NasdaqGS:CVBF

Stock Analysis Report

Executive Summary

CVB Financial Corp. operates as a bank holding company for Citizens Business Bank that provides banking and financial products and services.

Snowflake

Fundamentals

Flawless balance sheet with solid track record and pays a dividend.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-0.09%

CVBF

1.1%

US Banks

0.3%

US Market


1 Year Return

-3.6%

CVBF

10.6%

US Banks

12.5%

US Market

Return vs Industry: CVBF underperformed the US Banks industry which returned 10.6% over the past year.

Return vs Market: CVBF underperformed the US Market which returned 12.5% over the past year.


Shareholder returns

CVBFIndustryMarket
7 Day-0.09%1.1%0.3%
30 Day5.4%9.8%4.1%
90 Day2.9%15.5%5.6%
1 Year-0.4%-3.6%13.9%10.6%15.0%12.5%
3 Year10.7%2.2%40.6%30.7%49.1%39.4%
5 Year59.9%39.6%73.9%54.7%62.8%44.7%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

3.9%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CVBF ($21.45) is trading below our estimate of fair value ($22.33)

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


Price To Earnings Ratio

PE vs Industry: CVBF is poor value based on its PE Ratio (15x) compared to the Banks industry average (12.7x).

PE vs Market: CVBF is good value based on its PE Ratio (15x) compared to the US market (18.3x).


Price to Earnings Growth Ratio

PEG Ratio: CVBF's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: CVBF is overvalued based on its PB Ratio (1.5x) compared to the US Banks industry average (1.2x).


Next Steps

Future Growth

How is CVB Financial forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

-2.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CVBF's earnings are forecast to decline over the next 3 years (-2.5% per year).

Earnings vs Market: CVBF's earnings are forecast to decline over the next 3 years (-2.5% per year).

High Growth Earnings: CVBF's earnings are forecast to decline over the next 3 years.

Revenue vs Market: CVBF's revenue is expected to decline over the next 3 years (-0.5% per year).

High Growth Revenue: CVBF's revenue is forecast to decline over the next 3 years (-0.5% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CVBF's Return on Equity is forecast to be low in 3 years time (9.4%).


Next Steps

Past Performance

How has CVB Financial performed over the past 5 years?

13.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CVBF has high quality earnings.

Growing Profit Margin: CVBF's current net profit margins (41.1%) are higher than last year (35.6%).


Past Earnings Growth Analysis

Earnings Trend: CVBF's earnings have grown by 13.5% per year over the past 5 years.

Accelerating Growth: CVBF's earnings growth over the past year (57.7%) exceeds its 5-year average (13.5% per year).

Earnings vs Industry: CVBF earnings growth over the past year (57.7%) exceeded the Banks industry 27.7%.


Return on Equity

High ROE: CVBF's Return on Equity (10.2%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

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


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

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

Debt Coverage by Assets: CVBF's debt is covered by short term assets (assets are 1.1x debt).


Financial Institutions Analysis

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

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

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

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

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

Level of Bad Loans: CVBF has an appropriate level of bad loans (0.09%)


Next Steps

Dividend

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

3.36%

Current Dividend Yield


Dividend Yield vs Market

company3.4%marketbottom25%1.4%markettop25%3.7%industryaverage2.8%forecastin3Years3.4%

Current dividend yield vs market & industry

Notable Dividend: CVBF's dividend (3.36%) is higher than the bottom 25% of dividend payers in the US market (1.42%).

High Dividend: CVBF's dividend (3.36%) is low compared to the top 25% of dividend payers in the US market (3.67%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (47.7%), CVBF's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: CVBF's dividends in 3 years are forecast to be covered by earnings (55.2% payout ratio).


Next Steps

Management

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

5.8yrs

Average management tenure


CEO

Chris Myers (57yo)

13.3yrs

Tenure

US$7,694,011

Compensation

Mr. Christopher D. Myers, also known as Chris, has been the Chief Executive Officer and President at CVB Financial Corp. and its subsidiary, Citizens Business Bank since August 1, 2006. Mr. Myers served as ...


CEO Compensation Analysis

Compensation vs Market: Chris's total compensation ($USD7.69M) is above average for companies of similar size in the US market ($USD5.10M).

Compensation vs Earnings: Chris's compensation has increased by more than 20% in the past year.


Management Age and Tenure

5.8yrs

Average Tenure

58.5yo

Average Age

Experienced Management: CVBF's management team is seasoned and experienced (5.8 years average tenure).


Board Age and Tenure

4.8yrs

Average Tenure

57yo

Average Age

Experienced Board: CVBF's board of directors are considered experienced (4.8 years average tenure).


