NasdaqGS:STBA

Stock Analysis Report

Executive Summary

S&T Bancorp, Inc. operates as the bank holding company for S&T Bank that provides retail and commercial banking products and services.


Snowflake Analysis

Flawless balance sheet established dividend payer.


Similar Companies

Share Price & News

How has S&T Bancorp's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

-6.1%

STBA

-9.5%

US Banks

-3.8%

US Market


1 Year Return

-35.3%

STBA

-34.8%

US Banks

-15.9%

US Market

Return vs Industry: STBA matched the US Banks industry which returned -34.8% over the past year.

Return vs Market: STBA underperformed the US Market which returned -15.9% over the past year.


Shareholder returns

STBAIndustryMarket
7 Day-6.1%-9.5%-3.8%
30 Day-19.5%-26.7%-17.4%
90 Day-35.7%-43.7%-24.1%
1 Year-33.4%-35.3%-32.8%-34.8%-14.1%-15.9%
3 Year-17.7%-23.7%-23.7%-29.4%10.0%2.8%
5 Year0.6%-11.4%0.4%-11.2%27.6%13.5%

Price Volatility Vs. Market

How volatile is S&T Bancorp's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is S&T Bancorp undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: STBA ($25.64) is trading below our estimate of fair value ($52.24)

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


Price To Earnings Ratio

PE vs Industry: STBA is poor value based on its PE Ratio (9.1x) compared to the Banks industry average (8.5x).

PE vs Market: STBA is good value based on its PE Ratio (9.1x) compared to the US market (12.2x).


Price to Earnings Growth Ratio

PEG Ratio: STBA is poor value based on its PEG Ratio (1.3x)


Price to Book Ratio

PB vs Industry: STBA is overvalued based on its PB Ratio (0.9x) compared to the US Banks industry average (0.8x).


Next Steps

Future Growth

How is S&T Bancorp forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

6.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: STBA's forecast earnings growth (6.9% per year) is above the savings rate (1.7%).

Earnings vs Market: STBA's earnings (6.9% per year) are forecast to grow slower than the US market (13.4% per year).

High Growth Earnings: STBA's earnings are forecast to grow, but not significantly.

Revenue vs Market: STBA's revenue (10.9% per year) is forecast to grow faster than the US market (7% per year).

High Growth Revenue: STBA's revenue (10.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: STBA's Return on Equity is forecast to be low in 3 years time (8.9%).


Next Steps

Past Performance

How has S&T Bancorp performed over the past 5 years?

12.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: STBA has high quality earnings.

Growing Profit Margin: STBA's current net profit margins (34.8%) are lower than last year (39.8%).


Past Earnings Growth Analysis

Earnings Trend: STBA's earnings have grown by 12.2% per year over the past 5 years.

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

Earnings vs Industry: STBA had negative earnings growth (-6.7%) over the past year, making it difficult to compare to the Banks industry average (10.9%).


Return on Equity

High ROE: STBA's Return on Equity (8.2%) is considered low.


Next Steps

Financial Health

How is S&T 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

Inventory Level: STBA has a low level of unsold assets or inventory.

Debt Coverage by Assets: STBA's debt is not covered by short term assets (assets are 0.5x debt).


Financial Institutions Analysis

Asset Level: STBA's level of assets compared to its equity is low.

Allowance for Bad Loans: STBA has a sufficient allowance for bad loans.

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

Loan Level: STBA has an acceptable proportion of non-loan assets held.

Low Risk Deposits: STBA's loans are broadly funded by customer deposits.

Level of Bad Loans: STBA has an appropriate level of bad loans (0.76%)


Next Steps

Dividend

What is S&T Bancorp's current dividend yield, its reliability and sustainability?

4.37%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: STBA's dividend (4.37%) is higher than the bottom 25% of dividend payers in the US market (2.07%).

