M&T Bank Corporation

NYSE:MTB.PRH Stock Report

Market Cap: US$36.6b

M&T Bank Valuation

Is MTB.PRH undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

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

Below Fair Value: MTB.PRH ($25.04) is trading below our estimate of fair value ($42.49)

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


Key Valuation Metric

Which metric is best to use when looking at relative valuation for MTB.PRH?

Key metric: As MTB.PRH is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for MTB.PRH. This is calculated by dividing MTB.PRH's market cap by their current earnings.
What is MTB.PRH's PE Ratio?
PE Ratio16.2x
EarningsUS$2.26b
Market CapUS$36.64b

Price to Earnings Ratio vs Peers

How does MTB.PRH's PE Ratio compare to its peers?

The above table shows the PE ratio for MTB.PRH vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average16.1x
HBAN Huntington Bancshares
17.2x10.9%US$26.2b
RF Regions Financial
15.2x12.0%US$24.8b
CFG Citizens Financial Group
18.2x21.7%US$21.2b
EWBC East West Bancorp
13.7x6.3%US$15.3b
MTB.PRH M&T Bank
16.2x6.6%US$36.6b

Price-To-Earnings vs Peers: MTB.PRH is expensive based on its Price-To-Earnings Ratio (16.2x) compared to the peer average (16.1x).


Price to Earnings Ratio vs Industry

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

4 CompaniesPrice / EarningsEstimated GrowthMarket Cap
FRCB First Republic Bank
0.02xn/aUS$27.98m
BKGM BankGuam Holding
1xn/aUS$18.48m
SBNY Signature Bank
0.002xn/aUS$2.18m
BCBH.F Caribbean Investment Holdings
0.00001xn/aUS$132.00
No more companies available in this PE range
MTB.PRH 16.2xIndustry Avg. 13.3xNo. of Companies94PE0816243240+
4 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: MTB.PRH is expensive based on its Price-To-Earnings Ratio (16.2x) compared to the US Banks industry average (13.3x).


Price to Earnings Ratio vs Fair Ratio

What is MTB.PRH'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.

MTB.PRH PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio16.2x
Fair PE Ratio15.6x

Price-To-Earnings vs Fair Ratio: MTB.PRH is expensive based on its Price-To-Earnings Ratio (16.2x) compared to the estimated Fair Price-To-Earnings Ratio (15.6x).


Analyst Price Targets

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

Analyst Forecast: Insufficient data to show price forecast.


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