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Capstar Financial Holdings

Nasdaq:CSTR
Snowflake Description

Flawless balance sheet with reasonable growth potential.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
CSTR
Nasdaq
$261M
Market Cap
  1. Home
  2. US
  3. Banks
Company description

CapStar Financial Holdings, Inc. operates as the bank holding company for CapStar Bank that provides banking services to consumer and corporate customers located primarily in Tennessee, the United States. The last earnings update was 83 days ago. More info.


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CSTR Share Price and Events
7 Day Returns
-2.1%
NasdaqGS:CSTR
-0%
US Banks
-1.2%
US Market
1 Year Returns
-22.6%
NasdaqGS:CSTR
-8%
US Banks
3.3%
US Market
CSTR Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Capstar Financial Holdings (CSTR) -2.1% -7.4% -5.6% -22.6% - -
US Banks -0% 2.7% -0.8% -8% 45.6% 46.1%
US Market -1.2% 0.8% 0.9% 3.3% 35.9% 41.7%
1 Year Return vs Industry and Market
  • CSTR underperformed the Banks industry which returned -8% over the past year.
  • CSTR underperformed the Market in United States of America which returned 3.3% over the past year.
Price Volatility
CSTR
Industry
5yr Volatility vs Market

Value

 Is Capstar Financial Holdings 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 Capstar Financial Holdings 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 Capstar Financial Holdings.

NasdaqGS:CSTR Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model Excess Returns Model
Stable EPS Median Return on Equity from the past 5 years.
= Stable Book Value * Return on Equity
= $15.36 * 5.7%
$0.87
Book Value of Equity per Share Weighted future Book Value estimates from 3 analysts. $15.36
Discount Rate (Cost of Equity) See below 7.7%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

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 NasdaqGS:CSTR
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Banks Unlevered Beta Simply Wall St/ S&P Global 0.6
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.597 (1 + (1- 21%) (34.21%))
0.838
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.84
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (0.838 * 5.96%)
7.72%

Discounted Cash Flow Calculation for NasdaqGS:CSTR using Excess Returns Model Model

The calculations below outline how an intrinsic value for Capstar Financial Holdings 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.

NasdaqGS:CSTR Value of Excess Returns
Calculation Result
Excess Returns = (Stable Return on equity – Cost of equity) (Book Value of Equity per share)
= (5.7% – 7.72%) * $15.36)
$-0.31
Terminal Value of Excess Returns = Excess Returns / (Cost of Equity - Expected Growth Rate)
= $-0.31 / (7.72% - 2.73%)
$-6.29
Value of Equity = Book Value per share + Terminal Value of Excess Returns
= $15.36 + $-6.29
$9.07
NasdaqGS:CSTR Discount to Share Price
Calculation Result
Value per share (USD) From above. $9.07
Current discount Discount to share price of $14.75
= -1 x ($14.75 - $9.07) / $9.07
-62.6%

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

  • The current share price of Capstar Financial Holdings is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
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 Capstar Financial Holdings's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Capstar Financial Holdings's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NasdaqGS:CSTR PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in USD $0.76
NasdaqGS:CSTR Share Price ** NasdaqGS (2019-07-22) in USD $14.75
United States of America Banks Industry PE Ratio Median Figure of 595 Publicly-Listed Banks Companies 12.72x
United States of America Market PE Ratio Median Figure of 3,082 Publicly-Listed Companies 17.86x

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

** Primary Listing of Capstar Financial Holdings.

NasdaqGS:CSTR PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqGS:CSTR Share Price ÷ EPS (both in USD)

= 14.75 ÷ 0.76

19.43x

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

  • Capstar Financial Holdings is overvalued based on earnings compared to the US Banks industry average.
  • Capstar Financial Holdings is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does Capstar Financial Holdings's expected growth come at a high price?
Raw Data
NasdaqGS:CSTR PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 19.43x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 4 Analysts
23.6%per year
United States of America Banks Industry PEG Ratio Median Figure of 271 Publicly-Listed Banks Companies 1.19x
United States of America Market PEG Ratio Median Figure of 2,119 Publicly-Listed Companies 1.57x

*Line of best fit is calculated by linear regression .

