SVB Financial Group
SVB Financial Group, a diversified financial services company, provides various banking and financial products and services. The last earnings update was 11 days ago. More info.
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SIVB Share Price and Events
7 Day Returns
1 Year Returns
SIVB Shareholder Return
| 7 Day | 30 Day | 90 Day | 1 Year | 3 Year | 5 Year | |
|---|---|---|---|---|---|---|
| SVB Financial Group (SIVB) | -1% | -5.5% | -7.7% | -28.7% | 124% | 115% |
| US Banks | -3.2% | -3.4% | -2.3% | -10.8% | 41.5% | 46.8% |
| US Market | -0.7% | -2% | 2.4% | 3% | 39.2% | 42% |
1 Year Return vs Industry and Market
- SIVB underperformed the Banks industry which returned -10.8% over the past year.
- SIVB underperformed the Market in United States of America which returned 3% over the past year.
Value
Value is all about what a company is worth versus what price it is
available for. If you went into a grocery store and all the bananas were on sale
at half price, they could be considered
undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current
share
price of
SVB Financial Group
to its discounted cash flow analysis.value.The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Below are the data sources, inputs and calculation used to determine the intrinsic value for SVB Financial Group.
| Data Point | Source | Value |
|---|---|---|
| Valuation Model | Excess Returns Model | |
| Stable EPS |
Weighted future Return on Equity estimates from 19 analysts.
= Stable Book Value * Return on Equity = $127.72 * 18.6% |
$23.79 |
| Book Value of Equity per Share | Weighted future Book Value estimates from 17 analysts. | $127.72 |
| Discount Rate (Cost of Equity) | See below | 7.5% |
| Perpetual Growth Rate | 10-Year US Government Bond Rate | 2.7% |
An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.
| Data Point | Calculation/ Source | Result |
|---|---|---|
| Risk-Free Rate | 10-Year US Govt Bond Rate | 2.7% |
| Equity Risk Premium | S&P Global | 6% |
| Banks Unlevered Beta | Simply Wall St/ S&P Global | 0.62 |
| Re-levered Beta | = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.62 (1 + (1- 21%) (8.38%)) |
0.773 |
| Levered Beta | Levered Beta limited to 0.8 to 2.0 (practical range for a stable firm) |
0.8 |
| Discount Rate/ Cost of Equity |
= Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (0.8 * 5.96%) |
7.5% |
Discounted Cash Flow Calculation for NasdaqGS:SIVB using Excess Returns Model Model
The calculations below outline how an intrinsic value for SVB Financial Group is arrived at using the Excess Return Model. This approach is used for finance firms where free cash flow is difficult to estimate.
In the Excess Return Model the value of a firm can be written as the sum of capital invested currently in the firm and the present value of excess returns that the firm expects to make in the future.
The model is sensitive to the Return on Equity of the company versus the Cost of Equity, how these are calculated is detailed below the main calculation.
Note the calculations below are per share.
See our documentation to learn about this calculation.
| Calculation | Result | |
|---|---|---|
| Excess Returns |
= (Stable Return on equity – Cost of equity) (Book Value of
Equity per share)
= (18.6% – 7.5%) * $127.72) |
$14.21 |
| Terminal Value of Excess Returns |
= Excess Returns / (Cost of Equity -
Expected Growth Rate)
= $14.21 / (7.5% - 2.73%) |
$298.03 |
| Value of Equity |
= Book Value per share + Terminal Value of
Excess Returns
= $127.72 + $298.03 |
$425.76 |
| Calculation | Result | |
|---|---|---|
| Value per share (USD) | From above. | $425.76 |
| Current discount | Discount to share price of
$229.77
= -1 x ($229.77 - $425.76) / $425.76 |
46% |
Learn more about our DCF calculations in Simply Wall St’s analysis model .
Current Discount
Current Discount Checks
- SVB Financial Group's share price is below the future cash flow value, and at a moderate discount (> 20%).
- SVB Financial Group's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.The amount the stock market is willing to pay for SVB Financial Group's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are
SVB Financial Group's earnings available for a low price, and how does
this compare to other companies in the same industry?
| Data Point | Source | Value |
|---|---|---|
| Earnings Per Share * | Company Filings (2019-03-31) in USD | $20.14 |
| NasdaqGS:SIVB Share Price ** | NasdaqGS (2019-05-17) in USD | $229.77 |
| United States of America Banks Industry PE Ratio | Median Figure of 593 Publicly-Listed Banks Companies | 12.77x |
| United States of America Market PE Ratio | Median Figure of 3,088 Publicly-Listed Companies | 17.89x |
* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.
