NYSE:FBC

Stock Analysis Report

Executive Summary

Flagstar Bancorp, Inc. operates as a savings and loan holding company for Flagstar Bank, FSB that provides commercial and consumer banking services to individuals and businesses in the United States.

Snowflake

Fundamentals

Flawless balance sheet with proven track record.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

0.8%

FBC

1.1%

US Mortgage

1.0%

US Market


1 Year Return

30.7%

FBC

13.0%

US Mortgage

6.7%

US Market

Return vs Industry: FBC exceeded the US Mortgage industry which returned 13% over the past year.

Return vs Market: FBC exceeded the US Market which returned 6.7% over the past year.


Shareholder returns

FBCIndustryMarket
7 Day0.8%1.1%1.0%
30 Day3.5%-0.5%-1.8%
90 Day17.4%2.2%-1.8%
1 Year31.2%30.7%15.4%13.0%9.1%6.7%
3 Year42.9%42.4%40.4%30.9%46.1%36.6%
5 Year132.1%131.2%68.9%51.2%66.9%48.6%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Flagstar Bancorp undervalued compared to its fair value and its price relative to the market?

23.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: FBC ($38.27) is trading below our estimate of fair value ($50.23)

Significantly Undervalued: FBC is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: FBC is good value based on its PE Ratio (11x) compared to the Mortgage industry average (14.5x).

PE vs Market: FBC is good value based on its PE Ratio (11x) compared to the US market (17.5x).


Price to Earnings Growth Ratio

Low PEG Ratio: FBC is poor value based on its PEG Ratio (1.5x)


Price to Book Ratio

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


Next Steps

Future Growth

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

7.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: FBC's forecast earnings growth (7.1% per year) is above the savings rate (2.7%).

Earnings vs Market: FBC's earnings (7.1% per year) are forecast to grow slower than the US market (14.5% per year).

High Growth Earnings: FBC's earnings are forecast to grow, but not significantly.

Revenue vs Market: FBC's revenue is expected to decline over the next 3 years (-3.2% per year).

High Growth Revenue: FBC's revenue is forecast to decline over the next 3 years (-3.2%).


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: FBC's Return on Equity is forecast to be low in 3 years time (11.6%).


Next Steps

Past Performance

How has Flagstar Bancorp performed over the past 5 years?

21.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: FBC's earnings have grown significantly by 21.8% per year over the past 5 years.

Accelerating Growth: FBC's earnings growth over the past year (148.8%) exceeds its 5-year average (21.8% per year).

Earnings vs Industry: FBC earnings growth over the past year (148.8%) exceeded the Mortgage industry 31.7%.


Return on Equity

High ROE: FBC's Return on Equity (12%) is considered low.


Return on Assets

ROA vs Industry: FBC has a higher Return on Assets than the Mortgage industry average last year.


Return on Capital Employed

ROCE Improving: Insufficient data to calculate FBC's Return on Capital Employed to determine if it has improved over the past 3 years.


Next Steps

Financial Health

How is Flagstar Bancorp'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

Inventory Level: FBC has a low level of unsold assets or inventory.

Debt Coverage by Assets: FBC's debt is covered by short term assets (assets are 1.210330x debt).


Financial Institutions Analysis

Asset Level: FBC's level of assets compared to its equity is moderate.

Allowance for Bad Loans: FBC has a sufficient allowance for bad loans.

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

Loan Level: FBC has an acceptable proportion of non-loan assets held.

Low Risk Deposits: FBC's loans are broadly funded by customer deposits.

Level of Bad Loans: FBC has an appropriate level of bad loans (0.67%)


Next Steps

Dividend

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

0.42%

Current Dividend Yield


Dividend Yield vs Market

company0.4%marketbottom25%1.5%markettop25%3.8%industryaverage2.8%forecastin3Years0.5%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: FBC's dividend (0.42%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.46%).

High Dividend: FBC's dividend (0.42%) is low compared to the top 25% of dividend payers in the US market (3.77%).

Stable Dividend: FBC is not paying a notable dividend for the US market, therefore no need to check if payments are stable.

Growing Dividend: FBC is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: FBC is not paying a notable dividend for .


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of FBC's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

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

4.9yrs

Average management tenure


CEO

Sandro DiNello (64yo)

6.4yrs

Tenure

US$16,425,199

Compensation

Mr. Alessandro P. DiNello, also known as Sandro, has been the Chief Executive Officer and President of Flagstar Bancorp Inc. since May 15, 2013. Mr. DiNello has been Chief Executive Officer and President o ...


