Live Oak Bancshares
Market Cap
US$725.0m
Last Updated
2019/10/20 00:22 UTC
Data Sources
Company Financials +
Executive Summary
Live Oak Bancshares, Inc. operates as the bank holding company for Live Oak Banking Company that provides various commercial banking products and services to individuals, small businesses, and professionals in North Carolina, the United States.
Snowflake
Fundamentals
High growth potential with adequate balance sheet.
Similar Companies
Share Price & News
How has Live Oak Bancshares's share price performed over time and what events caused price changes?
Latest Share Price and Events
Market Performance
7 Day Return
2.5%
LOB
2.7%
US Banks
0.4%
US Market
1 Year Return
-20.9%
LOB
2.7%
US Banks
6.9%
US Market
Return vs Industry: LOB underperformed the US Banks industry which returned 2.7% over the past year.
Return vs Market: LOB underperformed the US Market which returned 6.9% over the past year.
Shareholder returns
| LOB | Industry | Market | |
|---|---|---|---|
| 7 Day | 2.5% | 2.7% | 0.4% |
| 30 Day | -5.6% | 0.7% | -1.1% |
| 90 Day | 11.0% | 3.0% | -0.5% |
| 1 Year | -20.3%-20.9% | 5.7%2.7% | 9.3%6.9% |
| 3 Year | 26.2%24.3% | 52.1%41.6% | 45.8%36.4% |
| 5 Year | n/a | 69.2%50.7% | 62.9%45.1% |
Price Volatility Vs. Market
How volatile is Live Oak Bancshares's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
What You Must Know About Live Oak Bancshares, Inc.'s (NASDAQ:LOB) Beta Value1 month ago | Simply Wall St
Can You Imagine How Live Oak Bancshares's (NASDAQ:LOB) Shareholders Feel About The 35% Share Price Increase?1 month ago | Simply Wall St
Is Now An Opportune Moment To Examine Live Oak Bancshares, Inc. (NASDAQ:LOB)?Valuation
Is Live Oak Bancshares undervalued compared to its fair value and its price relative to the market?
22.58x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Undervalued: LOB ($18.02) is trading above our estimate of fair value ($9.18)
Significantly Undervalued: LOB is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: LOB is poor value based on its PE Ratio (22.6x) compared to the Banks industry average (12.6x).
PE vs Market: LOB is poor value based on its PE Ratio (22.6x) compared to the US market (17.6x).
Price to Earnings Growth Ratio
Low PEG Ratio: LOB is good value based on its PEG Ratio (0.8x)
Price to Book Ratio
PB vs Industry: LOB is overvalued based on its PB Ratio (1.4x) compared to the US Banks industry average (1.2x).
Next Steps
Future Growth
How is Live Oak Bancshares forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
28.3%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: LOB's forecast earnings growth (28.3% per year) is above the savings rate (2.7%).
Earnings vs Market: LOB's earnings (28.3% per year) are forecast to grow faster than the US market (14.6% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: LOB's revenue (20.9% per year) is forecast to grow faster than the US market (7.2% per year).
High Growth Revenue: LOB's revenue (20.9% per year) 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 LOB's Return on Equity is forecast to be high in 3 years time
Next Steps
Past Performance
How has Live Oak Bancshares performed over the past 5 years?
40.5%
Historical annual earnings growth
Earnings and Revenue History
Past Earnings Growth Analysis
Earnings Trend: LOB's earnings have grown significantly by 40.5% per year over the past 5 years.
Accelerating Growth: LOB's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: LOB had negative earnings growth (-71.2%) over the past year, making it difficult to compare to the Banks industry average (29.6%).
Return on Equity
High ROE: LOB's Return on Equity (6.2%) is considered low.
Return on Assets
ROA vs Industry: LOB'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 LOB's Return on Capital Employed to determine if it has improved over the past 3 years.