NasdaqGS:CSTR PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 19.43x ÷ 23.6%

0.82x

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

  • Capstar Financial Holdings is good value based on expected growth next year.
Price based on value of assets
What value do investors place on Capstar Financial Holdings's assets?
Raw Data
NasdaqGS:CSTR PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in USD $14.57
NasdaqGS:CSTR Share Price * NasdaqGS (2019-07-22) in USD $14.75
United States of America Banks Industry PB Ratio Median Figure of 595 Publicly-Listed Banks Companies 1.2x
United States of America Market PB Ratio Median Figure of 5,248 Publicly-Listed Companies 1.79x
NasdaqGS:CSTR PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqGS:CSTR Share Price ÷ Book Value per Share (both in USD)

= 14.75 ÷ 14.57

1.01x

* Primary Listing of Capstar Financial Holdings.

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

  • Capstar Financial Holdings is good value based on assets compared to the US Banks industry average.
X
Value checks
We assess Capstar Financial Holdings'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. Capstar Financial Holdings 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 Capstar Financial Holdings expected to perform in the next 1 to 3 years based on estimates from 4 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
23.6%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Capstar Financial Holdings expected to grow at an attractive rate?
  • Capstar Financial Holdings's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Capstar Financial Holdings's earnings growth is expected to exceed the United States of America market average.
  • Capstar Financial Holdings's revenue growth is expected to exceed the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NasdaqGS:CSTR Future Growth Rates Data Sources
Data Point Source Value (per year)
NasdaqGS:CSTR Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 4 Analysts 23.6%
NasdaqGS:CSTR Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 4 Analysts 12.1%
United States of America Banks Industry Earnings Growth Rate Market Cap Weighted Average 1.8%
United States of America Banks Industry Revenue Growth Rate Market Cap Weighted Average 3.5%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.4%

*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
NasdaqGS:CSTR Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NasdaqGS:CSTR Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2020-12-31 93 23 3
2019-12-31 89 22 3
NasdaqGS:CSTR Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-03-31 70 4 11
2018-12-31 62 33 10
2018-09-30 55 20 10
2018-06-30 55 27 11
2018-03-31 44 -8 4
2017-12-31 40 -17 2
2017-09-30 40 27 4
2017-06-30 37 1 2
2017-03-31 45 7 8
2016-12-31 47 6 9
2016-09-30 44 -24 8
2016-06-30 44 1 8

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Capstar Financial Holdings's earnings are expected to grow significantly at over 20% yearly.
  • Capstar Financial Holdings's revenue is expected to grow by 12.1% yearly, however this is not considered high growth (20% yearly).
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
NasdaqGS:CSTR 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 4 Analyst Estimates (S&P Global) See Below

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

NasdaqGS:CSTR Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2020-12-31 1.23 1.40 1.04 4.00
2019-12-31 1.16 1.23 1.07 4.00
NasdaqGS:CSTR Past Financials Data
Date (Data in USD Millions) EPS *
2019-03-31 0.76
2018-12-31 0.73
2018-09-30 0.89
2018-06-30 0.97
2018-03-31 0.38
2017-12-31 0.13
2017-09-30 0.39
2017-06-30 0.19
2017-03-31 0.79
2016-12-31 0.98
2016-09-30 0.95
2016-06-30 0.95

*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.
  • Unable to establish if Capstar Financial Holdings will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Capstar Financial Holdings'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 States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America 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.
Capstar Financial Holdings has a total score of 4/6, 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 Capstar Financial Holdings 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 Capstar Financial Holdings'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.
  • Capstar Financial Holdings's year on year earnings growth rate has been positive over the past 5 years.
  • Capstar Financial Holdings's 1-year earnings growth exceeds its 5-year average (157.6% vs 9.9%)
  • Capstar Financial Holdings's earnings growth has exceeded the US Banks industry average in the past year (157.6% vs 37.8%).
Earnings and Revenue History
Capstar Financial Holdings'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 Capstar Financial Holdings Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:CSTR Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 69.90 11.24 42.43
2018-12-31 62.31 9.66 38.84
2018-09-30 55.01 10.46 33.46
2018-06-30 55.14 11.22 32.08
2018-03-31 44.50 4.36 30.38
2017-12-31 39.90 1.50 28.80
2017-09-30 39.68 4.34 28.14
2017-06-30 36.95 2.03 27.83
2017-03-31 44.99 7.85 27.71
2016-12-31 46.72 9.10 27.63
2016-09-30 44.06 8.26 27.00
2016-06-30 43.85 8.19 27.02
2016-03-31 42.45 7.58 26.48
2015-12-31 42.01 7.56 26.20
2014-12-31 35.97 4.99 24.17
2013-12-31 35.59 6.41 21.82