** Primary Listing of SVB Financial Group.
| Calculation | Outcome | |
|---|---|---|
| PE Ratio | = NasdaqGS:SIVB Share Price ÷ EPS (both in USD) = 229.77 ÷ 20.14 |
11.41x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- SVB Financial Group is good value based on earnings compared to the US Banks industry average.
- SVB Financial Group is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does
SVB Financial Group's expected growth come at a high price?
| Data Point | Source | Value |
|---|---|---|
| PE Ratio | See PE Ratio Section | 11.41x |
| Net Income Annual Growth Rate | See Future Growth Section. Line of Best Fit* through Consensus Estimate Earnings of 19 Analysts |
5.9%per year |
| United States of America Banks Industry PEG Ratio | Median Figure of 269 Publicly-Listed Banks Companies | 1.39x |
| United States of America Market PEG Ratio | Median Figure of 2,117 Publicly-Listed Companies | 1.56x |
*Line of best fit is calculated by linear regression .
| Calculation | Outcome | |
|---|---|---|
| PEG Ratio | = PE Ratio ÷ Net Income Annual Growth Rate = 11.41x ÷ 5.9% |
1.92x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- SVB Financial Group is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on
SVB Financial Group's
assets?
| Data Point | Source | Value |
|---|---|---|
| Book Value per Share | Company Filings (2019-03-31) in USD | $102.11 |
| NasdaqGS:SIVB Share Price * | NasdaqGS (2019-05-17) in USD | $229.77 |
| United States of America Banks Industry PB Ratio | Median Figure of 598 Publicly-Listed Banks Companies | 1.2x |
| United States of America Market PB Ratio | Median Figure of 5,195 Publicly-Listed Companies | 1.83x |
| Calculation | Outcome | |
|---|---|---|
| PB Ratio | = NasdaqGS:SIVB Share Price ÷ Book Value per Share (both in USD) = 229.77 ÷ 102.11 |
2.25x |
* Primary Listing of SVB Financial Group.
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- SVB Financial Group is overvalued based on assets compared to the US Banks industry average.
Value checks
We assess SVB Financial Group's value by looking at:- Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
- Is the PE ratio less than the market average, and/ or less than the Banks industry average (and greater than 0)? (2 checks)
- Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
- Is the PB ratio less than the Banks industry average (and greater than 0)? (1 check) SVB Financial Group has a total score of 4/6, see the detailed checks below.
Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.
Full details on the Value part of the Simply Wall St company analysis model.
Future Performance
The future performance of a company is measured in the same way as past
performance, by looking at estimated
growth
and how much profit it is expected to make.Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Earnings growth vs Low Risk Savings
- SVB Financial Group's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
- SVB Financial Group's earnings growth is positive but not above the United States of America market average.
- SVB Financial Group's revenue growth is expected to exceed the United States of America market average.
Annual Growth Rates Comparison
| Data Point | Source | Value (per year) |
|---|---|---|
| NasdaqGS:SIVB Future Earnings Growth Rate | Line of Best Fit* through Consensus Estimate Earnings of 19 Analysts | 5.9% |
| NasdaqGS:SIVB Future Revenue Growth Rate | Line of Best Fit* through Consensus Estimate Revenue of 19 Analysts | 9.2% |
| United States of America Banks Industry Earnings Growth Rate | Market Cap Weighted Average | 3.9% |
| United States of America Banks Industry Revenue Growth Rate | Market Cap Weighted Average | 4% |
| United States of America Market Earnings Growth Rate | Market Cap Weighted Average | 13.9% |
| United States of America Market Revenue Growth Rate | Market Cap Weighted Average | 7.3% |
*Line of best fit is calculated by linear regression .
Industry and Market average data is calculated daily.
Learn more about our growth rate calculations in Simply Wall St’s analysis model.
