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Customers Bancorp

LSE:0I5Z
Snowflake Description

Flawless balance sheet and slightly overvalued.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
0I5Z
LSE
$695M
Market Cap
  1. Home
  2. GB
  3. Banks
Company description

Customers Bancorp, Inc. operates as the bank holding company for Customers Bank that provides financial products and services to small and middle market businesses, not-for-profits, and consumers. The last earnings update was 50 days ago. More info.


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0I5Z Share Price and Events
7 Day Returns
16%
LSE:0I5Z
1%
GB Banks
0.6%
GB Market
1 Year Returns
-
LSE:0I5Z
-8.7%
GB Banks
1.1%
GB Market
0I5Z Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Customers Bancorp (0I5Z) 16% - - - - -
GB Banks 1% 4.3% 4.4% -8.7% 17% -11.2%
GB Market 0.6% 2.6% 6.9% 1.1% 15.6% 6.2%
1 Year Return vs Industry and Market
  • No trading data on 0I5Z.
  • No trading data on 0I5Z.
Price Volatility
0I5Z
Industry
5yr Volatility vs Market

Value

 Is Customers Bancorp undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Customers Bancorp to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Customers Bancorp.

LSE:0I5Z Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model Excess Returns Model
Stable EPS Weighted future Return on Equity estimates from 7 analysts.
= Stable Book Value * Return on Equity
= $27.93 * 8.8%
$2.45
Book Value of Equity per Share Weighted future Book Value estimates from 4 analysts. $27.93
Discount Rate (Cost of Equity) See below 10.1%
Perpetual Growth Rate 10-Year GB Government Bond Rate 1.2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for LSE:0I5Z
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year GB Govt Bond Rate 1.2%
Equity Risk Premium S&P Global 6%
Banks Unlevered Beta Simply Wall St/ S&P Global 0.59
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.593 (1 + (1- 21%) (242.49%))
1.489
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.49
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.23% + (1.489 * 5.96%)
10.1%

Discounted Cash Flow Calculation for LSE:0I5Z using Excess Returns Model Model

The calculations below outline how an intrinsic value for Customers Bancorp is arrived at using the Excess Return Model. This approach is used for finance firms where free cash flow is difficult to estimate.

In the Excess Return Model the value of a firm can be written as the sum of capital invested currently in the firm and the present value of excess returns that the firm expects to make in the future.

The model is sensitive to the Return on Equity of the company versus the Cost of Equity, how these are calculated is detailed below the main calculation.

Note the calculations below are per share.

See our documentation to learn about this calculation.

LSE:0I5Z Value of Excess Returns
Calculation Result
Excess Returns = (Stable Return on equity – Cost of equity) (Book Value of Equity per share)
= (8.8% – 10.1%) * $27.93)
$-0.37
Terminal Value of Excess Returns = Excess Returns / (Cost of Equity - Expected Growth Rate)
= $-0.37 / (10.1% - 1.23%)
$-4.20
Value of Equity = Book Value per share + Terminal Value of Excess Returns
= $27.93 + $-4.20
$23.72
LSE:0I5Z Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in LSE:0I5Z represents 1.01345x of NYSE:CUBI
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
1.01345x
Value per Share
(Listing Adjusted, USD)
= Value per Share (USD) x Listing Adjustment Factor
= $ 23.72 x 1.01345
$24.04
Value per share (USD) From above. $24.04
Current discount Discount to share price of $22.60
= -1 x ($22.60 - $24.04) / $24.04
6%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Customers Bancorp is available for.
Intrinsic value
6%
Share price is $22.6 vs Future cash flow value of $24.04
Current Discount Checks
For Customers Bancorp to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Customers Bancorp's share price is below the future cash flow value, but not at a moderate discount (< 20%).
  • Customers Bancorp's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Customers Bancorp's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Customers Bancorp's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
LSE:0I5Z PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in USD $1.81
NYSE:CUBI Share Price ** NYSE (2019-04-18) in USD $22.3
United Kingdom of Great Britain and Northern Ireland Banks Industry PE Ratio Median Figure of 15 Publicly-Listed Banks Companies 10.35x
United Kingdom of Great Britain and Northern Ireland Market PE Ratio Median Figure of 797 Publicly-Listed Companies 16.29x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Customers Bancorp.

