NasdaqGS:HBAN

Stock Analysis Report

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Executive Summary

Huntington Bancshares Incorporated operates as a holding company for The Huntington National Bank that provides commercial, small business, consumer, and mortgage banking services.


Snowflake Analysis

Flawless balance sheet 6 star dividend payer.


Similar Companies

Share Price & News

How has Huntington Bancshares's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: HBAN's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-3.4%

HBAN

0.6%

US Banks

2.4%

US Market


1 Year Return

-31.4%

HBAN

-19.4%

US Banks

9.2%

US Market

Return vs Industry: HBAN underperformed the US Banks industry which returned -21.3% over the past year.

Return vs Market: HBAN underperformed the US Market which returned 8.5% over the past year.


Shareholder returns

HBANIndustryMarket
7 Day-3.4%0.6%2.4%
30 Day9.1%10.2%10.2%
90 Day-21.9%-11.9%3.4%
1 Year-28.0%-31.4%-16.6%-19.4%11.6%9.2%
3 Year-18.8%-27.5%-5.8%-13.2%33.7%24.9%
5 Year-5.3%-19.6%15.0%1.2%59.7%41.8%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Huntington Bancshares undervalued compared to its fair value and its price relative to the market?

9.23x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: HBAN ($9.2) is trading above our estimate of fair value ($8.48)

Significantly Below Fair Value: HBAN is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: HBAN is good value based on its PE Ratio (9.2x) compared to the Banks industry average (9.6x).

PE vs Market: HBAN is good value based on its PE Ratio (9.2x) compared to the US market (15.8x).


Price to Earnings Growth Ratio

PEG Ratio: HBAN is good value based on its PEG Ratio (0.2x)


Price to Book Ratio

PB vs Industry: HBAN is overvalued based on its PB Ratio (0.9x) compared to the US Banks industry average (0.8x).


Next Steps

Future Growth

How is Huntington Bancshares forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?

38.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: HBAN's forecast earnings growth (38.6% per year) is above the savings rate (2.2%).

Earnings vs Market: HBAN's earnings (38.6% per year) are forecast to grow faster than the US market (22.1% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: HBAN's revenue (2.9% per year) is forecast to grow slower than the US market (8.9% per year).

High Growth Revenue: HBAN's revenue (2.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: HBAN's Return on Equity is forecast to be low in 3 years time (9.7%).


Next Steps

Past Performance

How has Huntington Bancshares performed over the past 5 years?

18.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: HBAN has high quality earnings.

Growing Profit Margin: HBAN's current net profit margins (25.5%) are lower than last year (31.1%).


Past Earnings Growth Analysis

Earnings Trend: HBAN's earnings have grown by 18.9% per year over the past 5 years.

Accelerating Growth: HBAN's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: HBAN had negative earnings growth (-23.7%) over the past year, making it difficult to compare to the Banks industry average (2.8%).


Return on Equity

High ROE: HBAN's Return on Equity (9.4%) is considered low.


Next Steps

Financial Health

How is Huntington Bancshares'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

Asset Level: HBAN's Assets to Equity ratio (9.7x) is low.

Allowance for Bad Loans: HBAN has a sufficient allowance for bad loans (270%).

Low Risk Liabilities: 85% of HBAN's liabilities are made up of primarily low risk sources of funding.

Loan Level: HBAN has an appropriate level of Loans to Assets ratio (67%).

Low Risk Deposits: HBAN's Loans to Deposits ratio (88%) is appropriate.

Level of Bad Loans: HBAN has an appropriate level of bad loans (0.7%).


Next Steps

Dividend

What is Huntington Bancshares's current dividend yield, its reliability and sustainability?

6.52%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: HBAN's dividend (6.52%) is higher than the bottom 25% of dividend payers in the US market (1.67%).

High Dividend: HBAN's dividend (6.52%) is in the top 25% of dividend payers in the US market (4.48%)


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (59.2%), HBAN's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: HBAN's dividends in 3 years are forecast to be covered by earnings (61.4% payout ratio).


Next Steps

Management

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

4.7yrs

Average management tenure


CEO

Steve Steinour (60yo)

11.42yrs

Tenure

US$7,488,685

Compensation

Mr. Stephen D. Steinour, also known as Steve, is Chairman, President and Chief Executive Officer of The Huntington National Bank. Mr. Steinour joined Huntington in 2009 from CrossHarbor Capital where he se ...


CEO Compensation Analysis

Compensation vs Market: Steve's total compensation ($USD7.49M) is about average for companies of similar size in the US market ($USD7.27M).