CEO Compensation Analysis

Compensation vs. Market: Sandro's total compensation ($USD16.43M) is about average for companies of similar size in the US market ($USD4.08M).

Compensation vs Earnings: Sandro's compensation has increased by more than 20% in the past year.


Management Age and Tenure

4.9yrs

Average Tenure

53yo

Average Age

Experienced Management: FBC's management team is considered experienced (4.9 years average tenure).


Board Age and Tenure

6.7yrs

Average Tenure

58yo

Average Age

Experienced Board: FBC's board of directors are considered experienced (6.7 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$29,08025 Oct 18
Alessandro DiNello
EntityIndividual
Role
Chief Executive Officer
President
Shares1,000
Max PriceUS$29.08
BuyUS$15,90624 Oct 18
Patrick McGuirk
EntityIndividual
Role
Chief Legal Officer
Executive VP & General Counsel
Shares550
Max PriceUS$28.92

Ownership Breakdown


Management Team

  • Steve Figliuolo (62yo)

    Executive VP & Chief Risk Officer

    • Tenure: 5.1yrs
    • Compensation: US$1.18m
  • Sandro DiNello (64yo)

    President

    • Tenure: 6.4yrs
    • Compensation: US$16.43m
  • Lee Smith (44yo)

    Executive VP & COO of Flagstar Bank

    • Tenure: 6.2yrs
    • Compensation: US$8.62m
  • Jim Ciroli (53yo)

    Executive VP & CFO

    • Tenure: 5.2yrs
    • Compensation: US$1.42m
  • Bryan Marx (43yo)

    Senior VP & Chief Accounting Officer

    • Tenure: 4.8yrs
  • Patrick McGuirk (49yo)

    Executive VP & General Counsel

    • Tenure: 4.3yrs
    • Compensation: US$491.56k
  • Palmer Heenan

    Executive Vice President and Manager of Secondary Marketing

    • Tenure: 4.3yrs
  • Karen Sabatowski

    Chief Compliance Officer and Executive Vice President

    • Tenure: 0yrs
  • Kristy Fercho (53yo)

    Executive VP & President of Mortgage of Bank

    • Tenure: 2.1yrs
    • Compensation: US$1.14m
  • Kenneth Schellenberg

    Vice President of Investor Relations

    • Tenure: 0yrs

Board Members

  • John Lewis (70yo)

    Non-Executive Chairman

    • Tenure: 6.7yrs
    • Compensation: US$399.99k
  • David Treadwell (64yo)

    Director

    • Tenure: 10.4yrs
    • Compensation: US$244.24k
  • David Matlin (57yo)

    Director

    • Tenure: 10.8yrs
  • Jay Hansen (56yo)

    Director

    • Tenure: 14yrs
    • Compensation: US$239.49k
  • Jim Ovenden (55yo)

    Director

    • Tenure: 9.8yrs
    • Compensation: US$230.74k
  • Bruce Nyberg (73yo)

    Director

    • Tenure: 4.6yrs
    • Compensation: US$212.99k
  • Peter Schoels (45yo)

    Director

    • Tenure: 6.7yrs
  • Sandro DiNello (64yo)

    President

    • Tenure: 6.4yrs
    • Compensation: US$16.43m
  • Jennifer Whip (58yo)

    Director

    • Tenure: 2.8yrs
    • Compensation: US$232.99k

Company Information

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


Key Information

  • Name: Flagstar Bancorp, Inc.
  • Ticker: FBC
  • Exchange: NYSE
  • Founded: 1987
  • Industry: Thrifts and Mortgage Finance
  • Sector: Banks
  • Market Cap: US$2.162b
  • Shares outstanding: 56.48m
  • Website: https://www.flagstar.com

Number of Employees


Location

  • Flagstar Bancorp, Inc.
  • 5151 Corporate Drive
  • Troy
  • Michigan
  • 48098
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
FBCNYSE (New York Stock Exchange)YesCommon StockUSUSDApr 1997
FL2PDB (Deutsche Boerse AG)YesCommon StockDEEURApr 1997

Biography

Flagstar Bancorp, Inc. operates as a savings and loan holding company for Flagstar Bank, FSB that provides commercial and consumer banking services to individuals and businesses in the United States. Its C ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/14 23:34
End of Day Share Price2019/10/14 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.