A Fresh Look at BankUnited (BKU) Valuation as Tampa Expansion Signals Growth Ambitions

BankUnited (BKU) just announced it will open a new, much larger corporate office in Tampa, Florida. This is an obvious sign the company is leaning into growth in the region. The move makes sense, considering Tampa’s fast-growing business scene and BankUnited’s push to strengthen its corporate and commercial banking operations and CRE lending. With a new 5,449-square-foot space in Park Tower coming online in early 2026, it’s not just a fresh address; it’s a statement about where the bank sees opportunity.

This expansion comes after a year where BankUnited stock quietly gained 13% and has picked up steam recently, climbing over 15% in the past three months. That’s not runaway growth, but it does hint that investors are picking up on the bank’s improving business outlook and higher confidence in its strategy. Backed by steady revenue and net income growth, BankUnited has managed to outperform many of its peers while staying under the radar, suggesting momentum may be building.

The big question for investors now is whether this regional push could mean BankUnited stock is still undervalued or if the market has already priced in the bank’s next wave of growth potential.

Most Popular Narrative: 8.6% Undervalued

According to the most widely followed analyst narrative, BankUnited is currently seen as undervalued, with a fair value above its latest share price. The narrative highlights strategic growth drivers and disciplined management actions as pillars of the valuation thesis.

Continued investment in fee-based business lines (such as syndication, commercial card, and capital markets income) and digital channels is expected to improve revenue diversification and capture new high-margin streams. This supports net margin and non-interest income growth. Management's disciplined pricing, focus on business mix, and ongoing improvement in deposit cost structure have produced margin expansion even in a stable rate environment. This suggests room for further net interest margin and earnings growth as legacy low-yield loans reprice.

Want to glimpse what’s really powering this bullish target? The narrative hinges on bold projections for growth, margins, and future profit multiples. Get a look inside the forecast that has analysts calling for higher upside than you might expect. Find out how well BankUnited could deliver on these ambitious assumptions and what it means for value-focused investors.

Result: Fair Value of $43 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, persistent credit risks in the office real estate segment or a slowdown in deposit growth could pose challenges to the bank’s growth narrative in the future.

Find out about the key risks to this BankUnited narrative.

Another View: SWS DCF Model Perspective

While analysts use future earnings to estimate BankUnited’s worth, our SWS DCF model takes a different approach by weighing long-term cash flows. This model also points to the stock trading below its intrinsic value. But could this alternate view reveal hidden risks or upside?

Look into how the SWS DCF model arrives at its fair value.

Simply Wall St performs a discounted cash flow (DCF) on every stock in the world every day (check out BankUnited for example). We show the entire calculation in full. You can track the result in your watchlist or portfolio and be alerted when this changes, or use our stock screener to discover undervalued stocks based on their cash flows. If you save a screener we even alert you when new companies match - so you never miss a potential opportunity.

Build Your Own BankUnited Narrative

If you see things differently or love digging into the numbers yourself, you can craft your own take on BankUnited’s story in just minutes. Do it your way.

A great starting point for your BankUnited research is our analysis highlighting 5 key rewards and 2 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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