NasdaqGS:IBOC

Stock Analysis Report

International Bancshares

Executive Summary

International Bancshares Corporation, a financial holding company, provides commercial and retail banking services.

Snowflake

Fundamentals

Flawless balance sheet average dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

3.5%

IBOC

3.7%

US Banks

1.8%

US Market


1 Year Return

-0.4%

IBOC

1.9%

US Banks

7.3%

US Market

Return vs Industry: IBOC underperformed the US Banks industry which returned 1.9% over the past year.

Return vs Market: IBOC underperformed the US Market which returned 7.3% over the past year.


Shareholder returns

IBOCIndustryMarket
7 Day3.5%3.7%1.8%
30 Day-0.2%0.2%-0.7%
90 Day9.0%2.5%0.06%
1 Year2.4%-0.4%4.9%1.9%9.7%7.3%
3 Year39.1%30.7%51.7%41.2%46.3%36.9%
5 Year75.9%57.8%69.7%51.2%64.5%46.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

12.41x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Undervalued: IBOC ($39.84) is trading above our estimate of fair value ($30.95)

Significantly Undervalued: IBOC is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: IBOC is good value based on its PE Ratio (12.4x) compared to the Banks industry average (12.6x).

PE vs Market: IBOC is good value based on its PE Ratio (12.4x) compared to the US market (17.7x).


Price to Earnings Growth Ratio

Low PEG Ratio: Insufficient data to calculate IBOC's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: IBOC is overvalued based on its PB Ratio (1.3x) compared to the US Banks industry average (1.2x).


Next Steps

Future Growth

How is International Bancshares forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

4.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: IBOC's forecast earnings growth (4.8% per year) is above the savings rate (2.7%).

Earnings vs Market: IBOC's earnings (4.8% per year) are forecast to grow slower than the US market (14.6% per year).

High Growth Earnings: IBOC's earnings are forecast to grow, but not significantly.

Revenue vs Market: Insufficient data to determine if IBOC's revenue is forecast to grow faster than the US market.

High Growth Revenue: Insufficient data to determine if IBOC's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: Insufficient data to determine if IBOC's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has International Bancshares performed over the past 5 years?

8.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: IBOC's earnings have grown by 8.8% per year over the past 5 years.

Accelerating Growth: IBOC's earnings growth over the past year (10.7%) exceeds its 5-year average (8.8% per year).

Earnings vs Industry: IBOC earnings growth over the past year (10.7%) underperformed the Banks industry 30.5%.


Return on Equity

High ROE: IBOC's Return on Equity (10.3%) is considered low.


Return on Assets

ROA vs Industry: IBOC has a higher Return on Assets than the Banks industry average last year.


Return on Capital Employed

ROCE Improving: Insufficient data to calculate IBOC's Return on Capital Employed to determine if it has improved over the past 3 years.


Next Steps

Financial Health

How is International 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

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

Debt Coverage by Assets: IBOC's debt is not covered by short term assets (assets are 0.3x debt).


Financial Institutions Analysis

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

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

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

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

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

Level of Bad Loans: IBOC has an appropriate level of bad loans (0.23%)


Next Steps

Dividend

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

2.76%

Current Dividend Yield


Dividend Yield vs Market

company2.8%marketbottom25%1.5%markettop25%3.7%industryaverage3.0%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: IBOC's dividend (2.76%) is higher than the bottom 25% of dividend payers in the US market (1.45%).

High Dividend: IBOC's dividend (2.76%) is low compared to the top 25% of dividend payers in the US market (3.72%).

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (28.6%), IBOC's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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

7.0yrs

Average management tenure


CEO

Dennis Nixon (76yo)

40.8yrs

Tenure

US$2,101,693

Compensation

Mr. Dennis Edward Nixon serves as Chief Executive Officer at International Bancshares Corporation and has been its President since 1979 and Chairman since 1992 and also served as its Chief Financial Office ...


CEO Compensation Analysis

Compensation vs. Market: Dennis's total compensation ($USD2.10M) is below average for companies of similar size in the US market ($USD5.11M).

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


Management Age and Tenure

7.0yrs

Average Tenure

58.5yo

Average Age

Experienced Management: IBOC's management team is seasoned and experienced (7 years average tenure).


