NasdaqGS:TRMK

Stock Analysis Report

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Executive Summary

Trustmark Corporation operates as the bank holding company for Trustmark National Bank that provides banking and other financial solutions to individuals and corporate institutions in the United States. More Details


Snowflake Analysis

Flawless balance sheet average dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: TRMK is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: TRMK's weekly volatility (6%) has been stable over the past year.


Market Performance


7 Day Return

2.3%

TRMK

5.7%

US Banks

2.1%

US Market


1 Year Return

-23.4%

TRMK

-17.0%

US Banks

19.8%

US Market

Return vs Industry: TRMK underperformed the US Banks industry which returned -17% over the past year.

Return vs Market: TRMK underperformed the US Market which returned 19.7% over the past year.


Shareholder returns

TRMKIndustryMarket
7 Day2.3%5.7%2.1%
30 Day12.1%23.3%8.1%
90 Day10.4%18.5%6.0%
1 Year-21.3%-23.4%-14.0%-17.0%22.5%19.8%
3 Year-15.4%-22.1%-3.3%-11.4%46.5%36.8%
5 Year25.0%8.1%40.4%22.9%96.9%75.3%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

11.8x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: TRMK ($26.44) is trading above our estimate of fair value ($21.51)

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


Price To Earnings Ratio

PE vs Industry: TRMK is poor value based on its PE Ratio (11.8x) compared to the US Banks industry average (11.5x).

PE vs Market: TRMK is good value based on its PE Ratio (11.8x) compared to the US market (19.7x).


Price to Earnings Growth Ratio

PEG Ratio: TRMK's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: TRMK's PB Ratio (1x) is in line with the US Banks industry average.


Next Steps

Future Growth

How is Trustmark forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

-6.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TRMK's earnings are forecast to decline over the next 3 years (-6.5% per year).

Earnings vs Market: TRMK's earnings are forecast to decline over the next 3 years (-6.5% per year).

High Growth Earnings: TRMK's earnings are forecast to decline over the next 3 years.

Revenue vs Market: TRMK's revenue is expected to decline over the next 3 years (-2.2% per year).

High Growth Revenue: TRMK's revenue is forecast to decline over the next 3 years (-2.2% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: TRMK's Return on Equity is forecast to be low in 3 years time (7.2%).


Next Steps

Past Performance

How has Trustmark performed over the past 5 years?

6.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TRMK has high quality earnings.

Growing Profit Margin: TRMK's current net profit margins (22.6%) are lower than last year (25.5%).


Past Earnings Growth Analysis

Earnings Trend: TRMK's earnings have grown by 6.9% per year over the past 5 years.

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

Earnings vs Industry: TRMK had negative earnings growth (-6.8%) over the past year, making it difficult to compare to the Banks industry average (-4.3%).


Return on Equity

High ROE: TRMK's Return on Equity (8.3%) is considered low.


Next Steps

Financial Health

How is Trustmark'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: TRMK's Assets to Equity ratio (9.1x) is low.

Allowance for Bad Loans: TRMK has a sufficient allowance for bad loans (227%).

Low Risk Liabilities: 95% of TRMK's liabilities are made up of primarily low risk sources of funding.

Loan Level: TRMK has an appropriate level of Loans to Assets ratio (69%).

Low Risk Deposits: TRMK's Loans to Deposits ratio (81%) is appropriate.

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


Next Steps

Dividend

What is Trustmark current dividend yield, its reliability and sustainability?

3.48%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: TRMK's dividend (3.48%) is higher than the bottom 25% of dividend payers in the US market (1.47%).

High Dividend: TRMK's dividend (3.48%) is low compared to the top 25% of dividend payers in the US market (4.05%).


Stability and Growth of Payments

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

Growing Dividend: TRMK's dividend payments have not increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (41.1%), TRMK's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: TRMK's dividends in 3 years are forecast to be well covered by earnings (46.1% payout ratio).


Next Steps

Management

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

9.5yrs

Average management tenure


CEO

Jerry Host (65 yo)

9.83yrs

Tenure

US$3,095,265

Compensation

Mr. Gerard R. Host, also known as Jerry, serves as Chief Executive Officer at Trustmark Corporation since January 1, 2011 and serves as its Director and Chairman since May 11, 2010 and April 28, 2020 respe...


CEO Compensation Analysis

Compensation vs Market: Jerry's total compensation ($USD3.10M) is about average for companies of similar size in the US market ($USD4.15M).

Compensation vs Earnings: Jerry's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Gerard Host
President9.83yrsUS$3.10m0.42%
$ 7.0m
Louis Greer
Treasurer & Principal Financial Officer13.83yrsUS$1.09m0.079%
$ 1.3m
Wayne Stevens
President of Retail Banking of Trustmark National Bank9.17yrsUS$1.03m0.069%
$ 1.2m
F. Rein
Senior VP & Assistant Secretaryno datano datano data
Melanie Morgan
Senior VP & Director of Corporate Communications & Marketingno datano datano data
Granville Tate
Secretary4.92yrsno data0.031%
$ 516.8k

9.5yrs

Average Tenure

64yo

Average Age

Experienced Management: TRMK's management team is seasoned and experienced (9.5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Gerard Host
President9.83yrsUS$3.10m0.42%
$ 7.0m
Harry Walker
Director3.58yrsUS$110.44k0.10%
$ 1.7m
Adolphus Baker
Independent Director13.5yrsUS$274.73k0.058%
$ 975.6k
Harris Morrissette
Independent Director4.58yrsUS$105.94k0.027%
$ 451.4k
Richard Puckett
Independent Lead Directorno dataUS$340.77k0.17%
$ 2.9m
Duane Dewey
Director0.83yrUS$1.31m0.079%
$ 1.3m
Toni Cooley
Independent Director7.5yrsUS$115.44k0.026%
$ 443.4k
Tracy Conerly
Independent Director5.58yrsUS$124.44k0.019%
$ 325.2k
William Yates
Director11.5yrsUS$100.44k0.032%
$ 534.3k
Augustus Collins
Independent Director0.58yrno data0.0037%
$ 62.7k
James Hayes
Independent Director3.58yrsUS$100.44k0.015%
$ 255.1k
William Brown
Independent Director3.58yrsUS$100.44k0.022%
$ 365.4k

3.6yrs

Average Tenure

61.5yo

Average Age

Experienced Board: TRMK'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: Insufficient data to determine if 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

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


Key Information

  • Name: Trustmark Corporation
  • Ticker: TRMK
  • Exchange: NasdaqGS
  • Founded: 1889
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$1.677b
  • Shares outstanding: 63.42m
  • Website: https://www.trustmark.com

Number of Employees


Location

  • Trustmark Corporation
  • 248 East Capitol Street
  • Jackson
  • Mississippi
  • 39201
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TRMKNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDJan 1980
TT4DB (Deutsche Boerse AG)YesCommon StockDEEURJan 1980

Biography

Trustmark Corporation operates as the bank holding company for Trustmark National Bank that provides banking and other financial solutions to individuals and corporate institutions in the United States. Th...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/11/26 23:56
End of Day Share Price2020/11/25 00:00
Earnings2020/09/30
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.