BERKSHIRE HILLS BANCORP INC (BHLB) Stock Fundamental Analysis
USA - NYSE:BHLB - US0846801076 - Common Stock
26.13 USD
-0.17 (-0.65%)
26.13 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to BHLB. BHLB was compared to 390 industry peers in the Banks industry. BHLB may be in some trouble as it scores bad on both profitability and health. An interesting combination arises when we look at growth and value: BHLB is growing strongly while it also seems undervalued.
1. Profitability
1.1 Basic Checks
BHLB had positive earnings in the past year.
In the past year BHLB had a positive cash flow from operations.
Of the past 5 years BHLB 4 years were profitable.
In the past 5 years BHLB always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 0.94%, BHLB is in line with its industry, outperforming 57.83% of the companies in the same industry.
Looking at the Return On Equity, with a value of 9.27%, BHLB is in line with its industry, outperforming 58.59% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.94% | ||
| ROE | 9.27% | ||
| ROIC | N/A |
ROA(3y)0.62%
ROA(5y)-0.26%
ROE(3y)7.27%
ROE(5y)-2.61%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
BHLB has a Profit Margin of 24.62%. This is comparable to the rest of the industry: BHLB outperforms 55.05% of its industry peers.
In the last couple of years the Profit Margin of BHLB has declined.
The Operating Margin and Gross Margin are not available for BHLB so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 24.62% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-17.67%
PM growth 5Y-6.62%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
BHLB does not have a ROIC to compare to the WACC, probably because it is not profitable.
BHLB has more shares outstanding than it did 1 year ago.
The number of shares outstanding for BHLB has been reduced compared to 5 years ago.
BHLB has a better debt/assets ratio than last year.
2.2 Solvency
The Debt to FCF ratio of BHLB is 0.90, which is an excellent value as it means it would take BHLB, only 0.90 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of BHLB (0.90) is better than 73.48% of its industry peers.
A Debt/Equity ratio of 0.10 indicates that BHLB is not too dependend on debt financing.
BHLB has a Debt to Equity ratio of 0.10. This is in the better half of the industry: BHLB outperforms 69.44% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.1 | ||
| Debt/FCF | 0.9 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC7.99%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
BHLB shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 21.08%, which is quite impressive.
Measured over the past years, BHLB shows a decrease in Earnings Per Share. The EPS has been decreasing by -1.63% on average per year.
The Revenue has grown by 30.64% in the past year. This is a very strong growth!
Measured over the past years, BHLB shows a decrease in Revenue. The Revenue has been decreasing by -2.30% on average per year.
EPS 1Y (TTM)21.08%
EPS 3Y-2.83%
EPS 5Y-1.63%
EPS Q2Q%25.45%
Revenue 1Y (TTM)30.64%
Revenue growth 3Y-2.71%
Revenue growth 5Y-2.3%
Sales Q2Q%3.83%
3.2 Future
BHLB is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 30.09% yearly.
BHLB is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 56.15% yearly.
EPS Next Y23.59%
EPS Next 2Y30.09%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year36.1%
Revenue Next 2Y56.15%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 10.58 indicates a reasonable valuation of BHLB.
Based on the Price/Earnings ratio, BHLB is valued a bit cheaper than 77.78% of the companies in the same industry.
When comparing the Price/Earnings ratio of BHLB to the average of the S&P500 Index (26.11), we can say BHLB is valued rather cheaply.
The Price/Forward Earnings ratio is 6.96, which indicates a rather cheap valuation of BHLB.
Based on the Price/Forward Earnings ratio, BHLB is valued cheaply inside the industry as 90.91% of the companies are valued more expensively.
BHLB is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.55, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.58 | ||
| Fwd PE | 6.96 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, BHLB is valued a bit cheaper than the industry average as 77.78% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.93 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
BHLB's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as BHLB's earnings are expected to grow with 30.09% in the coming years.
PEG (NY)0.45
PEG (5Y)N/A
EPS Next 2Y30.09%
EPS Next 3YN/A
5. Dividend
5.1 Amount
BHLB has a Yearly Dividend Yield of 2.76%.
BHLB's Dividend Yield is comparable with the industry average which is at 3.51.
Compared to an average S&P500 Dividend Yield of 2.37, BHLB has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.76% |
5.2 History
The dividend of BHLB decreases each year by -6.24%.
BHLB has paid a dividend for at least 10 years, which is a reliable track record.
BHLB has decreased its dividend in the last 3 years.
Dividend Growth(5Y)-6.24%
Div Incr Years0
Div Non Decr Years2
5.3 Sustainability
28.33% of the earnings are spent on dividend by BHLB. This is a low number and sustainable payout ratio.
