BANKUNITED INC (BKU) Stock Fundamental Analysis
USA - NYSE:BKU - US06652K1034 - Common Stock
40.26 USD
+0.1 (+0.25%)
40.26 USD
0 (0%)
Taking everything into account, BKU scores 4 out of 10 in our fundamental rating. BKU was compared to 388 industry peers in the Banks industry. BKU has a bad profitability rating. Also its financial health evaluation is rather negative. BKU has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
BKU had positive earnings in the past year.
In the past year BKU had a positive cash flow from operations.
BKU had positive earnings in each of the past 5 years.
In the past 5 years BKU always reported a positive cash flow from operatings.
1.2 Ratios
BKU has a Return On Assets of 0.71%. This is in the lower half of the industry: BKU underperforms 61.03% of its industry peers.
Looking at the Return On Equity, with a value of 8.58%, BKU is in line with its industry, outperforming 50.77% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.71% | ||
| ROE | 8.58% | ||
| ROIC | N/A |
ROA(3y)0.63%
ROA(5y)0.72%
ROE(3y)8.8%
ROE(5y)9.24%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Profit Margin of BKU (24.13%) is comparable to the rest of the industry.
BKU's Profit Margin has declined in the last couple of years.
The Operating Margin and Gross Margin are not available for BKU so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 24.13% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-19.98%
PM growth 5Y-7.51%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
BKU does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for BKU has been increased compared to 1 year ago.
BKU has less shares outstanding than it did 5 years ago.
BKU has a worse debt/assets ratio than last year.
2.2 Solvency
BKU has a debt to FCF ratio of 1.94. This is a very positive value and a sign of high solvency as it would only need 1.94 years to pay back of all of its debts.
BKU's Debt to FCF ratio of 1.94 is in line compared to the rest of the industry. BKU outperforms 49.49% of its industry peers.
BKU has a Debt/Equity ratio of 0.24. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.24, BKU is doing worse than 62.82% of the companies in the same industry.
Although BKU does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | 1.94 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC14.34%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 21.16% over the past year.
The Earnings Per Share has been decreasing by -0.70% on average over the past years.
The Revenue has grown by 8.77% in the past year. This is quite good.
BKU shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.40% yearly.
EPS 1Y (TTM)21.16%
EPS 3Y-9.61%
EPS 5Y-0.7%
EPS Q2Q%17.28%
Revenue 1Y (TTM)8.77%
Revenue growth 3Y2.91%
Revenue growth 5Y2.4%
Sales Q2Q%7.26%
3.2 Future
Based on estimates for the next years, BKU will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.09% on average per year.
The Revenue is expected to grow by 6.30% on average over the next years.
EPS Next Y14.98%
EPS Next 2Y9.16%
EPS Next 3Y9.09%
EPS Next 5YN/A
Revenue Next Year7.32%
Revenue Next 2Y6.57%
Revenue Next 3Y6.3%
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
Based on the Price/Earnings ratio of 11.34, the valuation of BKU can be described as reasonable.
BKU's Price/Earnings ratio is in line with the industry average.
BKU's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.06.
Based on the Price/Forward Earnings ratio of 10.97, the valuation of BKU can be described as reasonable.
BKU's Price/Forward Earnings is on the same level as the industry average.
When comparing the Price/Forward Earnings ratio of BKU to the average of the S&P500 Index (32.73), we can say BKU is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.34 | ||
| Fwd PE | 10.97 |
4.2 Price Multiples
78.72% of the companies in the same industry are more expensive than BKU, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.28 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
BKU's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.76
PEG (5Y)N/A
EPS Next 2Y9.16%
EPS Next 3Y9.09%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.09%, BKU has a reasonable but not impressive dividend return.
BKU's Dividend Yield is comparable with the industry average which is at 3.38.
BKU's Dividend Yield is a higher than the S&P500 average which is at 2.37.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.09% |
5.2 History
The dividend of BKU has a limited annual growth rate of 5.76%.
BKU has paid a dividend for at least 10 years, which is a reliable track record.
BKU has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)5.76%
Div Incr Years5
Div Non Decr Years9
5.3 Sustainability
34.96% of the earnings are spent on dividend by BKU. This is a low number and sustainable payout ratio.
The dividend of BKU is growing, but earnings are growing more, so the dividend growth is sustainable.
