Banc of California
Market Cap
US$329.3m
Last Updated
2020/04/03 23:47 UTC
Data Sources
Company Financials +
Executive Summary
Banc of California, Inc. operates as the bank holding company for Banc of California, National Association that provides banking products and services in the United States.
Rewards
Risk Analysis
Snowflake Analysis
Flawless balance sheet with reasonable growth potential.
Similar Companies
Share Price & News
How has Banc of California's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: BANC's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
-17.4%
BANC
-7.1%
US Banks
-2.0%
US Market
1 Year Return
-55.0%
BANC
-32.9%
US Banks
-15.1%
US Market
Return vs Industry: BANC underperformed the US Banks industry which returned -31.1% over the past year.
Return vs Market: BANC underperformed the US Market which returned -13.6% over the past year.
Shareholder returns
| BANC | Industry | Market | |
|---|---|---|---|
| 7 Day | -17.4% | -7.1% | -2.0% |
| 30 Day | -57.3% | -30.6% | -19.7% |
| 90 Day | -61.3% | -42.5% | -23.2% |
| 1 Year | -54.2%-55.0% | -30.9%-32.9% | -13.4%-15.1% |
| 3 Year | -65.2%-67.7% | -21.7%-27.5% | 10.9%3.7% |
| 5 Year | -38.5%-46.3% | 3.5%-8.4% | 28.4%14.4% |
Price Volatility Vs. Market
How volatile is Banc of California's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
Insider Buying: The Banc of California, Inc. (NYSE:BANC) Director Just Bought US$250k Worth Of Shares1 month ago | Simply Wall St
One Thing To Remember About The Banc of California, Inc. (NYSE:BANC) Share Price2 months ago | Simply Wall St
Can You Imagine How Banc of California's (NYSE:BANC) Shareholders Feel About The 49% Share Price Increase?Valuation
Is Banc of California undervalued compared to its fair value and its price relative to the market?
126.36x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: BANC ($7.16) is trading above our estimate of fair value ($4.02)
Significantly Below Fair Value: BANC is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: BANC is poor value based on its PE Ratio (138.1x) compared to the Banks industry average (8.8x).
PE vs Market: BANC is poor value based on its PE Ratio (138.1x) compared to the US market (12.9x).
Price to Earnings Growth Ratio
PEG Ratio: BANC is poor value based on its PEG Ratio (1.9x)
Price to Book Ratio
PB vs Industry: BANC is good value based on its PB Ratio (0.5x) compared to the US Banks industry average (0.8x).
Next Steps
Future Growth
How is Banc of California forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?
73.6%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: BANC's forecast earnings growth (73.6% per year) is above the savings rate (1.7%).
Earnings vs Market: BANC's earnings (73.6% per year) are forecast to grow faster than the US market (12.3% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: BANC's revenue (8.5% per year) is forecast to grow faster than the US market (7.2% per year).
High Growth Revenue: BANC's revenue (8.5% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: BANC's Return on Equity is forecast to be low in 3 years time (4.4%).
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Past Performance
How has Banc of California performed over the past 5 years?
-20.3%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: BANC has a large one-off gain of $22.6M impacting its December 31 2019 financial results.
Growing Profit Margin: BANC's current net profit margins (1.2%) are lower than last year (7%).
Past Earnings Growth Analysis
Earnings Trend: BANC's earnings have declined by -20.3% per year over the past 5 years.
Accelerating Growth: BANC's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: BANC had negative earnings growth (-86.6%) over the past year, making it difficult to compare to the Banks industry average (10.9%).
Return on Equity
High ROE: BANC's Return on Equity (2.6%) is considered low.
Next Steps
Financial Health
How is Banc of California'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: BANC has a low level of unsold assets or inventory.
Debt Coverage by Assets: BANC's debt is not covered by short term assets (assets are 0.3x debt).
Financial Institutions Analysis
Asset Level: BANC's level of assets compared to its equity is low.
Allowance for Bad Loans: BANC has a sufficient allowance for bad loans.
Low Risk Liabilities: BANC's liabilities are made up of primarily low risk sources of funding.
Loan Level: BANC has an acceptable proportion of non-loan assets held.
Low Risk Deposits: BANC's loans are broadly funded by customer deposits.
Level of Bad Loans: BANC has an appropriate level of bad loans (0.73%)
Next Steps
Dividend
What is Banc of California's current dividend yield, its reliability and sustainability?
3.66%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: BANC's dividend (3.35%) is higher than the bottom 25% of dividend payers in the US market (2%).
