NasdaqGS:LBAI

Stock Analysis Report

Executive Summary

Lakeland Bancorp, Inc. operates as the bank holding company for Lakeland Bank that provides various banking products and services for individuals and small to medium sized businesses.

Snowflake

Fundamentals

Flawless balance sheet and good value.


Similar Companies

Share Price & News

How has Lakeland 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%

LBAI

2.7%

US Banks

0.4%

US Market


1 Year Return

-6.9%

LBAI

2.7%

US Banks

6.9%

US Market

Return vs Industry: LBAI underperformed the US Banks industry which returned 2.7% over the past year.

Return vs Market: LBAI underperformed the US Market which returned 6.9% over the past year.


Shareholder returns

LBAIIndustryMarket
7 Day1.5%2.7%0.4%
30 Day-1.8%0.7%-1.1%
90 Day-2.9%3.0%-0.5%
1 Year-4.2%-6.9%5.7%2.7%9.3%6.9%
3 Year24.8%16.0%52.1%41.6%45.8%36.4%
5 Year70.7%49.4%69.2%50.7%62.9%45.1%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Lakeland Bancorp undervalued compared to its fair value and its price relative to the market?

11.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: LBAI ($15.54) is trading below our estimate of fair value ($17.51)

Significantly Undervalued: LBAI is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: LBAI is good value based on its PE Ratio (11.7x) compared to the Banks industry average (12.6x).

PE vs Market: LBAI is good value based on its PE Ratio (11.7x) compared to the US market (17.6x).


Price to Earnings Growth Ratio

Low PEG Ratio: LBAI is poor value based on its PEG Ratio (2.2x)


Price to Book Ratio

PB vs Industry: LBAI is good value based on its PB Ratio (1.1x) compared to the US Banks industry average (1.2x).


Next Steps

Future Growth

How is Lakeland Bancorp forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

5.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: LBAI's forecast earnings growth (5.2% per year) is above the savings rate (2.7%).

Earnings vs Market: LBAI's earnings (5.2% per year) are forecast to grow slower than the US market (14.6% per year).

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

Revenue vs Market: LBAI's revenue (5.2% per year) is forecast to grow slower than the US market (7.2% per year).

High Growth Revenue: LBAI's revenue (5.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

How has Lakeland Bancorp performed over the past 5 years?

18.3%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: LBAI's earnings have grown by 18.3% per year over the past 5 years.

Accelerating Growth: LBAI's earnings growth over the past year (12.8%) is below its 5-year average (18.3% per year).

Earnings vs Industry: LBAI earnings growth over the past year (12.8%) underperformed the Banks industry 29.6%.


Return on Equity

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


Return on Assets

ROA vs Industry: LBAI's Return on Assets is below or equal to the Banks industry average last year.


Return on Capital Employed

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


Next Steps

Financial Health

How is Lakeland 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

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

Debt Coverage by Assets: LBAI's debt is not covered by short term assets (assets are 0.5x debt).


Financial Institutions Analysis

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

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

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

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

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

Level of Bad Loans: LBAI has an appropriate level of bad loans (0.29%)


Next Steps

Dividend

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

3.22%

Current Dividend Yield


Dividend Yield vs Market

company3.2%marketbottom25%1.4%markettop25%3.7%industryaverage3.0%forecastin3Years3.2%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: LBAI's dividend (3.22%) is higher than the bottom 25% of dividend payers in the US market (1.45%).

High Dividend: LBAI's dividend (3.22%) is low compared to the top 25% of dividend payers in the US market (3.73%).

Stable Dividend: LBAI's dividend payments have been volatile in the past 10 years.

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (35.5%), LBAI'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 Lakeland Bancorp's salary, the management and board of directors tenure and is there insider trading?

2.8yrs

Average management tenure


CEO

Tom Shara (61yo)

11.5yrs

Tenure

US$1,952,093

Compensation

Mr. Thomas J. Shara, also known as Tom, Jr., has been Chief Executive Officer and President of Lakeland Bancorp, Inc. and its subsidiary Lakeland Bank since April 2, 2008. Mr. Shara served as President and ...


CEO Compensation Analysis

Compensation vs. Market: Tom's total compensation ($USD1.95M) is about average for companies of similar size in the US market ($USD2.69M).

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


Management Age and Tenure

2.8yrs

Average Tenure

60.5yo

Average Age

Experienced Management: LBAI's management team is considered experienced (2.8 years average tenure).


