NasdaqGS:FITB

Stock Analysis Report

Executive Summary

Fifth Third Bancorp operates as a diversified financial services company in the United States.

Snowflake

Fundamentals

Flawless balance sheet, good value and pays a dividend.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-1.5%

NasdaqGS:FITB

-1.0%

US Banks

0.6%

US Market


1 Year Return

-5.7%

NasdaqGS:FITB

-6.5%

US Banks

4.1%

US Market

FITB matched the Banks industry (-5.9%) over the past year.

FITB underperformed the Market in United States of America which returned 4.7% over the past year.


Share holder returns

FITBIndustryMarket
7 Day-1.5%-1.0%0.6%
30 Day1.7%2.4%3.8%
90 Day0.5%-1.5%2.8%
1 Year-2.4%-5.7%-3.9%-6.5%6.4%4.1%
3 Year63.6%51.3%55.2%44.7%47.0%37.3%
5 Year53.7%34.5%63.4%46.0%60.3%42.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

31%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Fifth Third Bancorp's share price is below the future cash flow value, and at a moderate discount (> 20%).

Fifth Third Bancorp's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

Fifth Third Bancorp is good value based on earnings compared to the US Banks industry average.

Fifth Third Bancorp is good value based on earnings compared to the United States of America market.


Price Based on Expected Growth

Fifth Third Bancorp earnings are not expected to grow next year, we can't assess if its growth is good value.


Price Based on Value of Assets

Fifth Third Bancorp is good value based on assets compared to the US Banks industry average.


Next Steps

Future Growth

How is Fifth Third Bancorp expected to perform in the next 1 to 3 years based on estimates from 17 analysts?

-6.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Fifth Third Bancorp's revenue is expected to grow by 1.7% yearly, however this is not considered high growth (20% yearly).

Fifth Third Bancorp's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.

Fifth Third Bancorp's revenue growth is positive but not above the United States of America market average.

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

Fifth Third Bancorp's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

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


Next Steps

Past Performance

How has Fifth Third Bancorp performed over the past 5 years?

10.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Fifth Third Bancorp's year on year earnings growth rate has been positive over the past 5 years.

Fifth Third Bancorp's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Fifth Third Bancorp's 1-year earnings growth is negative, it can't be compared to the US Banks industry average.


Return on Equity

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


Return on Assets

Fifth Third Bancorp used its assets more efficiently than the US Banks industry average last year based on Return on Assets.


Return on Capital Employed

Unable to establish if Fifth Third 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 Fifth Third 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

Fifth Third Bancorp has an acceptable proportion of non-loan assets held.

Fifth Third Bancorp has a sufficient allowance for bad loans.

Fifth Third Bancorp's liabilities are made up of primarily low risk sources of funding.

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

Loans at Fifth Third Bancorp are broadly funded by customer deposits.

Fifth Third Bancorp has an acceptable level of bad loans (less than 2%).


Next Steps

Dividend

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

3.72%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Fifth Third Bancorp's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.42%).

Fifth Third Bancorp's dividend is below the markets top 25% of dividend payers in United States of America (3.73%).

Dividends per share have been volatile in the past 10 years (annual drop of over 20%).

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are well covered by earnings (4.1x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be well covered by earnings (2.8x coverage).


Next Steps

Management

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

3.9yrs

Average management tenure


CEO

Greg Carmichael (57yo)

3.7yrs

Tenure

US$11,173,652

Compensation

Mr. Gregory D. Carmichael, is also known as Greg, has been the Chief Executive Officer of Fifth Third Bancorp and Fifth Third Bank since November 01, 2015. He is a President of Fifth Third Bancorp since Se ...


CEO Compensation Analysis

Greg's remuneration is about average for companies of similar size in United States of America.

Greg's compensation has increased by more than 20% in the past year whilst earnings fell less than 20%.


Management Age and Tenure

3.9yrs

Average Tenure

55.5yo

Average Age

The tenure for the Fifth Third Bancorp management team is about average.


Board Age and Tenure

6.3yrs

Average Tenure

66yo

Average Age

The tenure for the Fifth Third Bancorp board of directors is about average.