Analysts growth expectations
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (1 month ago) | See Below |
| Future Estimates | Average of up to 19 Analyst Estimates (S&P Global) | See Below |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * | Avg. No. Analysts |
|---|---|---|---|---|
| 2021-12-31 | 3,820 | 1,296 | 2 | |
| 2020-12-31 | 3,489 | 1,158 | 11 | |
| 2019-12-31 | 3,231 | 1,097 | 11 |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * |
|---|---|---|---|
| 2019-03-31 | 2,768 | 926 | 1,068 |
| 2018-12-31 | 2,551 | 934 | 974 |
| 2018-09-30 | 2,387 | 763 | 825 |
| 2018-06-30 | 2,210 | 531 | 699 |
| 2018-03-31 | 2,036 | 883 | 584 |
| 2017-12-31 | 1,885 | 647 | 491 |
| 2017-09-30 | 1,755 | 686 | 473 |
| 2017-06-30 | 1,659 | 693 | 435 |
| 2017-03-31 | 1,563 | 494 | 405 |
| 2016-12-31 | 1,500 | 472 | 383 |
| 2016-09-30 | 1,459 | 358 | 371 |
| 2016-06-30 | 1,375 | 270 | 341 |
*GAAP earnings excluding extraordinary items.
Past and Future Earnings per Share
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (1 month ago) | See Below |
| Future Estimates | Average of up to 19 Analyst Estimates (S&P Global) | See Below |
All data from SVB Financial Group Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | EPS * | EPS High Estimate | EPS Low Estimate | Avg. No. Analysts |
|---|---|---|---|---|
| 2021-12-31 | 23.76 | 23.76 | 23.76 | 1.00 |
| 2020-12-31 | 22.16 | 23.98 | 20.50 | 19.00 |
| 2019-12-31 | 20.89 | 22.53 | 19.83 | 19.00 |
| Date (Data in USD Millions) | EPS * |
|---|---|
| 2019-03-31 | 20.14 |
| 2018-12-31 | 18.35 |
| 2018-09-30 | 15.57 |
| 2018-06-30 | 13.22 |
| 2018-03-31 | 11.08 |
| 2017-12-31 | 9.33 |
| 2017-09-30 | 9.02 |
| 2017-06-30 | 8.33 |
| 2017-03-31 | 7.77 |
| 2016-12-31 | 7.37 |
| 2016-09-30 | 7.16 |
| 2016-06-30 | 6.61 |
*GAAP earnings excluding extraordinary items.
Future performance checks
We assess SVB Financial Group's future performance by looking at:- Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
- Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
- Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
- Is the annual earnings growth rate expected to be above 20%? (1 check)
- Is the annual revenue growth rate expected to be above 20%? (1 check)
- Is the Return on Equity in 3 years expected to be over 20%? (1 check)
SVB Financial Group has a total score of 2/6, see the detailed checks below.
Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.
Full details on the Future part of the Simply Wall St company analysis model.
Past Performance
How has SVB Financial Group performed over the past 5 years?
The past performance of a company can be measured by how much
growth
it has experienced and how much profit it makes relative to the funds and assets
it has available.
Past earnings growth
Past Earnings growth analysis
- SVB Financial Group has delivered over 20% year on year earnings growth in the past 5 years.
- SVB Financial Group's 1-year earnings growth exceeds its 5-year average (82.8% vs 29.2%)
- SVB Financial Group's earnings growth has exceeded the US Banks industry average in the past year (82.8% vs 40.7%).
