Independent Bank Group
Market Cap
US$2.4b
Last Updated
2020/02/20 01:38 UTC
Data Sources
Company Financials +
Executive Summary
Independent Bank Group, Inc. operates as the bank holding company for Independent Bank that provides various commercial banking products and services to businesses, professionals, and individuals in the United States.
Rewards
Risk Analysis
Snowflake Analysis
Very undervalued with flawless balance sheet.
Similar Companies
Share Price & News
How has Independent Bank Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: IBTX has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
0.6%
IBTX
-1.0%
US Banks
0.5%
US Market
1 Year Return
-2.6%
IBTX
10.6%
US Banks
20.3%
US Market
Return vs Industry: IBTX underperformed the US Banks industry which returned 10.6% over the past year.
Return vs Market: IBTX underperformed the US Market which returned 20.3% over the past year.
Shareholder returns
| IBTX | Industry | Market | |
|---|---|---|---|
| 7 Day | 0.6% | -1.0% | 0.5% |
| 30 Day | 4.7% | -1.2% | 2.0% |
| 90 Day | -2.0% | 0.4% | 9.4% |
| 1 Year | -0.8%-2.6% | 13.8%10.6% | 22.8%20.3% |
| 3 Year | -10.1%-13.3% | 23.5%14.6% | 50.1%40.4% |
| 5 Year | 62.2%54.0% | 74.0%54.2% | 73.1%54.1% |
Price Volatility Vs. Market
How volatile is Independent Bank Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 months ago | Simply Wall St
Have Insiders Been Selling Independent Bank Group, Inc. (NASDAQ:IBTX) Shares?2 months ago | Simply Wall St
Is It Time To Consider Buying Independent Bank Group, Inc. (NASDAQ:IBTX)?3 months ago | Simply Wall St
Why Independent Bank Group, Inc.'s (NASDAQ:IBTX) High P/E Ratio Isn't Necessarily A Bad ThingValuation
Is Independent Bank Group undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: IBTX ($55.55) is trading below our estimate of fair value ($121.3)
Significantly Below Fair Value: IBTX is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: IBTX is good value based on its PE Ratio (12.5x) compared to the Banks industry average (12.6x).
PE vs Market: IBTX is good value based on its PE Ratio (12.5x) compared to the US market (18.3x).
Price to Earnings Growth Ratio
PEG Ratio: IBTX is good value based on its PEG Ratio (0.2x)
Price to Book Ratio
PB vs Industry: IBTX is good value based on its PB Ratio (1x) compared to the US Banks industry average (1.2x).
Next Steps
Future Growth
How is Independent Bank Group forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?
52.8%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: IBTX's forecast earnings growth (52.8% per year) is above the savings rate (1.7%).
Earnings vs Market: IBTX's earnings (52.8% per year) are forecast to grow faster than the US market (14.2% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: IBTX's revenue (48.8% per year) is forecast to grow faster than the US market (7.6% per year).
High Growth Revenue: IBTX's revenue (48.8% per year) is forecast to grow faster than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: IBTX's Return on Equity is forecast to be low in 3 years time (11.2%).
Next Steps
Past Performance
How has Independent Bank Group performed over the past 5 years?
37.2%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: IBTX has high quality earnings.
Growing Profit Margin: IBTX's current net profit margins (33.9%) are lower than last year (35.8%).
Past Earnings Growth Analysis
Earnings Trend: IBTX's earnings have grown significantly by 37.2% per year over the past 5 years.
Accelerating Growth: IBTX's earnings growth over the past year (50.3%) exceeds its 5-year average (37.2% per year).
Earnings vs Industry: IBTX earnings growth over the past year (50.3%) exceeded the Banks industry 12.3%.
Return on Equity
High ROE: IBTX's Return on Equity (8.2%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is Independent Bank Group'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: IBTX has a low level of unsold assets or inventory.
Debt Coverage by Assets: IBTX's debt is covered by short term assets (assets are 1.1x debt).
Financial Institutions Analysis
Asset Level: IBTX's level of assets compared to its equity is low.
Allowance for Bad Loans: IBTX has a sufficient allowance for bad loans.
Low Risk Liabilities: IBTX's liabilities are made up of primarily low risk sources of funding.
Loan Level: IBTX has an acceptable proportion of non-loan assets held.
Low Risk Deposits: IBTX's loans are broadly funded by customer deposits.
Level of Bad Loans: IBTX has an appropriate level of bad loans (0.23%)
Next Steps
Dividend
What is Independent Bank Group's current dividend yield, its reliability and sustainability?
1.80%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: IBTX's dividend (1.8%) is higher than the bottom 25% of dividend payers in the US market (1.44%).