Next Steps
Financial Health
How is Live Oak 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: LOB has a low level of unsold assets or inventory.
Debt Coverage by Assets: LOB's debt is covered by short term assets (assets are 785.037910x debt).
Financial Institutions Analysis
Asset Level: LOB's level of assets compared to its equity is low.
Allowance for Bad Loans: LOB has a low allowance for bad loans.
Low Risk Liabilities: LOB's liabilities are made up of primarily low risk sources of funding.
Loan Level: LOB has an acceptable proportion of non-loan assets held.
Low Risk Deposits: LOB's loans are broadly funded by customer deposits.
Level of Bad Loans: LOB has a high level of bad loans (2.93%)
Next Steps
Dividend
What is Live Oak Bancshares's current dividend yield, its reliability and sustainability?
0.66%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Stability and Growth of Payments
Notable Dividend: LOB's dividend (0.66%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.45%).
High Dividend: LOB's dividend (0.66%) is low compared to the top 25% of dividend payers in the US market (3.73%).
Stable Dividend: LOB is not paying a notable dividend for the US market, therefore no need to check if payments are stable.
Growing Dividend: LOB is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.
Current Payout to Shareholders
Dividend Coverage: LOB is not paying a notable dividend for the US market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of LOB's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
What is the CEO of Live Oak Bancshares's salary, the management and board of directors tenure and is there insider trading?
5.2yrs
Average management tenure
CEO
Chip Mahan (67yo)
0yrs
Tenure
US$986,694
Compensation
Mr. James S. Mahan III, also known as Chip, serves as Managing Partner at Canapi Ventures. He founded Live Oak Bancshares, Inc., in 2007 and serves as its Chairman of the Board and Chief Executive Officer. ...
CEO Compensation Analysis
Compensation vs. Market: Chip's total compensation ($USD986.69K) is about average for companies of similar size in the US market ($USD2.69M).
Compensation vs Earnings: Chip's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Management Age and Tenure
5.2yrs
Average Tenure
50yo
Average Age
Experienced Management: LOB's management team is seasoned and experienced (5.2 years average tenure).
Board Age and Tenure
9.2yrs
Average Tenure
65yo
Average Age
Experienced Board: LOB's board of directors are considered experienced (9.2 years average tenure).
Insider Trading
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
| Entity | Individual |
| Role | Other Key Executive Chief Risk Officer of Live Oak Banking Company |
| Shares | 1,000 |
| Max Price | US$15.76 |
| Entity | Individual |
| Role | Member of the Board of Directors Director |
| Shares | 2,500 |
| Max Price | US$14.79 |
| Entity | Individual |
| Role | Member of the Board of Directors President & Director |
| Shares | 7,165 |
| Max Price | US$13.88 |
| Entity | Individual |
| Role | Member of the Board of Directors Independent Director |
| Shares | 2,000 |
| Max Price | US$13.87 |
| Entity | Individual |
| Shares | 20,000 |
| Max Price | US$13.82 |
| Entity | Individual |
| Role | Chief Legal Officer General Counsel |
| Shares | 2,000 |
| Max Price | US$16.04 |
| Entity | Individual |
| Role | Member of the Board of Directors Independent Director |
| Shares | 4,000 |
| Max Price | US$15.30 |
| Entity | Individual |
| Shares | 5,000 |
| Max Price | US$15.13 |
| Entity | Individual |
| Role | Vice Chairman Vice Chairman & Executive VP |
| Shares | 20,000 |
