NasdaqGS:BHBK

Stock Analysis Report

Executive Summary

Blue Hills Bancorp, Inc. operates as the bank holding company for Blue Hills Bank that provides financial services to individuals, families, small to mid-size businesses, government, and non-profit organizations in Massachusetts.

Snowflake

Fundamentals

Flawless balance sheet average dividend payer.

Risks

  • Blue Hills Bancorp is covered by less than 3 analysts.

Share Price & News

How has Blue Hills Bancorp's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

3.2%

NasdaqGS:BHBK

-2.6%

US Banks

-1.0%

US Market


1 Year Return

16.0%

NasdaqGS:BHBK

-14.2%

US Banks

-0.4%

US Market

BHBK outperformed the Banks industry which returned -9.8% over the past year.

BHBK outperformed the Market in United States of America which returned 6.6% over the past year.


Share holder returns

BHBKIndustryMarket
7 Day3.2%-2.6%-1.0%
30 Day-4.3%-6.3%-3.3%
90 Day9.9%-3.5%0.8%
1 Year19.9%16.0%-11.8%-14.2%1.9%-0.4%
3 Year95.3%78.1%42.2%32.4%39.4%30.4%
5 Yearn/a53.3%36.7%54.2%37.1%

Price Volatility Vs. Market

How volatile is Blue Hills Bancorp's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

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

23.62x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Blue Hills Bancorp's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Blue Hills Bancorp's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Blue Hills Bancorp is overvalued based on earnings compared to the US Banks industry average.

Blue Hills Bancorp is overvalued based on earnings compared to the United States of America market.


Price Based on Expected Growth

Blue Hills Bancorp is poor value based on expected growth next year.


Price Based on Value of Assets

Blue Hills Bancorp is overvalued based on assets compared to the US Banks industry average.


Next Steps

Future Growth

How is Blue Hills Bancorp expected to perform in the next 1 to 3 years based on estimates from 1 analyst?

12.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Blue Hills Bancorp's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.

Blue Hills Bancorp's earnings are expected to grow by 12.3% yearly, however this is not considered high growth (20% yearly).

Blue Hills Bancorp's revenues are expected to decrease over the next 1-3 years, this is below the United States of America market average.

Blue Hills Bancorp's earnings growth is positive but not above the United States of America market average.

Blue Hills Bancorp's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Blue Hills Bancorp is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Blue Hills Bancorp performed over the past 5 years?

52.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Blue Hills Bancorp has delivered over 20% year on year earnings growth in the past 5 years.

Blue Hills Bancorp's 1-year earnings growth is less than its 5-year average (48.9% vs 52%)

Blue Hills Bancorp's earnings growth has exceeded the US Banks industry average in the past year (48.9% vs 43.8%).


Return on Equity

Blue Hills Bancorp has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Blue Hills Bancorp used its assets less efficiently than the US Banks industry average last year based on Return on Assets.


Return on Capital Employed

Unable to establish if Blue Hills Bancorp improved its use of capital last year versus 3 years ago (Return on Capital Employed) due to insufficient past data.


Next Steps

Financial Health

How is Blue Hills Bancorp'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

Blue Hills Bancorp has an acceptable proportion of non-loan assets held.

Blue Hills Bancorp has a sufficient allowance for bad loans.

Blue Hills Bancorp's liabilities are made up of primarily low risk sources of funding.

Blue Hills Bancorp's level of assets compared to its equity is low (i.e. an appropriate level of borrowing to fund lending).

Loans at Blue Hills Bancorp are broadly funded by customer deposits.

Blue Hills Bancorp has an acceptable level of bad loans (less than 2%).


Next Steps

Dividend

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

3.35%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Blue Hills Bancorp's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.45%).

Blue Hills Bancorp's dividend is above the markets top 25% of dividend payers in United States of America (3.68%).

Whilst dividend payments have been stable, Blue Hills Bancorp has been paying a dividend for less than 10 years.

Dividend payments have increased, but Blue Hills Bancorp only paid a dividend in the past 4 years.


Current Payout to Shareholders

Dividends paid are covered by earnings (1.4x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be covered by earnings (1.5x coverage).


Next Steps

Management

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

4.6yrs

Average management tenure


CEO

Bill Parent (56yo)

9.3yrs

Tenure

US$739,743

Compensation

Mr. William M. Parent, also known as Bill, has been the Chief Executive Officer and President of Blue Hills Bank and Blue Hills Bancorp, Inc. since 2010. Mr. Parent served as a Partner and Chief Investment ...


CEO Compensation Analysis

Bill's remuneration is lower than average for companies of similar size in United States of America.

Bill's compensation has been consistent with company performance over the past year.


Management Age and Tenure

4.6yrs

Average Tenure

56yo

Average Age

The tenure for the Blue Hills Bancorp management team is about average.


Board Age and Tenure

9.3yrs

Average Tenure

61.5yo

Average Age

The tenure for the Blue Hills Bancorp board of directors is about average.