Earnings and Revenue History
All data from SVB Financial Group Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | Revenue | Net Income * | G+A Expenses | R&D Expenses |
|---|---|---|---|---|
| 2019-03-31 | 2,768.40 | 1,067.61 | 1,147.56 | |
| 2018-12-31 | 2,551.10 | 973.84 | 1,057.87 | |
| 2018-09-30 | 2,387.31 | 824.79 | 1,024.07 | |
| 2018-06-30 | 2,210.42 | 698.59 | 974.00 | |
| 2018-03-31 | 2,035.79 | 583.98 | 919.05 | |
| 2017-12-31 | 1,885.30 | 490.51 | 890.47 | |
| 2017-09-30 | 1,755.22 | 472.76 | 861.43 | |
| 2017-06-30 | 1,659.29 | 435.22 | 827.59 | |
| 2017-03-31 | 1,563.23 | 404.99 | 785.58 | |
| 2016-12-31 | 1,500.40 | 382.69 | 754.81 | |
| 2016-09-30 | 1,459.06 | 370.73 | 733.45 | |
| 2016-06-30 | 1,375.49 | 341.38 | 698.54 | |
| 2016-03-31 | 1,359.67 | 334.56 | 695.73 | |
| 2015-12-31 | 1,383.54 | 343.90 | 682.81 | |
| 2015-09-30 | 1,391.22 | 314.38 | 663.41 | |
| 2015-06-30 | 1,345.60 | 296.63 | 660.10 | |
| 2015-03-31 | 1,219.29 | 261.44 | 636.45 | |
| 2014-12-31 | 1,369.35 | 263.87 | 623.64 | |
| 2014-09-30 | 1,404.45 | 264.64 | 607.73 | |
| 2014-06-30 | 1,544.44 | 268.28 | 592.91 | |
| 2014-03-31 | 1,576.96 | 265.91 | 569.35 | |
| 2013-12-31 | 1,306.86 | 214.52 | 547.19 | |
| 2013-09-30 | 1,182.05 | 207.52 | 520.81 | |
| 2013-06-30 | 974.73 | 182.19 | 500.30 | |
| 2013-03-31 | 949.34 | 181.20 | 492.80 | |
| 2012-12-31 | 909.08 | 175.10 | 487.42 | |
| 2012-09-30 | 841.73 | 160.26 | 478.27 | |
| 2012-06-30 | 855.24 | 155.54 | 468.70 |
*GAAP earnings excluding extraordinary items.
Performance last year
We want to ensure a company is making the most of what it has available. This is
done by comparing the return (profit) to a company's available
funds,
assets
and
capital.
- SVB Financial Group has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
- SVB Financial Group used its assets more efficiently than the US Banks industry average last year based on Return on Assets.
- Unable to establish if SVB Financial Group improved its use of capital last year versus 3 years ago (Return on Capital Employed) due to insufficient past data.
Past performance checks
We assess SVB Financial Group's performance over the past 5 years by checking for:- Has earnings increased in past 5 years? (1 check)
- Has the earnings growth in the last year exceeded that of the Banks industry? (1 check)
- Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
- Is the Return on Equity (ROE) higher than 20%? (1 check)
- Is the Return on Assets (ROA) above industry average? (1 check)
- Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
SVB Financial Group has a total score of 4/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
Full details on the Past part of the Simply Wall St company analysis model.
Health
This company is a bank or financial institution.Fundamentally a bank's business is based upon borrowing and lending money, for this reason they typically have high levels of debt and we analyse them differently.
Balance sheet
Assets
Liabilities and shares
Historical Debt
Nearly all companies have debt. Debt in itself isn’t
bad,
however if the debt is too high, or the company can’t afford to pay the interest
on its debts this may have impacts in the future.The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.
If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
All data from SVB Financial Group Company Filings, last reported 1 month ago.
| Date (Data in USD Millions) | Total Equity | Total Debt | Cash & Short Term Investments |
|---|---|---|---|
| 2019-03-31 | 5,483.82 | 1,007.95 | 2,634.63 |
| 2018-12-31 | 5,264.84 | 1,425.93 | 3,373.81 |
| 2018-09-30 | 5,070.05 | 3,418.79 | 1,954.27 |
| 2018-06-30 | 4,804.84 | 1,210.42 | 2,315.81 |
| 2018-03-31 | 4,559.72 | 1,915.57 | 2,490.43 |
| 2017-12-31 | 4,319.42 | 1,837.80 | 2,757.99 |
| 2017-09-30 | 4,197.30 | 855.37 | 2,204.13 |
| 2017-06-30 | 4,040.04 | 837.83 | 2,279.49 |
| 2017-03-31 | 3,903.46 | 856.38 | 1,585.84 |
| 2016-12-31 | 3,777.04 | 1,372.81 | 2,385.82 |
| 2016-09-30 | 3,723.32 | 847.23 | 1,425.80 |
| 2016-06-30 | 3,633.79 | 1,354.74 | 1,505.57 |
| 2016-03-31 | 3,511.04 | 849.26 | 1,576.63 |
| 2015-12-31 | 3,333.23 | 1,602.34 | 1,400.24 |
| 2015-09-30 | 3,314.23 | 835.63 | 1,207.16 |
| 2015-06-30 | 3,189.47 | 838.27 | 1,387.96 |
| 2015-03-31 | 4,277.23 | 929.58 | 1,258.20 |
| 2014-12-31 | 4,051.73 | 490.25 | 1,785.67 |
| 2014-09-30 | 3,940.02 | 478.54 | 1,108.87 |
| 2014-06-30 | 3,938.02 | 472.54 | 1,057.81 |
| 2014-03-31 | 3,366.98 | 471.47 | 972.77 |
| 2013-12-31 | 3,079.33 | 474.31 | 1,534.52 |
| 2013-09-30 | 2,923.64 | 479.76 | 863.50 |
| 2013-06-30 | 2,672.10 | 472.78 | 775.19 |
| 2013-03-31 | 2,662.06 | 476.86 | 982.02 |
| 2012-12-31 | 2,605.23 | 637.31 | 995.08 |
| 2012-09-30 | 2,555.35 | 979.21 | 862.16 |
| 2012-06-30 | 2,444.33 | 479.53 | 855.27 |
BANK ANALYSIS
This company is a bank or financial institution, which is analysed accordingly below.