Insider Trading

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


Recent Insider Transactions

SellUS$349,09130 Oct 19
Christopher Myers
EntityIndividual
Role
Chief Executive Officer
President
Shares16,500
Max PriceUS$21.16
BuyUS$5,03004 Sep 19
Hal Oswalt
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares250
Max PriceUS$20.12
SellUS$101,37401 Aug 19
Christopher Myers
EntityIndividual
Role
Chief Executive Officer
President
Shares4,600
Max PriceUS$22.04
SellUS$101,30807 May 19
Anna Kan
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares4,660
Max PriceUS$21.74
SellUS$1,098,01007 May 19
Christopher Myers
EntityIndividual
Role
Chief Executive Officer
President
Shares50,000
Max PriceUS$22.05
SellUS$350,05406 May 19
Christopher Myers
EntityIndividual
Role
Chief Executive Officer
President
Shares16,000
Max PriceUS$21.96
SellUS$1,150,47103 May 19
Christopher Myers
EntityIndividual
Role
Chief Executive Officer
President
Shares53,000
Max PriceUS$21.71
SellUS$968,26002 May 19
Christopher Myers
EntityIndividual
Role
Chief Executive Officer
President
Shares44,618
Max PriceUS$21.70
SellUS$523,01501 May 19
Christopher Myers
EntityIndividual
Role
Chief Executive Officer
President
Shares24,000
Max PriceUS$21.79
SellUS$24,46012 Dec 18
David Brager
EntityIndividual
Role
Other Key Executive
Executive VP of Sales Division - Citizens Business Bank
Shares1,128
Max PriceUS$21.68

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 22.6%.


Management Team

  • Richard Wohl (60yo)

    Executive VP & General Counsel

    • Tenure: 8.1yrs
  • Chris Myers (57yo)

    President

    • Tenure: 13.3yrs
    • Compensation: US$7.69m
  • Myrna DiSanto

    Corporate Secretary

    • Tenure: 0yrs
  • Rich Favor (63yo)

    Senior Vice President of South Central Coast Region

    • Tenure: 1.8yrs
  • David Brager (51yo)

    Executive VP of Sales Division - Citizens Business Bank

    • Tenure: 9yrs
    • Compensation: US$1.06m
  • Mike Mulcahy

    Senior Vice President of Los Angeles Region-Metro - Citizens Business Bank

    • Tenure: 0.5yrs
  • Dave Harvey (51yo)

    Executive VP & COO of Citizens Business Bank

    • Tenure: 9.9yrs
    • Compensation: US$1.04m
  • Bill Kitchen (63yo)

    Senior Vice President of Citizens Business Bank

    • Tenure: 0yrs
  • E. Nicholson (52yo)

    Executive VP & CFO

    • Tenure: 3.5yrs
    • Compensation: US$907.34k
  • Dave Farnsworth (62yo)

    Executive VP & Chief Credit Officer of Citizens Business Bank

    • Tenure: 3.3yrs
    • Compensation: US$676.89k

Board Members

  • Rod Guerra (63yo)

    Independent Director

    • Tenure: 2.3yrs
    • Compensation: US$131.79k
  • Marshall Laitsch (70yo)

    Independent Director

    • Tenure: 1.3yrs
    • Compensation: US$99.49k
  • Ray O’Brien (62yo)

    Chairman of the Board

    • Tenure: 4.8yrs
    • Compensation: US$215.03k
  • Kris Leslie (54yo)

    Independent Director

    • Tenure: 4.3yrs
    • Compensation: US$139.29k
  • Chris Myers (57yo)

    President

    • Tenure: 13.3yrs
    • Compensation: US$7.69m
  • Hal Oswalt (71yo)

    Independent Director

    • Tenure: 5.8yrs
    • Compensation: US$131.79k
  • George Borba (52yo)

    Vice Chairman of the Board

    • Tenure: 5.7yrs
    • Compensation: US$171.79k
  • Steve Del Guercio (57yo)

    Independent Director

    • Tenure: 7.1yrs
    • Compensation: US$131.79k
  • Anna Kan (45yo)

    Independent Director

    • Tenure: 3.3yrs
    • Compensation: US$131.79k

Company Information

CVB Financial Corp.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: CVB Financial Corp.
  • Ticker: CVBF
  • Exchange: NasdaqGS
  • Founded: 1974
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$3.006b
  • Shares outstanding: 140.16m
  • Website: https://www.cbbank.com

Number of Employees


Location

  • CVB Financial Corp.
  • 701 North Haven Avenue
  • Suite 350
  • Ontario
  • California
  • 91764
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CVBFNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDMar 1983
BCVDB (Deutsche Boerse AG)YesCommon StockDEEURMar 1983

Biography

CVB Financial Corp. operates as a bank holding company for Citizens Business Bank that provides banking and financial products and services. The company offers checking, savings, and money market accounts, ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/11 23:32
End of Day Share Price2019/11/11 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.