OFG Bancorp
Market Cap
US$1.1b
Last Updated
2020/01/23 23:42 UTC
Data Sources
Company Financials +
Executive Summary
OFG Bancorp, a financial holding company, provides various banking and financial services.
Rewards
Risk Analysis
Snowflake Analysis
Flawless balance sheet with high growth potential.
Share Price & News
How has OFG Bancorp's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: OFG has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
-1.7%
OFG
-1.0%
US Banks
-0.09%
US Market
1 Year Return
15.9%
OFG
14.7%
US Banks
23.9%
US Market
Return vs Industry: OFG matched the US Banks industry which returned 15.3% over the past year.
Return vs Market: OFG underperformed the US Market which returned 24.7% over the past year.
Shareholder returns
| OFG | Industry | Market | |
|---|---|---|---|
| 7 Day | -1.7% | -1.0% | -0.09% |
| 30 Day | -7.8% | -3.0% | 3.1% |
| 90 Day | 4.4% | 4.5% | 10.4% |
| 1 Year | 17.5%15.9% | 18.0%14.7% | 26.6%23.9% |
| 3 Year | 65.7%56.7% | 28.6%19.4% | 50.9%41.2% |
| 5 Year | 60.8%43.4% | 86.7%65.8% | 78.1%58.5% |
Price Volatility Vs. Market
How volatile is OFG Bancorp's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
Does OFG Bancorp (NYSE:OFG) Have A Particularly Volatile Share Price?2 months ago | Simply Wall St
Is There Now An Opportunity In OFG Bancorp (NYSE:OFG)?2 months ago | Simply Wall St
The OFG Bancorp (NYSE:OFG) Share Price Is Up 101% And Shareholders Are Boasting About ItValuation
Is OFG Bancorp undervalued compared to its fair value and its price relative to the market?
1.0%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: OFG ($21.62) is trading below our estimate of fair value ($21.77)
Significantly Below Fair Value: OFG is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: OFG is poor value based on its PE Ratio (15.1x) compared to the Banks industry average (12.8x).
PE vs Market: OFG is good value based on its PE Ratio (15.1x) compared to the US market (18.9x).
Price to Earnings Growth Ratio
PEG Ratio: OFG is good value based on its PEG Ratio (0.5x)
Price to Book Ratio
PB vs Industry: OFG is good value based on its PB Ratio (1.2x) compared to the US Banks industry average (1.2x).
Next Steps
Future Growth
How is OFG Bancorp forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
29.1%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: OFG's forecast earnings growth (29.1% per year) is above the savings rate (1.7%).
Earnings vs Market: OFG's earnings (29.1% per year) are forecast to grow faster than the US market (14.3% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: OFG's revenue (25.3% per year) is forecast to grow faster than the US market (7.5% per year).
High Growth Revenue: OFG's revenue (25.3% per year) is forecast to grow faster than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: OFG's Return on Equity is forecast to be low in 3 years time (11.2%).
Next Steps
Past Performance
How has OFG Bancorp performed over the past 5 years?
19.5%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: OFG has high quality earnings.
Growing Profit Margin: OFG's current net profit margins (22.6%) are higher than last year (19.8%).
Past Earnings Growth Analysis
Earnings Trend: OFG's earnings have grown by 19.5% per year over the past 5 years.
Accelerating Growth: OFG's earnings growth over the past year (16.2%) is below its 5-year average (19.5% per year).
Earnings vs Industry: OFG earnings growth over the past year (16.2%) underperformed the Banks industry 27.1%.
Return on Equity
High ROE: OFG's Return on Equity (7.6%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is OFG 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: OFG has a low level of unsold assets or inventory.
Debt Coverage by Assets: OFG's debt is covered by short term assets (assets are 3.7x debt).
Financial Institutions Analysis
Asset Level: OFG's level of assets compared to its equity is low.
Allowance for Bad Loans: OFG has a sufficient allowance for bad loans.
Low Risk Liabilities: OFG's liabilities are made up of primarily low risk sources of funding.
Loan Level: OFG has an acceptable proportion of non-loan assets held.
Low Risk Deposits: OFG's loans are broadly funded by customer deposits.
Level of Bad Loans: OFG has an appropriate level of bad loans (1.7%)
Next Steps
Dividend
What is OFG Bancorp's current dividend yield, its reliability and sustainability?
1.30%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: OFG's dividend (1.3%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.4%).
High Dividend: OFG's dividend (1.3%) is low compared to the top 25% of dividend payers in the US market (3.66%).
Stability and Growth of Payments
Stable Dividend: OFG's dividend payments have been volatile in the past 10 years.
Growing Dividend: OFG's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (19.5%), OFG's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: OFG's dividends in 3 years are forecast to be thoroughly covered by earnings (14.7% payout ratio).
Next Steps
Management
What is the CEO of OFG Bancorp's salary, the management and board of directors tenure and is there insider trading?
12.0yrs
Average management tenure
CEO
José Fernández (55yo)
16yrs
Tenure
US$2,800,477
Compensation
Mr. José Rafael Fernández, also known as Jos, has been the Chief Executive Officer and President of OFG Bancorp since 2004. Mr. Fernández has been President of Oriental Financial Services Corp., a subsidia ...