- SVB Financial Group has an acceptable proportion of non-loan assets held.
- SVB Financial Group's liabilities are made up of primarily low risk sources of funding.
- Loans at SVB Financial Group are broadly funded by customer deposits.
- SVB Financial Group's level of assets compared to its equity is moderate (i.e. an appropriate level of borrowing to fund lending).
- SVB Financial Group has a sufficient allowance for bad loans.
- SVB Financial Group has an acceptable level of bad loans (less than 2%).
Financial health checks
We assess SVB Financial Group's financial health by checking for:- Are short term assets greater than short term liabilities? (1 check)
- Are short term assets greater than long term liabilities? (1 check)
- Has the debt to equity ratio increased in the past 5 years? (1 check)
- Is the debt to equity ratio over 40%? (1 check)
- Is the debt covered by operating cash flow? (1 check)
- Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check) SVB Financial Group has a total score of 6/6, see the detailed checks below.
- Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
- Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
Full details on the Health part of the Simply Wall St company analysis model.
Dividends
What is SVB Financial Group's current dividend yield, its reliability and sustainability?
Dividends are regular cash payments to you from the company, similar to a
bank paying you interest on a savings account.
Annual Dividend Income
If you bought
$2,000 of
SVB Financial Group
shares you are expected to receive
$0
in your first year as a dividend.
Dividend Amount
- Unable to evaluate SVB Financial Group's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
- Unable to evaluate SVB Financial Group's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not
wildly increasing/decreasing each year. This graph shows you the historical rate
to count toward your assessment of the stock.We also check to see if the dividend has increased in the past 10 years.
| Data Point | Source | Value |
|---|---|---|
| Past Annualized Dividend Yield | S&P Global Market Data | See Below |
| Past Dividends per Share | Company Filings/ Annualized Dividend Payments | See Below |
| Future Dividends per Share Estimates | Average of up to 19 Analyst Estimates (S&P Global) | See Below |
| United States of America Banks Industry Average Dividend Yield | Market Cap Weighted Average of 473 Stocks | 2.9% |
| United States of America Market Average Dividend Yield | Market Cap Weighted Average of 2000 Stocks | 2.5% |
| United States of America Minimum Threshold Dividend Yield | 10th Percentile | 0.8% |
| United States of America Bottom 25% Dividend Yield | 25th Percentile | 1.4% |
| United States of America Top 25% Dividend Yield | 75th Percentile | 3.7% |
Industry and Market average data is calculated daily.
Note all dividend per share amounts are annualized and not quarterly or other period.
| Date (Data in $) | Dividend per Share (annual) | Avg. No. Analysts |
|---|---|---|
| 2021-12-31 | 0.00 | 2.00 |
| 2020-12-31 | 0.15 | 4.00 |
| 2019-12-31 | 0.00 | 3.00 |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Unable to perform a dividend volatility check as SVB Financial Group has not reported any payouts.
- Unable to verify if SVB Financial Group's dividend has been increasing as the company has not reported any payouts.
Income/ dividend checks
We assess SVB Financial Group's dividend by checking for:- Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
- Is current dividend yield above the bottom 25% of dividend payers? (1 check)
- Is current dividend yield above the top 25% of dividend payers? (1 check)
- Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
- If they have paid a dividend for 10 years has it increased in this time? (1 check)
- How sustainable is the dividend, can SVB Financial Group afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks) SVB Financial Group has a total score of 0/6, see the detailed checks below.