Board Age and Tenure

9.2yrs

Average Tenure

74yo

Average Age

Experienced Board: IBOC's board of directors are considered experienced (9.2 years average tenure).


Insider Trading

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


Recent Insider Transactions

BuyUS$312,83216 Aug 19
Javier de Anda
EntityIndividual
Role
Member of the Board of Directors
Director
Shares9,533
Max PriceUS$32.83
BuyUS$129,61016 Aug 19
Roberto Reséndez
EntityIndividual
Role
Member of the Board of Directors
Director
Shares4,000
Max PriceUS$32.40
BuyUS$111,00017 Jun 19
Roberto Reséndez
EntityIndividual
Role
Member of the Board of Directors
Director
Shares3,000
Max PriceUS$37.00
BuyUS$72,85011 Jun 19
Roberto Reséndez
EntityIndividual
Role
Member of the Board of Directors
Director
Shares2,000
Max PriceUS$36.45

Ownership Breakdown


Management Team

  • Dennis Nixon (76yo)

    Chairman

    • Tenure: 40.8yrs
    • Compensation: US$2.10m
  • Marisa Santos

    Corporate Secretary

    • Tenure: 0yrs
  • Bob Barnes

    CEO & President of Intl. Bank of Commerce - Austin

    • Tenure: 0yrs
  • Dalia Martinez (68yo)

    Executive VP

    • Tenure: 0yrs
  • Judy Wawroski (44yo)

    Executive VP

    • Tenure: 1.8yrs
    • Compensation: US$253.48k
  • Mike Sohn

    CEO & President of International Bank of Commerce - San Antonio

    • Tenure: 7.1yrs
  • Derek Schmidt

    CEO & President of International Bank of Commerce - Port Lavaca

    • Tenure: 6.8yrs
  • Julie Tarvin (49yo)

    President of IBC Services Administration in San Antonio

    • Tenure: 0yrs
    • Compensation: US$256.47k
  • Rosa Eliza Gonzalez

    Executive Vice President of Corporate Divisions

    • Tenure: 0yrs
  • Ron Buckley

    Senior Vice President

    • Tenure: 0yrs

Board Members

  • Dennis Nixon (76yo)

    Chairman

    • Tenure: 40.8yrs
    • Compensation: US$2.10m
  • Antonio Sanchez (76yo)

    Director

    • Tenure: 24.8yrs
    • Compensation: US$11.00k
  • Irving Greenblum (89yo)

    Director

    • Tenure: 38.8yrs
    • Compensation: US$24.50k
  • Doug Howland (68yo)

    Director

    • Tenure: 9.2yrs
    • Compensation: US$28.20k
  • Renato Ramirez (79yo)

    Chairman of Intl. Bank of Commerce - Zapata & CEO of Intl. Bank of Commerce - Zapata

    • Tenure: 0yrs
  • Richard Bothe

    Chairman of the Bank-Port Lavaca

    • Tenure: 6.8yrs
  • Larry Norton (72yo)

    Director

    • Tenure: 9.2yrs
    • Compensation: US$27.50k
  • Javier de Anda (67yo)

    Director

    • Tenure: 4.1yrs
    • Compensation: US$23.00k
  • Roberto Reséndez (69yo)

    Director

    • Tenure: 4.1yrs
    • Compensation: US$26.40k
  • Rudolph Miles

    Director

    • Tenure: 0.2yrs

Company Information

International Bancshares Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: International Bancshares Corporation
  • Ticker: IBOC
  • Exchange: NasdaqGS
  • Founded: 1966
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$2.616b
  • Shares outstanding: 65.66m
  • Website: https://www.ibc.com

Number of Employees


Location

  • International Bancshares Corporation
  • 1200 San Bernardo Avenue
  • Laredo
  • Texas
  • 78042
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
IBOCNasdaqGS (Nasdaq Global Select)YesCommon SharesUSUSDAug 1995
IB4DB (Deutsche Boerse AG)YesCommon SharesDEEURAug 1995

Biography

International Bancshares Corporation, a financial holding company, provides commercial and retail banking services. It accepts checking and saving deposits; and offers commercial, real estate, personal, ho ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/18 23:36
End of Day Share Price2019/10/18 00:00
Earnings2019/06/30
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.