Insider Trading

Fifth Third Bancorp individual insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$99,10605 Jun 19
Jewell Hoover
EntityIndividual
Role
Member of the Board of Directors
Shares3,739
Max PriceUS$26.51
SellUS$6,05007 May 19
Robert Shaffer
EntityIndividual
Shares208.76
Max PriceUS$28.98
SellUS$83,89802 May 19
Teresa Tanner
EntityIndividual
Role
Special Advisor
Shares2,918.21
Max PriceUS$28.75
SellUS$685,62012 Mar 19
Frank Forrest
EntityIndividual
Role
Executive VP & Chief Risk Officer
Shares26,000
Max PriceUS$26.37

Ownership Breakdown


Management Team

  • Greg Carmichael (57yo)

    Chairman

    • Tenure: 3.7yrs
    • Compensation: $11.17m
  • Lars Anderson (58yo)

    Executive VP & COO

    • Tenure: 3.9yrs
    • Compensation: $3.90m
  • Tim Spence (40yo)

    Executive VP and Head of Consumer Bank

    • Tenure: 3.8yrs
    • Compensation: $3.04m
  • Rob Schipper

    Head of Investment Banking & MD

  • Frank Forrest (64yo)

    Executive VP & Chief Risk Officer

    • Tenure: 5.8yrs
    • Compensation: $2.89m
  • Tayfun Tuzun (54yo)

    Executive VP & CFO

    • Tenure: 5.8yrs
    • Compensation: $3.02m
  • Chris Doll

    Director of Investor Relations

  • Teresa Tanner (50yo)

    Special Advisor

    • Tenure: 9.4yrs
    • Compensation: $3.60m
  • Jude Schramm (46yo)

    Executive VP & Chief Information Officer

    • Tenure: 1.3yrs
  • Susan Zaunbrecher (59yo)

    Executive VP

    • Tenure: 1.2yrs

Board Members

  • Greg Carmichael (57yo)

    Chairman

    • Tenure: 1.4yrs
    • Compensation: $11.17m
  • Emerson Brumback (67yo)

    Director

    • Tenure: 9.8yrs
    • Compensation: $255.00k
  • Jewell Hoover (70yo)

    Director

    • Tenure: 9.8yrs
    • Compensation: $265.00k
  • Tom Heiks

    Executive VP & Head of Middle-Market Banking

    • Tenure: 6.8yrs
  • Nick Akins (59yo)

    Director

    • Tenure: 5.8yrs
    • Compensation: $230.00k
  • Mike Michael (64yo)

    Chairman of the Cincinnati region

    • Tenure: 1.3yrs
  • Gary Heminger (66yo)

    Director

    • Tenure: 12.6yrs
    • Compensation: $265.00k
  • Mitch Feiger (60yo)

    Chairman & CEO of Chicago Region

    • Tenure: 0.3yrs
  • Marsha Williams (68yo)

    Lead Director

    • Tenure: 1.4yrs
    • Compensation: $316.67k
  • Mike McCallister (67yo)

    Director

    • Tenure: 7.7yrs
    • Compensation: $235.00k

Company Information

Fifth Third Bancorp's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Fifth Third Bancorp
  • Ticker: FITB
  • Exchange: NasdaqGS
  • Founded: 1858
  • Industry: regional banks
  • Sector: banks
  • Market Cap: US$20.195b
  • Shares outstanding: 725.13m
  • Website: Click here

Number of Employees


Location

  • Fifth Third Bancorp
  • 38 Fountain Square Plaza
  • Cincinnati
  • Ohio
  • 45263
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
FITBNasdaqGS (Nasdaq Global Select)YesCommon SharesUSUSDJan 1980
FFHDB (Deutsche Boerse AG)YesCommon SharesDEEURJan 1980
0IM1LSE (London Stock Exchange)YesCommon SharesGBUSDJan 1980
FITB.INasdaqGS (Nasdaq Global Select)DEP 1/1000 PFDUSUSDDec 2013
A1HK3YDB (Deutsche Boerse AG)5.1%-FRN JNR PERP USD 'H'DEUSDMay 2013
FFTD34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH REP 1 COM NPVBRBRLMay 2019

Biography

Fifth Third Bancorp operates as a diversified financial services company in the United States. The company’s Commercial Banking segment offers credit intermediation, cash management, and financial services ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/07/16 23:36
End of Day Share Price2019/07/16 00:00
Earnings2019/03/31
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.