*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.
  • Capstar Financial Holdings has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Capstar Financial Holdings used its assets less efficiently than the US Banks industry average last year based on Return on Assets.
  • Unable to establish if Capstar Financial Holdings 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 Capstar Financial Holdings'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.
Capstar Financial Holdings has a total score of 3/6, 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 Capstar Financial Holdings'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 Capstar Financial Holdings'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 Capstar Financial Holdings Company Filings, last reported 3 months ago.

NasdaqGS:CSTR Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 259.75 76.04 120.32
2018-12-31 254.38 125.84 41.55
2018-09-30 157.51 125.46 52.59
2018-06-30 153.15 95.00 58.22
2018-03-31 148.69 100.00 51.13
2017-12-31 146.95 71.38 38.86
2017-09-30 144.20 95.00 69.79
2017-06-30 138.03 105.00 48.09
2017-03-31 140.21 75.00 60.04
2016-12-31 139.21 55.00 39.21
2016-09-30 138.43 30.00 73.45
2016-06-30 114.32 40.00 97.55
2016-03-31 110.86 15.00 76.71
2015-12-31 108.59 48.76 73.08
2014-12-31 102.65 34.84 53.72
2013-12-31
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.
  • Capstar Financial Holdings has an acceptable proportion of non-loan assets held.
  • Capstar Financial Holdings's liabilities are made up of primarily low risk sources of funding.
  • Loans at Capstar Financial Holdings are broadly funded by customer deposits.
  • Capstar Financial Holdings's level of assets compared to its equity is low (i.e. an appropriate level of borrowing to fund lending).
  • Capstar Financial Holdings has a sufficient allowance for bad loans.
  • Capstar Financial Holdings has an acceptable level of bad loans (less than 2%).
X
Financial health checks
We assess Capstar Financial Holdings'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. Capstar Financial Holdings 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 Capstar Financial Holdings'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
1.36%
Current annual income from Capstar Financial Holdings dividends. Estimated to be 1.14% next year.
If you bought $2,000 of Capstar Financial Holdings shares you are expected to receive $27 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?
  • Capstar Financial Holdings's pays a lower dividend yield than the bottom 25% of dividend payers in United States of America (1.44%).
  • Capstar Financial Holdings's dividend is below the markets top 25% of dividend payers in United States of America (3.78%).
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
NasdaqGS:CSTR 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 4 Analyst Estimates (S&P Global) See Below
United States of America Banks Industry Average Dividend Yield Market Cap Weighted Average of 480 Stocks 3.1%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2017 Stocks 2.4%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.8%

Industry and Market average data is calculated daily.

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

NasdaqGS:CSTR Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2020-12-31 0.18 4.00
2019-12-31 0.16 4.00
NasdaqGS:CSTR Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-04-25 0.200 1.320
2019-03-15 0.160 1.041
2019-01-24 0.160 0.984
2018-11-08 0.160 1.051
2018-10-24 0.160 1.084
2018-06-11 0.160 0.903

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

  • It is too early to tell whether Capstar Financial Holdings has stable dividend payments.
  • Capstar Financial Holdings only just started paying a dividend, it is too early to tell if payments are increasing.
Current Payout to shareholders
What portion of Capstar Financial Holdings's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (4.5x coverage).
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 Capstar Financial Holdings's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - 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 Capstar Financial Holdings afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Capstar Financial Holdings has a total score of 1/6, 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 Capstar Financial Holdings'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
Claire Tucker
COMPENSATION $772,231
AGE 65
TENURE AS CEO 3.5 years
CEO Bio

