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UCBI

United Community Banks NasdaqGS:UCBI Stock Report

Last Price

US$30.67

Market Cap

US$3.3b

7D

6.0%

1Y

-3.5%

Updated

27 Jun, 2022

Data

Company Financials +
UCBI fundamental analysis
Snowflake Score
Valuation4/6
Future Growth4/6
Past Performance3/6
Financial Health6/6
Dividends3/6

UCBI Stock Overview

United Community Banks, Inc. operates as the financial holding company for United Community Bank that provides financial products and services to commercial, retail, government, education, energy, health care, and real estate sectors.

United Community Banks Competitors

Price History & Performance

Summary of all time highs, changes and price drops for United Community Banks
Historical stock prices
Current Share PriceUS$30.67
52 Week HighUS$39.32
52 Week LowUS$27.62
Beta1.08
1 Month Change-3.83%
3 Month Change-16.23%
1 Year Change-3.46%
3 Year Change7.35%
5 Year Change8.34%
Change since IPO-56.54%

Recent News & Updates

Shareholder Returns

UCBIUS BanksUS Market
7D6.0%3.7%6.6%
1Y-3.5%-17.7%-18.4%

Return vs Industry: UCBI exceeded the US Banks industry which returned -17.7% over the past year.

Return vs Market: UCBI exceeded the US Market which returned -18.4% over the past year.

Price Volatility

Is UCBI's price volatile compared to industry and market?
UCBI volatility
UCBI Average Weekly Movement4.3%
Banks Industry Average Movement3.8%
Market Average Movement8.1%
10% most volatile stocks in US Market16.6%
10% least volatile stocks in US Market3.2%

Stable Share Price: UCBI is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: UCBI's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19502,893Herbert Hartonhttps://www.ucbi.com

United Community Banks, Inc. operates as the financial holding company for United Community Bank that provides financial products and services to commercial, retail, government, education, energy, health care, and real estate sectors. The company accepts various deposit products, including checking, savings, money market, and other deposit accounts. It also offers lending services, including real estate, consumer, and commercial loans, to individuals, small businesses, mid-sized commercial businesses, and non-profit organizations, as well as secured and unsecured, and mortgage loans.

United Community Banks Fundamentals Summary

How do United Community Banks's earnings and revenue compare to its market cap?
UCBI fundamental statistics
Market CapUS$3.25b
Earnings (TTM)US$235.81m
Revenue (TTM)US$735.03m

13.8x

P/E Ratio

1.3x

P/B Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
UCBI income statement (TTM)
RevenueUS$735.03m
Cost of RevenueUS$0
Gross ProfitUS$735.03m
Other ExpensesUS$499.23m
EarningsUS$235.81m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)2.22
Gross Margin100.00%
Net Profit Margin32.08%
Debt/Equity Ratio13.9%

How did UCBI perform over the long term?

See historical performance and comparison

Dividends

2.7%

Current Dividend Yield

31%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is UCBI undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for UCBI?

Other financial metrics that can be useful for relative valuation.

UCBI key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenuen/a
Enterprise Value/EBITDAn/a
PEG Ratio0.6x

Price to Earnings Ratio vs Peers

How does UCBI's PE Ratio compare to its peers?

UCBI PE Ratio vs Peers
The above table shows the PE ratio for UCBI vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average11.7x
PACW PacWest Bancorp
5.6x6.1%US$3.2b
BANF BancFirst
20x3.3%US$3.1b
FINN First National of Nebraska
7.9xn/aUS$3.7b
IBTX Independent Bank Group
13.4x9.0%US$2.9b
UCBI United Community Banks
13.8x24.7%US$3.3b

Price-To-Earnings vs Peers: UCBI is expensive based on its Price-To-Earnings Ratio (13.8x) compared to the peer average (11.7x).


Price to Earnings Ratio vs Industry

How does UCBI's PE Ratio compare vs other companies in the US Banks Industry?

Price-To-Earnings vs Industry: UCBI is expensive based on its Price-To-Earnings Ratio (13.8x) compared to the US Banks industry average (9.6x)


Price to Earnings Ratio vs Fair Ratio

What is UCBI's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

UCBI PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio13.8x
Fair PE Ratio17.8x

Price-To-Earnings vs Fair Ratio: UCBI is good value based on its Price-To-Earnings Ratio (13.8x) compared to the estimated Fair Price-To-Earnings Ratio (17.8x).