Full details on the Dividends part of the Simply Wall St company analysis model.
Management
CEO
| COMPENSATION | $7,648,576 |
| AGE | 50 |
| TENURE AS CEO | 8.1 years |
CEO Bio
Mr. Gregory W. Becker, also known as Greg, has been the President at Silicon Valley Bank, Inc. ( formerly known as Silicon Valley Bank) since March 2008 and the President of SVB Financial Group since April 2011. Mr. Becker has been the Chief Executive Officer of SVB Financial Group and Silicon Valley Bank, Inc. since April 21, 2011. He served as the Managing Director at SVB Capital and SVB Capital Partners II, L.P. He served as the Managing Director and Investment Manager of SVB Capital Partners Fund, L.P. He served as the Managing Director at SVB Strategic Investors Fund I, L.P. He served as the Chief Operating Officer of Commercial Banking of SVB Financial Group formerly known as Silicon Valley Bancshares from 2003 to 2008 and also served as its Chief Banking Officer and Head of commercial banking since January 2002. In these roles, Mr. Becker was responsible for leading the commercial bank's sales and operational efforts in the various offices. He has devoted his career to financial services for the technology industry, having spent the last eleven years at Silicon Valley Bank in a variety of leadership roles. He joined Silicon Valley Bank, Inc. in 1993 as a Vice President of northern California Technology Division. He took on the role of Chief Operating Officer to coordinate both sales and operational efforts for Silicon Valley Bank, Inc., including Silicon Valley Bank's Global Financial Services group. In May 1995, He joined the National division to develop client relationships in Colorado and in May 1996, he was appointed Senior Vice President and Manager. Mr. Becker served in various increasingly responsible positions with Commercial Bank from May 1990 to April 1993. He served as the Chief Banking Officer of Silicon Valley Bank where he was responsible for leading the Commercial Bank sales force in Silicon Valley Bank's five regions and 26 offices nationwide. He served as Division Manager of Silicon Valley Bank's Venture Capital group where he was responsible for building relationships with and investing in, venture capital and private equity firms across the U.S. Mr. Becker served as President of the Board of Trustees for the Silicon Valley and Monterey Bay Area Chapter of the Leukemia & Lymphoma Society from 2004 to 2011. He is a Board Member of the Silicon Valley Leadership Group and is the Director & Executive Committee for the Bay Area Council. He serves as Director of SVB Financial Group and Silicon Valley Bank, Inc. He serves as the Executive Council of TechNet since 2016. He is the Advisory Council Member of Alliance for Southern California Innovation since 2017. He serves as the Member of U.S. Department Digital Economy Board of Advisors from 2016 to 2017. He serves on the Board of Advisors of Pacific Community Ventures and San Jose Chapter of the Leukemia & Lymphoma Society. Mr. Becker serves as a Director at Federal Reserve Bank of San Francisco since 2019. Mr. Becker holds a Bachelor's degree in Finance from Indiana University.
CEO Compensation
- Greg's compensation has increased by more than 20% in the past year.
- Greg's remuneration is lower than average for companies of similar size in United States of America.
Management Team Tenure
Average tenure and age of the SVB Financial Group management team in years:
- The tenure for the SVB Financial Group management team is about average.
Management Team
Greg Becker
President
$8M
50
8.1 yrs
Dan Beck
Chief Financial Officer
$3M
44
1.9 yrs
Mike Descheneaux
President of Silicon Valley Bank
$4M
50
1.9 yrs
John China
President of SVB Capital
$3M
52
Mike Dreyer
Consultant
$2M
54
Phil Cox
Chief Operations Officer
$1M
51
0.1 yrs
Kamran Husain
Chief Accounting Officer
52
Meghan O'Leary
Head of Investor Relations
Michael Zuckert
General Counsel
59
5.2 yrs
Michelle Draper
Chief Marketing Officer
50
6.3 yrs
Board of Directors Tenure
Average tenure and age of the SVB Financial Group board of directors in years:
- The tenure for the SVB Financial Group board of directors is about average.
