United Community Banks, Inc.

NYSE:UCB Stock Report

Market Cap: US$3.9b

United Community Banks Valuation

Is UCB 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 UCB when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: UCB ($33.13) is trading below our estimate of fair value ($39.47)

Significantly Below Fair Value: UCB is trading below fair value, but not by a significant amount.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for UCB?

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

The above table shows the Price to Earnings ratio for UCB. This is calculated by dividing UCB's market cap by their current earnings.
What is UCB's PE Ratio?
PE Ratio21.5x
EarningsUS$183.49m
Market CapUS$3.88b

Price to Earnings Ratio vs Peers

How does UCB's PE Ratio compare to its peers?

The above table shows the PE ratio for UCB vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average24.7x
FULT Fulton Financial
14.1x13.4%US$3.8b
CATY Cathay General Bancorp
12.7x4.5%US$3.6b
TFSL TFS Financial
50.3x4.0%US$3.9b
CBU Community Financial System
21.9x17.9%US$3.6b
UCB United Community Banks
21.5x18.8%US$3.9b

Price-To-Earnings vs Peers: UCB is good value based on its Price-To-Earnings Ratio (21.5x) compared to the peer average (24.7x).

Price to Earnings Ratio vs Industry

How does UCB'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
UCB 21.5xIndustry Avg. 12.8xNo. of Companies75PE0612182430+
4 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: UCB is expensive based on its Price-To-Earnings Ratio (21.5x) compared to the US Banks industry average (12.8x).

Price to Earnings Ratio vs Fair Ratio

What is UCB'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.

UCB PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio21.5x
Fair PE Ratio16.9x

Price-To-Earnings vs Fair Ratio: UCB is expensive based on its Price-To-Earnings Ratio (21.5x) compared to the estimated Fair Price-To-Earnings Ratio (16.9x).

Analyst Price Targets

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

The above table shows the analyst UCB forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$33.13
US$32.25
-2.7%
7.8%US$36.00US$28.00n/a6
Nov ’25US$28.22
US$31.36
+11.1%
6.3%US$34.00US$28.00n/a7
Oct ’25US$28.07
US$32.04
+14.1%
5.7%US$35.00US$29.00n/a7
Sep ’25US$30.47
US$32.18
+5.6%
5.8%US$35.00US$29.00n/a7
Aug ’25US$29.81
US$32.64
+9.5%
6.1%US$35.00US$29.00n/a7
Jul ’25US$25.10
US$29.29
+16.7%
5.1%US$32.00US$28.00n/a7
Jun ’25US$25.66
US$29.29
+14.1%
5.1%US$32.00US$28.00n/a7
May ’25US$25.66
US$29.29
+14.1%
5.1%US$32.00US$28.00n/a7
Apr ’25US$25.29
US$30.43
+20.3%
6.8%US$33.00US$28.00n/a7
Mar ’25US$25.65
US$30.86
+20.3%
5.9%US$33.00US$28.00n/a7
Feb ’25US$27.31
US$31.14
+14.0%
5.3%US$33.00US$28.00n/a7
Jan ’25US$29.26
US$30.18
+3.1%
10.2%US$34.00US$26.00n/a7
Dec ’24US$26.23
US$26.89
+2.5%
4.6%US$29.00US$25.00n/a7
Nov ’24US$22.05
US$26.89
+22.0%
4.6%US$29.00US$25.00US$28.227
Oct ’24US$25.41
US$29.57
+16.4%
7.0%US$33.00US$26.00US$28.077
Sep ’24US$27.59
US$30.86
+11.8%
3.3%US$33.00US$30.00US$30.477
Aug ’24US$29.03
US$30.86
+6.3%
3.3%US$33.00US$30.00US$29.817
Jul ’24US$24.99
US$30.00
+20.0%
8.2%US$34.00US$27.00US$25.107
Jun ’24US$23.33
US$31.93
+36.9%
6.7%US$35.50US$29.00US$25.667
May ’24US$24.58
US$31.93
+29.9%
6.7%US$35.50US$29.00US$25.667
Apr ’24US$28.12
US$34.92
+24.2%
8.5%US$38.00US$30.00US$25.296
Mar ’24US$33.04
US$36.42
+10.2%
3.2%US$38.00US$35.00US$25.656
Feb ’24US$32.69
US$35.92
+9.9%
3.6%US$38.00US$34.00US$27.316
Jan ’24US$33.80
US$40.38
+19.5%
2.8%US$42.00US$39.00US$29.266
Dec ’23US$38.68
US$40.54
+4.8%
2.4%US$42.00US$39.00US$26.236
Nov ’23US$38.57
US$40.54
+5.1%
2.4%US$42.00US$39.00US$22.056

Analyst Forecast: Target price is lower than the current share price.

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