CEO Compensation Analysis
Compensation vs Market: José's total compensation ($USD2.80M) is about average for companies of similar size in the US market ($USD2.53M).
Compensation vs Earnings: José's compensation has increased by more than 20% in the past year.
Management Age and Tenure
12.0yrs
Average Tenure
55yo
Average Age
Experienced Management: OFG's management team is seasoned and experienced (12 years average tenure).
Board Age and Tenure
5.7yrs
Average Tenure
62yo
Average Age
Experienced Board: OFG's board of directors are considered experienced (5.7 years average tenure).
Insider Trading
Insider Buying: OFG insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
| Entity | Company |
| Shares | 1,000 |
| Max Price | US$20.40 |
| Entity | Individual |
| Role | Member of the Board of Directors Independent Director |
| Shares | 650 |
| Max Price | US$20.40 |
| Entity | Individual |
| Role | Member of the Board of Directors Independent Director |
| Shares | 40,000 |
| Max Price | US$20.45 |
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 15.8%.
Management Team
José Fernández (55yo)
Vice Chairman
- Tenure: 16yrs
- Compensation: US$2.80m
Luis Alejandro (58yo)
Senior Vice President and Senior Vice President of Branch Administration
- Tenure: 18.5yrs
Ganesh Kumar (55yo)
Senior EVP
- Tenure: 2.8yrs
- Compensation: US$1.86m
Cesar Ortiz (44yo)
Senior VP and Director of Commercial Credit & Operations
- Tenure: 12.6yrs
- Compensation: US$396.47k
Ramón Rosado-Linera (55yo)
Senior VP & Director of the U.S. Loan Program
- Compensation: US$387.30k
Carlos Souffront
Executive VP
- Tenure: 12yrs
Rafael Cruz (63yo)
Senior VP and Chief Risk & Compliance Officer
- Tenure: 10yrs
- Compensation: US$343.04k
Maritza Arizmendi Díaz (51yo)
Executive VP & CFO
- Tenure: 2.8yrs
- Compensation: US$622.09k
Jennifer Nazario
Senior Vice President of Human Resources
Steven Anreder
Investor Relations Contact
Board Members
José Fernández (55yo)
Vice Chairman
- Tenure: 16yrs
- Compensation: US$2.80m
Julian Inclán (71yo)
Independent Chairman of the Board
- Tenure: 7.5yrs
- Compensation: US$165.56k
Sue Harnett (62yo)
Director
- Tenure: 0.5yrs
Juan Aguayo (55yo)
Independent Director
- Tenure: 15.3yrs
- Compensation: US$88.18k
Pedro Morazzani Ferrer (66yo)
Independent Director
- Tenure: 13.2yrs
- Compensation: US$107.88k
Edwin Hernández (65yo)
Independent Director
- Tenure: 1.3yrs
- Compensation: US$11.00k
Christa Steele (44yo)
Director
- Tenure: 0.3yrs
Jorge Colón Gerena (52yo)
Independent Director
- Tenure: 5.7yrs
- Compensation: US$77.71k
Néstor de Jesús (67yo)
Independent Director
- Tenure: 4yrs
- Compensation: US$77.94k
Company Information
OFG Bancorp's company bio, employee growth, exchange listings and data sources
Key Information
- Name: OFG Bancorp
- Ticker: OFG
- Exchange: NYSE
- Founded: 1964
- Industry: Regional Banks
- Sector: Banks
- Market Cap: US$1.110b
- Shares outstanding: 51.35m
- Website: https://www.ofgbancorp.com
Number of Employees
Location
- OFG Bancorp
- 254 Muñoz Rivera Avenue
- San Juan
- Puerto Rico
- 918
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| OFG | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Jun 1992 |
| OFP | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Jun 1992 |
| OFG.PRD | NYSE (New York Stock Exchange) | PERP PFD-D | US | USD | Nov 2012 | |
| OFG.PRB | NYSE (New York Stock Exchange) | 7% PFD SER B | US | USD | Apr 2013 |
Biography
OFG Bancorp, a financial holding company, provides various banking and financial services. It operates in three segments: Banking, Wealth Management, and Treasury. The company offers checking and savings accounts, as well as time deposit products; commercial, consumer, auto, and mortgage lending products; financial planning, insurance, financial services, and investment brokerage; and corporate and individual trust, and retirement services. It also offers securities brokerage services, including various investment alternatives, such as tax-advantaged fixed income securities, mutual funds, stocks, and bonds to retail and institutional clients; separately-managed accounts and mutual fund asset allocation programs; and trust, retirement planning, pension administration, and other financial services. In addition, the company is involved in the management and participation in public offerings and private placements of debt and equity securities; insurance agency business; and administration of retirement plans. Further, it is involved in various treasury-related functions with an investment portfolio consisting of mortgage-backed securities, obligations of U.S. government sponsored agencies, and money market instruments. The company operates through a network of 37 branches in Puerto Rico. OFG Bancorp was founded in 1964 and is based in San Juan, Puerto Rico.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/01/23 23:42 |
| End of Day Share Price | 2020/01/23 00:00 |
| Earnings | 2019/09/30 |
| Annual Earnings | 2018/12/31 |
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.