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Market Cap

US$923.5m

Last Updated

2021/05/06 22:39 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. More Details


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

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


Market Performance


7 Day Return

0.2%

BANC

2.4%

US Banks

-1.7%

US Market


1 Year Return

85.6%

BANC

82.9%

US Banks

51.8%

US Market

Return vs Industry: BANC exceeded the US Banks industry which returned 83.3% over the past year.

Return vs Market: BANC exceeded the US Market which returned 52.8% over the past year.


Shareholder returns

BANCIndustryMarket
7 Day0.2%2.4%-1.7%
30 Day-0.3%6.5%1.5%
90 Day1.8%22.6%3.1%
1 Year89.1%85.6%88.8%82.9%54.4%51.8%
3 Year4.3%-2.4%28.3%17.4%63.0%52.8%
5 Year7.1%-4.8%115.1%88.1%127.2%101.9%

Long-Term 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

Valuation

Is Banc of California undervalued compared to its fair value and its price relative to the market?

56.03x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: BANC ($18.34) is trading above our estimate of fair value ($18.15)

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 (56x) compared to the US Banks industry average (12.1x).

PE vs Market: BANC is poor value based on its PE Ratio (56x) compared to the US market (20.4x).


Price to Earnings Growth Ratio

PEG Ratio: BANC is good value based on its PEG Ratio (0.9x)


Price to Book Ratio

PB vs Industry: BANC is overvalued based on its PB Ratio (1.3x) compared to the US Banks industry average (1.1x).


Future Growth

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

62.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BANC's forecast earnings growth (62.1% per year) is above the savings rate (2%).

Earnings vs Market: BANC's earnings (62.1% per year) are forecast to grow faster than the US market (15.7% per year).

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

Revenue vs Market: BANC's revenue (16.1% per year) is forecast to grow faster than the US market (9.2% per year).

High Growth Revenue: BANC's revenue (16.1% 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 (9.7%).


Past Performance

How has Banc of California performed over the past 5 years?

-51.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: BANC has a large one-off loss of $31.7M impacting its March 31 2021 financial results.

Growing Profit Margin: BANC became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: BANC's earnings have declined by 51.6% per year over the past 5 years.

Accelerating Growth: BANC has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: BANC has become profitable in the last year, making it difficult to compare its past year earnings growth to the Banks industry (17.2%).


Return on Equity

High ROE: BANC's Return on Equity (4.2%) is considered low.


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


Financial Institutions Analysis

Asset Level: BANC's Assets to Equity ratio (9.9x) is low.

Allowance for Bad Loans: BANC has a sufficient allowance for bad loans (142%).

Low Risk Liabilities: 86% of BANC's liabilities are made up of primarily low risk sources of funding.

Loan Level: BANC has an appropriate level of Loans to Assets ratio (72%).

Low Risk Deposits: BANC's Loans to Deposits ratio (93%) is appropriate.

Level of Bad Loans: BANC has an appropriate level of bad loans (1%).


Dividend

What is Banc of California current dividend yield, its reliability and sustainability?

1.31%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: BANC's dividend (1.31%) is higher than the bottom 25% of dividend payers in the US market (1.24%).

High Dividend: BANC's dividend (1.31%) is low compared to the top 25% of dividend payers in the US market (3.42%).


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 reasonable payout ratio (73.3%), BANC's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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

2.1yrs

Average management tenure


CEO

Jared Wolff (50 yo)

2.17yrs

Tenure

US$2,116,002

Compensation

Mr. Jared M. Wolff is President and Chief Executive Officer of Banc of California, Inc. and director since March 18, 2019. Mr. Wolff also serves as Chairman of the Board of Banc of California, N.A. and its...


CEO Compensation Analysis

Compensation vs Market: Jared's total compensation ($USD2.12M) is about average for companies of similar size in the US market ($USD2.34M).

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


Leadership Team

Experienced Management: BANC's management team is considered experienced (2.1 years average tenure).


Board Members

Experienced Board: BANC's board of directors are considered experienced (3.9 years average tenure).


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$923.450m
  • Shares outstanding: 50.63m
  • Website: https://bancofcal.com

Number of Employees


Location

  • Banc of California, Inc.
  • 3 MacArthur Place
  • Santa Ana
  • California
  • 92707
  • United States

Listings


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 produ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/05/06 22:39
End of Day Share Price2021/05/06 00:00
Earnings2021/03/31
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.