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PBCT

People's United FinancialNasdaqGS:PBCT Stock Report

Market Cap

US$6.7b

7D

3.2%

1Y

68.0%

Updated

23 Sep, 2021

Data

Company Financials +
PBCT fundamental analysis
Snowflake Score
Valuation3/6
Future Growth1/6
Past Performance1/6
Financial Health6/6
Dividends5/6

PBCT Overview

People's United Financial, Inc. operates as the bank holding company for People’s United Bank, National Association that provides commercial banking, retail banking, and wealth management services to individual, corporate, and municipal customers.

People's United Financial Competitors

Price History & Performance

Summary of all time highs, changes and price drops for People's United Financial
Historical stock prices
Current Share PriceUS$16.60
52 Week HighUS$9.74
52 Week LowUS$19.62
Beta1.2
1 Month Change2.60%
3 Month Change-7.06%
1 Year Change68.02%
3 Year Change-2.64%
5 Year Change6.27%
Change since IPO1,394.00%

Recent News & Updates

Shareholder Returns

PBCTUS BanksUS Market
7D3.2%2.5%-0.5%
1Y68.0%80.0%37.5%

Return vs Industry: PBCT underperformed the US Banks industry which returned 75.2% over the past year.

Return vs Market: PBCT exceeded the US Market which returned 36.2% over the past year.

Price Volatility

Is PBCT's price volatile compared to industry and market?
PBCT volatility
PBCT Beta1.2
Industry Beta1.37
Market Beta1

Stable Share Price: PBCT is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: PBCT's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
18425,784Jack Barneshttps://www.peoples.com

People's United Financial, Inc. operates as the bank holding company for People’s United Bank, National Association that provides commercial banking, retail banking, and wealth management services to individual, corporate, and municipal customers. The Commercial Banking segment offers commercial deposit products, commercial real estate lending, middle market and business banking, equipment financing, mortgage warehouse and asset-based lending, treasury management services, and capital market capabilities. The Retail Banking segment offers consumer lending, including residential mortgage and home equity lending; and consumer deposit gathering services.

People's United Financial Fundamentals Summary

How do People's United Financial's earnings and revenue compare to its market cap?
PBCT fundamental statistics
Market CapUS$6.73b
Earnings (TTM)US$300.50m
Revenue (TTM)US$2.01b

23.3x

P/E Ratio

0.9x

P/B Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
PBCT income statement (TTM)
RevenueUS$2.01b
Cost of RevenueUS$0
Gross ProfitUS$2.01b
ExpensesUS$1.71b
EarningsUS$300.50m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

Oct 21, 2021

Earnings per share (EPS)0.72
Gross Margin100.00%
Net Profit Margin14.92%
Debt/Equity Ratio26.8%

How did PBCT perform over the long term?

See historical performance and comparison

Dividends

4.4%

Current Dividend Yield

101%

Payout Ratio

Valuation

Is People's United Financial undervalued compared to its fair value and its price relative to the market?

25.0%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: PBCT ($16.6) is trading below our estimate of fair value ($22.14)

Significantly Below Fair Value: PBCT is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: PBCT is poor value based on its PE Ratio (23.3x) compared to the US Banks industry average (10.7x).

PE vs Market: PBCT is poor value based on its PE Ratio (23.3x) compared to the US market (17.7x).


Price to Earnings Growth Ratio

PEG Ratio: PBCT is poor value based on its PEG Ratio (2.4x)


Price to Book Ratio

PB vs Industry: PBCT is good value based on its PB Ratio (0.9x) compared to the US Banks industry average (1.1x).


Future Growth

How is People's United Financial forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

9.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PBCT's forecast earnings growth (9.5% per year) is above the savings rate (2%).

Earnings vs Market: PBCT's earnings (9.5% per year) are forecast to grow slower than the US market (14.9% per year).

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

Revenue vs Market: PBCT's revenue (2.5% per year) is forecast to grow slower than the US market (9.8% per year).

High Growth Revenue: PBCT's revenue (2.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: PBCT's Return on Equity is forecast to be low in 3 years time (7%).


Past Performance

How has People's United Financial performed over the past 5 years?

6.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PBCT has a large one-off loss of $412.9M impacting its June 30 2021 financial results.

Growing Profit Margin: PBCT's current net profit margins (14.9%) are lower than last year (25.9%).


Past Earnings Growth Analysis

Earnings Trend: PBCT's earnings have grown by 6.1% per year over the past 5 years.

Accelerating Growth: PBCT's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: PBCT had negative earnings growth (-37.2%) over the past year, making it difficult to compare to the Banks industry average (36%).


Return on Equity

High ROE: PBCT's Return on Equity (4.1%) is considered low.


Financial Health

How is People's United Financial'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


Financial Institutions Analysis

Asset Level: PBCT's Assets to Equity ratio (8.2x) is low.

Allowance for Bad Loans: PBCT has a sufficient allowance for bad loans (106%).

Low Risk Liabilities: 95% of PBCT's liabilities are made up of primarily low risk sources of funding.

Loan Level: PBCT has an appropriate level of Loans to Assets ratio (65%).

Low Risk Deposits: PBCT's Loans to Deposits ratio (78%) is appropriate.

Level of Bad Loans: PBCT has an appropriate level of bad loans (0.8%).


Dividend

What is People's United Financial current dividend yield, its reliability and sustainability?

4.40%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: PBCT's dividend (4.4%) is higher than the bottom 25% of dividend payers in the US market (1.35%).

High Dividend: PBCT's dividend (4.4%) is in the top 25% of dividend payers in the US market (3.63%)


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (100.8%), PBCT's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: PBCT's dividends in 3 years are forecast to be covered by earnings (56.7% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

7.2yrs

Average management tenure


CEO

Jack Barnes (66 yo)

11.42yrs

Tenure

US$5,898,110

Compensation

Mr. John P. Barnes, also known as Jack, serves as Chief Executive Officer and Director of People's United Bank, National Association and serves as its Chairman of the Board since June 2018. He served as Pr...


CEO Compensation Analysis

Compensation vs Market: Jack's total compensation ($USD5.90M) is about average for companies of similar size in the US market ($USD6.46M).

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


Leadership Team

Experienced Management: PBCT's management team is seasoned and experienced (7.2 years average tenure).


Board Members

Experienced Board: PBCT's board of directors are seasoned and experienced ( 12.1 years average tenure).


Ownership

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

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

People's United Financial, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: People's United Financial, Inc.
  • Ticker: PBCT
  • Exchange: NasdaqGS
  • Founded: 1842
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$6.728b
  • Shares outstanding: 422.37m
  • Website: https://www.peoples.com

Number of Employees


Location

  • People's United Financial, Inc.
  • 850 Main Street
  • Bridgeport
  • Connecticut
  • 6604
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/23 22:56
End of Day Share Price2021/09/23 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.