NYSE:BKU

Stock Analysis Report

Executive Summary

BankUnited, Inc. operates as the bank holding company for BankUnited, National Association that provides a range of banking services to small and medium sized businesses, and individual and corporate customers in the United States.

Snowflake

Fundamentals

Excellent balance sheet and fair value.


Similar Companies

Share Price & News

How has BankUnited's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

1.2%

NYSE:BKU

3.3%

US Banks

2.1%

US Market


1 Year Return

-20.4%

NYSE:BKU

-13.8%

US Banks

-0.04%

US Market

BKU underperformed the Banks industry which returned -14.8% over the past year.

BKU underperformed the Market in United States of America which returned 0.2% over the past year.


Share holder returns

BKUIndustryMarket
7 Day1.2%3.3%2.1%
30 Day-9.7%-7.0%-3.2%
90 Day-6.1%-2.3%2.8%
1 Year-18.4%-20.4%-11.3%-13.8%2.2%-0.04%
3 Year9.2%1.6%42.5%32.7%41.5%32.3%
5 Year14.2%0.9%54.2%37.6%55.0%37.8%

Price Volatility Vs. Market

How volatile is BankUnited's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is BankUnited undervalued based on future cash flows and its price relative to the stock market?

11.14x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

BankUnited's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

BankUnited's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

BankUnited is good value based on earnings compared to the US Banks industry average.

BankUnited is good value based on earnings compared to the United States of America market.


Price Based on Expected Growth

BankUnited is poor value based on expected growth next year.


Price Based on Value of Assets

BankUnited is good value based on assets compared to the US Banks industry average.


Next Steps

Future Growth

How is BankUnited expected to perform in the next 1 to 3 years based on estimates from 10 analysts?

3.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

BankUnited's revenue is expected to grow by 1.7% yearly, however this is not considered high growth (20% yearly).

BankUnited's earnings are expected to grow by 3.3% yearly, however this is not considered high growth (20% yearly).

BankUnited's revenue growth is positive but not above the United States of America market average.

BankUnited's earnings growth is positive but not above the United States of America market average.

BankUnited's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

BankUnited is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has BankUnited performed over the past 5 years?

20.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

BankUnited's year on year earnings growth rate has been positive over the past 5 years.

BankUnited's 1-year earnings growth is negative, it can't be compared to the 5-year average.

BankUnited's 1-year earnings growth is negative, it can't be compared to the US Banks industry average.


Return on Equity

BankUnited has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

BankUnited used its assets less efficiently than the US Banks industry average last year based on Return on Assets.


Return on Capital Employed

Unable to establish if BankUnited improved its use of capital last year versus 3 years ago (Return on Capital Employed) due to insufficient past data.


Next Steps

Financial Health

How is BankUnited'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

Information is not available.

Information is not available.


Financial Institutions Analysis

BankUnited has an acceptable proportion of non-loan assets held.

BankUnited has a low allowance for bad loans.

BankUnited's liabilities are made up of primarily low risk sources of funding.

BankUnited's level of assets compared to its equity is moderate (i.e. an appropriate level of borrowing to fund lending).

Loans at BankUnited are broadly funded by customer deposits.

BankUnited has an acceptable level of bad loans (less than 2%).


Next Steps

Dividend

What is BankUnited's current dividend yield, its reliability and sustainability?

2.68%

Expected Dividend Yield


Dividend Yield and Payments Analysis

BankUnited's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.49%).

BankUnited's dividend is below the markets top 25% of dividend payers in United States of America (3.84%).

Whilst dividend payments have been stable, BankUnited has been paying a dividend for less than 10 years.

Dividend payments have increased, but BankUnited only paid a dividend in the past 8 years.


Current Payout to Shareholders

Dividends paid are well covered by earnings (3.4x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be well covered by earnings (3.8x coverage).


Next Steps

Management

What is the CEO of BankUnited's salary, the management and board of directors tenure and is there insider trading?

4.3yrs

Average management tenure


CEO

Raj Singh (48yo)

2.6yrs

Tenure

US$5,599,377

Compensation

Mr. Rajinder P. Singh, also known as Raj, has been the Chief Executive Officer and President of BankUnited, Inc. since January 1, 2017 and founded it. Mr. Singh served as the Chief Operating Officer at Ban ...


