VLY

Valley National BancorpNasdaqGS:VLY Stock Report

Market Cap

US$4.9b

7D

-0.4%

1Y

70.6%

Updated

18 Sep, 2021

Data

Company Financials +
VLY fundamental analysis
Snowflake Score
Valuation3/6
Future Growth1/6
Past Performance5/6
Financial Health6/6
Dividends4/6

VLY Overview

Valley National Bancorp operates as the holding company for Valley National Bank that provides various commercial, retail, insurance, and wealth management financial services products.

Valley National Bancorp Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Valley National Bancorp
Historical stock prices
Current Share PriceUS$12.11
52 Week HighUS$6.50
52 Week LowUS$14.74
Beta1.31
1 Month Change-6.85%
3 Month Change-6.20%
1 Year Change70.56%
3 Year Change0.75%
5 Year Change26.02%
Change since IPO240.76%

Recent News & Updates

Sep 05
Valley National Bancorp (NASDAQ:VLY) Has Announced A Dividend Of US$0.11

Valley National Bancorp (NASDAQ:VLY) Has Announced A Dividend Of US$0.11

Valley National Bancorp ( NASDAQ:VLY ) has announced that it will pay a dividend of US$0.11 per share on the 1st of...

Aug 22
Valley National Bancorp (NASDAQ:VLY) Has Affirmed Its Dividend Of US$0.11

Valley National Bancorp (NASDAQ:VLY) Has Affirmed Its Dividend Of US$0.11

The board of Valley National Bancorp ( NASDAQ:VLY ) has announced that it will pay a dividend of US$0.11 per share on...

Shareholder Returns

VLYUS BanksUS Market
7D-0.4%0.9%-0.6%
1Y70.6%63.3%33.8%

Return vs Industry: VLY exceeded the US Banks industry which returned 62.5% over the past year.

Return vs Market: VLY exceeded the US Market which returned 33.6% over the past year.

Price Volatility

Is VLY's price volatile compared to industry and market?
VLY volatility
VLY Beta1.31
Industry Beta1.37
Market Beta1

Stable Share Price: VLY is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 4% a week.

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

About the Company

FoundedEmployeesCEOWebsite
19273,155Ira Robbinshttps://www.valley.com

Valley National Bancorp operates as the holding company for Valley National Bank that provides various commercial, retail, insurance, and wealth management financial services products. The company operates through Commercial Lending, Consumer Lending, and Investment Management segments. Its deposit products include non-interest bearing, savings, NOW, and money market accounts, as well as time deposits.

Valley National Bancorp Fundamentals Summary

How do Valley National Bancorp's earnings and revenue compare to its market cap?
VLY fundamental statistics
Market CapUS$4.92b
Earnings (TTM)US$431.27m
Revenue (TTM)US$1.26b

11.4x

P/E Ratio

1.1x

P/B Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
VLY income statement (TTM)
RevenueUS$1.26b
Cost of RevenueUS$0
Gross ProfitUS$1.26b
ExpensesUS$824.78m
EarningsUS$431.27m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)1.07
Gross Margin100.00%
Net Profit Margin34.34%
Debt/Equity Ratio60.7%

How did VLY perform over the long term?

See historical performance and comparison

Dividends

3.6%

Current Dividend Yield

41%

Payout Ratio

Valuation

Is Valley National Bancorp undervalued compared to its fair value and its price relative to the market?

40.4%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: VLY ($12.11) is trading below our estimate of fair value ($20.31)

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


Price To Earnings Ratio

PE vs Industry: VLY is poor value based on its PE Ratio (11.4x) compared to the US Banks industry average (10.7x).

PE vs Market: VLY is good value based on its PE Ratio (11.4x) compared to the US market (17.8x).


Price to Earnings Growth Ratio

PEG Ratio: VLY is poor value based on its PEG Ratio (1.8x)


Price to Book Ratio

PB vs Industry: VLY's PB Ratio (1.1x) is in line with the US Banks industry average.


Future Growth

How is Valley National Bancorp forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

6.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: VLY's forecast earnings growth (6.3% per year) is above the savings rate (2%).

Earnings vs Market: VLY's earnings (6.3% per year) are forecast to grow slower than the US market (14.8% per year).

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

Revenue vs Market: VLY's revenue (4.4% per year) is forecast to grow slower than the US market (9.7% per year).

High Growth Revenue: VLY's revenue (4.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: VLY's Return on Equity is forecast to be low in 3 years time (10%).


Past Performance

How has Valley National Bancorp performed over the past 5 years?

23.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: VLY has high quality earnings.

Growing Profit Margin: VLY's current net profit margins (34.3%) are higher than last year (27.2%).


Past Earnings Growth Analysis

Earnings Trend: VLY's earnings have grown significantly by 23.6% per year over the past 5 years.

Accelerating Growth: VLY's earnings growth over the past year (48.6%) exceeds its 5-year average (23.6% per year).

Earnings vs Industry: VLY earnings growth over the past year (48.6%) exceeded the Banks industry 36%.


Return on Equity

High ROE: VLY's Return on Equity (9.4%) is considered low.


Financial Health

How is Valley National 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


Financial Institutions Analysis

Asset Level: VLY's Assets to Equity ratio (8.7x) is low.

Allowance for Bad Loans: VLY has a sufficient allowance for bad loans (154%).

Low Risk Liabilities: 91% of VLY's liabilities are made up of primarily low risk sources of funding.

Loan Level: VLY has an appropriate level of Loans to Assets ratio (78%).

Low Risk Deposits: VLY's Loans to Deposits ratio (97%) is appropriate.

Level of Bad Loans: VLY has an appropriate level of bad loans (0.7%).


Dividend

What is Valley National Bancorp current dividend yield, its reliability and sustainability?

3.63%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: VLY's dividend (3.63%) is higher than the bottom 25% of dividend payers in the US market (1.34%).

High Dividend: VLY's dividend (3.63%) is in the top 25% of dividend payers in the US market (3.6%)


Stability and Growth of Payments

Stable Dividend: VLY's dividend payments have been volatile in the past 10 years.

Growing Dividend: VLY's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (41.3%), VLY's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: VLY's dividends in 3 years are forecast to be well covered by earnings (36.4% payout ratio).


Next Steps

Management

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

3.8yrs

Average management tenure


CEO

Ira Robbins (46 yo)

3.75yrs

Tenure

US$4,879,048

Compensation

Mr. Ira D. Robbins, CPA, has been the President of Valley National Bancorp since January 5, 2017 and has been its Chief Executive Officer and Chairman of the Board. Mr. Robbins serves as Chairman, Presiden...


CEO Compensation Analysis

Compensation vs Market: Ira's total compensation ($USD4.88M) is about average for companies of similar size in the US market ($USD6.45M).

Compensation vs Earnings: Ira's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: VLY's management team is considered experienced (3.8 years average tenure).


Board Members

Experienced Board: VLY's board of directors are considered experienced (8.1 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

Valley National Bancorp's employee growth, exchange listings and data sources


Key Information

  • Name: Valley National Bancorp
  • Ticker: VLY
  • Exchange: NasdaqGS
  • Founded: 1927
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$4.924b
  • Shares outstanding: 406.60m
  • Website: https://www.valley.com

Number of Employees


Location

  • Valley National Bancorp
  • One Penn Plaza
  • New York
  • New York
  • 10119
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/18 00:48
End of Day Share Price2021/09/17 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.