VALLEY NATIONAL BANCORP (VLY)
US9197941076 - Common Stock
Taking everything into account, VLY scores 2 out of 10 in our fundamental rating. VLY was compared to 406 industry peers in the Banks industry. Both the profitability and financial health of VLY have multiple concerns. VLY does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
In the past year VLY was profitable.
In the past year VLY has reported a negative cash flow from operations.
VLY had positive earnings in each of the past 5 years.
VLY had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
VLY has a worse Return On Assets (0.51%) than 70.54% of its industry peers.
The Return On Equity of VLY (4.56%) is worse than 75.99% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.51% | ||
| ROE | 4.56% | ||
| ROIC | N/A |
ROA(3y)0.94%
ROA(5y)0.91%
ROE(3y)8.32%
ROE(5y)7.99%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Profit Margin of VLY (17.44%) is worse than 66.34% of its industry peers.
VLY's Profit Margin has been stable in the last couple of years.
The Operating Margin and Gross Margin are not available for VLY so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 17.44% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-4.22%
PM growth 5Y0.33%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
VLY does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for VLY has been increased compared to 1 year ago.
VLY has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, VLY has an improved debt to assets ratio.
2.2 Solvency
A Debt/Equity ratio of 0.11 indicates that VLY is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.11, VLY is in the better half of the industry, outperforming 72.77% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.11 | ||
| Debt/FCF | N/A | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC19.2%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
VLY shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -39.50%.
Measured over the past 5 years, VLY shows a small growth in Earnings Per Share. The EPS has been growing by 5.27% on average per year.
The Revenue has decreased by -7.05% in the past year.
VLY shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 13.79% yearly.
EPS 1Y (TTM)-39.5%
EPS 3Y3.36%
EPS 5Y5.27%
EPS Q2Q%-30.77%
Revenue 1Y (TTM)-7.05%
Revenue growth 3Y13.25%
Revenue growth 5Y13.79%
Sales Q2Q%0.02%
3.2 Future
Based on estimates for the next years, VLY will show a small growth in Earnings Per Share. The EPS will grow by 1.44% on average per year.
The Revenue is expected to grow by 3.80% on average over the next years.
EPS Next Y-38.24%
EPS Next 2Y-6.82%
EPS Next 3Y1.44%
EPS Next 5YN/A
Revenue Next Year-3.32%
Revenue Next 2Y1.67%
Revenue Next 3Y3.8%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 12.72, the valuation of VLY can be described as correct.
The rest of the industry has a similar Price/Earnings ratio as VLY.
Compared to an average S&P500 Price/Earnings ratio of 27.73, VLY is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 9.95, the valuation of VLY can be described as reasonable.
Based on the Price/Forward Earnings ratio, VLY is valued a bit cheaper than 75.74% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of VLY to the average of the S&P500 Index (22.83), we can say VLY is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.72 | ||
| Fwd PE | 9.95 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)2.41
EPS Next 2Y-6.82%
EPS Next 3Y1.44%
5. Dividend
5.1 Amount
VLY has a Yearly Dividend Yield of 4.88%, which is a nice return.
Compared to an average industry Dividend Yield of 3.15, VLY pays a better dividend. On top of this VLY pays more dividend than 87.38% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.34, VLY pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.88% |
5.2 History
The dividend of VLY decreases each year by -1.89%.
VLY has been paying a dividend for at least 10 years, so it has a reliable track record.
As VLY did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)-1.89%
Div Incr Years0
Div Non Decr Years9
5.3 Sustainability
77.03% of the earnings are spent on dividend by VLY. This is not a sustainable payout ratio.