LSE:0I5Z PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:CUBI Share Price ÷ EPS (both in USD)

= 22.3 ÷ 1.81

12.3x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Customers Bancorp is overvalued based on earnings compared to the GB Banks industry average.
  • Customers Bancorp is good value based on earnings compared to the United Kingdom of Great Britain and Northern Ireland market.
Price based on expected Growth
Does Customers Bancorp's expected growth come at a high price?
Raw Data
LSE:0I5Z PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 12.3x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 7 Analysts
16.1%per year
United Kingdom of Great Britain and Northern Ireland Banks Industry PEG Ratio Median Figure of 14 Publicly-Listed Banks Companies 0.86x
United Kingdom of Great Britain and Northern Ireland Market PEG Ratio Median Figure of 564 Publicly-Listed Companies 1.48x

*Line of best fit is calculated by linear regression .

LSE:0I5Z PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 12.3x ÷ 16.1%

0.76x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Customers Bancorp is good value based on expected growth next year.
Price based on value of assets
What value do investors place on Customers Bancorp's assets?
Raw Data
LSE:0I5Z PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in USD $23.85
NYSE:CUBI Share Price * NYSE (2019-04-18) in USD $22.3
United Kingdom of Great Britain and Northern Ireland Banks Industry PB Ratio Median Figure of 16 Publicly-Listed Banks Companies 0.88x
United Kingdom of Great Britain and Northern Ireland Market PB Ratio Median Figure of 1,367 Publicly-Listed Companies 1.51x
LSE:0I5Z PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:CUBI Share Price ÷ Book Value per Share (both in USD)

= 22.3 ÷ 23.85

0.94x

* Primary Listing of Customers Bancorp.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Customers Bancorp is overvalued based on assets compared to the GB Banks industry average.
X
Value checks
We assess Customers Bancorp's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Banks industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Banks industry average (and greater than 0)? (1 check)
  5. Customers Bancorp has a total score of 2/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Customers Bancorp expected to perform in the next 1 to 3 years based on estimates from 7 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
16.1%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Customers Bancorp expected to grow at an attractive rate?
  • Customers Bancorp's earnings growth is expected to exceed the low risk savings rate of 1.2%.
Growth vs Market Checks
  • Customers Bancorp's earnings growth is expected to exceed the United Kingdom of Great Britain and Northern Ireland market average.
  • Customers Bancorp's revenues are expected to decrease over the next 1-3 years, this is below the United Kingdom of Great Britain and Northern Ireland market average.
Annual Growth Rates Comparison
Raw Data
LSE:0I5Z Future Growth Rates Data Sources
Data Point Source Value (per year)
LSE:0I5Z Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 7 Analysts 16.1%
LSE:0I5Z Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 7 Analysts -6.6%
United Kingdom of Great Britain and Northern Ireland Banks Industry Earnings Growth Rate Market Cap Weighted Average 12.7%
United Kingdom of Great Britain and Northern Ireland Banks Industry Revenue Growth Rate Market Cap Weighted Average 4.6%
United Kingdom of Great Britain and Northern Ireland Market Earnings Growth Rate Market Cap Weighted Average 11%
United Kingdom of Great Britain and Northern Ireland Market Revenue Growth Rate Market Cap Weighted Average 4.8%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
LSE:0I5Z Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 7 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
LSE:0I5Z Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31
2020-12-31 266 81 6
2019-12-31 257 72 6
LSE:0I5Z Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2018-12-31 311 97 57
2018-09-30 318 283 61
2018-06-30 339 115 63
2018-03-31 341 76 63
2017-12-31 339 62 64
2017-09-30 331 635 63
2017-06-30 340 615 77
2017-03-31 324 289 73
2016-12-31 303 91 69
2016-09-30 280 -585 74
2016-06-30 242 -285 70
2016-03-31 215 -211 65

