NasdaqGS:SSB

Stock Analysis Report

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Executive Summary

South State Corporation operates as the bank holding company for South State Bank that provides a range of retail and commercial banking services, mortgage lending services, and trust and wealth management services. More Details


Snowflake Analysis

Flawless balance sheet with high growth potential and pays a dividend.


Similar Companies

Share Price & News

How has South State's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: SSB has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

5.6%

SSB

1.2%

US Banks

-1.3%

US Market


1 Year Return

-27.1%

SSB

-28.5%

US Banks

18.5%

US Market

Return vs Industry: SSB exceeded the US Banks industry which returned -28.5% over the past year.

Return vs Market: SSB underperformed the US Market which returned 18.5% over the past year.


Shareholder returns

SSBIndustryMarket
7 Day5.6%1.2%-1.3%
30 Day11.0%3.5%5.3%
90 Day20.4%-0.05%7.5%
1 Year-25.0%-27.1%-25.9%-28.5%21.3%18.5%
3 Year-33.3%-37.6%-18.6%-25.4%42.4%32.9%
5 Year-19.1%-26.7%16.1%1.6%84.2%63.5%

Price Volatility Vs. Market

How volatile is South State's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is South State undervalued compared to its fair value and its price relative to the market?

51.74x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: SSB ($57.02) is trading above our estimate of fair value ($43.83)

Significantly Below Fair Value: SSB is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: SSB is poor value based on its PE Ratio (51.7x) compared to the US Banks industry average (10x).

PE vs Market: SSB is poor value based on its PE Ratio (51.7x) compared to the US market (19x).


Price to Earnings Growth Ratio

PEG Ratio: SSB is good value based on its PEG Ratio (0.8x)


Price to Book Ratio

PB vs Industry: SSB's PB Ratio (0.9x) is in line with the US Banks industry average.


Next Steps

Future Growth

How is South State forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

65.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SSB's forecast earnings growth (65.9% per year) is above the savings rate (2.2%).

Earnings vs Market: SSB's earnings (65.9% per year) are forecast to grow faster than the US market (22.2% per year).

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

Revenue vs Market: SSB's revenue (22.3% per year) is forecast to grow faster than the US market (10.1% per year).

High Growth Revenue: SSB's revenue (22.3% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SSB's Return on Equity is forecast to be low in 3 years time (8.1%).


Next Steps

Past Performance

How has South State performed over the past 5 years?

11.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SSB has a large one-off loss of $45.9M impacting its June 30 2020 financial results.

Growing Profit Margin: SSB's current net profit margins (7.6%) are lower than last year (28.9%).


Past Earnings Growth Analysis

Earnings Trend: SSB's earnings have grown by 11.9% per year over the past 5 years.

Accelerating Growth: SSB's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: SSB had negative earnings growth (-78.1%) over the past year, making it difficult to compare to the Banks industry average (-3%).


Return on Equity

High ROE: SSB's Return on Equity (0.9%) is considered low.


Next Steps

Financial Health

How is South State'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: SSB's Assets to Equity ratio (8.4x) is low.

Allowance for Bad Loans: SSB has a sufficient allowance for bad loans (353%).

Low Risk Liabilities: 90% of SSB's liabilities are made up of primarily low risk sources of funding.

Loan Level: SSB has an appropriate level of Loans to Assets ratio (66%).

Low Risk Deposits: SSB's Loans to Deposits ratio (84%) is appropriate.

Level of Bad Loans: SSB has an appropriate level of bad loans (0.5%).


Next Steps

Dividend

What is South State current dividend yield, its reliability and sustainability?

3.30%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: SSB's dividend (3.3%) is higher than the bottom 25% of dividend payers in the US market (1.64%).

High Dividend: SSB's dividend (3.3%) is low compared to the top 25% of dividend payers in the US market (4.68%).


Stability and Growth of Payments

Stable Dividend: SSB's dividends per share have been stable in the past 10 years.