Share Price vs Fair Value

What is the Fair Price of UCBI when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: UCBI ($30.67) is trading below our estimate of fair value ($58.69)

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


Price to Earnings Growth Ratio

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


Discover undervalued companies

Future Growth

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

Future Growth Score

4/6

Future Growth Score 4/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


24.7%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: UCBI's forecast earnings growth (24.7% per year) is above the savings rate (1.9%).

Earnings vs Market: UCBI's earnings (24.7% per year) are forecast to grow faster than the US market (13.9% per year).

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

Revenue vs Market: UCBI's revenue (15.5% per year) is forecast to grow faster than the US market (8.4% per year).

High Growth Revenue: UCBI's revenue (15.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: UCBI's Return on Equity is forecast to be low in 3 years time (11.6%).


Discover growth companies

Past Performance

How has United Community Banks performed over the past 5 years?

Past Performance Score

3/6

Past Performance Score 3/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


20.8%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: UCBI has high quality earnings.

Growing Profit Margin: UCBI's current net profit margins (32.1%) are higher than last year (30.9%).


Past Earnings Growth Analysis

Earnings Trend: UCBI's earnings have grown significantly by 20.8% per year over the past 5 years.

Accelerating Growth: UCBI's earnings growth over the past year (18.4%) is below its 5-year average (20.8% per year).

Earnings vs Industry: UCBI earnings growth over the past year (18.4%) underperformed the Banks industry 20.7%.


Return on Equity

High ROE: UCBI's Return on Equity (9.1%) is considered low.


Discover strong past performing companies

Financial Health

How is United Community Banks'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: UCBI's Assets to Equity ratio (9x) is low.

Allowance for Bad Loans: UCBI has a sufficient allowance for bad loans (332%).

Low Risk Liabilities: 97% of UCBI's liabilities are made up of primarily low risk sources of funding.

Loan Level: UCBI has an appropriate level of Loans to Assets ratio (58%).

Low Risk Deposits: UCBI's Loans to Deposits ratio (67%) is appropriate.

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


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Dividend

What is United Community Banks's current dividend yield, its reliability and sustainability?

Dividend Score

3/6

Dividend Score 3/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


2.74%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: UCBI's dividend (2.74%) is higher than the bottom 25% of dividend payers in the US market (1.57%).

High Dividend: UCBI's dividend (2.74%) is low compared to the top 25% of dividend payers in the US market (4.23%).


Stability and Growth of Payments

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

Growing Dividend: UCBI's dividend payments have increased, but the company has only paid a dividend for 8 years.


Current Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (31.5%), UCBI's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: UCBI's dividends in 3 years are forecast to be well covered by earnings (26.3% payout ratio).


Discover strong dividend paying companies

Management

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

4.4yrs

Average management tenure


CEO

Herbert Harton (59 yo)

7.33yrs

Tenure

US$3,015,446

Compensation

Mr. Herbert Lynn Harton has been Director of United Community Banks, Inc. since February 10, 2015 and has been its Chairman of the Board since May 8, 2019 and has been its Chief Executive Officer since Jun...


CEO Compensation Analysis

Compensation vs Market: Herbert's total compensation ($USD3.02M) is below average for companies of similar size in the US market ($USD6.87M).

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


Leadership Team

Experienced Management: UCBI's management team is considered experienced (4.4 years average tenure).


Board Members

Experienced Board: UCBI's board of directors are considered experienced (6.4 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: UCBI 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 diluted in the past year, with total shares outstanding growing by 22.2%.


Top Shareholders

Company Information

United Community Banks, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: United Community Banks, Inc.
  • Ticker: UCBI
  • Exchange: NasdaqGS
  • Founded: 1950
  • Industry: Regional Banks
  • Sector: Banks
  • Implied Market Cap: US$3.252b
  • Shares outstanding: 106.03m
  • Website: https://www.ucbi.com

Number of Employees


Location

  • United Community Banks, Inc.
  • 125 Highway 515 East
  • Blairsville
  • Georgia
  • 30512
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/27 00:00
End of Day Share Price2022/06/27 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.