Board Age and Tenure

13.4yrs

Average Tenure

62.5yo

Average Age

Experienced Board: LBAI's board of directors are seasoned and experienced ( 13.4 years average tenure).


Insider Trading

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


Recent Insider Transactions

BuyUS$16,15402 Aug 19
James Hanson
EntityIndividual
Shares985
Max PriceUS$16.40
BuyUS$3,94530 May 19
James Hanson
EntityIndividual
Shares250
Max PriceUS$15.78
BuyUS$14,34710 May 19
James Hanson
EntityIndividual
Shares840
Max PriceUS$17.08
BuyUS$25,01104 Feb 19
James Hanson
EntityIndividual
Shares1,585
Max PriceUS$15.78
BuyUS$187,85026 Dec 18
Robert Nicholson
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares13,000
Max PriceUS$14.45
BuyUS$14,64517 Dec 18
Mary Deacon
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares1,000
Max PriceUS$14.65
BuyUS$20,24919 Nov 18
James Hanson
EntityIndividual
Shares1,225
Max PriceUS$16.53
BuyUS$80,60019 Nov 18
Thomas Shara
EntityIndividual
Role
Chief Executive Officer
President
Shares5,000
Max PriceUS$16.12
BuyUS$111,42902 Nov 18
Mary Deacon
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares6,750
Max PriceUS$16.51

Ownership Breakdown


Management Team

  • Tom Shara (61yo)

    President

    • Tenure: 11.5yrs
    • Compensation: US$1.95m
  • John Fredericks (82yo)

    Chairman Emeritus

    • Tenure: 0yrs
    • Compensation: US$145.30k
  • Ron Schwarz (64yo)

    Senior EVP & COO

    • Tenure: 2.8yrs
    • Compensation: US$737.13k
  • Timothy Matteson (50yo)

    Executive VP

    • Tenure: 2.8yrs
    • Compensation: US$591.05k
  • Tom Splaine (53yo)

    Executive VP & CFO

    • Tenure: 2.6yrs
    • Compensation: US$658.36k
  • David Yanagisawa (67yo)

    Executive VP & Senior Loan Officer

    • Tenure: 10.9yrs
    • Compensation: US$500.36k
  • James Nigro (51yo)

    Executive VP & Chief Risk Officer

    • Tenure: 3.6yrs
  • John Rath (60yo)

    Executive VP & Chief Lending Officer

    • Tenure: 1.8yrs
    • Compensation: US$449.33k
  • Paul Ho

    Executive VP & Chief Information Officer

    • Tenure: 2.3yrs
  • Jenifer Thoma

    First Senior VP & Director of Human Resources

    • Tenure: 0yrs

Board Members

  • Tom Shara (61yo)

    President

    • Tenure: 11.5yrs
    • Compensation: US$1.95m
  • Jon Hanson (82yo)

    Chairman of Corporate Advisory Council

    • Tenure: 3.8yrs
  • Mary Deacon (67yo)

    Chairman of the Board

    • Tenure: 8.4yrs
    • Compensation: US$233.34k
  • Mark Fredericks (58yo)

    Independent Director

    • Tenure: 25.8yrs
    • Compensation: US$90.54k
  • John Fredericks (82yo)

    Chairman Emeritus

    • Tenure: 0yrs
    • Compensation: US$145.30k
  • Robert Nicholson (54yo)

    Independent Director

    • Tenure: 15.8yrs
    • Compensation: US$93.04k
  • Brian Flynn (59yo)

    Independent Director

    • Tenure: 9.3yrs
    • Compensation: US$95.54k
  • Janeth Hendershot (64yo)

    Independent Director

    • Tenure: 15.3yrs
    • Compensation: US$91.69k
  • Robert McCracken (61yo)

    Independent Director

    • Tenure: 15.3yrs
    • Compensation: US$93.23k
  • Robert Nicholson (90yo)

    Chairman Emeritus

    • Tenure: 0yrs

Company Information

Lakeland Bancorp, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Lakeland Bancorp, Inc.
  • Ticker: LBAI
  • Exchange: NasdaqGS
  • Founded: 1989
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$784.602m
  • Shares outstanding: 50.49m
  • Website: https://www.lakelandbank.com

Number of Employees


Location

  • Lakeland Bancorp, Inc.
  • 250 Oak Ridge Road
  • Oak Ridge
  • New Jersey
  • 7438
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
LBAINasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDApr 1998

Biography

Lakeland Bancorp, Inc. operates as the bank holding company for Lakeland Bank that provides various banking products and services for individuals and small to medium sized businesses. It offers commercial  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/19 23:38
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.