OTCPK:GUAR.Y

Stock Analysis Report

Executive Summary

Guaranty Trust Bank Plc provides banking products and services in Nigeria, the rest of West Africa, East Africa, and Europe.

Snowflake

Fundamentals

Excellent balance sheet established dividend payer.


Similar Companies

Share Price & News

How has Guaranty Trust Bank's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

0%

GUAR.Y

1.4%

US Banks

1.0%

US Market


1 Year Return

n/a

GUAR.Y

0.2%

US Banks

6.7%

US Market


Share holder returns

GUAR.YIndustryMarket
7 Day0%1.4%1.0%
30 Day0%-2.6%-1.8%
90 Day0%0.8%-1.8%
1 Yearn/a3.1%0.2%9.1%6.7%
3 Yearn/a52.0%41.5%46.1%36.6%
5 Yearn/a69.7%51.2%66.9%48.6%

Price Volatility Vs. Market

How volatile is Guaranty Trust Bank's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Guaranty Trust Bank undervalued based on future cash flows and its price relative to the stock market?

>50%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Undervalued: GUAR.Y ($4.7) is trading below our estimate of fair value ($19.37)

Significantly Undervalued: GUAR.Y is trading below fair value by more than 20%.


Price Based on Earnings

PE vs Industry: GUAR.Y is good value based on its PE Ratio (5.4x) compared to the Banks industry average (12.5x).

PE vs Market: GUAR.Y is good value based on its PE Ratio (5.4x) compared to the US market (17.5x).


Price Based on Expected Growth

Low PEG Ratio: GUAR.Y is poor value based on its PEG Ratio (1.1x)


Price Based on Value of Assets

PB vs Industry: GUAR.Y is overvalued based on its PB Ratio (1.7x) compared to the US Banks industry average (1.2x).


Next Steps

Future Growth

How is Guaranty Trust Bank expected to perform in the next 1 to 3 years based on estimates from 11 analysts?

4.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Earnings vs Savings Rate: GUAR.Y's forecast earnings growth (4.7% per year) is above the savings rate (2.7%).

Earnings vs Market: GUAR.Y's earnings (4.7% per year) are forecast to grow slower than the US market (14.5% per year).

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

Revenue vs Market: GUAR.Y's revenue (7.9% per year) is forecast to grow faster than the US market (7.3% per year).

High Growth Revenue: GUAR.Y's revenue (7.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Estimates


Future Return on Equity

Information is not available.


Next Steps

Past Performance

How has Guaranty Trust Bank performed over the past 5 years?

17.4%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: GUAR.Y's earnings have grown by 17.4% per year over the past 5 years.

Accelerating Growth: GUAR.Y's earnings growth over the past year (10.1%) is below its 5-year average (17.4% per year).

Earnings vs Industry: GUAR.Y earnings growth over the past year (10.1%) underperformed the Banks industry 31.8%.


Return on Equity

High ROE: GUAR.Y's Return on Equity (32.1%) is considered high.


Return on Assets

ROA vs Industry: GUAR.Y has a higher Return on Assets than the Banks industry average last year.


Return on Capital Employed

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


Next Steps

Financial Health

How is Guaranty Trust Bank's financial position?


Financial Position Analysis

Short Term Liabilities: GUAR.Y's short term assets (NGN1,231.9B) do not cover its short term liabilities (NGN2,487.3B)

Long Term Liabilities: GUAR.Y's short term assets (1,231.9B) exceeds its long term liabilities (224.5B)


Debt to Equity History and Analysis

Debt Level: GUAR.Y's debt to equity ratio (31.7%) is considered satisfactory

Reducing Debt: GUAR.Y's debt to equity ratio has reduced from 75.6% to 31.7% over the past 5 years.

Debt Coverage: GUAR.Y's debt is well covered by operating cash flow (55.9%).

Interest Coverage: Insufficient data to determine if GUAR.Y's interest payments on its debt are well covered by EBIT.


Balance Sheet

Information is not available.

Information is not available.


Next Steps

Dividend

What is Guaranty Trust Bank's current dividend yield, its reliability and sustainability?

9.17%

Expected Dividend Yield


Dividend Yield vs Market

company7.8%marketbottom25%1.5%markettop25%3.8%industryaverage2.5%forecastin3Years9.2%

Current dividend yield vs market & industry


Dividend Yield and Payments Analysis

Notable Dividend: GUAR.Y's dividend (7.85%) is higher than the bottom 25% of dividend payers in the US market (1.46%).

High Dividend: GUAR.Y's dividend (7.85%) is in the top 25% of dividend payers in the US market (3.77%)

Stable Dividend: GUAR.Y's dividend payments have been volatile in the past 10 years.