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Customers Bancorp's earnings are expected to grow by 16.1% yearly, however this is not considered high growth (20% yearly).
  • Customers Bancorp's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
LSE:0I5Z Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 7 Analyst Estimates (S&P Global) See Below

All data from Customers Bancorp Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

LSE:0I5Z Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31
2020-12-31 2.54 3.00 2.22 7.00
2019-12-31 2.20 2.27 2.07 6.00
LSE:0I5Z Past Financials Data
Date (Data in USD Millions) EPS *
2018-12-31 1.81
2018-09-30 1.94
2018-06-30 2.01
2018-03-31 2.03
2017-12-31 2.10
2017-09-30 2.07
2017-06-30 2.63
2017-03-31 2.58
2016-12-31 2.51
2016-09-30 2.74
2016-06-30 2.59
2016-03-31 2.40

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Customers Bancorp is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Customers Bancorp's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Customers Bancorp has a total score of 2/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Customers Bancorp performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Customers Bancorp's growth in the last year to its industry (Banks).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Customers Bancorp's year on year earnings growth rate has been positive over the past 5 years.
  • Customers Bancorp's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Customers Bancorp's 1-year earnings growth is negative, it can't be compared to the GB Banks industry average.
Earnings and Revenue History
Customers Bancorp's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Customers Bancorp Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

LSE:0I5Z Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 311.23 57.24 186.28
2018-09-30 318.43 60.99 184.84
2018-06-30 338.96 62.71 189.12
2018-03-31 341.19 62.77 184.61
2017-12-31 339.49 64.38 182.61
2017-09-30 331.35 62.59 174.61
2017-06-30 339.64 77.11 166.09
2017-03-31 324.03 73.30 154.24
2016-12-31 302.83 69.19 136.14
2016-09-30 280.33 74.25 112.96
2016-06-30 242.36 69.90 94.18
2016-03-31 215.12 64.65 86.91
2015-12-31 203.44 56.09 90.56
2015-09-30 195.06 52.49 85.71
2015-06-30 181.33 49.84 81.56
2015-03-31 178.67 49.03 76.97
2014-12-31 162.30 44.53 71.01
2014-09-30 150.09 39.05 69.93
2014-06-30 140.92 35.65 65.53
2014-03-31 129.52 33.64 60.75
2013-12-31 124.32 32.69 55.47
2013-09-30 112.73 31.25 49.11
2013-06-30 102.54 29.62 44.57
2013-03-31 98.94 27.90 40.44
2012-12-31 86.74 23.82 38.15
2012-09-30 77.67 19.44 35.40
2012-06-30 68.68 15.14 32.63

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Customers Bancorp has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Customers Bancorp used its assets more efficiently than the GB Banks industry average last year based on Return on Assets.
  • Unable to establish if Customers Bancorp improved its use of capital last year versus 3 years ago (Return on Capital Employed) due to insufficient past data.
X
Past performance checks
We assess Customers Bancorp's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Banks industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Customers Bancorp has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

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

This company is a bank or financial institution.

Fundamentally a bank's business is based upon borrowing and lending money, for this reason they typically have high levels of debt and we analyse them differently.
Net Worth
Balance sheet
This treemap shows a more detailed breakdown of Customers Bancorp's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Customers Bancorp Company Filings, last reported 3 months ago.