Board of Directors
Roger Dunbar
Chairman of the Board
$488K
72
7.1 yrs
Greg Becker
President
$8M
50
8.1 yrs
Ken Wilcox
Chairman Emeritus
$5M
70
Joel Friedman
Independent Director
$275K
70
14.6 yrs
Eric Benhamou
Independent Director
$272K
62
14.3 yrs
John Robinson
Director
$312K
71
8.8 yrs
Garen Staglin
Independent Director
$275K
73
7.8 yrs
Kate Mitchell
Director
$268K
59
9.1 yrs
Jeff Maggioncalda
Director
$249K
49
7.1 yrs
Mary Miller
Director
$268K
62
4 yrs
Who owns this company?
Recent Insider Transactions
| Announced | Type | Name | Entity | Role | Start | End | Shares | Max Price ($) | Value ($) | |
|---|---|---|---|---|---|---|---|---|---|---|
| 15. Feb 19 | Sell | Christopher Edmonds-Waters | Individual | 14. Feb 19 | 14. Feb 19 | -1,721 | $240.70 | $-414,245 | ||
| 30. Nov 18 | Sell | Philip Cox | Individual | 28. Nov 18 | 28. Nov 18 | -620 | $238.96 | $-148,153 | ||
| 01. Jun 18 | Sell | John Robinson | Individual | 30. May 18 | 30. May 18 | -1,000 | $317.53 | $-317,530 | ||
| 01. Jun 18 | Sell | Kate Mitchell | Individual | 30. May 18 | 30. May 18 | -737 | $314.78 | $-231,992 | ||
Management checks
We assess SVB Financial Group's management by checking for:- Is the CEO's compensation unreasonable compared to market cap? (1 check)
- Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
- Is the average tenure of the management team less than 2 years? (1 check)
- Is the average tenure of the board of directors team less than 3 years? (1 check) SVB Financial Group has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.
Note: We use the top 6 management executives and board members in our calculations.
Note 2: Insider trading include any internal stakeholders and these transactions .
Full details on the Management part of the Simply Wall St company analysis model.
News
Simply Wall St News
Should You Be Adding SVB Financial Group (NASDAQ:SIVB) To Your Watchlist Today?
I like to take a look at earnings before interest and (EBIT) tax margins, as well as revenue growth, to get another take on the quality of the company's growth. … I note that SVB Financial Group's revenue from operations was lower than its revenue in the last twelve months, so that could distort my analysis of its margins. … While we note SVB Financial Group's EBIT margins were flat over the last year, revenue grew by a solid 35% to US$2.6b.
Simply Wall St - – Full articleDoes SVB Financial Group's (NASDAQ:SIVB) CEO Salary Compare Well With Others?
First, this article will compare CEO compensation with compensation at other large companies. … How Does Greg Becker's Compensation Compare With Similar Sized Companies. … Our data indicates that SVB Financial Group is worth US$13b, and total annual CEO compensation is US$7.6m.
Simply Wall St - – Full articleHow Many Insiders Sold SVB Financial Group (NASDAQ:SIVB) Shares?
So before you buy or sell SVB Financial Group (NASDAQ:SIVB), you may well want to know whether insiders have been buying or selling. … The Last 12 Months Of Insider Transactions At SVB Financial Group. … Over the last year we saw more insider selling of SVB Financial Group shares, than buying
Simply Wall St - – Full articleWant To Invest In SVB Financial Group (NASDAQ:SIVB) Today? Read This First
SVB Financial Group (NASDAQ:SIVB) is considered a high growth stock. … Check out our latest analysis for SVB Financial Group? … Analysts are predicting good growth prospects for SVB Financial Group over the next couple of years
Simply Wall St - – Full articleIs SVB Financial Group's 152% Share Price Increase Well Justified?
To wit, the SVB Financial Group (NASDAQ:SIVB) share price has flown 152% in the last three years. … One way to examine how market sentiment has changed over time is to look at the interaction between a company's share price and its earnings per share (EPS). … SVB Financial Group was able to grow its EPS at 40% per year over three years, sending the share price higher.
Simply Wall St - – Full articleWhat Should You Know About SVB Financial Group's (NASDAQ:SIVB) Growth?
Want to participate in a short research study? … Help shape the future of investing tools and receive a $20 prize! … The most recent earnings release SVB Financial Group's (NASDAQ:SIVB) announced in December 2018a
Simply Wall St - – Full articleWhat Should We Expect From SVB Financial Group's (NASDAQ:SIVB) Earnings Over The Next Year?