DP77.03%
EPS Next 2Y-6.82%
EPS Next 3Y1.44%
VALLEY NATIONAL BANCORP
NASDAQ:VLY (12/20/2024, 8:00:01 PM)
After market: 9.1601 0 (0%)9.16
+0.15 (+1.66%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)
Earnings (Next)
Inst Owners81.27%
Inst Owner Change-1.89%
Ins Owners1.58%
Ins Owner Change0.09%
Market Cap5.11B
Analysts73.33
Price Target11.12 (21.4%)
Short Float %5.63%
Short Ratio4.56
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.88% |
Dividend Growth(5Y)-1.89%
DP77.03%
Div Incr Years0
Div Non Decr Years9
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-16.5%
Min EPS beat(2)-33.43%
Max EPS beat(2)0.43%
EPS beat(4)1
Avg EPS beat(4)-13.47%
Min EPS beat(4)-33.43%
Max EPS beat(4)0.43%
EPS beat(8)1
Avg EPS beat(8)-9.06%
EPS beat(12)4
Avg EPS beat(12)-5.29%
EPS beat(16)6
Avg EPS beat(16)-4.02%
Revenue beat(2)0
Avg Revenue beat(2)-1.27%
Min Revenue beat(2)-2.49%
Max Revenue beat(2)-0.06%
Revenue beat(4)0
Avg Revenue beat(4)-2.1%
Min Revenue beat(4)-4.83%
Max Revenue beat(4)-0.06%
Revenue beat(8)0
Avg Revenue beat(8)-2.84%
Revenue beat(12)4
Avg Revenue beat(12)-1.1%
Revenue beat(16)7
Avg Revenue beat(16)-1%
PT rev (1m)14.74%
PT rev (3m)23.4%
EPS NQ rev (1m)-4.53%
EPS NQ rev (3m)-37.11%
EPS NY rev (1m)-0.89%
EPS NY rev (3m)-7.5%
Revenue NQ rev (1m)0.36%
Revenue NQ rev (3m)-6.24%
Revenue NY rev (1m)0.05%
Revenue NY rev (3m)-0.64%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.72 | ||
| Fwd PE | 9.95 | ||
| P/S | 2.81 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 0.73 | ||
| P/tB | 1.03 | ||
| EV/EBITDA | N/A |
EPS(TTM)0.72
EY7.86%
EPS(NY)0.92
Fwd EY10.05%
FCF(TTM)-0.24
FCFYN/A
OCF(TTM)-0.22
OCFYN/A
SpS3.26
BVpS12.49
TBVpS8.9
PEG (NY)N/A
PEG (5Y)2.41
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.51% | ||
| ROE | 4.56% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | 17.44% | ||
| GM | N/A | ||
| FCFM | N/A |
ROA(3y)0.94%
ROA(5y)0.91%
ROE(3y)8.32%
ROE(5y)7.99%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-4.22%
PM growth 5Y0.33%
GM growth 3YN/A
GM growth 5YN/A
F-Score2
Asset Turnover0.03
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.11 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 17.99% | ||
| Cap/Sales | 0.78% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score2
WACC19.2%
ROIC/WACCN/A
Cap/Depr(3y)68.38%
Cap/Depr(5y)53.57%
Cap/Sales(3y)3.54%
Cap/Sales(5y)2.92%
Profit Quality(3y)160.08%
Profit Quality(5y)199.74%
High Growth Momentum
Growth
EPS 1Y (TTM)-39.5%
EPS 3Y3.36%
EPS 5Y5.27%
EPS Q2Q%-30.77%
EPS Next Y-38.24%
EPS Next 2Y-6.82%
EPS Next 3Y1.44%
EPS Next 5YN/A
Revenue 1Y (TTM)-7.05%
Revenue growth 3Y13.25%
Revenue growth 5Y13.79%
Sales Q2Q%0.02%
Revenue Next Year-3.32%
Revenue Next 2Y1.67%
Revenue Next 3Y3.8%
Revenue Next 5YN/A
EBIT growth 1YN/A
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-109.64%
FCF growth 3Y33.53%
FCF growth 5Y-11.83%
OCF growth 1Y-108.23%
OCF growth 3Y35.65%
OCF growth 5Y-8.62%