LSE:0I5Z Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 956.82 1,684.20 18.43
2018-09-30 954.81 1,083.42 688.65
2018-06-30 936.23 2,804.31 267.97
2018-03-31 919.09 2,755.93 229.02
2017-12-31 920.96 2,072.31 156.08
2017-09-30 910.64 1,916.55 229.93
2017-06-30 910.29 2,457.58 412.44
2017-03-31 879.82 1,631.02 168.21
2016-12-31 855.87 1,161.88 126.27
2016-09-30 789.82 1,309.88 166.18
2016-06-30 680.56 2,191.05 239.69
2016-03-31 599.25 1,931.99 277.96
2015-12-31 553.90 1,904.37 200.69
2015-09-30 537.98 1,251.10 394.34
2015-06-30 523.50 1,596.48 398.36
2015-03-31 457.95 1,756.19 342.63
2014-12-31 443.15 1,825.97 317.38
2014-09-30 425.80 1,800.88 337.03
2014-06-30 413.74 1,508.94 271.63
2014-03-31 400.94 974.60 295.63
2013-12-31 386.62 788.29 186.73
2013-09-30 388.89 239.12 94.36
2013-06-30 379.77 628.87 15.00
2013-03-31 276.91 632.39 8.04
2012-12-31 269.48 478.00 159.82
2012-09-30 261.50 38.00 157.51
2012-06-30 158.72 185.00 122.05
BANK ANALYSIS

This company is a bank or financial institution, which is analysed accordingly below.

Below we check the amount of loans the bank has, how many of those are bad, and its ability to cover any bad loans.
  • Customers Bancorp has an acceptable proportion of non-loan assets held.
  • Customers Bancorp's liabilities are made up of primarily low risk sources of funding.
  • Loans at Customers Bancorp are broadly funded by customer deposits.
  • Customers Bancorp's level of assets compared to its equity is moderate (i.e. an appropriate level of borrowing to fund lending).
  • Customers Bancorp has a sufficient allowance for bad loans.
  • Customers Bancorp has an acceptable level of bad loans (less than 2%).
X
Financial health checks
We assess Customers Bancorp's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Customers Bancorp has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Customers Bancorp's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Customers Bancorp dividends.
If you bought $2,000 of Customers Bancorp shares you are expected to receive $0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Customers Bancorp's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Customers Bancorp's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
LSE:0I5Z Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 7 Analyst Estimates (S&P Global) See Below
United Kingdom of Great Britain and Northern Ireland Banks Industry Average Dividend Yield Market Cap Weighted Average of 14 Stocks 4.9%
United Kingdom of Great Britain and Northern Ireland Market Average Dividend Yield Market Cap Weighted Average of 705 Stocks 4.2%
United Kingdom of Great Britain and Northern Ireland Minimum Threshold Dividend Yield 10th Percentile 1%
United Kingdom of Great Britain and Northern Ireland Bottom 25% Dividend Yield 25th Percentile 2%
United Kingdom of Great Britain and Northern Ireland Top 25% Dividend Yield 75th Percentile 5.2%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

LSE:0I5Z Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31
2020-12-31
2019-12-31

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Customers Bancorp has not reported any payouts.
  • Unable to verify if Customers Bancorp's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Customers Bancorp's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Customers Bancorp has not reported any payouts.
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Customers Bancorp's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Customers Bancorp afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Customers Bancorp has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

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

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Jay Sidhu
COMPENSATION $8,046,683
AGE 66
TENURE AS CEO 9 years
CEO Bio

