NasdaqGS:BPFH

Stock Analysis Report

Boston Private Financial Holdings

Executive Summary

Boston Private Financial Holdings, Inc. operates as the bank holding company for Boston Private Bank & Trust Company that provides a range of banking services in the United States.


Snowflake Analysis

Flawless balance sheet 6 star dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

2.1%

BPFH

-0.3%

US Banks

0.06%

US Market


1 Year Return

-1.7%

BPFH

11.1%

US Banks

19.3%

US Market

Return vs Industry: BPFH underperformed the US Banks industry which returned 11.1% over the past year.

Return vs Market: BPFH underperformed the US Market which returned 19.3% over the past year.


Shareholder returns

BPFHIndustryMarket
7 Day2.1%-0.3%0.06%
30 Day-3.7%-0.5%1.7%
90 Day3.4%0.6%9.0%
1 Year2.6%-1.7%14.4%11.1%21.8%19.3%
3 Year-22.5%-30.3%24.7%15.7%49.5%39.9%
5 Year12.2%-5.3%74.9%55.1%73.1%54.1%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Boston Private Financial Holdings undervalued compared to its fair value and its price relative to the market?

20.9%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: BPFH ($11.88) is trading below our estimate of fair value ($15.02)

Significantly Below Fair Value: BPFH is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: BPFH is good value based on its PE Ratio (12.2x) compared to the Banks industry average (12.6x).

PE vs Market: BPFH is good value based on its PE Ratio (12.2x) compared to the US market (18.5x).


Price to Earnings Growth Ratio

PEG Ratio: BPFH is poor value based on its PEG Ratio (9.6x)


Price to Book Ratio

PB vs Industry: BPFH is overvalued based on its PB Ratio (1.2x) compared to the US Banks industry average (1.2x).


Next Steps

Future Growth

How is Boston Private Financial Holdings forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

1.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BPFH's forecast earnings growth (1.3% per year) is below the savings rate (1.7%).

Earnings vs Market: BPFH's earnings (1.3% per year) are forecast to grow slower than the US market (14.2% per year).

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

Revenue vs Market: BPFH's revenue (4.4% per year) is forecast to grow slower than the US market (7.6% per year).

High Growth Revenue: BPFH's revenue (4.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: BPFH's Return on Equity is forecast to be low in 3 years time (9.5%).


Next Steps

Past Performance

How has Boston Private Financial Holdings performed over the past 5 years?

6.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: BPFH has high quality earnings.

Growing Profit Margin: BPFH's current net profit margins (24.4%) are higher than last year (19.8%).


Past Earnings Growth Analysis

Earnings Trend: BPFH's earnings have grown by 6.1% per year over the past 5 years.

Accelerating Growth: BPFH's earnings growth over the past year (5.8%) is below its 5-year average (6.1% per year).

Earnings vs Industry: BPFH earnings growth over the past year (5.8%) underperformed the Banks industry 12.2%.


Return on Equity

High ROE: BPFH's Return on Equity (9.8%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Boston Private Financial Holdings'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: BPFH has a low level of unsold assets or inventory.

Debt Coverage by Assets: BPFH's debt is not covered by short term assets (assets are 0.6x debt).


Financial Institutions Analysis

Asset Level: BPFH's level of assets compared to its equity is moderate.

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

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

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

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

Level of Bad Loans: BPFH has an appropriate level of bad loans (0.23%)


Next Steps

Dividend

What is Boston Private Financial Holdings's current dividend yield, its reliability and sustainability?

4.04%

Current Dividend Yield


Dividend Yield vs Market

company4.0%marketbottom25%1.4%markettop25%3.7%industryaverage2.8%forecastin3Years4.0%

Current dividend yield vs market & industry

Notable Dividend: BPFH's dividend (4.04%) is higher than the bottom 25% of dividend payers in the US market (1.44%).

High Dividend: BPFH's dividend (4.04%) is in the top 25% of dividend payers in the US market (3.71%)


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (49.3%), BPFH's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: BPFH's dividends in 3 years are forecast to be well covered by earnings (48.4% payout ratio).


Next Steps

Management

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

1.3yrs

Average management tenure


CEO

Tony DeChellis (56yo)

1.3yrs

Tenure

US$3,052,276

Compensation

Mr. Anthony DeChellis, also known as Tony, has been a President at Boston Private Financial Holdings, Inc. since November 26, 2018. He is also President for Boston Private Bank & Trust Company. He serves a ...