Help shape the future of investing tools and you could win a $250 gift card! … As SVB Financial Group (NASDAQ:SIVB) announced its earnings release on 31 December 2018, … with earnings expected to grow by 12% in the upcoming year
Simply Wall St - – Full articleSVB Financial Group (NASDAQ:SIVB) Is Undervalued By 3.15%
Given that these companies adhere to a different set of rules relative to other companies, their cash flows should also be valued differently. … The tiered capital structure is common for banks to abide by, in order to ensure they maintain a sufficient level of cash for their customers.
Simply Wall St - – Full articleReal Risks You Need To Know Before Investing In SVB Financial Group (NASDAQ:SIVB)
Large banks such as SVB Financial Group (NASDAQ:SIVB), with a market capitalisation of US$11b, have benefited from improving credit quality as a result of post-GFC recovery, leading to a strong growth environment. … Growth stimulates demand for loans and impacts a borrower’s ability to repay which directly affects the level of risk SVB Financial Group takes on. … It is relevant to understand a bank’s level of risky assets on its accounts as it affects the attractiveness of its stock as an investment.
Simply Wall St - – Full articleIs SVB Financial Group's (NASDAQ:SIVB) CEO Paid Enough Relative To Peers?
This report will, first, examine the CEO compensation levels in comparison to CEO compensation at other big companies. … At the time of writing our data says that SVB Financial Group has a market cap of US$10b, and is paying total annual CEO compensation of US$6.1m. … We looked at a group of companies with market capitalizations over US$8.0b and the median CEO compensation was US$11m
Simply Wall St - – Full articleCompany Info
Description
SVB Financial Group, a diversified financial services company, provides various banking and financial products and services. The company operates through three segments: Global Commercial Bank, SVB Private Bank, and SVB Capital. The Global Commercial Bank segment offers deposit products, such as business and analysis checking, money market, multi-currency, in-country bank, and sweep accounts, as well as merchant, remote capture, lockbox, electronic deposit capture, and fraud control services; credit products and services comprising term loans, equipment loans, asset-based loans, revolving lines of credit, accounts-receivable-based lines of credit, capital call lines of credit, and credit cards; and payment and cash management products and services, including wire transfer and automated clearing house payment, bill pay, debit and credit cards, account analysis, and disbursement, as well as online and mobile banking services. This segment also provides foreign exchange services; export, import, and standby letter of credit; investment services and solutions; investment advisory services; vineyard development loans; and equity valuation services, as well as invests in debt funds. The SVB Private Bank segment offers private banking services, such as mortgages, home equity and capital call lines of credit, restricted stock purchase loans, and other secured and unsecured lending products. The SVB Capital segment provides venture capital investment services that manage funds on behalf of third party limited partner investors. The company also offers asset and private wealth management, and private equity investment services. It operates through 27 offices in the United States; and offices in Hong Kong; Beijing and Shanghai, China; Frankfurt, Germany; Bengaluru, India; Herzliya Pituach, Israel; and London, England. SVB Financial Group was founded in 1983 and is headquartered in Santa Clara, California.
Details
| Name: | SVB Financial Group |
| SIVB | |
| Exchange: | NasdaqGS |
| Founded: | 1983 |
| $12,022,050,065 | |
| 52,322,105 | |
| Website: | http://www.svb.com |
| Address: |
SVB Financial Group 3003 Tasman Drive, Santa Clara, California, 95054, United States |
Listings
| Exchange Symbol | Ticker Symbol | Security | Exchange | Country | Currency | Listed on | |
|---|---|---|---|---|---|---|---|
| NasdaqGS | SIVB | Common Stock | Nasdaq Global Select | US | USD | 23. Oct 1987 | |
| DB | SV4 | Common Stock | Deutsche Boerse AG | DE | EUR | 23. Oct 1987 |
Number of employees
Current staff
Industry
| Regional Banks | |
| Banks |
Company Analysis and Financial Data Status
| Area | Date (UTC time) |
|---|---|
| Company Analysis updated: | 2019/05/20 01:59 |
| End of day share price update: | 2019/05/17 00:00 |
| Last estimates confirmation: | 2019/05/14 |
| Last earnings filing: | 2019/05/09 |
| Last earnings reported: | 2019/03/31 |
| Last annual earnings reported: | 2018/12/31 |
All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.
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.