Ms. Claire W. Tucker serves as the Chief Executive Officer of Capstar Financial Holdings, Inc. and served as its President until May 13, 2019. Ms. Tucker served as Chief Executive Officer at CapStar Bank from 2018 to May 13, 2019 and also served as its Interim President until May 13, 2019 and serves as its Director. She served as its President since 2016 until 2018. She is Director at Federal Reserve Bank of Atlanta since January 1, 2019. Ms. Tucker is a Senior Banking executive with thirty-two years' experience in the Business Banking field. Most recently, Ms. Tucker served as the Senior Vice President of Metro Markets and city President (Nashville) for FirstBank. Ms. Tucker was responsible for overseeing the FirstBank's sales and marketing activities in the major metropolitan markets in Tennessee and was responsible for development of the FirstBank's market presence in Nashville. Prior to FirstBank in late 2001, she served with AmSouth Bank in Nashville. She served as Senior Executive Vice President for AmSouth since 1999 with responsibility for all Business Banking activities in six southeastern states and New York. Ms. Tucker served as President of Corporate Corporate Bank of First American National Bank ("FANB"), a subsidiary of First American Corp. since January 1996. Ms. Tucker began her banking career in 1975 at First American National Bank. From 1975 to 1999, Ms. Tucker served with First American Corporation, Nashville, Tennessee, which was merged with and into AmSouth in 1999. Ms. Tucker founded CapStar in July 2008. She began her banking career as management trainee at First American Corporation in 1975. She served as the Secretary/Treasurer of the Tennessee Education Lottery Corporation from 2003 to 2008. Her previous community activities have included leadership roles in organizations that help feed and shelter the poor of the community, raise money for the United Way; and bought management and infrastructure strength to the greater Nashville area. In 2017, Ms. Tucker was appointed to a three year term as a Director of the Federal Reserve Bank, Nashville Branch. She previously served a two 3-year term on the Sixth Federal Reserve District's Community Depository Institutions Advisory Council, (CDIAC). She has been Director of Capstar Financial Holdings, Inc. Ms. Tucker served as a Director of Ingram Entertainment Inc. She was the Chairperson and Member of Advisory Council of Federal Reserve Bank of Atlanta since March 2011. She serves as Chair of St. Luke's Community House; and vice-Chair of the Minnie Pearl Cancer Foundation. Active in the community, Ms. Tucker serves as Chairman of board of the Nashville Ballet; Tennessee Wesleyan College; Member of the Advisory Council of the Legal Aid Society of Middle Tennessee and the Cumberlands; Member of the Boards of the YMCA of Middle Tennessee and the YW Advisory Board; foundation Trustee for Brentwood United Methodist Church; and a Member of the PENCIL Foundation. She has Chaired the Boards of the Nashville's Table. Ms. Tucker served as a Member of the 1995-1996 Class of Leadership Nashville and program Co-Chair for the class of 1996-1997. Ms. Tucker earned a B.S. in Accounting from Tennessee Wesleyan College in 1975 and certification in 1982 as a Certified Management Accountant. Ms. Tucker is a Board Member of Belmont University, Nashville Area Chamber of Commerce, the Entrepreneur Center, and Tennessee Performing Arts Center (TPAC). Ms. Tucker graduated from Stonier Graduate School of Banking at Rutgers University in 1982. She earned an MBA from the University of Tennessee/Tennessee State University in 1982. She holds graduation from the Leadership Nashville in 1996.

CEO Compensation
  • Claire's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Claire's remuneration is lower than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Capstar Financial Holdings management team in years:

3.4
Average Tenure
54.5
Average Age
  • The tenure for the Capstar Financial Holdings management team is about average.
Management Team

Claire Tucker

TITLE
CEO & Director
COMPENSATION
$772K
AGE
65
TENURE
3.5 yrs

Rob Anderson

TITLE
Secretary
COMPENSATION
$635K
AGE
53
TENURE
3.5 yrs

Chris Tietz

TITLE
Chief Credit Officer
COMPENSATION
$655K
AGE
56
TENURE
3.3 yrs

Tim Schools

TITLE
President
AGE
49
TENURE
0.2 yrs

Daniel Fox

TITLE
IR Contact

Derek Wiseman

TITLE
Senior VP & Human Resources Director

Mark Mattson

TITLE
Executive VP & Healthcare Group Manager
Board of Directors Tenure

Average tenure and age of the Capstar Financial Holdings board of directors in years:

