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SBNY

Signature Bank NasdaqGS:SBNY Stock Report

Last Price

US$188.99

Market Cap

US$11.8b

7D

-0.1%

1Y

-20.4%

Updated

19 May, 2022

Data

Company Financials +
SBNY fundamental analysis
Snowflake Score
Valuation4/6
Future Growth5/6
Past Performance5/6
Financial Health6/6
Dividends2/6

SBNY Stock Overview

Signature Bank provides commercial banking products and services.

Signature Bank Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Signature Bank
Historical stock prices
Current Share PriceUS$188.99
52 Week HighUS$374.76
52 Week LowUS$179.05
Beta1.78
1 Month Change-34.42%
3 Month Change-43.63%
1 Year Change-20.38%
3 Year Change61.49%
5 Year Change30.69%
Change since IPO870.67%

Recent News & Updates

May 16

Signature Bank Tumbles With Crypto Mayhem: Time To Buy

We spoke to Signature Bank Thursday to clarify our understanding of their Signet/Crypto deposit business. The company pointed out that they have deposits only, and SBNY has virtually zero credit risk from any cryptocurrency counterparties. We assume in a worst case scenario that ALL Signature Banks crypto deposits flee, and they reduce their agency portfolio by $13.5 billion and use cash to fund outflows. That would impact EPS by $3.45 next year compared to estimates of $27.27. At under 8x earnings and overall a solid balance sheet, SBNY merits adding shares.

Apr 26

Signature Bank: Impressive Fundamentals But Disappointing Dividend

The management has been able to continuously grow the bank’s book value in the last 10 years which is an impressive record. SBNY reported great first-quarter results with a 15% ROE and a 32% efficiency ratio. The only downside is its disappointing dividend yield of only 0.86% which could be much higher based on its payout ratio.

Apr 22
Signature Bank (NASDAQ:SBNY) Has Re-Affirmed Its Dividend Of US$0.56

Signature Bank (NASDAQ:SBNY) Has Re-Affirmed Its Dividend Of US$0.56

Signature Bank ( NASDAQ:SBNY ) will pay a dividend of US$0.56 on the 13th of May. Including this payment, the dividend...

Shareholder Returns

SBNYUS BanksUS Market
7D-0.1%0.06%0.1%
1Y-20.4%-18.6%-12.7%

Return vs Industry: SBNY underperformed the US Banks industry which returned -18.2% over the past year.

Return vs Market: SBNY underperformed the US Market which returned -11.5% over the past year.

Price Volatility

Is SBNY's price volatile compared to industry and market?
SBNY volatility
SBNY Average Weekly Movement9.9%
Banks Industry Average Movement4.0%
Market Average Movement8.0%
10% most volatile stocks in US Market17.0%
10% least volatile stocks in US Market3.0%

Stable Share Price: SBNY is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 10% a week.

Volatility Over Time: SBNY's weekly volatility (10%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
20001,854Joe DePaolohttps://www.signatureny.com

Signature Bank provides commercial banking products and services. It accepts various deposit products, including checking accounts, money market accounts, escrow deposit accounts, cash concentration accounts, certificates of deposit, and other cash management products. The company provides various lending products comprising commercial and industrial loans, real estate loans, and letters of credit.

Signature Bank Fundamentals Summary

How do Signature Bank's earnings and revenue compare to its market cap?
SBNY fundamental statistics
Market CapUS$11.83b
Earnings (TTM)US$1.03b
Revenue (TTM)US$2.15b

11.4x

P/E Ratio

1.4x

P/B Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
SBNY income statement (TTM)
RevenueUS$2.15b
Cost of RevenueUS$0
Gross ProfitUS$2.15b
Other ExpensesUS$1.12b
EarningsUS$1.03b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)16.52
Gross Margin100.00%
Net Profit Margin47.90%
Debt/Equity Ratio39.9%

How did SBNY perform over the long term?

See historical performance and comparison

Dividends

1.2%

Current Dividend Yield

13%

Payout Ratio

Valuation

Is Signature Bank undervalued compared to its fair value and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Below Fair Value

  • Significantly Below Fair Value

  • PE vs Industry

  • PE vs Market

  • PEG Ratio

  • PB vs Industry


>50%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: SBNY ($188.99) is trading below our estimate of fair value ($513.45)

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


Price To Earnings Ratio

PE vs Industry: SBNY is poor value based on its PE Ratio (11.4x) compared to the US Banks industry average (9.7x).