High Dividend: BANC's dividend (3.35%) is low compared to the top 25% of dividend payers in the US market (5.56%).
Stability and Growth of Payments
Stable Dividend: BANC's dividend payments have been volatile in the past 10 years.
Growing Dividend: BANC's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (598.1%), BANC's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: BANC's dividends in 3 years are forecast to be well covered by earnings (36.6% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
1.3yrs
Average management tenure
CEO
Jared Wolff (49yo)
1.08s
Tenure
Mr. Jared M. Wolff is President and Chief Executive Officer of Banc of California, Inc., and a director of the Company since March 2019. Mr. Wolff also serves as Chairman of the Board of Banc of California ...
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 1.08yrs | no data | 0.30% $995.0k | |
| CFO & Executive VP | 0.33yr | no data | no data | |
| Senior VP | 1.58yrs | no data | 0.0062% $20.5k | |
| Executive VP | 0.92yr | no data | no data | |
| Executive VP & Chief Human Resources Officer | 1.92yrs | no data | no data | |
| President of Private & Specialty Banking | 3.5yrs | no data | no data | |
| Senior Vice President of Private Banking | 2.08yrs | no data | no data | |
| Senior VP & Relationship Manager | 2yrs | no data | no data | |
| Executive VP | 0.92yr | no data | no data | |
| Executive Vice President of Treasury Management | 0.67yr | no data | no data |
1.3yrs
Average Tenure
50yo
Average Age
Experienced Management: BANC's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 1.08yrs | no data | 0.30% $995.0k | |
| Independent Director | 2.83yrs | US$190.00k | 0.021% $67.6k | |
| Independent Director | 3.17yrs | US$199.39k | 0.14% $458.8k | |
| Independent Chairman of the Board | 3.25yrs | US$291.97k | 0.075% $248.2k | |
| Independent Director | 7yrs | US$212.84k | 0.099% $324.7k | |
| Independent Director | 3.17yrs | US$210.00k | 0.060% $198.4k | |
| Independent Director | 2.83yrs | US$197.51k | 0.024% $78.9k | |
| Independent Director | 0.42yr | no data | 0.079% $259.0k | |
| Independent Director | 1.58yrs | US$102.93k | 0.0073% $24.2k | |
| Independent Director | 0.42yr | no data | 0.00014% $461.0 |
2.8yrs
Average Tenure
60.5yo
Average Age
Experienced Board: BANC's board of directors are not considered experienced ( 2.8 years average tenure), which suggests a new board.
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: BANC 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
Banc of California, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Banc of California, Inc.
- Ticker: BANC
- Exchange: NYSE
- Founded: 1941
- Industry: Regional Banks
- Sector: Banks
- Market Cap: US$329.318m
- Shares outstanding: 50.28m
- Website: https://www.bancofcal.com
Number of Employees
Location
- Banc of California, Inc.
- 3 MacArthur Place
- Santa Ana
- California
- 92707
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| BANC | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Aug 2002 |
| FPB | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Aug 2002 |
| BANC.PRD | NYSE (New York Stock Exchange) | DEP SHS SER-D | US | USD | Apr 2015 | |
| BANC.PRE | NYSE (New York Stock Exchange) | DEP SHS REPSTG | US | USD | Feb 2016 |
Biography
Banc of California, Inc. operates as the bank holding company for Banc of California, National Association that provides banking products and services in the United States. The company offers deposit products, including checking, savings, money market, retirement, and interest and noninterest-bearing demand accounts, as well as certificates of deposit. It also provides various commercial and consumer loan products, such as commercial and industrial loans; commercial real estate loans; multifamily loans; construction and renovation loans; single family residential mortgage loans; warehouse loans; asset, insurance, or security-backed loans; home equity lines of credit; consumer and business lines of credit; small business administration loans; and other consumer loans. In addition, the company offers automated bill payment, cash and treasury management, foreign exchange, card payment, remote and mobile deposit capture, automated clearing house origination, wire transfer, direct deposit, and Internet banking services; and master demand accounts, interest rate swaps, and safe deposit boxes. As of December 31, 2018, it operated 32 full service branches in San Diego, Orange, Santa Barbara, and Los Angeles counties in California. The company was formerly known as First PacTrust Bancorp, Inc. and changed its name to Banc of California, Inc. in July 2013. Banc of California, Inc. was founded in 1941 and is headquartered in Santa Ana, California.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/04/03 23:47 |
| End of Day Share Price | 2020/04/03 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/12/31 |
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.