of Wealth Management Services

    • Tenure: 13.4yrs
  • Kathleen Boege (52yo)

    Executive VP

    • Tenure: 0yrs
  • Dave Larson (56yo)

    Executive VP & Regional Market Head

    • Tenure: 0yrs
  • Guy Eisenhuth (63yo)

    Executive VP & Regional Market Head

    • Tenure: 5.8yrs
  • Tony Buttrick

    Executive VP & Chief Information Officer

    • Tenure: 1.8yrs

Board Members

  • Chris Perry (63yo)

    Independent Director

    • Tenure: 10.5yrs
    • Compensation: US$129.40k
  • Ed Wehmer (65yo)

    President

    • Tenure: 21.5yrs
    • Compensation: US$4.90m
  • Bruce Crowther (67yo)

    Independent Director

    • Tenure: 21.8yrs
    • Compensation: US$157.14k
  • Ingrid Stafford (65yo)

    Independent Director

    • Tenure: 21.5yrs
    • Compensation: US$153.22k
  • Peter Crist (67yo)

    Independent Director

    • Tenure: 23.8yrs
    • Compensation: US$170.96k
  • Scott Heitmann (70yo)

    Independent Director

    • Tenure: 11.5yrs
    • Compensation: US$158.96k
  • Dave Stoehr (59yo)

    Executive VP & CFO

    • Tenure: 17.8yrs
    • Compensation: US$1.22m
  • Pat Hackett (67yo)

    Independent Chairman of the Board

    • Tenure: 2.8yrs
    • Compensation: US$152.20k
  • Marla Gay Glabe (65yo)

    Independent Director

    • Tenure: 4.5yrs
    • Compensation: US$118.30k
  • Karin Teglia (51yo)

    Director

    • Tenure: 0.5yrs

Company Information

Wintrust Financial Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Wintrust Financial Corporation
  • Ticker: WF2
  • Exchange: DB
  • Founded: 1991
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$3.772b
  • Listing Market Cap: US$3.405b
  • Shares outstanding: 57.07m
  • Website: https://www.wintrust.com

Number of Employees


Location

  • Wintrust Financial Corporation
  • 9700 West Higgins Road
  • Suite 800
  • Rosemont
  • Illinois
  • 60018
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
WTFCNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDSep 1996
WF2DB (Deutsche Boerse AG)YesCommon StockDEEURSep 1996
WTFC.MNasdaqGS (Nasdaq Global Select)PFD-D FIX/FLTUSUSDJun 2015

Biography

Wintrust Financial Corporation operates as a financial holding company in the Chicago metropolitan area, southern Wisconsin, and northwest Indiana. It operates in three segments: Community Banking, Special ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/19 21:35
End of Day Share Price2019/11/19 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


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.