Preferred Bank Management
Management criteria checks 4/4
Preferred Bank's CEO is Li Yu, appointed in Jan 1993, has a tenure of 33.5 years. total yearly compensation is $4.47M, comprised of 22.6% salary and 77.4% bonuses, including company stock and options. directly owns 5.69% of the company’s shares, worth $72.21M. The average tenure of the management team and the board of directors is 14.9 years and 22.5 years respectively.
Key information
Li Yu
Chief executive officer
US$4.5m
Total compensation
| CEO salary percentage | 22.61% |
| CEO tenure | 33.5yrs |
| CEO ownership | 5.7% |
| Management average tenure | 14.9yrs |
| Board average tenure | 22.5yrs |
Recent management updates
Recent updates
PFBC: Future Returns Will Reflect Fine Tuned Expectations And Balanced Execution Risks
Analysts have trimmed their price targets on Preferred Bank by $6 to $12 to around $100 as they recalibrate expectations for revenue growth, profit margins, and future P/E assumptions, while keeping the modeled fair value steady at $100.50. Analyst Commentary Recent research updates on Preferred Bank have centered on resetting price targets and ratings to reflect revised expectations for growth, profitability, and appropriate P/E levels, while the modeled fair value has stayed close to US$100.It's A Bit Premature To Downgrade Preferred Bank
Summary Preferred Bank receives a reaffirmed soft "Buy" rating, though recent net interest margin declines temper enthusiasm. PFBC’s net interest margin fell to 3.74%, with loan yields dropping as adjustable-rate loans reprice lower amid declining rates. Asset quality remains robust, with return on assets at 1.82% and return on equity at 17.59%, both above peer averages. Valuation is attractive on P/E (8.2x), but elevated uninsured and brokered deposits and rising non-performing loans warrant close monitoring. Read the full article on Seeking AlphaPFBC: Future Returns Will Reflect Recalibrated Expectations And Moderated Execution Confidence
Narrative Update on Preferred Bank The analyst price target for Preferred Bank has been trimmed from $107 to about $100.50, as analysts align their views with recent target cuts from firms such as Piper Sandler and Brean Capital while factoring in updated assumptions on fair value, discount rate, growth, profitability, and future P/E. Analyst Commentary Recent Street research on Preferred Bank reflects a more measured stance, with multiple firms revisiting both ratings and price targets.Preferred Bank's (NASDAQ:PFBC) Shareholders Will Receive A Bigger Dividend Than Last Year
Preferred Bank ( NASDAQ:PFBC ) will increase its dividend on the 20th of January to $0.80, which is 6.7% higher than...Preferred Bank: Limited Impact From LA Wildfires Expected
Summary Preferred Bank is a U.S. regional bank specialized in mortgage lending. Q4 2024 results were negatively impacted by a one-off rental expense. The outlook for Q1 2025 shows that quarterly EPS should recover half of the rental-expense-induced decline, even as costs remain elevated. Looking further ahead, the bank's 95% reliance on net interest income indicates some remaining drag from Fed policy normalization on the net interest margin. This is more than priced into the share price, with the stock trading at only 9.5x its 2024 earnings. Credit costs are currently very low, with the key risk to consider being whether Preferred Bank can maintain its exceptional performance in terms of efficiency and underwriting standards. Read the full article on Seeking Alpha
Interest Rate Strategy Buoyed By Fixed-Rate Shift, Yet Profit Margins Face Headwinds
Anticipated interest rate relief and strategic shift from floating to fixed-rate loans suggest improved net interest income and earnings stability.Preferred Bank: Interesting Dividend But Under Certain Conditions
Summary Preferred Bank is a small bank with strong performance and a fast-growing dividend, making it attractive to investors. The bank's profitability is above average, with a high loan yield and positive asset results. The CEO believes that the U.S. economy is resilient and that the worst is behind us, but the bank needs to improve its balance sheet structure to prepare for potential rate reductions. Read the full article on Seeking AlphaUS$87.75 - That's What Analysts Think Preferred Bank (NASDAQ:PFBC) Is Worth After These Results
Preferred Bank ( NASDAQ:PFBC ) just released its latest first-quarter results and things are looking bullish. The...Preferred Bank Still Remains A Solid Prospect
Summary Preferred Bank's shares have underperformed the broader market, but revenue and profits have remained positive. The bank's 2023 fiscal year showed positive growth in net interest income and net income, despite some weakness in non-interest income. Deposits and loan values have increased, while securities have decreased. The bank is trading at a low price-to-earnings multiple, but is expensive relative to book value. Read the full article on Seeking AlphaIf EPS Growth Is Important To You, Preferred Bank (NASDAQ:PFBC) Presents An Opportunity
Investors are often guided by the idea of discovering 'the next big thing', even if that means buying 'story stocks...Do Preferred Bank's (NASDAQ:PFBC) Earnings Warrant Your Attention?
Investors are often guided by the idea of discovering 'the next big thing', even if that means buying 'story stocks...Preferred Bank (NASDAQ:PFBC) Has Announced That It Will Be Increasing Its Dividend To $0.55
Preferred Bank's ( NASDAQ:PFBC ) dividend will be increasing from last year's payment of the same period to $0.55 on...Do Preferred Bank's (NASDAQ:PFBC) Earnings Warrant Your Attention?
