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BHLB

Berkshire Hills Bancorp NYSE:BHLB Stock Report

Last Price

US$28.17

Market Cap

US$1.3b

7D

-4.2%

1Y

3.1%

Updated

28 Sep, 2022

Data

Company Financials +
BHLB fundamental analysis
Snowflake Score
Valuation4/6
Future Growth0/6
Past Performance5/6
Financial Health6/6
Dividends2/6

BHLB Stock Overview

Berkshire Hills Bancorp, Inc. operates as the bank holding company for Berkshire Bank that provides various banking products and services.

Berkshire Hills Bancorp Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Berkshire Hills Bancorp
Historical stock prices
Current Share PriceUS$28.17
52 Week HighUS$31.78
52 Week LowUS$23.62
Beta1.06
1 Month Change-0.28%
3 Month Change13.73%
1 Year Change3.11%
3 Year Change-1.92%
5 Year Change-25.67%
Change since IPO128.79%

Recent News & Updates

Jul 20

Berkshire Hills Bancorp Non-GAAP EPS of $0.51 beats by $0.04, revenue of $97.71M beats by $0.93M

Berkshire Hills Bancorp press release (NYSE:BHLB): Q2 Non-GAAP EPS of $0.51 beats by $0.04. Revenue of $97.71M (+0.3% Y/Y) beats by $0.93M.

Shareholder Returns

BHLBUS BanksUS Market
7D-4.2%-4.5%-2.0%
1Y3.1%-23.8%-20.3%

Return vs Industry: BHLB exceeded the US Banks industry which returned -24.8% over the past year.

Return vs Market: BHLB exceeded the US Market which returned -22.1% over the past year.

Price Volatility

Is BHLB's price volatile compared to industry and market?
BHLB volatility
BHLB Average Weekly Movement3.5%
Banks Industry Average Movement3.4%
Market Average Movement6.9%
10% most volatile stocks in US Market15.8%
10% least volatile stocks in US Market2.8%

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

Volatility Over Time: BHLB's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
18461,322Nitin Mhatrehttps://www.berkshirebank.com

Berkshire Hills Bancorp, Inc. operates as the bank holding company for Berkshire Bank that provides various banking products and services. It offers various deposit accounts, including demand deposit, NOW, regular savings, money market savings, time certificates of deposit, and retirement deposit accounts; and loans, such as commercial real estate, commercial and industrial, consumer, and residential mortgage loans. The company also provides wealth management services comprising investment management, trust administration, and financial planning; and investment products, financial planning, and brokerage services.

Berkshire Hills Bancorp Fundamentals Summary

How do Berkshire Hills Bancorp's earnings and revenue compare to its market cap?
BHLB fundamental statistics
Market CapUS$1.26b
Earnings (TTM)US$127.31m
Revenue (TTM)US$434.18m

9.9x

P/E Ratio

1.2x

P/B Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
BHLB income statement (TTM)
RevenueUS$434.18m
Cost of RevenueUS$0
Gross ProfitUS$434.18m
Other ExpensesUS$306.87m
EarningsUS$127.31m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)2.84
Gross Margin100.00%
Net Profit Margin29.32%
Debt/Equity Ratio25.1%

How did BHLB perform over the long term?

See historical performance and comparison

Dividends

1.7%

Current Dividend Yield

18%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is BHLB 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

  • Analyst Forecast

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

BHLB 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 Ratio-3.3x

Price to Earnings Ratio vs Peers

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

BHLB PE Ratio vs Peers
The above table shows the PE ratio for BHLB vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average12.6x
NBHC National Bank Holdings
15.3x42.3%US$1.2b
BUSE First Busey
11x11.1%US$1.3b
FCF First Commonwealth Financial
9.5x13.9%US$1.2b
CHCO City Holding
14.7x3.8%US$1.3b
BHLB Berkshire Hills Bancorp
9.9x-3.0%US$1.3b

Price-To-Earnings vs Peers: BHLB is good value based on its Price-To-Earnings Ratio (9.9x) compared to the peer average (12.6x).


Price to Earnings Ratio vs Industry

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

Price-To-Earnings vs Industry: BHLB is expensive based on its Price-To-Earnings Ratio (9.9x) compared to the US Banks industry average (9.5x)


Price to Earnings Ratio vs Fair Ratio

What is BHLB'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.

