NasdaqGS:PROV

Stock Analysis Report

Provident Financial Holdings

Executive Summary

Provident Financial Holdings, Inc. operates as the holding company for Provident Savings Bank, F.S.B.

Snowflake

Fundamentals

Flawless balance sheet with moderate growth potential.

Risks

  • Provident Financial Holdings is covered by less than 3 analysts.

Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

0.05%

NasdaqGS:PROV

-1.1%

US Mortgage

-0.3%

US Market


1 Year Return

16.5%

NasdaqGS:PROV

0.6%

US Mortgage

3.4%

US Market

PROV outperformed the Mortgage industry which returned 2.2% over the past year.

PROV outperformed the Market in United States of America which returned 4.1% over the past year.


Share holder returns

PROVIndustryMarket
7 Day0.05%-1.1%-0.3%
30 Day5.4%0.8%2.9%
90 Day8.0%0.9%2.1%
1 Year20.0%16.5%2.8%0.6%5.7%3.4%
3 Year24.2%13.8%42.1%32.3%45.8%36.2%
5 Year71.3%48.3%59.1%42.9%58.9%41.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Provident Financial Holdings undervalued based on future cash flows and its price relative to the stock market?

31.96x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Provident Financial Holdings's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Provident Financial Holdings's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Provident Financial Holdings is overvalued based on earnings compared to the US Mortgage industry average.

Provident Financial Holdings is overvalued based on earnings compared to the United States of America market.


Price Based on Expected Growth

Provident Financial Holdings is good value based on expected growth next year.


Price Based on Value of Assets

Provident Financial Holdings is overvalued based on assets compared to the US Mortgage industry average.


Next Steps

Future Growth

How is Provident Financial Holdings expected to perform in the next 1 to 3 years based on estimates from 1 analyst?

82.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Provident Financial Holdings's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.

Provident Financial Holdings's earnings are expected to grow significantly at over 20% yearly.

Provident Financial Holdings's revenues are expected to decrease over the next 1-3 years, this is below the United States of America market average.

Provident Financial Holdings's earnings growth is expected to exceed the United States of America market average.

Provident Financial Holdings's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if Provident Financial Holdings will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has Provident Financial Holdings performed over the past 5 years?

-19.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Provident Financial Holdings's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.

Provident Financial Holdings's 1-year earnings growth exceeds its 5-year average (196.8% vs -19.5%)

Provident Financial Holdings's earnings growth has exceeded the US Mortgage industry average in the past year (196.8% vs 39%).


Return on Equity

Provident Financial Holdings has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Provident Financial Holdings used its assets less efficiently than the US Mortgage industry average last year based on Return on Assets.


Return on Capital Employed

Unable to establish if Provident Financial Holdings improved its use of capital last year versus 3 years ago (Return on Capital Employed) due to insufficient past data.


Next Steps

Financial Health

How is Provident Financial Holdings'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

Provident Financial Holdings has an acceptable proportion of non-loan assets held.

Provident Financial Holdings has a sufficient allowance for bad loans.

Provident Financial Holdings's liabilities are made up of primarily low risk sources of funding.

Provident Financial Holdings's level of assets compared to its equity is low (i.e. an appropriate level of borrowing to fund lending).

Loans at Provident Financial Holdings are broadly funded by customer deposits.

Provident Financial Holdings has an acceptable level of bad loans (less than 2%).


Next Steps

Dividend

What is Provident Financial Holdings's current dividend yield, its reliability and sustainability?

2.60%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Provident Financial Holdings's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.43%).

Provident Financial Holdings's dividend is below the markets top 25% of dividend payers in United States of America (3.72%).

Dividends per share have been volatile in the past 10 years (annual drop of over 20%).

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are covered by earnings (1.2x coverage).


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

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

22.5yrs

Average board tenure


CEO

Craig Blunden (71yo)

23.5yrs

Tenure

US$522,465

Compensation

Mr. Craig G. Blunden has been Chief Executive Officer of Provident Savings Bank since 1991. Mr. Blunden has been the Chairman and Chief Executive Officer of Provident Financial Holdings, Inc. since its for ...


CEO Compensation Analysis

Craig's remuneration is lower than average for companies of similar size in United States of America.

Craig's compensation has been consistent with company performance over the past year, both up more than 20%.


Board Age and Tenure

22.5yrs

Average Tenure

70yo

Average Age

The average tenure for the Provident Financial Holdings board of directors is over 10 years, this suggests they are a seasoned and experienced board.


Insider Trading

No 3 month individual insider trading information.


Recent Insider Transactions

SellUS$100,25011 Mar 19
Donavon Ternes
EntityIndividual
Role
President
Shares5,000
Max PriceUS$20.05
SellUS$34,78015 Nov 18
David Weiant
EntityIndividual
Shares2,000
Max PriceUS$17.39

Ownership Breakdown


Management Team

  • Craig Blunden (71yo)

    Chairman & CEO

    • Tenure: 23.5yrs
    • Compensation: $522.47k
  • Donavon Ternes (59yo)

    President

    • Tenure: 8.1yrs
    • Compensation: $527.40k

Board Members

  • Craig Blunden (71yo)

    Chairman & CEO

    • Tenure: 23.5yrs
    • Compensation: $522.47k
  • William Thomas (70yo)

    Director

    • Tenure: 22.5yrs
    • Compensation: $34.60k
  • Bruce Bennett (70yo)

    Director

    • Tenure: 23.5yrs
    • Compensation: $35.38k
  • Debbi Guthrie (68yo)

    Director

    • Tenure: 23.5yrs
    • Compensation: $42.98k
  • Roy Taylor (68yo)

    Lead Independent Director

    • Tenure: 3.8yrs
    • Compensation: $42.73k
  • Joseph Barr (73yo)

    Director

    • Tenure: 18.5yrs
    • Compensation: $42.49k
  • Judy Carpenter (62yo)

    Director

    • Tenure: 6.7yrs
    • Compensation: $34.20k

Company Information

Provident Financial Holdings, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Provident Financial Holdings, Inc.
  • Ticker: PROV
  • Exchange: NasdaqGS
  • Founded: 1956
  • Industry: thrifts and mortgage finance
  • Sector: banks
  • Market Cap: US$161.268m
  • Shares outstanding: 7.50m
  • Website: Click here

Number of Employees


Location

  • Provident Financial Holdings, Inc.
  • 3756 Central Avenue
  • Riverside
  • California
  • 92506
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PROVNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDJun 1996

Biography

Provident Financial Holdings, Inc. operates as the holding company for Provident Savings Bank, F.S.B. that provides community services to consumers and small to mid-sized businesses in the Inland Empire re ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/07/17 23:44
End of Day Share Price2019/07/17 00:00
Earnings2019/03/31
Annual Earnings2018/06/30


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.