Mr. Jay S. Sidhu is Chairman and CEO of Customers Bancorp, Customers Bank (the “Bank”), BankMobile and BankMobile Technologies. Since August 2018, Mr. Sidhu has also served as the Executive Chairman of Megalith Financial Acquisition Corporation. When Mr. Sidhu joined the bank in 2009, previously known as New Century Bank. In May 2010, Mr. Sidhu led an investment in the publicly traded bank holding company Atlantic Coast Financial Corporation (“Atlantic”), headquartered in Jacksonville, Florida, which wholly owns Atlantic Coast Bank. Mr. Sidhu was appointed to the Board of Directors (still serving), and also served as the Chairman of the Board until April 2012. During the second half of 2013, he led an effort by Atlantic to raise capital through a public offering in December 2013. From 2006 to 2009, Mr. Sidhu served as the Chairman and CEO of Sidhu Advisors, LLC. Prior to that, he was the Chairman and CEO of Sovereign Bancorp, Inc. and Sovereign Bank, until his retirement on Dec. 31, 2006. During his 20-year career at Sovereign, he grew the organization to the 17th largest banking institution in the U.S. at the end of 2006. Mr. Sidhu has received several accolades for his contributions to banking and the business community. He was included on Philadelphia Business Journal’s (“PBJ”) Power 100 in 2018, 2017 and 2016. In 2017, he received the CEO of the Year Award from the Asian American Chamber of Commerce of Greater Philadelphia. Mr. Sidhu also received PBJ’s Change Driver Award, was named the Ernst & Young Fintech Entrepreneur of The Year, Financial World’s CEO of the Year, Turnaround Entrepreneur of the Year, and the Large Business Leader of the Year by the Chamber of Commerce. Mr. Sidhu has also been commended for his commitment to philanthropy and his community. He was named Citizen of the Year by the Caron Foundation and received the Hero of Liberty Award from the National Liberty Museum. Mr. Sidhu has served on the boards of numerous businesses and non-for-profits, including as a member of the Board of Grupo Santander (Madrid) and Chairman of the Board of Trustees of Wilkes University. He obtained an MBA from Wilkes University and is a graduate of Harvard Business School’s Leadership Course. As a speaker on leadership and emotional intelligence, Mr. Sidhu has attended conferences in the U.S., Europe and Asia, including Artificial Intelligence Week Middle East in Dubai. At his Alma Mater, he helped establish the Jay Sidhu School of Business and Leadership.

CEO Compensation
  • Jay's compensation has increased by more than 20% in the past year.
  • Jay's remuneration is higher than average for companies of similar size in United Kingdom of Great Britain and Northern Ireland.
Management Team Tenure

Average tenure and age of the Customers Bancorp management team in years:

4.7
Average Tenure
59
Average Age
  • The tenure for the Customers Bancorp management team is about average.
Management Team

Jay Sidhu

TITLE
Chairman & CEO
COMPENSATION
$8M
AGE
66
TENURE
9 yrs

Dick Ehst

TITLE
President & COO
COMPENSATION
$2M
AGE
71
TENURE
9 yrs

Glenn Hedde

TITLE
Executive VP & President of Customers Bank Warehouse Lending
COMPENSATION
$789K
AGE
57

Steve Issa

TITLE
EVP, Chief Lending Officer & New England President of Commercial/Specialty Lending
COMPENSATION
$752K
AGE
63

Carla Leibold

TITLE
Executive VP
AGE
51
TENURE
0.4 yrs

Jeffrey Skumin

TITLE
Senior VP
AGE
41
TENURE
0.4 yrs

Jim Collins

TITLE
Chief Administration Officer

Bob Ramsey

TITLE
Director of Investor Relations & Strategic Planning

Tom Jastrem

TITLE
Executive VP & Chief Credit Officer
AGE
59

Bob Philips

TITLE
Senior Vice President
COMPENSATION
$136K
Board of Directors Tenure

Average tenure and age of the Customers Bancorp board of directors in years:

8.3
Average Tenure
66
Average Age
  • The tenure for the Customers Bancorp board of directors is about average.
Board of Directors