Insider Trading

Blue Hills Bancorp insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$43,88212 Mar 19
George Clancy
EntityIndividual
Role
Member of the Board of Directors
Shares1,850
Max PriceUS$23.72
SellUS$238,00008 Mar 19
Kevin Malone
EntityIndividual
Role
Executive Vice President of Commercial Banking
Shares10,000
Max PriceUS$23.80
SellUS$12,49606 Mar 19
Thomas Sommerfield
EntityIndividual
Role
Chief Risk Officer & Senior VP
Shares500
Max PriceUS$24.99
SellUS$37,44804 Mar 19
Thomas Sommerfield
EntityIndividual
Role
Chief Risk Officer & Senior VP
Shares1,500
Max PriceUS$24.99
SellUS$123,86301 Mar 19
Robert Driscoll
EntityIndividual
Role
Executive Vice President of Home Lending
Shares5,000
Max PriceUS$24.77
SellUS$37,15227 Feb 19
Thomas Sommerfield
EntityIndividual
Role
Chief Risk Officer & Senior VP
Shares1,500
Max PriceUS$24.83
SellUS$934,95827 Feb 19
James Kivlehan
EntityIndividual
Role
Executive Vice President of Consumer & Business Banking
Shares38,161.54
Max PriceUS$24.50
SellUS$119,55019 Feb 19
James Kivlehan
EntityIndividual
Role
Executive Vice President of Consumer & Business Banking
Shares5,000
Max PriceUS$23.91
SellUS$67,20015 Feb 19
James Kivlehan
EntityIndividual
Role
Executive Vice President of Consumer & Business Banking
Shares2,800
Max PriceUS$24.00
SellUS$313,26814 Feb 19
Ronald Perry
EntityIndividual
Role
Member of the Board of Directors
Shares13,035
Max PriceUS$24.03
SellUS$762,84008 Feb 19
James Kivlehan
EntityIndividual
Role
Executive Vice President of Consumer & Business Banking
Shares31,785
Max PriceUS$24.00
SellUS$233,11406 Feb 19
James Kivlehan
EntityIndividual
Role
Executive Vice President of Consumer & Business Banking
Shares9,705
Max PriceUS$24.02
SellUS$69,39025 Jan 19
Scott Smith
EntityIndividual
Role
Member of the Board of Directors
Shares3,000
Max PriceUS$23.13

Ownership Breakdown


Management Team

  • Lauren Messmore (48yo)

    Executive VP

    • Tenure: 1.6yrs
  • Bill Parent (56yo)

    President

    • Tenure: 9.3yrs
    • Compensation: $739.74k
  • Tom Sommerfield (62yo)

    Chief Risk Officer & Senior VP

    • Tenure: 8.3yrs
  • Karen Marryat

    Chief Marketing Officer & Senior VP

    • Tenure: 9.3yrs
  • John Fraher

    Vice President - Investor Relations

  • Rob Landstein (49yo)

    Senior VP & CTO

  • Bob Driscoll (43yo)

    Executive Vice President of Home Lending

    • Tenure: 2.3yrs
  • Jim Kivlehan (57yo)

    Executive Vice President of Consumer & Business Banking

    • Tenure: 5.6yrs
    • Compensation: $447.64k
  • Cheryl Haynes

    Senior Vice President of Human Resources

    • Tenure: 3.7yrs
  • Kevin Malone (58yo)

    Executive Vice President of Commercial Banking

    • Tenure: 2.2yrs
    • Compensation: $416.17k

Board Members

  • Peter Manning (79yo)

    Director

    • Tenure: 9.3yrs
    • Compensation: $56.31k
  • Bill Parent (56yo)

    President

    • Tenure: 9.3yrs
    • Compensation: $739.74k
  • Scott Smith (52yo)

    Director

    • Tenure: 21.3yrs
    • Compensation: $51.31k
  • George Clancy (59yo)

    Director

    • Tenure: 23.3yrs
    • Compensation: $52.06k
  • Brian Leary (62yo)

    Director

    • Tenure: 7.3yrs
    • Compensation: $45.31k
  • David Houston (71yo)

    Chairman of the Board

    • Compensation: $62.31k
  • Jan Shields (71yo)

    Director

    • Tenure: 9.3yrs
    • Compensation: $44.31k
  • Ron Perry (59yo)

    Director

    • Tenure: 7.3yrs
    • Compensation: $49.31k
  • David Powers (69yo)

    Director

    • Tenure: 21.3yrs
    • Compensation: $31.31k
  • Bud LaCava (61yo)

    Director

    • Tenure: 3.6yrs
    • Compensation: $39.00k

Company Information

Blue Hills Bancorp, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Blue Hills Bancorp, Inc.
  • Ticker: BHBK
  • Exchange: NasdaqGS
  • Founded: 1871
  • Industry: regional banks
  • Sector: banks
  • Market Cap: US$584.454m
  • Shares outstanding: 24.45m
  • Website: Click here

Number of Employees


Location

  • Blue Hills Bancorp, Inc.
  • 500 River Ridge Drive
  • Suite 300
  • Norwood
  • Massachusetts
  • 2062
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BHBKNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDJul 2014

Biography

Blue Hills Bancorp, Inc. operates as the bank holding company for Blue Hills Bank that provides financial services to individuals, families, small to mid-size businesses, government, and non-profit organiz ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/04/02 00:50
End of Day Share Price2019/03/29 00:00
Earnings2018/12/31
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.