CEO Compensation Analysis

Compensation vs Market: Tony's total compensation ($USD3.05M) is about average for companies of similar size in the US market ($USD2.48M).

Compensation vs Earnings: Insufficient data to compare Tony's compensation with company performance.


Leadership Team

NamePositionTenureCompensationOwnership
Anthony DeChellis
CEO, President & Director1.3yrsUS$3.05m0.20% $1.9m
Steven Gaven
Executive VP & CFO2.1yrsUS$698.69k0.014% $135.6k
Maura Almy
Executive VP and Chief Operating & Platform Officer1.1yrsno datano data
Shannon Saccocia
Chief Investment Officer1.1yrsno datano data
Adam Bromley
Senior VP & Director of Investor Relations0yrsno datano data
Colleen Graham
Executive VP & General Counsel0.8yrsno datano data
Lisa Allen
Senior Vice President of Corporate Development-Private & Commercial Banking New England1.3yrsno datano data
Allison Baird
Chief Marketing Officer0.08yrsno datano data
Joy McCune
Executive VP & Chief Human Resources Officer2.1yrsno datano data
W. MacDonald
Executive VP & Chief Risk Officer8.9yrsUS$1.14m0.12% $1.2m

1.3yrs

Average Tenure

53yo

Average Age

Experienced Management: BPFH's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Anthony DeChellis
CEO, President & Director1.3yrsUS$3.05m0.20% $1.9m
Stephen Waters
Chairman of the Board9.6yrsUS$170.00k0.038% $378.3k
Mark Furlong
Independent Director3.4yrsUS$120.00k0.033% $330.9k
Joseph Guyaux
Independent Director3.4yrsUS$120.00k0.017% $164.4k
Lizabeth Zlatkus
Independent Director4.6yrsUS$130.00k0.033% $327.5k
Gloria Larson
Independent Director5.1yrsUS$120.00k0.037% $362.3k
Luis Ubiñas
Independent Director2.4yrsUS$125.00k0.012% $120.1k
Deborah Kuenstner
Independent Director12.6yrsUS$130.00k0.16% $1.6m
Kimberly Stevenson
Independent Director4.3yrsUS$130.00k0.045% $445.1k

4.3yrs

Average Tenure

60yo

Average Age

Experienced Board: BPFH's board of directors are considered experienced (4.3 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: BPFH 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

Boston Private Financial Holdings, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Boston Private Financial Holdings, Inc.
  • Ticker: BPFH
  • Exchange: NasdaqGS
  • Founded: 1987
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$989.196m
  • Shares outstanding: 83.27m
  • Website: https://www.bostonprivate.com

Number of Employees


Location

  • Boston Private Financial Holdings, Inc.
  • Ten Post Office Square
  • Boston
  • Massachusetts
  • 2109
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BPFHNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDFeb 1994
BP8DB (Deutsche Boerse AG)YesCommon StockDEEURFeb 1994

Biography

Boston Private Financial Holdings, Inc. operates as the bank holding company for Boston Private Bank & Trust Company that provides a range of banking services in the United States. It operates in three segments: Private Banking, Wealth Management and Trust, and Affiliate Partners. The company accepts deposit products, such as checking accounts, savings and NOW accounts, money market accounts, and certificates of deposit. Its loan products include loans to individuals, such as residential mortgage loans, mortgage loans on investment or vacation properties, unsecured and secured personal lines of credits, home equity loans, and overdraft protection; and loans to businesses consisting of commercial and mortgage loans, revolving lines of credit, working capital loans, equipment financing, community lending programs, and construction and land loans. In addition, it provides wealth management solutions comprising customized investment solutions, wealth planning, trust, and family office services for high net worth individuals and families; services for pension funds, endowments, trusts, foundations and select institutions, mutual funds, and high net worth individuals and their families; and financial planning, tax planning and preparation, estate and insurance planning, retirement planning, charitable planning, and intergenerational gifting and succession planning. The company operates offices in Boston, Miami, New York, Los Angeles, San Francisco, San Jose, and Florida. Boston Private Financial Holdings, Inc. was founded in 1987 and is headquartered in Boston, Massachusetts. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/21 00:27
End of Day Share Price2020/02/20 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.