Larry Way

TITLE
Director
COMPENSATION
$144K
AGE
69
TENURE
8.3 yrs

Jay Sidhu

TITLE
Chairman & CEO
COMPENSATION
$8M
AGE
66
TENURE
9 yrs

Steve Zuckerman

TITLE
Director
COMPENSATION
$144K
AGE
54
TENURE
8.3 yrs

Daniel Rothermel

TITLE
Lead Independent Director
COMPENSATION
$181K
AGE
80
TENURE
8.3 yrs

Bhanu Choudhrie

TITLE
Director
COMPENSATION
$108K
AGE
39
TENURE
6.3 yrs

Rick Burkey

TITLE
Director
COMPENSATION
$115K
AGE
72
TENURE
3 yrs

Andrea Allon

TITLE
Director
COMPENSATION
$144K
AGE
56
TENURE
2.8 yrs
Who owns this company?
Recent Insider Trading
  • Customers Bancorp insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
05. Mar 19 Sell Steven Issa Individual 05. Mar 19 05. Mar 19 -1,426 $20.48 $-29,199
04. Mar 19 Sell Glenn Hedde Individual 04. Mar 19 04. Mar 19 -1,276 $21.65 $-27,620
27. Feb 19 Sell Glenn Hedde Individual 26. Feb 19 26. Feb 19 -7,802 $21.57 $-168,289
11. Dec 18 Sell Richard Ehst Individual 11. Dec 18 11. Dec 18 -13,370 $18.14 $-242,565
11. Dec 18 Sell Richard Ehst Individual 10. Dec 18 10. Dec 18 -13,370 $18.01 $-240,762
15. Jun 18 Sell Jay Sidhu Individual 14. Jun 18 14. Jun 18 -50,000 $30.28 $-1,514,000
13. Jun 18 Sell T. Way Individual 11. Jun 18 12. Jun 18 -30,707 $31.52 $-940,358
11. Jun 18 Sell T. Way Individual 08. Jun 18 08. Jun 18 -19,293 $31.82 $-613,903
08. May 18 Sell Steven Issa Individual 08. May 18 08. May 18 -1,001 $29.86 $-29,890
03. May 18 Sell Steven Issa Individual 02. May 18 02. May 18 -948 $29.37 $-27,843
X
Management checks
We assess Customers Bancorp's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Customers Bancorp has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Company Info

Description

Customers Bancorp, Inc. operates as the bank holding company for Customers Bank that provides financial products and services to small and middle market businesses, not-for-profits, and consumers. The company operates in two segments, Customers Bank Business Banking and BankMobile. The company accepts various deposit products, such as checking, savings, money market deposit, time deposit, and individual retirement accounts, as well as certificates of deposit. It also provides commercial and industrial lending services; small business administration loans; multi-family and commercial real estate loans; commercial loans to mortgage companies; equipment financing services; and home equity and residential mortgage loans. In addition, the company offers private banking services; mobile phone banking, Internet banking, wire transfers, electronic bill payment, lock box, remote deposit capture, courier, merchant processing, cash vault, controlled disbursements, and positive pay services; and cash management services, such as account reconciliation, collections, and sweep accounts. It operates 13 full-service branches, as well as limited purpose offices in Boston, Massachusetts; Providence, Rhode Island; Portsmouth, New Hampshire; Manhattan and Melville, New York; Philadelphia, Pennsylvania; Washington D.C.; and Chicago, Illinois. Customers Bancorp, Inc. was founded in 1994 and is headquartered in Wyomissing, Pennsylvania.

Details
Name: Customers Bancorp, Inc.
0I5Z
Exchange: LSE
Founded: 1994
$694,553,480
31,145,896
Website: http://www.customersbank.com
Address: Customers Bancorp, Inc.
1015 Penn Avenue,
Suite 103,
Wyomissing,
Pennsylvania, 19610,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE CUBI Voting Common Stock New York Stock Exchange US USD 21. Feb 2012
LSE 0I5Z Voting Common Stock London Stock Exchange GB USD 21. Feb 2012
NYSE CUBI.PRE PFD CUM SER E New York Stock Exchange US USD 25. Apr 2016
NYSE CUBI.PRF PFD NONCUM SER F New York Stock Exchange US USD 12. Sep 2016
NYSE CUBI.PRD PFD-D FIX/FLT New York Stock Exchange US USD 26. Jan 2016
NYSE CUBI.PRC PFD-C FIX/FLT New York Stock Exchange US USD 14. May 2015
Number of employees
Current staff
Staff numbers
827
Customers Bancorp employees.
Industry
Regional Banks
Banks
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/04/20 22:18
End of day share price update: 2019/04/18 00:00
Last estimates confirmation: 2019/04/18
Last earnings filing: 2019/03/01
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.