Growing Dividend: SSB's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (166.1%), SSB's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: SSB's dividends in 3 years are forecast to be well covered by earnings (36% payout ratio).


Next Steps

Management

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

0.3yrs

Average management tenure


CEO

John Corbett (51 yo)

0.33

Tenure

Mr. John C. Corbett served as Chief Executive Officer and President of CenterState Bank Corporation since 2003. Mr. Corbett serves as Chief Executive Officer and Director at South State Corporation since J ...


Leadership Team

NamePositionTenureCompensationOwnership
Robert Hill
Executive Chairman0.33yrUS$3.24m0.15%
$ 6.2m
Renee Brooks
Chief Operating Officer2.25yrsUS$983.80k0.034%
$ 1.4m
John Pollok
Senior EVP & Director8yrsUS$2.09m0.14%
$ 5.5m
Greg Lapointe
Chief Banking Officer0.33yrUS$1.11m0.027%
$ 1.1m
John Goettee
President of Central Banking Groupno dataUS$930.42k0.029%
$ 1.2m
John Corbett
CEO & Director0.33yrno data0.053%
$ 2.2m
Richard Murray
President0.33yrno data0.076%
$ 3.1m
William Matthews
Chief Financial Officer0.33yrno data0.041%
$ 1.6m
Keith Rainwater
Executive VP & Principal Accounting Officerno datano data0.0070%
$ 282.1k
Sara Arana
Chief Accounting Officer0.33yrno data0.0077%
$ 313.2k
Beth DeSimone
Chief Risk Officer0.33yrno data0.0071%
$ 285.3k
Joseph Burns
Consultant1.75yrsUS$959.82k0%
$ 0

0.3yrs

Average Tenure

55.5yo

Average Age

Experienced Management: SSB's management team is not considered experienced ( 0.3 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Robert Hill
Executive Chairman0.33yrUS$3.24m0.15%
$ 6.2m
John Pollok
Senior EVP & Director8yrsUS$2.09m0.14%
$ 5.5m
John Corbett
CEO & Director0.33yrno data0.053%
$ 2.2m
Jean Davis
Independent Director2.83yrsUS$116.03k0.021%
$ 859.7k
Cynthia Hartley
Independent Director9.25yrsUS$126.04k0.014%
$ 575.1k
Robert Horger
Director29.75yrsUS$216.38k0.11%
$ 4.5m
Robert Demere
Independent Director7.83yrsUS$105.05k0.075%
$ 3.0m
Martin Davis
Independent Director4.42yrsUS$126.04k0.0062%
$ 248.6k
Charles McPherson
Lead Independent Director0.33yrno data0.018%
$ 712.2k
William Pou
Independent Director0.33yrno data0.041%
$ 1.7m
Kevin Walker
Independent Director10yrsUS$126.04k0.021%
$ 856.5k
Joshua Snively
Independent Director0.33yrno data0.012%
$ 482.6k

3.6yrs

Average Tenure

63.5yo

Average Age

Experienced Board: SSB's board of directors are considered experienced (3.6 years average tenure).


Ownership

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


Insider Trading Volume

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


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been substantially diluted in the past year, with total shares outstanding growing by 108.1%.


Top Shareholders

Company Information

South State Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: South State Corporation
  • Ticker: SSB
  • Exchange: NasdaqGS
  • Founded: 1933
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$4.042b
  • Shares outstanding: 70.89m
  • Website: https://www.southstatebank.com

Number of Employees


Location

  • South State Corporation
  • 520 Gervais Street
  • Columbia
  • South Carolina
  • 29201
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SSBNasdaqGS (Nasdaq Global Select)YesCommon SharesUSUSDJan 1997
FJ5DB (Deutsche Boerse AG)YesCommon SharesDEEURJan 1997

Biography

South State Corporation operates as the bank holding company for South State Bank that provides a range of retail and commercial banking services, mortgage lending services, and trust and wealth management ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/20 23:48
End of Day Share Price2020/10/20 00:00
Earnings2020/06/30
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.