DP34.96%
EPS Next 2Y9.16%
EPS Next 3Y9.09%
40.26
+0.1 (+0.25%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)
Earnings (Next)
Inst Owners106.08%
Inst Owner Change-0.42%
Ins Owners0.8%
Ins Owner Change1.09%
Market Cap3.03B
Revenue(TTM)1.07B
Net Income(TTM)253.51M
Analysts68
Price Target43.37 (7.72%)
Short Float %3.24%
Short Ratio2.66
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.09% |
Yearly Dividend1.15
Dividend Growth(5Y)5.76%
DP34.96%
Div Incr Years5
Div Non Decr Years9
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)9.89%
Min EPS beat(2)4.44%
Max EPS beat(2)15.35%
EPS beat(4)4
Avg EPS beat(4)13.42%
Min EPS beat(4)4.44%
Max EPS beat(4)25.68%
EPS beat(8)7
Avg EPS beat(8)8.4%
EPS beat(12)8
Avg EPS beat(12)2.28%
EPS beat(16)10
Avg EPS beat(16)1.54%
Revenue beat(2)1
Avg Revenue beat(2)-1.12%
Min Revenue beat(2)-3.8%
Max Revenue beat(2)1.56%
Revenue beat(4)2
Avg Revenue beat(4)-1.1%
Min Revenue beat(4)-3.8%
Max Revenue beat(4)1.56%
Revenue beat(8)3
Avg Revenue beat(8)-3.41%
Revenue beat(12)3
Avg Revenue beat(12)-3.39%
Revenue beat(16)4
Avg Revenue beat(16)-2.98%
PT rev (1m)-0.97%
PT rev (3m)0.1%
EPS NQ rev (1m)-0.25%
EPS NQ rev (3m)1.23%
EPS NY rev (1m)2.17%
EPS NY rev (3m)8.6%
Revenue NQ rev (1m)-0.25%
Revenue NQ rev (3m)0.11%
Revenue NY rev (1m)-0.63%
Revenue NY rev (3m)-0.45%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.34 | ||
| Fwd PE | 10.97 | ||
| P/S | 2.88 | ||
| P/FCF | 8.28 | ||
| P/OCF | 8.28 | ||
| P/B | 1.03 | ||
| P/tB | 1.05 | ||
| EV/EBITDA | N/A |
EPS(TTM)3.55
EY8.82%
EPS(NY)3.67
Fwd EY9.12%
FCF(TTM)4.86
FCFY12.07%
OCF(TTM)4.86
OCFY12.07%
SpS13.97
BVpS39.26
TBVpS38.23
PEG (NY)0.76
PEG (5Y)N/A
Graham Number56
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.71% | ||
| ROE | 8.58% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | 24.13% | ||
| GM | N/A | ||
| FCFM | 34.79% |
ROA(3y)0.63%
ROA(5y)0.72%
ROE(3y)8.8%
ROE(5y)9.24%
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-19.98%
PM growth 5Y-7.51%
GM growth 3YN/A
GM growth 5YN/A
F-Score8
Asset Turnover0.03
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | 1.94 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | 144.21% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score8
WACC14.34%
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)342.56%
Profit Quality(5y)352.42%
High Growth Momentum
Growth
EPS 1Y (TTM)21.16%
EPS 3Y-9.61%
EPS 5Y-0.7%
EPS Q2Q%17.28%
EPS Next Y14.98%
EPS Next 2Y9.16%
EPS Next 3Y9.09%
EPS Next 5YN/A
Revenue 1Y (TTM)8.77%
Revenue growth 3Y2.91%
Revenue growth 5Y2.4%
Sales Q2Q%7.26%
Revenue Next Year7.32%
Revenue Next 2Y6.57%
Revenue Next 3Y6.3%
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-44.78%
FCF growth 3Y-28.28%
FCF growth 5Y-5.38%
OCF growth 1Y-44.78%
OCF growth 3Y-29.16%
OCF growth 5Y-7.36%
BANKUNITED INC / BKU FAQ
What is the fundamental rating for BKU stock?
ChartMill assigns a fundamental rating of 4 / 10 to BKU.
What is the valuation status for BKU stock?
ChartMill assigns a valuation rating of 5 / 10 to BANKUNITED INC (BKU). This can be considered as Fairly Valued.
Can you provide the profitability details for BANKUNITED INC?
BANKUNITED INC (BKU) has a profitability rating of 3 / 10.
What is the earnings growth outlook for BANKUNITED INC?
The Earnings per Share (EPS) of BANKUNITED INC (BKU) is expected to grow by 14.98% in the next year.
How sustainable is the dividend of BANKUNITED INC (BKU) stock?
The dividend rating of BANKUNITED INC (BKU) is 6 / 10 and the dividend payout ratio is 34.96%.