11.5
Average Tenure
65
Average Age
  • The average tenure for the Capstar Financial Holdings board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors

Denny Bottorff

TITLE
Chairman of the Board
COMPENSATION
$92K
AGE
74
TENURE
3.5 yrs

Claire Tucker

TITLE
CEO & Director
COMPENSATION
$772K
AGE
65
TENURE
11.5 yrs

Julie Frist

TITLE
Vice Chair of the Board
COMPENSATION
$71K
AGE
48
TENURE
3.5 yrs

Dale Polley

TITLE
Vice Chair of the Board of Directors
COMPENSATION
$76K
AGE
69
TENURE
2.3 yrs

Tom Flynn

TITLE
Director
COMPENSATION
$55K
AGE
46
TENURE
11.5 yrs

Jay Turner

TITLE
Director
COMPENSATION
$62K
AGE
48
TENURE
11.5 yrs

Toby Wilt

TITLE
Director
COMPENSATION
$55K
AGE
74
TENURE
11.5 yrs

Lester Bentz

TITLE
Director
COMPENSATION
$59K
AGE
67
TENURE
11.5 yrs

Louis Green

TITLE
Director
COMPENSATION
$48K
AGE
65
TENURE
7.5 yrs

Steve Smith

TITLE
Director
COMPENSATION
$53K
AGE
64
TENURE
11.5 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
13. Feb 19 Buy Thomas Flynn Individual 11. Feb 19 11. Feb 19 3,700 $16.21 $59,940
07. Dec 18 Buy Louis Green Individual 04. Dec 18 04. Dec 18 120 $15.80 $1,896
30. Oct 18 Buy Christopher Tietz Individual 29. Oct 18 29. Oct 18 2,000 $14.96 $29,920
14. Sep 18 Buy Thomas Flynn Individual 29. Aug 18 29. Aug 18 9,000 $17.50 $156,942
13. Sep 18 Buy Dennis Bottorff Individual 11. Sep 18 13. Sep 18 29,000 $17.01 $490,153
X
Management checks
We assess Capstar Financial Holdings'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. Capstar Financial Holdings 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

Don't Sell Capstar Financial Holdings, Inc. (NASDAQ:CSTR) Before You Read This

Capstar Financial Holdings has a price to earnings ratio of 20, based on the last twelve months. … The formula for price to earnings is: Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS) Or for Capstar Financial Holdings: P/E of 20 = $15.18 ÷ $0.76 (Based on the trailing twelve months to March 2019.) Is A High P/E Ratio Good? … All else being equal, it's better to pay a low price -- but as Warren Buffett said, 'It's far better to buy a wonderful company at a fair price than a fair company at a wonderful price.' Does Capstar Financial Holdings Have A Relatively High Or Low P/E For Its Industry?

Simply Wall St -

Read This Before Selling Capstar Financial Holdings, Inc. (NASDAQ:CSTR) Shares

Check out our latest analysis for Capstar Financial Holdings The Last 12 Months Of Insider Transactions At Capstar Financial Holdings In the last twelve months, the biggest single purchase by an insider was when Chairman of the Board Dennis Bottorff bought US$490k worth of shares at a price of US$17.01 per share. … In the last twelve months Capstar Financial Holdings insiders were buying shares, but not selling. … NasdaqGS:CSTR Recent Insider Trading, June 4th 2019 Capstar Financial Holdings is not the only stock that insiders are buying.

Simply Wall St -

Why Capstar Financial Holdings, Inc. (NASDAQ:CSTR) Could Be Worth Watching

Let’s take a look at Capstar Financial Holdings’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change. … Great news for investors – Capstar Financial Holdings is still trading at a fairly cheap price. … Capstar Financial Holdings’s share price also seems relatively stable compared to the rest of the market, as indicated by its low beta.

Simply Wall St -

Capstar Financial Holdings, Inc. (NASDAQ:CSTR) Is Yielding 1.3% - But Is It A Buy?

Could Capstar Financial Holdings, Inc. … Some readers mightn't know much about Capstar Financial Holdings's 1.3% dividend, as it has only been paying distributions for a year or so.! … Explore this interactive chart for our latest analysis on Capstar Financial Holdings

Simply Wall St -

Can Capstar Financial Holdings, Inc. (NASDAQ:CSTR) Survive The Next Financial Crisis?