BHLB PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio9.9x
Fair PE Ratio10.7x

Price-To-Earnings vs Fair Ratio: BHLB is good value based on its Price-To-Earnings Ratio (9.9x) compared to the estimated Fair Price-To-Earnings Ratio (10.7x).


Share Price vs Fair Value

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

Below Fair Value: BHLB ($28.17) is trading below our estimate of fair value ($39.12)

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


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is less than 20% higher than the current share price.


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Future Growth

How is Berkshire Hills Bancorp forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


-3.0%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BHLB's earnings are forecast to decline over the next 3 years (-3% per year).

Earnings vs Market: BHLB's earnings are forecast to decline over the next 3 years (-3% per year).

High Growth Earnings: BHLB's earnings are forecast to decline over the next 3 years.

Revenue vs Market: BHLB's revenue (5% per year) is forecast to grow slower than the US market (7.6% per year).

High Growth Revenue: BHLB's revenue (5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if BHLB's Return on Equity is forecast to be high in 3 years time


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Past Performance

How has Berkshire Hills Bancorp performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-19.5%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: BHLB has high quality earnings.

Growing Profit Margin: BHLB's current net profit margins (29.3%) are higher than last year (20.3%).


Past Earnings Growth Analysis

Earnings Trend: BHLB has become profitable over the past 5 years, growing earnings by -19.5% per year.

Accelerating Growth: BHLB's earnings growth over the past year (66.3%) exceeds its 5-year average (-19.5% per year).

Earnings vs Industry: BHLB earnings growth over the past year (66.3%) exceeded the Banks industry 8.7%.


Return on Equity

High ROE: BHLB's Return on Equity (12.6%) is considered low.


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Financial Health

How is Berkshire Hills Bancorp'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: BHLB's Assets to Equity ratio (11.4x) is moderate.

Allowance for Bad Loans: BHLB has a sufficient allowance for bad loans (368%).

Low Risk Liabilities: 96% of BHLB's liabilities are made up of primarily low risk sources of funding.

Loan Level: BHLB has an appropriate level of Loans to Assets ratio (67%).

Low Risk Deposits: BHLB's Loans to Deposits ratio (76%) is appropriate.

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


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Dividend

What is Berkshire Hills Bancorp current dividend yield, its reliability and sustainability?

Dividend Score

2/6

Dividend Score 2/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


1.70%

Current Dividend Yield

Dividend Yield vs Market

Berkshire Hills Bancorp Dividend Yield vs Market
How does Berkshire Hills Bancorp dividend yield compare to the market?
SegmentDividend Yield
Company (Berkshire Hills Bancorp)1.7%
Market Bottom 25% (US)1.6%
Market Top 25% (US)4.6%
Industry Average (Banks)3.4%
Analyst forecast in 3 Years (Berkshire Hills Bancorp)1.7%

Notable Dividend: BHLB's dividend (1.7%) is higher than the bottom 25% of dividend payers in the US market (1.67%).

High Dividend: BHLB's dividend (1.7%) is low compared to the top 25% of dividend payers in the US market (4.69%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Earnings Coverage: With its low payout ratio (17.9%), BHLB's dividend payments are well covered by earnings.


Future Payout to Shareholders

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


Discover strong dividend paying companies

Management

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

1.7yrs

Average management tenure


CEO

Nitin Mhatre (51 yo)

1.67yrs

Tenure

US$2,345,027

Compensation

Mr. Nitin J. Mhatre serves as President, Chief Executive Officer and Director at Berkshire Hills Bancorp, Inc. since January 29, 2021. He serves as Chief Executive Officer and Director at Berkshire Bank si...


CEO Compensation Analysis

Nitin Mhatre's Compensation vs Berkshire Hills Bancorp Earnings
How has Nitin Mhatre's remuneration changed compared to Berkshire Hills Bancorp's earnings?
DateTotal Comp.SalaryCompany Earnings
Jun 30 2022n/an/a

US$127m

Mar 31 2022n/an/a

US$126m

Dec 31 2021US$2mUS$644k

US$119m

Compensation vs Market: Nitin's total compensation ($USD2.35M) is below average for companies of similar size in the US market ($USD5.58M).

Compensation vs Earnings: Insufficient data to compare Nitin's compensation with company performance.