Growing Dividend: GUAR.Y's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (42%), GUAR.Y's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: GUAR.Y's dividends in 3 years are forecast to be well covered by earnings (46.8% payout ratio).


Next Steps

Management

What is the CEO of Guaranty Trust Bank's salary, the management and board of directors tenure and is there insider trading?

2.3yrs

Average management tenure


CEO

Segun Agbaje 0

7.8yrs

Tenure

0

Mr. Julius K. Olusegun Agbaje, also known as Segun, has been the Chief Executive Officer and Managing Director of Guaranty Trust Bank Plc since July 12, 2011 and June 22, 2011 respectively. Mr. Agbaje serv ...


Management Age and Tenure

2.3yrs

Average Tenure

Experienced Management: GUAR.Y's management team is considered experienced (2.3 years average tenure).


Board Age and Tenure

5.8yrs

Average Tenure

Experienced Board: GUAR.Y's board of directors are considered experienced (5.8 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.


Ownership Breakdown


Management Team

  • George Uwakwe

    GM & Head of Enterprise Risk Management Division

    • Tenure: 0yrs
  • Miriam Olusanya

    Head of Wholesale Banking Division & Executive Director

    • Tenure: 0.7yrs
  • Segun Agbaje

    MD, CEO & Director

    • Tenure: 7.8yrs
  • Banji Adeniyi

    GM, CFO and Head of Finl Ctrl Group Reporting & Strategy Div

    • Tenure: 0yrs
  • Sina Ayegbusi

    GM & Head of Technology Division

    • Tenure: 0yrs
  • Subuola Abraham

    GM & Chief Compliance Officer

    • Tenure: 2.3yrs
  • Oyiza Salu

    Deputy GM & Head of Human Resources Group

    • Tenure: 0yrs
  • Oyinade Adegite

    Deputy GM & Head of Communication & External Affairs Group

    • Tenure: 2.3yrs
  • Golden Nwaiwu

    Head of Investor Relations

    • Tenure: 0yrs
  • Olawale Abdul

    Assistant GM & Head of Administration Group

    • Tenure: 1.3yrs

Board Members

  • Miriam Olusanya

    Head of Wholesale Banking Division & Executive Director

    • Tenure: 0.7yrs
  • Demola Odeyemi

    Head of International Banking

    • Tenure: 7.5yrs
  • Haruna Musa

    Head of North-East Division & Public Sector Abuja and Executive Director

    • Tenure: 3.7yrs
  • Bolaji Lawal

    Head of Digital Banking Division & Executive Director

    • Tenure: 2.1yrs
  • Segun Agbaje

    MD, CEO & Director

    • Tenure: 7.8yrs
  • Bayo Adeola

    Non-Executive Director

    • Tenure: 9yrs
  • Bode Agusto

    Non-Executive Director

    • Tenure: 9yrs
  • Ibrahim Hassan

    Non-Executive Director

    • Tenure: 9yrs
  • Osaretin Demuren

    Chairman of Board of Directors

    • Tenure: 4.1yrs
  • Jide Okuntola

    Executive Director & Head of Oil & Gas Division

    • Tenure: 0.3yrs

Company Information

Guaranty Trust Bank Plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Guaranty Trust Bank Plc
  • Ticker: GUAR.Y
  • Exchange: OTCPK
  • Founded: 1990
  • Industry: Diversified Banks
  • Sector: Banks
  • Market Cap: ₦973.860b
  • Listing Market Cap: ₦2.704b
  • Shares outstanding: 27.78b
  • Website: https://www.gtbank.com

Number of Employees


Location

  • Guaranty Trust Bank Plc
  • Plot 635
  • Akin Adesola
  • Lagos
  • Nigeria

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
GUARANTYNGSE (Nigerian Stock Exchange)YesOrdinary SharesNGNGNMay 2000
37G1DB (Deutsche Boerse AG)GDR EACH REPR 50 ORD 'REGS'DEEURJul 2007
GRTBLSE (London Stock Exchange)GDR EACH REPR 50 ORD 'REGS'GBUSDJul 2007
GUAR.YOTCPK (Pink Sheets LLC)GDR EACH REPR 50 ORD 'REGS'USUSDJul 2007
GRTBLBATS-CHIXE (BATS 'Chi-X Europe')GDR EACH REPR 50 ORD 'REGS'GBUSDJul 2007

Biography

Guaranty Trust Bank Plc provides banking products and services in Nigeria, the rest of West Africa, East Africa, and Europe. The company operates through five segments: Corporate Banking, Commercial Bankin ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/04/15 00:11
End of Day Share Price2019/01/15 00:00
Earnings2018/12/31
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.

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