For beginners, it can seem like a good idea (and an exciting prospect) to buy a company that tells a good story to...Preferred Bank (NASDAQ:PFBC) Will Pay A Larger Dividend Than Last Year At $0.55
Preferred Bank ( NASDAQ:PFBC ) has announced that it will be increasing its periodic dividend on the 20th of January to...CEO Compensation Analysis
| Date | Total Compensation | Salary | Company Earnings |
|---|---|---|---|
| Mar 31 2026 | n/a | n/a | US$135m |
| Dec 31 2025 | US$4m | US$1m | US$134m |
| Sep 30 2025 | n/a | n/a | US$129m |
| Jun 30 2025 | n/a | n/a | US$126m |
| Mar 31 2025 | n/a | n/a | US$127m |
| Dec 31 2024 | US$4m | US$1m | US$131m |
| Sep 30 2024 | n/a | n/a | US$136m |
| Jun 30 2024 | n/a | n/a | US$141m |
| Mar 31 2024 | n/a | n/a | US$145m |
| Dec 31 2023 | US$5m | US$1m | US$150m |
| Sep 30 2023 | n/a | n/a | US$154m |
| Jun 30 2023 | n/a | n/a | US$151m |
| Mar 31 2023 | n/a | n/a | US$141m |
| Dec 31 2022 | US$5m | US$958k | US$129m |
| Sep 30 2022 | n/a | n/a | US$116m |
| Jun 30 2022 | n/a | n/a | US$107m |
| Mar 31 2022 | n/a | n/a | US$100m |
| Dec 31 2021 | US$5m | US$950k | US$95m |
| Sep 30 2021 | n/a | n/a | US$90m |
| Jun 30 2021 | n/a | n/a | US$81m |
| Mar 31 2021 | n/a | n/a | US$74m |
| Dec 31 2020 | US$4m | US$950k | US$69m |
| Sep 30 2020 | n/a | n/a | US$68m |
| Jun 30 2020 | n/a | n/a | US$71m |
| Mar 31 2020 | n/a | n/a | US$75m |
| Dec 31 2019 | US$5m | US$950k | US$78m |
Compensation vs Market: Li's total compensation ($USD4.47M) is about average for companies of similar size in the US market ($USD5.14M).
Compensation vs Earnings: Li's compensation has been consistent with company performance over the past year.
CEO
Li Yu (85 yo)
Mr. Li Yu founded Preferred Bank and has been its Chairman since December 1991 and has been its Chief Executive Officer since 1993 and served as its President from 1993 to August 22, 2012. He serves as Cor...
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | 33.5yrs | US$4.47m | 5.69% $ 72.2m | |
| President & COO | 14.9yrs | US$1.88m | 0.20% $ 2.5m | |
| Executive VP & CFO | 20.2yrs | US$1.24m | 0.30% $ 3.8m | |
| Executive VP & Chief Risk Officer | 1.2yrs | US$1.15m | 0.021% $ 267.9k | |
| Executive VP & Deputy COO | 8.5yrs | US$1.04m | 0.057% $ 724.7k | |
| Senior Vice President | no data | US$172.26k | no data | |
| Executive Vice President of Commercial Lending | no data | US$476.86k | no data | |
| Executive VP & Regional Manager | no data | US$169.42k | no data | |
| Executive Vice President | no data | no data | no data | |
| Executive Vice President | no data | no data | no data | |
| Executive Vice President | no data | no data | no data | |
| Executive Vice President | no data | no data | no data |
Experienced Management: PFBC's management team is seasoned and experienced (14.9 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | 34.6yrs | US$4.47m | 5.69% $ 72.2m | |
| Independent Director | 23.5yrs | US$208.39k | 0.18% $ 2.2m | |
| Independent Director | 13.1yrs | US$182.39k | 0.13% $ 1.7m | |
| Independent Director | 35.5yrs | US$202.89k | 0.26% $ 3.3m | |
| Independent Director | 13.7yrs | US$170.89k | 0.011% $ 139.3k | |
| Independent Director | 31.5yrs | US$197.39k | 0.51% $ 6.5m | |
| Independent Vice Chairman of the Board | 21.5yrs | US$197.89k | 0.81% $ 10.3m | |
| Independent Director | 7.3yrs | US$193.89k | 0.083% $ 1.1m |
Experienced Board: PFBC's board of directors are seasoned and experienced ( 22.5 years average tenure).
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2026/07/06 05:41 |
| End of Day Share Price | 2026/07/02 00:00 |
| Earnings | 2026/03/31 |
| Annual Earnings | 2025/12/31 |
Data Sources
The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.
| Package | Data | Timeframe | Example US Source * |
|---|---|---|---|
| Company Financials | 10 years |
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| Analyst Consensus Estimates | +3 years |
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| Market Prices | 30 years |
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| Ownership | 10 years |
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| Management | 10 years |
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| Key Developments | 10 years |
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* Example for US securities, for non-US equivalent regulatory forms and sources are used.
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.
Analysis Model and Snowflake
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Industry and Sector Metrics
Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.
Analyst Sources
Preferred Bank is covered by 11 analysts. 5 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.
| Analyst | Institution |
|---|---|
| Stephen Moss | B. Riley Securities, Inc. |
| Gary Tenner | D.A. Davidson & Co. |
| null null | D.A. Davidson & Co. |