High Dividend: IBTX's dividend (1.8%) is low compared to the top 25% of dividend payers in the US market (3.73%).
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, IBTX has been paying a dividend for less than 10 years.
Growing Dividend: IBTX's dividend payments have increased, but the company has only paid a dividend for 7 years.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (22.4%), IBTX's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: IBTX's dividends in 3 years are forecast to be well covered by earnings (17.2% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.8yrs
Average management tenure
CEO
David Brooks (60yo)
18.1yrs
Tenure
US$2,069,389
Compensation
Mr. David R. Brooks has been the Chairman of the Board since 2002, President since October 3, 2016, and Chief Executive Officer since 2002 of Independent Bank Group, Inc. He is the Chairman and Chief Execu ...
CEO Compensation Analysis
Compensation vs Market: David's total compensation ($USD2.07M) is below average for companies of similar size in the US market ($USD3.82M).
Compensation vs Earnings: David's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | 18.1yrs | US$2.07m | 2.17% $51.7m | |
| Vice Chairman & Chief Risk Officer | 11.1yrs | US$916.58k | 0.28% $6.8m | |
| Executive VP & CFO | 7.8yrs | US$683.73k | 0.069% $1.7m | |
| Executive VP & COO | 3.8yrs | US$643.63k | 0.042% $1.0m | |
| Executive VP & Chief Accounting Officer | 0yrs | no data | no data | |
| Executive VP & General Counsel | 1.9yrs | no data | 0.058% $1.4m | |
| Senior Vice President of Marketing & Communications | 0yrs | no data | no data | |
| Senior VP & Director of Corporate Development | 0yrs | no data | no data | |
| Executive VP & Head of Corporate Responsibility | 2.1yrs | no data | 0.021% $498.9k | |
| Senior Vice President of Commercial Lending | 1.8yrs | no data | no data |
3.8yrs
Average Tenure
56.5yo
Average Age
Experienced Management: IBTX's management team is considered experienced (3.8 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | 18.1yrs | US$2.07m | 2.17% $51.7m | |
| Vice Chairman & Chief Risk Officer | 11.1yrs | US$916.58k | 0.28% $6.8m | |
| Independent Director | 7yrs | US$113.48k | 0.040% $952.7k | |
| Independent Director | 2.8yrs | US$98.48k | 0.49% $11.6m | |
| Independent Director | 5.8yrs | US$98.48k | 0.10% $2.5m | |
| Independent Director | 11.1yrs | US$108.48k | 0.51% $12.2m | |
| Lead Independent Director | 0yrs | US$103.48k | 0.21% $5.1m | |
| Independent Director | 7yrs | US$98.48k | 0.060% $1.4m | |
| Independent Director | 5.8yrs | US$98.48k | 0.33% $7.9m | |
| Independent Director | 0.8yrs | no data | 0.0033% $78.5k |
7.0yrs
Average Tenure
58.5yo
Average Age
Experienced Board: IBTX's board of directors are considered experienced (7 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: IBTX insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 46.1%.
Top Shareholders
Company Information
Independent Bank Group, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Independent Bank Group, Inc.
- Ticker: IBTX
- Exchange: NasdaqGS
- Founded: 2002
- Industry: Regional Banks
- Sector: Banks
- Market Cap: US$2.386b
- Shares outstanding: 42.95m
- Website: https://www.independent-bank.com
Number of Employees
Location
- Independent Bank Group, Inc.
- 1600 Redbud Boulevard
- Suite 100
- McKinney
- Texas
- 75069
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| IBTX | NasdaqGS (Nasdaq Global Select) | Yes | Common Stock | US | USD | Apr 2013 |
| I3B | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Apr 2013 |
Biography
Independent Bank Group, Inc. operates as the bank holding company for Independent Bank that provides various commercial banking products and services to businesses, professionals, and individuals in the United States. It offers various deposit products, including demand deposits, money market accounts, and certificates of deposit. The company also provides commercial real estate loans; commercial construction, land, and land development loans; residential real estate loans; single-family interim construction loans; commercial loans comprising SBA guaranteed loans, business term loans, equipment financing, and lines of credit and energy related loans; agricultural loans for farmers and ranchers; consumer installment loans comprising loans to purchase cars, boats, and other recreational vehicles; and residential mortgages. In addition, it offers debit cards, online and mobile banking, eStatement, bank-by-mail, and direct deposit services; and business accounts and management services, including analyzed business checking, business savings, and treasury management services. As of December 31, 2018, the company operated 73 branches. Independent Bank Group, Inc. was founded in 2002 and is headquartered in McKinney, Texas.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/02/20 01:38 |
| End of Day Share Price | 2020/02/19 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/12/31 |
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.