Umpqua Holdings (NasdaqGS:UMPQ) - Share price, News & Analysis

UMPQ fundamental analysis
Snowflake Score
Valuation	6/6
Future Growth	5/6
Past Performance	1/6
Financial Health	6/6
Dividends	6/6

UMPQ Stock Overview

Umpqua Holdings Corporation operates as the holding company of Umpqua Bank that provides commercial and retail banking services.

Rewards

Trading at 73.4% below our estimate of its fair value

Earnings are forecast to grow 39.33% per year

Pays a high and reliable dividend of 4.85%

Risk Analysis

No risks detected for UMPQ from our risk checks.

Umpqua Holdings Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Umpqua Holdings
Historical stock prices
Current Share Price	US$17.31
52 Week High	US$22.06
52 Week Low	US$15.77
Beta	1.02
1 Month Change	0.058%
3 Month Change	-13.41%
1 Year Change	-8.56%
3 Year Change	4.34%
5 Year Change	-5.72%
Change since IPO	207.73%

Recent News & Updates

May 08

Umpqua Holdings (NASDAQ:UMPQ) Will Pay A Dividend Of US$0.21

The board of Umpqua Holdings Corporation ( NASDAQ:UMPQ ) has announced that it will pay a dividend of US$0.21 per share...

Shareholder Returns

	UMPQ	US Banks	US Market
7D	7.7%	3.7%	6.6%
1Y	-8.6%	-17.7%	-18.4%

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

Return vs Market: UMPQ exceeded the US Market which returned -18.5% over the past year.

Price Volatility

Is UMPQ's price volatile compared to industry and market?
UMPQ volatility
UMPQ Average Weekly Movement	5.3%
Banks Industry Average Movement	3.8%
Market Average Movement	8.1%
10% most volatile stocks in US Market	16.6%
10% least volatile stocks in US Market	3.2%

Stable Share Price: UMPQ is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: UMPQ's weekly volatility (5%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1953	4,000	Cort O’Haver	https://www.umpquabank.com

Umpqua Holdings Corporation operates as the holding company of Umpqua Bank that provides commercial and retail banking services. It operates in two segments: Core Banking and Mortgage Banking. The company offers deposit products, including non-interest bearing checking, interest bearing checking and savings, and money market accounts, as well as certificates of deposit.

Umpqua Holdings Fundamentals Summary

How do Umpqua Holdings's earnings and revenue compare to its market cap?
UMPQ fundamental statistics
Market Cap	US$3.76b
Earnings (TTM)	US$403.72m
Revenue (TTM)	US$1.29b

9.3x

P/E Ratio

1.4x

P/B Ratio

Is UMPQ overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
UMPQ income statement (TTM)
Revenue	US$1.29b
Cost of Revenue	US$0
Gross Profit	US$1.29b
Other Expenses	US$888.59m
Earnings	US$403.72m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	1.86
Gross Margin	100.00%
Net Profit Margin	31.24%
Debt/Equity Ratio	37.0%

How did UMPQ perform over the long term?

See historical performance and comparison

Dividends

4.9%

Current Dividend Yield

34%

Payout Ratio

We’ve recently updated our valuation analysis.

Valuation

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

Valuation Score

6/6

Valuation Score 6/6

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 UMPQ?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for UMPQ. This is calculated by dividing UMPQ's market cap by their current preferred multiple.
What is UMPQ's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	US$3.76b

UMPQ 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/Revenue	n/a
Enterprise Value/EBITDA	n/a
PEG Ratio	0.2x

Price to Earnings Ratio vs Peers

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

UMPQ PE Ratio vs Peers

The above table shows the PE ratio for UMPQ vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PE	Estimated Growth	Market Cap
Peer Average	15.7x

Forward PE

Price-To-Earnings vs Peers: UMPQ is good value based on its Price-To-Earnings Ratio (9.3x) compared to the peer average (15.7x).

Price to Earnings Ratio vs Industry

How does UMPQ's PE Ratio compare vs other companies in the U.S. Banks Industry?

Price-To-Earnings vs Industry: UMPQ is good value based on its Price-To-Earnings Ratio (9.3x) compared to the US Banks industry average (9.6x)

Price to Earnings Ratio vs Fair Ratio

What is UMPQ'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.