DP28.33%
EPS Next 2Y30.09%
EPS Next 3YN/A
26.13
-0.17 (-0.65%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)
Earnings (Next)
Inst Owners95.14%
Inst Owner Change2.8%
Ins Owners0.87%
Ins Owner Change-0.02%
Market Cap1.21B
Revenue(TTM)459.91M
Net Income(TTM)113.25M
Analysts76.67
Price Target32.29 (23.57%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.76% |
Yearly Dividend0.69
Dividend Growth(5Y)-6.24%
DP28.33%
Div Incr Years0
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)12.24%
Min EPS beat(2)10.47%
Max EPS beat(2)14.01%
EPS beat(4)4
Avg EPS beat(4)9.1%
Min EPS beat(4)3.8%
Max EPS beat(4)14.01%
EPS beat(8)7
Avg EPS beat(8)5.56%
EPS beat(12)8
Avg EPS beat(12)0.97%
EPS beat(16)11
Avg EPS beat(16)1.94%
Revenue beat(2)0
Avg Revenue beat(2)-3.39%
Min Revenue beat(2)-4.28%
Max Revenue beat(2)-2.51%
Revenue beat(4)0
Avg Revenue beat(4)-3.47%
Min Revenue beat(4)-4.58%
Max Revenue beat(4)-2.5%
Revenue beat(8)0
Avg Revenue beat(8)-4.47%
Revenue beat(12)3
Avg Revenue beat(12)0.91%
Revenue beat(16)7
Avg Revenue beat(16)11.93%
PT rev (1m)0%
PT rev (3m)-0.78%
EPS NQ rev (1m)0.43%
EPS NQ rev (3m)4.33%
EPS NY rev (1m)3.46%
EPS NY rev (3m)3.46%
Revenue NQ rev (1m)-2.29%
Revenue NQ rev (3m)-2.91%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.41%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.58 | ||
| Fwd PE | 6.96 | ||
| P/S | 2.64 | ||
| P/FCF | 8.93 | ||
| P/OCF | 8.34 | ||
| P/B | 0.99 | ||
| P/tB | 1 | ||
| EV/EBITDA | N/A |
EPS(TTM)2.47
EY9.45%
EPS(NY)3.76
Fwd EY14.38%
FCF(TTM)2.93
FCFY11.2%
OCF(TTM)3.13
OCFY11.99%
SpS9.91
BVpS26.35
TBVpS26.07
PEG (NY)0.45
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.94% | ||
| ROE | 9.27% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | 24.62% | ||
| GM | N/A | ||
| FCFM | 29.52% |
ROA(3y)0.62%
ROA(5y)-0.26%
ROE(3y)7.27%
ROE(5y)-2.61%
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
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-17.67%
PM growth 5Y-6.62%
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.04
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.1 | ||
| Debt/FCF | 0.9 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 89.7% | ||
| Cap/Sales | 2.09% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | 119.89% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score7
WACC7.99%
ROIC/WACCN/A
Cap/Depr(3y)21.12%
Cap/Depr(5y)22.6%
Cap/Sales(3y)0.65%
Cap/Sales(5y)0.84%
Profit Quality(3y)184.17%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)21.08%
EPS 3Y-2.83%
EPS 5Y-1.63%
EPS Q2Q%25.45%
EPS Next Y23.59%
EPS Next 2Y30.09%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)30.64%
Revenue growth 3Y-2.71%
Revenue growth 5Y-2.3%
Sales Q2Q%3.83%
Revenue Next Year36.1%
Revenue Next 2Y56.15%
Revenue Next 3YN/A
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-19.38%
FCF growth 3Y5.1%
FCF growth 5Y3.64%
OCF growth 1Y-14.49%
OCF growth 3Y5.87%
OCF growth 5Y2.35%
BERKSHIRE HILLS BANCORP INC / BHLB FAQ
What is the fundamental rating for BHLB stock?
ChartMill assigns a fundamental rating of 5 / 10 to BHLB.
Can you provide the valuation status for BERKSHIRE HILLS BANCORP INC?
ChartMill assigns a valuation rating of 7 / 10 to BERKSHIRE HILLS BANCORP INC (BHLB). This can be considered as Undervalued.
How profitable is BERKSHIRE HILLS BANCORP INC (BHLB) stock?
BERKSHIRE HILLS BANCORP INC (BHLB) has a profitability rating of 3 / 10.
What are the PE and PB ratios of BERKSHIRE HILLS BANCORP INC (BHLB) stock?
The Price/Earnings (PE) ratio for BERKSHIRE HILLS BANCORP INC (BHLB) is 10.58 and the Price/Book (PB) ratio is 0.99.
How sustainable is the dividend of BERKSHIRE HILLS BANCORP INC (BHLB) stock?
The dividend rating of BERKSHIRE HILLS BANCORP INC (BHLB) is 4 / 10 and the dividend payout ratio is 28.33%.