High Dividend: STBA's dividend (4.37%) is low compared to the top 25% of dividend payers in the US market (5.82%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (38.9%), STBA's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: STBA's dividends in 3 years are forecast to be well covered by earnings (38.6% payout ratio).


Next Steps

Management

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

8.3yrs

Average management tenure


CEO

Todd Brice (57yo)

12s

Tenure

US$1,262,779

Compensation

Mr. Todd D. Brice has been the Chief Executive Officer of S&T BanCorp Inc. and its subsidiary S&T Bank since April 21, 2008. Mr. Brice served as the Chief Operating Officer of S&T BanCorp. Inc. and S&T Ban ...


CEO Compensation Analysis

Compensation vs Market: Todd's total compensation ($USD1.26M) is below average for companies of similar size in the US market ($USD3.29M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Todd Brice
CEO & Director12yrsUS$1.26m0.27% $2.7m
David Antolik
President1.25yrsUS$665.04k0.089% $899.3k
Mark Kochvar
Senior EVP & CFO10.17yrsUS$587.79k0.15% $1.5m
David Ruddock
Senior EVP & COO7yrsUS$565.55k0.072% $727.4k
James Mill
Chief Information Officer & Executive VP4.75yrsno datano data
George Basara
Executive VP5.25yrsno data0.018% $178.0k
Krista Martini
Vice President of Marketingno datano datano data
Richard Fiscus
Executive VP Retail Banking Division Manager8.25yrsno datano data
G. Jorgenson
Executive VP & Marketing Division Manager15.08yrsno datano data
Stephen Drahnak
Market President of Pennsylvania Region8.25yrsno datano data

8.3yrs

Average Tenure

57yo

Average Age

Experienced Management: STBA's management team is seasoned and experienced (8.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Todd Brice
CEO & Director12yrsUS$1.26m0.27% $2.7m
David Antolik
President1.25yrsUS$665.04k0.089% $899.3k
Richard Brok
VP & Wealth Management Adviserno datano datano data
James Miller
Director27.25yrsUS$94.24k0.15% $1.5m
Jeffrey Grube
Independent Director23.25yrsUS$99.44k0.077% $778.7k
Frank Jones
Independent Director23.25yrsUS$82.04k0.064% $651.4k
Michael Donnelly
Independent Director19.25yrsUS$81.74k0.079% $797.2k
Christine Toretti
Chairman1.92yrsUS$179.34k0.069% $693.5k
Frank Palermo
Independent Director7.25yrsUS$110.74k0.051% $517.0k
Steven Weingarten
Independent Director5.08yrsUS$95.44k0.21% $2.1m

15.2yrs

Average Tenure

62yo

Average Age

Experienced Board: STBA's board of directors are seasoned and experienced ( 15.2 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: STBA 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

S&T Bancorp, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: S&T Bancorp, Inc.
  • Ticker: STBA
  • Exchange: NasdaqGS
  • Founded: 1902
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$1.012b
  • Shares outstanding: 39.46m
  • Website: https://www.stbancorp.com

Number of Employees


Location

  • S&T Bancorp, Inc.
  • 800 Philadelphia Street
  • Indiana
  • Pennsylvania
  • 15701
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
STBANasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDApr 1992

Biography

S&T Bancorp, Inc. operates as the bank holding company for S&T Bank that provides retail and commercial banking products and services. The company accepts time and demand deposits; and offers commercial and consumer loans, cash management services, and brokerage and trust services, as well as acts as guardian and custodian of employee benefits. It also manages private investment accounts for individuals and institutions. In addition, the company distributes life insurance and long-term disability income insurance products, as well as offers title insurance agency services to commercial customers. As of December 31, 2018, it operated 58 branches located in 15 counties in Pennsylvania; 4 community banking branches and a leased branch in Ohio; and a loan production office in western New York. S&T Bancorp, Inc. was founded in 1902 and is headquartered in Indiana, Pennsylvania. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/06 01:21
End of Day Share Price2020/04/03 00:00
Earnings2019/12/31
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.