CEO Compensation Analysis

Raj's remuneration is about average for companies of similar size in United States of America.

Raj's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

4.3yrs

Average Tenure

54yo

Average Age

The tenure for the BankUnited management team is about average.


Board Age and Tenure

4.0yrs

Average Tenure

60yo

Average Age

The tenure for the BankUnited board of directors is about average.


Insider Trading

BankUnited individual insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$61,38626 Jul 19
Jay Richards
EntityIndividual
Shares1,782
Max PriceUS$34.45
BuyUS$7601 Feb 19
William Rubenstein
EntityIndividual
Role
Member of the Board of Directors
Director
Shares2.24
Max PriceUS$33.82
SellUS$31,82229 Oct 18
Mark Bagnoli
EntityIndividual
Shares1,000
Max PriceUS$31.82
BuyUS$19,93228 Aug 18
John DiGiacomo
EntityIndividual
Role
Member of the Board of Directors
Director
Shares500
Max PriceUS$39.86

Ownership Breakdown


Management Team

  • Thomas Cornish (60yo)

    Chief Operating Officer

    • Tenure: 2.6yrs
    • Compensation: US$2.69m
  • Raj Singh (48yo)

    Founder

    • Tenure: 2.6yrs
    • Compensation: US$5.60m
  • Leslie Lunak (61yo)

    Chief Financial Officer

    • Tenure: 6.4yrs
    • Compensation: US$1.57m
  • Chris Perry

    Executive VP & Director of Human Resources

    • Tenure: 0.0yrs
  • Claire Raley

    Senior VP & Community Development Officer

    • Tenure: 6.3yrs
  • Mike Quigley

    Executive VP & Director of Business Banking for New York & Long Island

    • Tenure: 6.3yrs
  • Cristina di Mauro

    Senior EVP & Commercial Banking Executive

    • Tenure: 6.1yrs
  • Hakim Kassam

    Senior VP & MD of Small Business Finance

    • Tenure: 4.3yrs
  • Rishi Bansal (45yo)

    Chief Investment Officer of BankUnited

    • Tenure: 2.5yrs
    • Compensation: US$1.71m
  • Michael Alford

    General Counsel

    • Tenure: 0.2yrs

Board Members

  • Sanjiv Sobti (57yo)

    Director

    • Tenure: 5.3yrs
    • Compensation: US$192.80k
  • Bill Rubenstein (63yo)

    Director

    • Tenure: 2.0yrs
    • Compensation: US$157.99k
  • Doug Pauls (60yo)

    Director

    • Tenure: 5.3yrs
    • Compensation: US$203.55k
  • Michael Dowling (70yo)

    Director

    • Tenure: 6.3yrs
    • Compensation: US$157.99k
  • Lynne Wines (64yo)

    Director

    • Tenure: 4.0yrs
    • Compensation: US$192.80k
  • Tere Blanca (58yo)

    Director

    • Tenure: 5.9yrs
    • Compensation: US$142.80k
  • Raj Singh (48yo)

    Founder

    • Tenure: 2.6yrs
    • Compensation: US$5.60m
  • John DiGiacomo (57yo)

    Director

    • Tenure: 1.0yrs
    • Compensation: US$36.02k
  • A. Prudenti (65yo)

    Director

    • Tenure: 4.0yrs
    • Compensation: US$142.80k

Company Information

BankUnited, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: BankUnited, Inc.
  • Ticker: BKU
  • Exchange: NYSE
  • Founded:
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$3.027b
  • Shares outstanding: 95.07m
  • Website: https://www.bankunited.com

Number of Employees


Location

  • BankUnited, Inc.
  • 14817 Oak Lane
  • Miami Lakes
  • Florida
  • 33016
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BKUNYSE (New York Stock Exchange)YesCommon StockUSUSDJan 2011
BNUDB (Deutsche Boerse AG)YesCommon StockDEEURJan 2011

Biography

BankUnited, Inc. operates as the bank holding company for BankUnited, National Association that provides a range of banking services to small and medium sized businesses, and individual and corporate custo ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/23 00:16
End of Day Share Price2019/08/22 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.