NasdaqGS:PPBI

Stock Analysis Report

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Pacific Premier Bancorp

Executive Summary

Pacific Premier Bancorp, Inc. operates as the bank holding company for Pacific Premier Bank that provides banking services to businesses, professionals, real estate investors, and non-profit organizations.


Snowflake Analysis

Flawless balance sheet and undervalued.


Similar Companies

Share Price & News

How has Pacific Premier Bancorp's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: PPBI's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

11.2%

PPBI

8.2%

US Banks

3.0%

US Market


1 Year Return

-23.9%

PPBI

-20.1%

US Banks

9.9%

US Market

Return vs Industry: PPBI underperformed the US Banks industry which returned -20.1% over the past year.

Return vs Market: PPBI underperformed the US Market which returned 9.9% over the past year.


Shareholder returns

PPBIIndustryMarket
7 Day11.2%8.2%3.0%
30 Day8.4%3.2%8.2%
90 Day-17.5%-20.6%0.4%
1 Year-21.2%-23.9%-17.4%-20.1%12.4%9.9%
3 Year-35.0%-38.1%-8.5%-15.6%31.0%22.3%
5 Year38.6%31.9%12.0%-1.4%58.1%40.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

0.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: PPBI ($21.62) is trading below our estimate of fair value ($21.67)

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


Price To Earnings Ratio

PE vs Industry: PPBI is good value based on its PE Ratio (8.9x) compared to the Banks industry average (9.6x).

PE vs Market: PPBI is good value based on its PE Ratio (8.9x) compared to the US market (15.7x).


Price to Earnings Growth Ratio

PEG Ratio: PPBI is good value based on its PEG Ratio (0.2x)


Price to Book Ratio

PB vs Industry: PPBI is good value based on its PB Ratio (0.6x) compared to the US Banks industry average (0.8x).


Next Steps

Future Growth

How is Pacific Premier Bancorp forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

58.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PPBI's forecast earnings growth (58% per year) is above the savings rate (2.2%).

Earnings vs Market: PPBI's earnings (58% per year) are forecast to grow faster than the US market (22% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: PPBI's revenue (21.5% per year) is forecast to grow faster than the US market (8.8% per year).

High Growth Revenue: PPBI's revenue (21.5% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

How has Pacific Premier Bancorp performed over the past 5 years?

42.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PPBI has high quality earnings.

Growing Profit Margin: PPBI's current net profit margins (31.7%) are higher than last year (30%).


Past Earnings Growth Analysis

Earnings Trend: PPBI's earnings have grown significantly by 42.1% per year over the past 5 years.

Accelerating Growth: PPBI's earnings growth over the past year (8.5%) is below its 5-year average (42.1% per year).

Earnings vs Industry: PPBI earnings growth over the past year (8.5%) exceeded the Banks industry 2.9%.


Return on Equity

High ROE: PPBI's Return on Equity (7.3%) is considered low.


Next Steps

Financial Health

How is Pacific Premier 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


Financial Institutions Analysis

Asset Level: PPBI's Assets to Equity ratio (6x) is low.

Allowance for Bad Loans: PPBI has a sufficient allowance for bad loans (560%).

Low Risk Liabilities: 91% of PPBI's liabilities are made up of primarily low risk sources of funding.

Loan Level: PPBI has an appropriate level of Loans to Assets ratio (72%).

Low Risk Deposits: PPBI's Loans to Deposits ratio (95%) is appropriate.

Level of Bad Loans: PPBI has an appropriate level of bad loans (0.2%).


Next Steps

Dividend

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

4.63%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: PPBI's dividend (4.63%) is higher than the bottom 25% of dividend payers in the US market (1.69%).

High Dividend: PPBI's dividend (4.63%) is in the top 25% of dividend payers in the US market (4.54%)


Stability and Growth of Payments

Stable Dividend: Too early to tell whether PPBI's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if PPBI's dividend payments are increasing as they only just started paying a dividend.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (38.6%), PPBI'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

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

7.3yrs

Average management tenure


CEO

Steve Gardner (58yo)

19.83yrs

Tenure

US$5,279,253

Compensation

Mr. Steven R. Gardner, also known as Steve, serves as Chairman, President and Chief Executive Officer of Pacific Premier Bancorp, Inc. (NASDAQ: PPBI) and Chairman and Chief Executive Officer of its primary ...