PE vs Market: SBNY is good value based on its PE Ratio (11.4x) compared to the US market (15.5x).


Price to Earnings Growth Ratio

PEG Ratio: SBNY is good value based on its PEG Ratio (0.6x)


Price to Book Ratio

PB vs Industry: SBNY is overvalued based on its PB Ratio (1.4x) compared to the US Banks industry average (1.1x).


Future Growth

How is Signature Bank forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?

Future Growth Score

5/6

Future Growth Score 5/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


20.2%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SBNY's forecast earnings growth (20.2% per year) is above the savings rate (1.9%).

Earnings vs Market: SBNY's earnings (20.2% per year) are forecast to grow faster than the US market (12.4% per year).

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

Revenue vs Market: SBNY's revenue (21.1% per year) is forecast to grow faster than the US market (7.8% per year).

High Growth Revenue: SBNY's revenue (21.1% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SBNY's Return on Equity is forecast to be low in 3 years time (18.4%).


Past Performance

How has Signature Bank performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


17.4%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: SBNY has high quality earnings.

Growing Profit Margin: SBNY's current net profit margins (47.9%) are higher than last year (41.6%).


Past Earnings Growth Analysis

Earnings Trend: SBNY's earnings have grown by 17.4% per year over the past 5 years.

Accelerating Growth: SBNY's earnings growth over the past year (69.4%) exceeds its 5-year average (17.4% per year).

Earnings vs Industry: SBNY earnings growth over the past year (69.4%) exceeded the Banks industry 20.9%.


Return on Equity

High ROE: SBNY's Return on Equity (13%) is considered low.


Financial Health

How is Signature Bank's financial position? (This company is analysed differently as a bank or financial institution)

Financial Health Score

6/6

Financial Health Score 6/6

  • Asset Level

  • Allowance for Bad Loans

  • Low Risk Liabilities

  • Loan Level

  • Low Risk Deposits

  • Level of Bad Loans

Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet


Financial Institutions Analysis

Asset Level: SBNY's Assets to Equity ratio (14.9x) is moderate.

Allowance for Bad Loans: SBNY has a sufficient allowance for bad loans (259%).

Low Risk Liabilities: 96% of SBNY's liabilities are made up of primarily low risk sources of funding.

Loan Level: SBNY has an appropriate level of Loans to Assets ratio (54%).

Low Risk Deposits: SBNY's Loans to Deposits ratio (60%) is appropriate.

Level of Bad Loans: SBNY has an appropriate level of bad loans (0.3%).


Dividend

What is Signature Bank current dividend yield, its reliability and sustainability?

Dividend Score

2/6

Dividend Score 2/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


1.19%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: SBNY's dividend (1.19%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.57%).

High Dividend: SBNY's dividend (1.19%) is low compared to the top 25% of dividend payers in the US market (4.07%).


Stability and Growth of Payments

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

Growing Dividend: SBNY has only been paying a dividend for 4 years, and since then payments have not increased.


Current Payout to Shareholders

Earnings Coverage: With its low payout ratio (13%), SBNY's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: SBNY's dividends in 3 years are forecast to be thoroughly covered by earnings (8.5% payout ratio).


Discover strong dividend paying companies

Management

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

9.2yrs

Average management tenure


CEO

Joe DePaolo (62 yo)

22.33yrs

Tenure

US$8,975,851

Compensation

Mr. Joseph John DePaolo, also known as Joe, is Co-Founder of Signature Bank and has been its the Chief Executive Officer and President since 2000. Mr. DePaolo has been a Director of Signature Bank since 20...


CEO Compensation Analysis

Compensation vs Market: Joe's total compensation ($USD8.98M) is below average for companies of similar size in the US market ($USD13.26M).

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


Leadership Team

Experienced Management: SBNY's management team is seasoned and experienced (9.2 years average tenure).


Board Members

Experienced Board: SBNY's board of directors are considered experienced (6.5 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.


Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 9.3%.


Top Shareholders

Company Information

Signature Bank's employee growth, exchange listings and data sources


Key Information

  • Name: Signature Bank
  • Ticker: SBNY
  • Exchange: NasdaqGS
  • Founded: 2000
  • Industry: Regional Banks
  • Sector: Banks
  • Implied Market Cap: US$11.831b
  • Shares outstanding: 62.30m
  • Website: https://www.signatureny.com

Number of Employees


Location

  • Signature Bank
  • 565 Fifth Avenue
  • New York
  • New York
  • 10017
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/05/19 00:00
End of Day Share Price2022/05/19 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


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.