UMPQ PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	9.3x
Fair PE Ratio	22.9x

Price-To-Earnings vs Fair Ratio: UMPQ is good value based on its Price-To-Earnings Ratio (9.3x) compared to the estimated Fair Price-To-Earnings Ratio (22.9x).

Share Price vs Fair Value

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

Below Fair Value: UMPQ ($17.31) is trading below our estimate of fair value ($64.96)

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

Price to Earnings Growth Ratio

PEG Ratio: UMPQ is good value based on its PEG Ratio (0.2x)

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Future Growth

How is Umpqua Holdings forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

Future Growth Score

5/6

Future Growth Score 5/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

39.3%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: UMPQ's forecast earnings growth (39.3% per year) is above the savings rate (1.9%).

Earnings vs Market: UMPQ's earnings (39.3% per year) are forecast to grow faster than the US market (14% per year).

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

Revenue vs Market: UMPQ's revenue (20.6% per year) is forecast to grow faster than the US market (8.4% per year).

High Growth Revenue: UMPQ's revenue (20.6% per year) is forecast to grow faster than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: UMPQ's Return on Equity is forecast to be low in 3 years time (13.3%).

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Past Performance

How has Umpqua Holdings performed over the past 5 years?

Past Performance Score

1/6

Past Performance Score 1/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

-16.4%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: UMPQ has high quality earnings.

Growing Profit Margin: UMPQ's current net profit margins (31.2%) are lower than last year (34.1%).

Past Earnings Growth Analysis

Earnings Trend: UMPQ's earnings have declined by 16.4% per year over the past 5 years.

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

Earnings vs Industry: UMPQ had negative earnings growth (-7.5%) over the past year, making it difficult to compare to the Banks industry average (20.7%).

Return on Equity

High ROE: UMPQ's Return on Equity (15.5%) is considered low.

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Financial Health

How is Umpqua Holdings'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: UMPQ's Assets to Equity ratio (11.7x) is moderate.

Allowance for Bad Loans: UMPQ has a sufficient allowance for bad loans (597%).

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

Loan Level: UMPQ has an appropriate level of Loans to Assets ratio (74%).

Low Risk Deposits: UMPQ's Loans to Deposits ratio (85%) is appropriate.

Level of Bad Loans: UMPQ has an appropriate level of bad loans (0.2%).

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Dividend

What is Umpqua Holdings's current dividend yield, its reliability and sustainability?

Dividend Score

6/6

Dividend Score 6/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

4.85%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: UMPQ's dividend (4.85%) is higher than the bottom 25% of dividend payers in the US market (1.57%).

High Dividend: UMPQ's dividend (4.85%) is in the top 25% of dividend payers in the US market (4.24%)

Stability and Growth of Payments

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

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

Current Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (34%), UMPQ's dividend payments are well covered by earnings.

Future Payout to Shareholders

Future Dividend Coverage: UMPQ's dividends in 3 years are forecast to be well covered by earnings (32.9% payout ratio).

Discover strong dividend paying companies

Management

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

7.5yrs

Average management tenure

CEO

Cort O’Haver (58 yo)

5.42yrs

Tenure

US$4,760,707

Compensation

Mr. Cort Lane O’Haver serves as Chief Executive Officer & President at Umpqua Bank. Mr. O’Haver has been Chief Executive Officer of Umpqua Holdings Corporation since January 1, 2017 and was President of Um...

CEO Compensation Analysis

Compensation vs Market: Cort's total compensation ($USD4.76M) is below average for companies of similar size in the US market ($USD6.89M).

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

Leadership Team

Experienced Management: UMPQ's management team is seasoned and experienced (7.5 years average tenure).

Board Members

Experienced Board: UMPQ's board of directors are considered experienced (9.8 years average tenure).

Ownership

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

Insider Trading Volume

Insider Buying: UMPQ 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.

Data	Last Updated (UTC time)
Company Analysis	2022/06/26 00:00
End of Day Share Price	2022/06/24 00:00
Earnings	2022/03/31
Annual Earnings	2021/12/31