Compensation vs Earnings: Steve's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Stephen Steinour
Chairman11.42yrsUS$7.49m0.57% $53.6m
Zachary Wasserman
CFO & Senior EVP0.58yrUS$1.85m0.000050% $4.7k
Paul Heller
Chief Technology and Operations Officer & Senior EVP7.67yrsUS$2.67m0.037% $3.4m
Helga Houston
Senior EVP & Chief Risk Officer8.75yrsUS$2.50m0.042% $3.9m
Andrew Harmening
Senior EVP of Consumer & Business Banking Director3yrsUS$3.15m0.0057% $531.9k
Nancy Maloney
Executive VPno datano data0.0012% $111.0k
Mark Muth
Senior VP & Director of Investor Relations5.42yrsno datano data
Jana Litsey
Senior EVP & General Counsel2.58yrsno data0.0021% $192.2k
Julie Tutkovics
Executive VP and Chief Communications & Marketing Director3.17yrsno data0.016% $1.5m
Rajeev Syal
Chief Human Resources Officer & Senior EVP4.67yrsno data0.017% $1.6m

4.7yrs

Average Tenure

54yo

Average Age

Experienced Management: HBAN's management team is considered experienced (4.7 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Stephen Steinour
Chairman11.42yrsUS$7.49m0.57% $53.6m
Steven Elliott
Independent Director9.42yrsUS$301.12kno data
Richard Neu
Independent Director10.42yrsUS$274.12k0.011% $1.1m
Robert Cubbin
Independent Director4.42yrsUS$256.50k0.0054% $508.5k
Gina France
Independent Director3.83yrsUS$218.74k0.0041% $385.4k
David Porteous
Lead Independent Director12.58yrsUS$389.24k0.052% $4.9m
Lizabeth Ardisana
Independent Director3.83yrsUS$228.37k0.0036% $339.6k
Ann Crane
Independent Director9.83yrsUS$240.62k0.0015% $140.9k
J. Hochschwender
Independent Director3.83yrsUS$213.74k0.0068% $635.4k
John Inglis
Independent Director4.08yrsUS$218.74k0.00070% $65.3k

6.9yrs

Average Tenure

62.5yo

Average Age

Experienced Board: HBAN's board of directors are considered experienced (6.9 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: HBAN insiders have only sold shares 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

Huntington Bancshares Incorporated's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Huntington Bancshares Incorporated
  • Ticker: HBAN
  • Exchange: NasdaqGS
  • Founded: 1866
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$9.331b
  • Shares outstanding: 1.01b
  • Website: https://www.huntington.com

Number of Employees


Location

  • Huntington Bancshares Incorporated
  • Huntington Center
  • 41 South High Street
  • Columbus
  • Ohio
  • 43287
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
HBANNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDJan 1980
HU3DB (Deutsche Boerse AG)YesCommon StockDEEURJan 1980
0J72LSE (London Stock Exchange)YesCommon StockGBUSDJan 1980
HBAN *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNJan 1980
HBAN.ONasdaqGS (Nasdaq Global Select)DEP SHS PFD DUSUSDMar 2016
H1BA34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH REPR 1 COMBRBRLDec 2019

Biography

Huntington Bancshares Incorporated operates as a holding company for The Huntington National Bank that provides commercial, small business, consumer, and mortgage banking services. The company operates through four business segments: Consumer and Business Banking, Commercial Banking, Vehicle Finance, and Regional Banking and The Huntington Private Client Group (RBHPCG). The Consumer and Business Banking segment offers financial products and services, such as checking accounts, savings accounts, money market accounts, certificates of deposit, consumer loans, mortgage loans, credit cards, and small business loans, as well as investment products. It also provides insurance, interest rate risk protection, foreign exchange, and treasury management services, as well as online, mobile, and telephone banking services. The Commercial Banking segment offers banking solutions and asset finance services; corporate risk management services; institutional sales, trading, and underwriting services; institutional corporate banking services; treasury management services; and other financing solutions, as well as lends real estate developers, REITs, and other customers. The Vehicle Finance segment provides financing to consumers for the purchase of automobiles, light-duty trucks, recreational vehicles, and marine craft at franchised and other select dealerships, as well as to franchised dealerships for the acquisition of new and used inventory. The RBHPCG segment provides deposits, lending, banking, wealth management, investment and portfolio management, fiduciary administration, trust, retirement plan, and institutional and mutual fund custody services. As of December 31, 2018, the company operated through 944 branches located in Ohio, Michigan, Pennsylvania, Indiana, Illinois, Wisconsin, West Virginia, and Kentucky; and 10 private client group offices. Huntington Bancshares Incorporated was founded in 1866 and is headquartered in Columbus, Ohio. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/06/03 02:16
End of Day Share Price2020/06/02 00:00
Earnings2020/03/31
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.