| Max Price | US$15.45 |
| Entity | Individual |
| Role | Member of the Board of Directors President & Director |
| Shares | 15,546 |
| Max Price | US$16.08 |
| Entity | Individual |
| Role | Chief Executive Officer Chairman & CEO |
| Shares | 334,454 |
| Max Price | US$16.08 |
| Entity | Individual |
| Shares | 30,000 |
| Max Price | US$15.09 |
| Entity | Individual |
| Role | Member of the Board of Directors Director |
| Shares | 2,800 |
| Max Price | US$14.49 |
| Entity | Individual |
| Role | Member of the Board of Directors Independent Director |
| Shares | 3,000 |
| Max Price | US$13.64 |
| Entity | Individual |
| Role | Member of the Board of Directors Independent Director |
| Shares | 2,000 |
| Max Price | US$14.13 |
| Entity | Individual |
| Role | Member of the Board of Directors Director |
| Shares | 2,500 |
| Max Price | US$19.13 |
| Entity | Individual |
| Role | Other Key Executive Chief Risk Officer of Live Oak Banking Company |
| Shares | 1,000 |
| Max Price | US$18.82 |
| Entity | Individual |
| Role | Member of the Board of Directors Director |
| Shares | 2,500 |
| Max Price | US$18.42 |
Ownership Breakdown
Management Team
Chip Mahan (67yo)
Chairman & CEO
- Tenure: 0yrs
- Compensation: US$986.69k
Neil Underwood (50yo)
President & Director
- Tenure: 9.8yrs
- Compensation: US$11.97m
Susan Janson
Chief Risk Officer of Live Oak Banking Company
- Tenure: 1.5yrs
- Compensation: US$1.67m
Lee Williams (67yo)
Vice Chairman & Executive VP
- Tenure: 7.8yrs
Steven Caines (40yo)
Chief Financial Officer
- Tenure: 8.8yrs
- Compensation: US$1.20m
Micah Davis
Chief Marketing Officer
- Tenure: 0yrs
Wes Sutherland (48yo)
Chief Accounting Officer
- Tenure: 5.8yrs
Steve Smits (52yo)
Chief Credit Officer
- Tenure: 4.7yrs
- Compensation: US$1.24m
Greg Seward (43yo)
General Counsel
- Tenure: 4yrs
- Compensation: US$979.36k
Claire Parker
Vice President of Corporate Communications
- Tenure: 0yrs
Board Members
Chip Mahan (67yo)
Chairman & CEO
- Tenure: 0yrs
- Compensation: US$986.69k
Kel Landis (62yo)
Independent Director
- Tenure: 11.8yrs
- Compensation: US$117.80k
Diane Glossman (63yo)
Independent Director
- Tenure: 5.2yrs
- Compensation: US$107.80k
Neil Underwood (50yo)
President & Director
- Tenure: 9.8yrs
- Compensation: US$11.97m
David Salyers (60yo)
Director
- Tenure: 0yrs
Bill Cameron (65yo)
Director
- Tenure: 5.9yrs
- Compensation: US$124.47k
Milt Petty (67yo)
Independent Director
- Tenure: 9.2yrs
- Compensation: US$143.80k
Lee Williams (67yo)
Vice Chairman & Executive VP
- Tenure: 7.8yrs
Glen Hoffsis (78yo)
Independent Director
- Tenure: 11.8yrs
- Compensation: US$114.47k
Company Information
Live Oak Bancshares, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Live Oak Bancshares, Inc.
- Ticker: LOB
- Exchange: NasdaqGS
- Founded: 2008
- Industry: Regional Banks
- Sector: Banks
- Market Cap: US$725.015m
- Shares outstanding: 40.23m
- Website: https://www.liveoakbank.com
Number of Employees
Location
- Live Oak Bancshares, Inc.
- 1741 Tiburon Drive
- Wilmington
- North Carolina
- 28403
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| LOB | NasdaqGS (Nasdaq Global Select) | Yes | Class A Common Stock | US | USD | Jul 2015 |
Biography
Live Oak Bancshares, Inc. operates as the bank holding company for Live Oak Banking Company that provides various commercial banking products and services to individuals, small businesses, and professional ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/10/20 00:22 |
| End of Day Share Price | 2019/10/18 00:00 |
| Earnings | 2019/06/30 |
| Annual Earnings | 2018/12/31 |
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.