NasdaqGS:PNFP

Stock Analysis Report

Pinnacle Financial Partners

Executive Summary

Pinnacle Financial Partners, Inc. operates as a bank holding company for Pinnacle Bank that provides various banking products and services in the United States.

Snowflake

Fundamentals

Flawless balance sheet and good value.


Similar Companies

Share Price & News

How has Pinnacle Financial Partners's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

3.2%

PNFP

2.7%

US Banks

0.5%

US Market


1 Year Return

7.4%

PNFP

2.9%

US Banks

6.8%

US Market

Return vs Industry: PNFP exceeded the US Banks industry which returned 2.9% over the past year.

Return vs Market: PNFP matched the US Market which returned 6.8% over the past year.


Shareholder returns

PNFPIndustryMarket
7 Day3.2%2.7%0.5%
30 Day4.3%1.1%-0.8%
90 Day-0.9%2.7%-0.9%
1 Year8.7%7.4%5.8%2.9%9.2%6.8%
3 Year16.5%13.1%52.0%41.5%45.6%36.2%
5 Year68.4%60.2%69.2%50.7%63.2%45.4%

Price Volatility Vs. Market

How volatile is Pinnacle Financial Partners's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Pinnacle Financial Partners undervalued compared to its fair value and its price relative to the market?

35.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: PNFP ($58.04) is trading below our estimate of fair value ($90.42)

Significantly Below Fair Value: PNFP is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: PNFP is good value based on its PE Ratio (11.1x) compared to the Banks industry average (12.5x).

PE vs Market: PNFP is good value based on its PE Ratio (11.1x) compared to the US market (17.7x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: PNFP is good value based on its PB Ratio (1x) compared to the US Banks industry average (1.2x).


Next Steps

Future Growth

How is Pinnacle Financial Partners forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?

4.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PNFP's forecast earnings growth (4.7% per year) is above the savings rate (2.7%).

Earnings vs Market: PNFP's earnings (4.7% per year) are forecast to grow slower than the US market (14.6% per year).

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

Revenue vs Market: PNFP's revenue (7.3% per year) is forecast to grow faster than the US market (7.2% per year).

High Growth Revenue: PNFP's revenue (7.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: PNFP's Return on Equity is forecast to be low in 3 years time (10.2%).


Next Steps

Past Performance

How has Pinnacle Financial Partners performed over the past 5 years?

37.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: PNFP's earnings have grown significantly by 37.6% per year over the past 5 years.

Accelerating Growth: PNFP's earnings growth over the past year (37.5%) is below its 5-year average (37.6% per year).

Earnings vs Industry: PNFP earnings growth over the past year (37.5%) exceeded the Banks industry 29.7%.


Return on Equity

High ROE: PNFP's Return on Equity (9.3%) is considered low.


Return on Assets

ROA vs Industry: PNFP has a higher Return on Assets than the Banks industry average last year.


Return on Capital Employed

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


Next Steps

Financial Health

How is Pinnacle Financial Partners'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: PNFP has a low level of unsold assets or inventory.

Debt Coverage by Assets: PNFP's debt is not covered by short term assets (assets are 0.4x debt).


Financial Institutions Analysis

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

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

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

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

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

Level of Bad Loans: PNFP has an appropriate level of bad loans (0.38%)


Next Steps

Dividend

What is Pinnacle Financial Partners's current dividend yield, its reliability and sustainability?

1.10%

Current Dividend Yield


Upcoming Dividend Payment

Purchase Pinnacle Financial Partners before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield vs Market

company1.1%marketbottom25%1.4%markettop25%3.7%industryaverage3.0%forecastin3Years1.2%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: PNFP's dividend (1.1%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.45%).

High Dividend: PNFP's dividend (1.1%) is low compared to the top 25% of dividend payers in the US market (3.73%).

Stable Dividend: Whilst dividend payments have been stable, PNFP has been paying a dividend for less than 10 years.

Growing Dividend: PNFP's dividend payments have increased, but the company has only paid a dividend for 6 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (12.3%), PNFP's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: PNFP's dividends in 3 years are forecast to be thoroughly covered by earnings (12.7% payout ratio).


Next Steps

Management

What is the CEO of Pinnacle Financial Partners's salary, the management and board of directors tenure and is there insider trading?

19.5yrs

Average management tenure


CEO

Michael Turner (64yo)

19.7yrs

Tenure

US$4,376,775

Compensation

Mr. Michael Terry Turner has been the Chief Executive Officer and President of Pinnacle Financial Partners, Inc. and Pinnacle Bank (Nashville TN) since 2000. Mr. Turner worked for Arthur Andersen & Company ...


CEO Compensation Analysis

Compensation vs. Market: Michael's total compensation ($USD4.38M) is about average for companies of similar size in the US market ($USD5.11M).

Compensation vs Earnings: Michael's compensation has increased by more than 20% in the past year.


Management Age and Tenure

19.5yrs

Average Tenure

61.5yo

Average Age

Experienced Management: PNFP's management team is seasoned and experienced (19.5 years average tenure).


Board Age and Tenure

5.2yrs

Average Tenure

66yo

Average Age

Experienced Board: PNFP's board of directors are considered experienced (5.2 years average tenure).