Leadership Team

Experienced Management: BHLB's management team is not considered experienced ( 1.7 years average tenure), which suggests a new team.


Board Members

Experienced Board: BHLB's board of directors are not considered experienced ( 2.6 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: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

NYSE:BHLB Recent Insider Transactions by Companies or Individuals
DateValueNameEntityRoleSharesMax Price
31 May 22BuyUS$416Wm. PrescottIndividual16US$26.00
16 May 22SellUS$31,474,691HoldCo Advisors, LPCompany1,274,279US$24.70
10 May 22BuyUS$37,695Nitin MhatreIndividual1,500US$25.13
06 May 22BuyUS$1,006William HughesIndividual40US$25.16
31 Jan 22BuyUS$292,471Jeffrey KipIndividual10,000US$29.25
25 Jan 22BuyUS$79,595Nitin MhatreIndividual2,700US$29.48

Ownership Breakdown

What is the ownership structure of BHLB?
Owner TypeNumber of SharesOwnership Percentage
Individual Insiders468,2691.0%
General Public7,125,62915.9%
Institutions37,214,66783.1%

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Top 25 shareholders own 69.14% of the company
OwnershipNameSharesCurrent ValueChange %Portfolio %
15.53%
BlackRock, Inc.
6,960,755$196.1m-2.46%no data
11.62%
The Vanguard Group, Inc.
5,205,803$146.6m-0.91%no data
6.65%
Dimensional Fund Advisors LP
2,979,356$83.9m5.64%0.02%
5.15%
State Street Global Advisors, Inc.
2,309,199$65.1m-1.86%no data
3.72%
AllianceBernstein L.P.
1,664,780$46.9m-0.79%0.02%
3.06%
William Blair Investment Management, LLC
1,368,987$38.6m-2.53%0.07%
2.26%
Clark Capital Management Group Inc
1,011,704$28.5m0%0.36%
1.87%
Invesco Ltd.
835,858$23.5m-0.46%0.01%
1.8%
Geode Capital Management, LLC
808,754$22.8m-4.41%no data
1.76%
Systematic Financial Management LP
788,351$22.2m0.49%0.72%
1.61%
Driehaus Capital Management LLC
723,529$20.4m1.93%0.23%
1.27%
BNY Mellon Asset Management
567,471$16.0m-5.79%no data
1.25%
Northern Trust Global Investments
560,314$15.8m-4.17%no data
1.25%
Goldman Sachs Asset Management, L.P.
558,729$15.7m-5.81%0.01%
1.19%
Thrivent Investment Management, Inc.
535,017$15.1m1250.41%0.04%
1.18%
Bridgeway Capital Management, LLC
530,411$14.9m10.09%0.35%
1.07%
Norges Bank Investment Management
479,003$13.5m0%no data
1.06%
Aristotle Capital Boston, LLC
473,725$13.3m-48.83%0.41%
0.92%
Teachers Insurance and Annuity Association-College Retirement Equities Fund
414,055$11.7m-3.57%no data
0.91%
Columbia Management Investment Advisers, LLC
407,431$11.5m-2.07%no data
0.89%
HoldCo Advisors, LP
398,923$11.2m-76.16%6.3%
0.81%
Eaton Vance Management
361,921$10.2m-4.11%no data
0.81%
Hotchkis and Wiley Capital Management, LLC
361,470$10.2m4.07%0.04%
0.76%
Invesco Capital Management LLC
338,397$9.5m0.15%0.01%
0.75%
Charles Schwab Investment Management, Inc.
335,098$9.4m-5.43%no data

Company Information

Berkshire Hills Bancorp, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Berkshire Hills Bancorp, Inc.
  • Ticker: BHLB
  • Exchange: NYSE
  • Founded: 1846
  • Industry: Regional Banks
  • Sector: Banks
  • Implied Market Cap: US$1.262b
  • Shares outstanding: 44.81m
  • Website: https://www.berkshirebank.com

Number of Employees


Location

  • Berkshire Hills Bancorp, Inc.
  • 60 State Street
  • Boston
  • Massachusetts
  • 2109
  • United States


Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BHLBNYSE (New York Stock Exchange)YesCommon StockUSUSDJun 2000
4I9DB (Deutsche Boerse AG)YesCommon StockDEEURJun 2000

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/09/28 00:00
End of Day Share Price2022/09/28 00:00
Earnings2022/06/30
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.