Independent Bank Corporation operates as the holding company for Independent Bank that provides various banking services to individuals and businesses. More Details
Flawless balance sheet with solid track record and pays a dividend.
Share Price & News
How has Independent Bank's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: IBCP is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 7% a week.
Volatility Over Time: IBCP's weekly volatility (7%) has been stable over the past year.
7 Day Return
1 Year Return
Return vs Industry: IBCP underperformed the US Banks industry which returned -17% over the past year.
Return vs Market: IBCP underperformed the US Market which returned 19.7% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Independent Bank's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall StDid Independent Bank Corporation (NASDAQ:IBCP) Insiders Sell Shares?
4 weeks ago | Simply Wall StShould You Buy Independent Bank Corporation (NASDAQ:IBCP) For Its Upcoming Dividend?
1 month ago | Simply Wall StIndependent Bank's (NASDAQ:IBCP) Shareholders Are Down 35% On Their Shares
Is Independent Bank undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: IBCP ($18.12) is trading below our estimate of fair value ($39.54)
Significantly Below Fair Value: IBCP is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: IBCP is good value based on its PE Ratio (7.6x) compared to the US Banks industry average (11.5x).
PE vs Market: IBCP is good value based on its PE Ratio (7.6x) compared to the US market (19.7x).
Price to Earnings Growth Ratio
PEG Ratio: IBCP's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: IBCP is overvalued based on its PB Ratio (1.1x) compared to the US Banks industry average (0.9x).
How is Independent Bank forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: IBCP's earnings are forecast to decline over the next 3 years (-14.3% per year).
Earnings vs Market: IBCP's earnings are forecast to decline over the next 3 years (-14.3% per year).
High Growth Earnings: IBCP's earnings are forecast to decline over the next 3 years.
Revenue vs Market: IBCP's revenue is expected to decline over the next 3 years (-5.9% per year).
High Growth Revenue: IBCP's revenue is forecast to decline over the next 3 years (-5.9% per year).
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: IBCP's Return on Equity is forecast to be low in 3 years time (10%).
How has Independent Bank performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: IBCP has high quality earnings.
Growing Profit Margin: IBCP's current net profit margins (28.7%) are higher than last year (26.2%).
Past Earnings Growth Analysis
Earnings Trend: IBCP's earnings have grown significantly by 21.3% per year over the past 5 years.
Accelerating Growth: IBCP's earnings growth over the past year (24.7%) exceeds its 5-year average (21.3% per year).
Earnings vs Industry: IBCP earnings growth over the past year (24.7%) exceeded the Banks industry -4.3%.
Return on Equity
High ROE: IBCP's Return on Equity (14.2%) is considered low.
How is Independent Bank's financial position? (This company is analysed differently as a bank or financial institution)
Financial Position Analysis
Debt to Equity History and Analysis
Financial Institutions Analysis
Asset Level: IBCP's Assets to Equity ratio (11.2x) is moderate.
Allowance for Bad Loans: IBCP has a sufficient allowance for bad loans (349%).
Low Risk Liabilities: 95% of IBCP's liabilities are made up of primarily low risk sources of funding.
Loan Level: IBCP has an appropriate level of Loans to Assets ratio (68%).
Low Risk Deposits: IBCP's Loans to Deposits ratio (78%) is appropriate.
Level of Bad Loans: IBCP has an appropriate level of bad loans (0.4%).
What is Independent Bank current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: IBCP's dividend (4.42%) is higher than the bottom 25% of dividend payers in the US market (1.47%).
High Dividend: IBCP's dividend (4.42%) is in the top 25% of dividend payers in the US market (4.05%)
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, IBCP has been paying a dividend for less than 10 years.
Growing Dividend: IBCP's dividend payments have increased, but the company has only paid a dividend for 7 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (32.5%), IBCP's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: IBCP's dividends in 3 years are forecast to be well covered by earnings (46% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Brad Kessel (56 yo)
Mr. William Bradford Kessel has been the Chief Executive Officer at Independent Bank Corporation and its subsidiary, Independent Bank Grand Rapids, Michigan since January 1, 2013. Mr. Kessel has been the P...
CEO Compensation Analysis
Compensation vs Market: Brad's total compensation ($USD1.10M) is below average for companies of similar size in the US market ($USD1.79M).
Compensation vs Earnings: Brad's compensation has been consistent with company performance over the past year.
|Executive VP & Chief Risk Officer||13.58yrs||US$538.15k||0.29% |
|Executive Vice President of Mortgage Banking||4.25yrs||US$502.38k||0.083% |
|CFO, Executive VP||0.17yr||no data||0.014% |
|Executive Vice President of Operations & Digital Banking||3yrs||no data||0.079% |
|Chief Information Officer & Senior VP of Commercial Loans||21.83yrs||no data||no data|
|Senior Vice President of Human Resources||no data||no data||no data|
|Executive Vice President of Retail Banking||13.17yrs||US$462.45k||no data|
|Senior Vice President of Corporate Auditor||15.83yrs||no data||no data|
|Senior VP & Controller||no data||no data||0.045% |
|VP & Assistant Corporate Auditor||15.25yrs||no data||no data|
|Senior Officer of Independent Bank||no data||no data||no data|
Experienced Management: IBCP's management team is seasoned and experienced (13.2 years average tenure).
|Independent Chairman of the Board||9.58yrs||US$81.75k||0.17% |
|Independent Director||16yrs||US$67.25k||no data|
|Independent Director||6.08yrs||US$59.25k||0.036% |
|Lead Independent Director||no data||US$65.25k||0.16% |
|Independent Director||5.33yrs||US$65.25k||0.031% |
|Independent Director||2.58yrs||US$59.25k||0.17% |
|Independent Director||3.92yrs||US$59.25k||0.048% |
|Independent Director||1.08yrs||US$15.00k||no data|
|Director||0.083yr||no data||no data|
|Independent Director||3.42yrs||US$59.25k||no data|
Experienced Board: IBCP's board of directors are considered experienced (4.6 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Independent Bank Corporation's company bio, employee growth, exchange listings and data sources
- Name: Independent Bank Corporation
- Ticker: IBCP
- Exchange: NasdaqGS
- Founded: 1864
- Industry: Regional Banks
- Sector: Banks
- Market Cap: US$396.547m
- Shares outstanding: 21.88m
- Website: https://www.independentbank.com
Number of Employees
- Independent Bank Corporation
- 4200 East Beltline
- Grand Rapids
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|IBCP||NasdaqGS (Nasdaq Global Select)||Yes||Common Stock||US||USD||Sep 1985|
Independent Bank Corporation operates as the holding company for Independent Bank that provides various banking services to individuals and businesses. The company offers checking and savings accounts, com...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/11/26 23:46|
|End of Day Share Price||2020/11/25 00:00|
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.