Insider Trading

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


Recent Insider Transactions

SellUS$174,03816 Sep 19
Harold Carpenter
EntityIndividual
Role
Chief Financial Officer
Executive VP & CFO
Shares3,006
Max PriceUS$57.90
SellUS$416,25313 Sep 19
Hugh Queener
EntityIndividual
Role
Chief Administrative Officer
Executive VP & Chief Administrative Officer
Shares7,295
Max PriceUS$57.06
SellUS$993,25013 Sep 19
Michael Turner
EntityIndividual
Role
Chief Executive Officer
President
Shares17,304
Max PriceUS$57.40
SellUS$1,693,62913 Sep 19
Michael Turner
EntityIndividual
Role
Chief Executive Officer
President
Shares29,870
Max PriceUS$56.70
SellUS$338,49612 Sep 19
Thomas Sloan
EntityIndividual
Shares6,000
Max PriceUS$56.42
BuyUS$1,305,02707 Aug 19
David Ingram
EntityIndividual
Shares24,100
Max PriceUS$54.71
SellUS$112,09011 Jun 19
Charles Brock
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares2,000
Max PriceUS$56.05
SellUS$1,021,49601 May 19
Richard Callicutt
EntityIndividual
Role
Member of the Board of Directors
Chairman for the Carolinas & Virginia and Director
Shares17,500
Max PriceUS$59.01
SellUS$878,41215 Mar 19
Richard Callicutt
EntityIndividual
Role
Member of the Board of Directors
Chairman for the Carolinas & Virginia and Director
Shares15,000
Max PriceUS$58.56
SellUS$200,36014 Mar 19
Gregory Burns
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares3,454
Max PriceUS$58.01
SellUS$581,83114 Mar 19
Harold Carpenter
EntityIndividual
Role
Chief Financial Officer
Executive VP & CFO
Shares10,075
Max PriceUS$57.75
SellUS$125,00307 Mar 19
Robert McCabe
EntityIndividual
Role
Chairman of the Board
Co-Founder & Chairman
Shares2,184
Max PriceUS$57.24
SellUS$599,95705 Mar 19
Robert McCabe
EntityIndividual
Role
Chairman of the Board
Co-Founder & Chairman
Shares10,275
Max PriceUS$58.39

Ownership Breakdown


Management Team

  • Rob McCabe (68yo)

    Co-Founder & Chairman

    • Tenure: 19.7yrs
    • Compensation: US$4.15m
  • Michael Turner (64yo)

    President

    • Tenure: 19.7yrs
    • Compensation: US$4.38m
  • Hugh Queener (63yo)

    Executive VP & Chief Administrative Officer

    • Tenure: 19.8yrs
    • Compensation: US$1.43m
  • Harold Carpenter (59yo)

    Executive VP & CFO

    • Tenure: 19.7yrs
    • Compensation: US$1.40m
  • Rick Callicutt (60yo)

    Chairman for the Carolinas & Virginia and Director

    • Tenure: 2.3yrs
    • Compensation: US$1.54m
  • Mary Schneider

    Chief Compliance Officer

    • Tenure: 0.8yrs
  • Randy Withrow

    Chief Information Officer

    • Tenure: 19.3yrs
  • Patti Harris

    Senior VP & Human Resources Manager

    • Tenure: 0yrs
  • Mac Johnston

    Chief Investment Officer

    • Tenure: 0yrs
  • Dana Sanders (39yo)

    Principal Accounting Officer

    • Tenure: 0.5yrs

Board Members

  • Greg Burns (64yo)

    Independent Director

    • Tenure: 18.3yrs
    • Compensation: US$164.19k
  • Rob McCabe (68yo)

    Co-Founder & Chairman

    • Tenure: 19.7yrs
    • Compensation: US$4.15m
  • Michael Turner (64yo)

    President

    • Tenure: 19.7yrs
    • Compensation: US$4.38m
  • Reese Smith (70yo)

    Independent Director

    • Tenure: 6.1yrs
    • Compensation: US$153.19k
  • Marty Dickens (72yo)

    Lead Independent Director

    • Tenure: 2.6yrs
    • Compensation: US$151.69k
  • Rick Callicutt (60yo)

    Chairman for the Carolinas & Virginia and Director

    • Tenure: 2.3yrs
    • Compensation: US$1.54m
  • Gary Scott (72yo)

    Independent Director

    • Tenure: 11.9yrs
    • Compensation: US$153.19k
  • Ron Samuels (72yo)

    Vice Chairman

    • Tenure: 3.3yrs
  • Charlie Brock (55yo)

    Independent Director

    • Tenure: 4.1yrs
    • Compensation: US$149.38k
  • Renda Burkhart (64yo)

    Independent Director

    • Tenure: 4.3yrs
    • Compensation: US$147.94k

Company Information

Pinnacle Financial Partners, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Pinnacle Financial Partners, Inc.
  • Ticker: PNFP
  • Exchange: NasdaqGS
  • Founded: 2000
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$4.474b
  • Shares outstanding: 77.08m
  • Website: https://www.pnfp.com

Number of Employees


Location

  • Pinnacle Financial Partners, Inc.
  • 150 Third Avenue South
  • Suite 900
  • Nashville
  • Tennessee
  • 37201
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PNFPNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDAug 2000
PFZDB (Deutsche Boerse AG)YesCommon StockDEEURAug 2000

Biography

Pinnacle Financial Partners, Inc. operates as a bank holding company for Pinnacle Bank that provides various banking products and services in the United States. The company accepts various deposits, includ ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/20 23:39
End of Day Share Price2019/10/18 00:00
Earnings2019/09/30
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.