NYSE:CADE

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Cadence Bancorporation

Executive Summary

Cadence Bancorporation, a financial holding company, through its subsidiary, Cadence Bank, National Association, provides commercial banking products and services to middle-market commercial businesses, high net worth individuals, business owners, and retail customers in the United States. More Details


Snowflake Analysis

Flawless balance sheet with moderate growth potential.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: CADE is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: CADE's weekly volatility has decreased from 13% to 8% over the past year.


Market Performance


7 Day Return

-12.9%

CADE

-6.2%

US Banks

-2.7%

US Market


1 Year Return

14.2%

CADE

-10.3%

US Banks

21.2%

US Market

Return vs Industry: CADE exceeded the US Banks industry which returned -8% over the past year.

Return vs Market: CADE underperformed the US Market which returned 24.3% over the past year.


Shareholder returns

CADEIndustryMarket
7 Day-12.9%-6.2%-2.7%
30 Day12.5%1.4%1.8%
90 Day63.6%30.9%16.4%
1 Year17.9%14.2%-7.0%-10.3%23.9%21.2%
3 Year-28.2%-34.6%-6.5%-14.5%43.7%34.2%
5 Yearn/a75.1%53.2%124.3%99.2%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Cadence Bancorporation undervalued compared to its fair value and its price relative to the market?

44.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CADE ($18.29) is trading below our estimate of fair value ($33.06)

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


Price To Earnings Ratio

PE vs Industry: CADE is unprofitable, so we can't compare its PE Ratio to the US Banks industry average.

PE vs Market: CADE is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate CADE's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: CADE's PB Ratio (1.1x) is in line with the US Banks industry average.


Next Steps

Future Growth

How is Cadence Bancorporation forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

97.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CADE is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2%).

Earnings vs Market: CADE is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: CADE's is expected to become profitable in the next 3 years.

Revenue vs Market: CADE's revenue (2.6% per year) is forecast to grow slower than the US market (10.6% per year).

High Growth Revenue: CADE's revenue (2.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CADE's Return on Equity is forecast to be low in 3 years time (9.3%).


Next Steps

Past Performance

How has Cadence Bancorporation performed over the past 5 years?

-34.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CADE is currently unprofitable.

Growing Profit Margin: CADE is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: CADE is unprofitable, and losses have increased over the past 5 years at a rate of 34% per year.

Accelerating Growth: Unable to compare CADE's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: CADE is unprofitable, making it difficult to compare its past year earnings growth to the Banks industry (-2.6%).


Return on Equity

High ROE: CADE has a negative Return on Equity (-9.69%), as it is currently unprofitable.


Next Steps

Financial Health

How is Cadence Bancorporation'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: CADE's Assets to Equity ratio (8.8x) is low.

Allowance for Bad Loans: CADE has a sufficient allowance for bad loans (266%).

Low Risk Liabilities: 97% of CADE's liabilities are made up of primarily low risk sources of funding.

Loan Level: CADE has an appropriate level of Loans to Assets ratio (66%).

Low Risk Deposits: CADE's Loans to Deposits ratio (77%) is appropriate.

Level of Bad Loans: CADE has an appropriate level of bad loans (1.1%).


Next Steps

Dividend

What is Cadence Bancorporation current dividend yield, its reliability and sustainability?

3.28%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: CADE's dividend (3.28%) is higher than the bottom 25% of dividend payers in the US market (1.39%).

High Dividend: CADE's dividend (3.28%) is low compared to the top 25% of dividend payers in the US market (3.87%).


Stability and Growth of Payments

Stable Dividend: CADE has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: CADE's dividend payments have increased, but the company has only paid a dividend for 3 years.


Current Payout to Shareholders

Dividend Coverage: CADE is paying a dividend but the company is unprofitable.


Future Payout to Shareholders

Future Dividend Coverage: CADE's dividends in 3 years are forecast to be well covered by earnings (35.6% payout ratio).


Next Steps

Management

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

8.0yrs

Average management tenure


CEO

Paul Murphy (60 yo)

11yrs

Tenure

US$6,455,886

Compensation

Mr. Paul B. Murphy Jr., has been the Chairman and Chief Executive Officer of Cadence Bancorporation (formerly, Cadence Financial Corp.) since 2010 and he serves as its Director since 2010. Mr. Murphy serve...


CEO Compensation Analysis

Compensation vs Market: Paul's total compensation ($USD6.46M) is above average for companies of similar size in the US market ($USD3.86M).

Compensation vs Earnings: Paul's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
Paul Murphy
Chairman & CEO11yrsUS$6.46m0.27%
$ 6.4m
Samuel Tortorici
President & COO10yrsUS$3.69m0.12%
$ 2.8m
Valerie Toalson
Executive VP & CFO8yrsUS$2.59m0.021%
$ 513.6k
Jerry Powell
Executive VP10yrsUS$589.68k0.024%
$ 579.6k
Rudolph Holmes
Executive Vice President5yrsUS$2.79m0.034%
$ 806.7k
Jack Schultz
Executive Vice President5yrsno data0.046%
$ 1.1m
Sheila Ray
Executive Vice President2yrsno data0.033%
$ 781.4k
Thomas Clark
Executive Vice Presidentno datano data0.012%
$ 298.6k
Allison O. Skinner
Senior Corporate Counsel & Assistant Secretaryno datano datano data

8.0yrs

Average Tenure

60yo

Average Age

Experienced Management: CADE's management team is seasoned and experienced (8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Paul Murphy
Chairman & CEO11yrsUS$6.46m0.27%
$ 6.4m
William Harrison
Independent Lead Directorno dataUS$140.00k0.55%
$ 13.0m
Marc J. Shapiro
Independent Director2.67yrsUS$125.00k0.26%
$ 6.1m
Joseph Evans
Independent Vice Chairman2yrsUS$136.25k0.36%
$ 8.6m
J. Wiley
Independent Directorno dataUS$125.00k0.30%
$ 7.1m
J. Fredericks
Independent Director4yrsUS$132.50k0.10%
$ 2.4m
Stanley Levy
Advisory Director4yrsno datano data
Precious Owodunni
Independent Director1.83yrsUS$93.75k0.0074%
$ 177.7k
Kathy Waller
Independent Director1.67yrsUS$93.75k0.078%
$ 1.9m
Virginia Hepner
Independent Director2yrsUS$132.50k0.016%
$ 386.2k

2.3yrs

Average Tenure

65yo

Average Age

Experienced Board: CADE's board of directors are not considered experienced ( 2.3 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: CADE insiders have sold more shares than they have bought 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

Cadence Bancorporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Cadence Bancorporation
  • Ticker: CADE
  • Exchange: NYSE
  • Founded: 1885
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$2.391b
  • Shares outstanding: 125.98m
  • Website: https://www.cadencebancorporation.com

Number of Employees


Location

  • Cadence Bancorporation
  • 2800 Post Oak Boulevard
  • Suite 3800
  • Houston
  • Texas
  • 77056
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CADENYSE (New York Stock Exchange)YesClass A Common StockUSUSDApr 2017
729DB (Deutsche Boerse AG)YesClass A Common StockDEEURApr 2017

Biography

Cadence Bancorporation, a financial holding company, through its subsidiary, Cadence Bank, National Association, provides commercial banking products and services to middle-market commercial businesses, hi...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/01/27 23:34
End of Day Share Price2021/01/27 00:00
Earnings2020/12/31
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.