CEO Compensation Analysis

Compensation vs Market: Steve's total compensation ($USD5.28M) is about average for companies of similar size in the US market ($USD4.76M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Steven Gardner
Chairman19.83yrsUS$5.28m0.64% $8.3m
Ronald Nicolas
Senior EVP & CFO4.08yrsUS$1.83m0.12% $1.5m
Lori Wright
Executive VP & Chief Accounting Officer1.75yrsno data0.029% $378.3k
Mark Whalen
Chief Lending Officer & Senior VP7.25yrsno datano data
John Mangold
First Vice President and Treasurer4.75yrsno datano data
Steven Arnold
Corporate Secretaryno datano data0.028% $366.8k
Jorge Díaz-Irizarry
Vice President of Seal Beach Branch and Branch Manager of Seal Beach Branch16.25yrsno datano data
Katherine Hage
Vice President and Branch Manager of San Bernardino Banking Branch16.08yrsno datano data
Diana Treadway
Vice President of Newport Beach Branch and Branch Manager of Newport Beach Branch13.25yrsno datano data
Dori Kagan
Vice President and Relationship Manager7.25yrsno datano data

7.3yrs

Average Tenure

53yo

Average Age

Experienced Management: PPBI's management team is seasoned and experienced (7.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Steven Gardner
Chairman19.83yrsUS$5.28m0.64% $8.3m
Barbara Polsky
Independent Director1.08yrsUS$21.86k0.0058% $75.7k
Cora Tellez
Independent Director4.67yrsUS$106.40k0.037% $474.6k
Jaynie Studenmund
Independent Director1.08yrsUS$21.95k0.0058% $75.7k
M. Mitchell
Independent Director1.92yrsUS$122.21k0.036% $466.0k
Joseph Garrett
Independent Director8.25yrsUS$112.14k0.13% $1.7m
Jeffrey Jones
Lead Independent Director4.08yrsUS$135.75k0.22% $2.8m
Zareh Sarrafian
Independent Director4.42yrsUS$151.37k0.047% $614.4k
Ayad Fargo
Independent Director4.42yrsUS$129.10k0.51% $6.5m
John Carona
Director7.25yrsUS$119.00k0.063% $814.6k

4.3yrs

Average Tenure

63.5yo

Average Age

Experienced Board: PPBI's board of directors are considered experienced (4.3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: PPBI 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

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


Key Information

  • Name: Pacific Premier Bancorp, Inc.
  • Ticker: PPBI
  • Exchange: NasdaqGS
  • Founded: 1983
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$1.296b
  • Shares outstanding: 59.97m
  • Website: https://www.ppbi.com

Number of Employees


Location

  • Pacific Premier Bancorp, Inc.
  • 17901 Von Karman Avenue
  • Suite 1200
  • Irvine
  • California
  • 92614
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PPBINasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDJun 1997

Biography

Pacific Premier Bancorp, Inc. operates as the bank holding company for Pacific Premier Bank that provides banking services to businesses, professionals, real estate investors, and non-profit organizations. The company accepts deposit products, such as checking, money market, and savings accounts; and certificates of deposit. Its loan products include commercial business loans, lines of credit, small business administration loans, commercial real estate loans, agribusiness loans, home equity lines of credit, construction loans, farmland, and consumer loans, as well as multi-family residential, one-to-four family real estate, commercial and industrial, and franchise lending; and credit facilities to Homeowners’ Associations (HOA) and HOA management companies. The company also offers cash management, electronic banking, and online bill payment services. It operates 44 full-service depository branches in the counties of Orange, Los Angeles, Riverside, San Bernardino, San Diego, San Luis Obispo, and Santa Barbara, California; Pima and Maricopa Counties, Arizona; Clark County, Nevada; and Clark County, Washington. Pacific Premier Bancorp, Inc. was founded in 1983 and is headquartered in Irvine, California. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/06/01 03:45
End of Day Share Price2020/05/29 00:00
Earnings2020/03/31
Annual Earnings2019/12/31


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.