As a small-cap finance stock with a market capitalisation of US$282m, the risk and profitability of Capstar Financial Holdings, Inc. … These reforms target banking regulations and intends to enhance financial institutions’ ability to absorb shocks resulting from economic stress which could expose banks like Capstar Financial Holdings to vulnerabilities. … High liquidity and low leverage could position Capstar Financial Holdings favourably at the face of macro headwinds.

Simply Wall St -

Introducing Capstar Financial Holdings (NASDAQ:CSTR), The Stock That Dropped 20% In The Last Year

(NASDAQ:CSTR) shareholders over the last year, as the share price declined 20%. … Capstar Financial Holdings stole the show with its EPS rocketing, in the last year. … Capstar Financial Holdings managed to grow revenue over the last year, which is usually a real positive.

Simply Wall St -

Does The Capstar Financial Holdings, Inc. (NASDAQ:CSTR) Share Price Fall With The Market?

Every stock in the market is exposed to this volatility, which is linked to the fact that stocks prices are correlated in an efficient market. … Beta can be a useful tool to understand how much a stock is influenced by market risk (volatility). … Any stock with a beta of greater than one is considered more volatile than the market, while those with a beta below one are either less volatile or poorly correlated with the market.

Simply Wall St -

Do Directors Own Capstar Financial Holdings, Inc. (NASDAQ:CSTR) Shares?

The big shareholder groups in Capstar Financial Holdings, Inc. … With a market capitalization of US$297m, Capstar Financial Holdings is a small cap stock, so it might not be well known by many institutional investors. … View our latest analysis for Capstar Financial Holdings

Simply Wall St -

Is It Time To Consider Buying Capstar Financial Holdings, Inc. (NASDAQ:CSTR)?

(NASDAQ:CSTR), operating in the financial services industry based in United States,. … With many analysts covering the stock, we may expect any price-sensitive announcements have already been factored into the stock’s share price? … Let’s examine Capstar Financial Holdings’s valuation and outlook in more detail to determine if there’s still a bargain opportunity.

Simply Wall St -

Are Insiders Buying Capstar Financial Holdings, Inc. (NASDAQ:CSTR) Stock?

So shareholders might well want to know whether insiders have been buying or selling shares in Capstar Financial Holdings, Inc. … Capstar Financial Holdings Insider Transactions Over The Last Year. … Over the last year, we can see that the biggest insider purchase was by Chairman of the Board Dennis Bottorff for US$490k worth of shares, at about US$17.01 per share

Simply Wall St -

Company Info

Description

CapStar Financial Holdings, Inc. operates as the bank holding company for CapStar Bank that provides banking services to consumer and corporate customers located primarily in Tennessee, the United States. It offers a range of deposit products and services, including demand deposits, interest-bearing transaction accounts, money market accounts, time and savings deposits, certificates of deposit, and CDARS reciprocal products. The company also provides commercial and consumer real estate, construction and land development, commercial and industrial, consumer, and other loans. In addition, it offers private banking and wealth management services for the owners and operators of business clients and other high net worth individuals; and correspondent banking services to community banks. Further, the company provides telephone and online banking, direct deposit, mobile banking, safe deposit boxes, remote deposit, and cash management services for individuals, and small and medium sized businesses. CapStar Financial Holdings, Inc. was founded in 2007 and is headquartered in Nashville, Tennessee.

Details
Name: Capstar Financial Holdings, Inc.
CSTR
Exchange: NasdaqGS
Founded: 2007
$260,768,967
17,679,252
Website: http://www.capstarbank.com
Address: Capstar Financial Holdings, Inc.
1201 Demonbreun Street,
Suite 700,
Nashville,
Tennessee, 37203,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqGS CSTR Common Stock Nasdaq Global Select US USD 22. Sep 2016
Number of employees
Current staff
Staff numbers
289
Capstar Financial Holdings employees.
Industry
Regional Banks
Banks
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/07/23 00:54
End of day share price update: 2019/07/22 00:00
Last estimates confirmation: 2019/07/09
Last earnings filing: 2019/05/01
Last earnings reported: 2019/03/31
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.