EASTERN BANKSHARES INC (EBC)
US27627N1054 - Common Stock
EBC gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 412 industry peers in the Banks industry. Both the profitability and the financial health of EBC get a neutral evaluation. Nothing too spectacular is happening here. EBC has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year EBC was profitable.
EBC had a positive operating cash flow in the past year.
Each year in the past 5 years EBC has been profitable.
EBC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
EBC has a Return On Assets of 1.10%. This is in the better half of the industry: EBC outperforms 69.90% of its industry peers.
EBC's Return On Equity of 7.81% is on the low side compared to the rest of the industry. EBC is outperformed by 62.14% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.1% | ||
| ROE | 7.81% | ||
| ROIC | N/A |
ROA(3y)0.88%
ROA(5y)0.79%
ROE(3y)6.81%
ROE(5y)5.91%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
EBC has a better Profit Margin (74.25%) than 100.00% of its industry peers.
EBC's Profit Margin has improved in the last couple of years.
EBC does not have Operating Margin and Gross Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 74.25% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y166.67%
PM growth 5Y28.13%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
EBC does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for EBC has been increased compared to 1 year ago.
The number of shares outstanding for EBC has been reduced compared to 5 years ago.
There is no outstanding debt for EBC. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
There is no outstanding debt for EBC. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC15%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
The earnings per share for EBC have decreased strongly by -15.62% in the last year.
EBC shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 18.58% yearly.
EBC shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -53.10%.
EBC shows a very negative growth in Revenue. Measured over the last years, the Revenue has been decreasing by -11.34% yearly.
EPS 1Y (TTM)-15.62%
EPS 3Y135.13%
EPS 5Y18.58%
EPS growth Q2Q-67.74%
Revenue 1Y (TTM)-53.1%
Revenue growth 3Y-18.6%
Revenue growth 5Y-11.34%
Revenue growth Q2Q-17.71%
3.2 Future
Based on estimates for the next years, EBC will show a quite strong growth in Earnings Per Share. The EPS will grow by 18.34% on average per year.
The Revenue is expected to grow by 19.37% on average over the next years. This is quite good.
EPS Next Y8.86%
EPS Next 2Y18.34%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year22.08%
Revenue Next 2Y19.37%
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 stable.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
EBC is valuated correctly with a Price/Earnings ratio of 12.07.
Based on the Price/Earnings ratio, EBC is valued a bit more expensive than the industry average as 68.69% of the companies are valued more cheaply.
When comparing the Price/Earnings ratio of EBC to the average of the S&P500 Index (24.84), we can say EBC is valued rather cheaply.
A Price/Forward Earnings ratio of 11.09 indicates a reasonable valuation of EBC.
EBC's Price/Forward Earnings is on the same level as the industry average.
EBC's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 21.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.07 | ||
| Fwd PE | 11.09 |
4.2 Price Multiples
The rest of the industry has a similar Price/Free Cash Flow ratio as EBC.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.08 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
EBC's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
A more expensive valuation may be justified as EBC's earnings are expected to grow with 18.34% in the coming years.
PEG (NY)1.36
PEG (5Y)0.65
EPS Next 2Y18.34%
EPS Next 3YN/A
5. Dividend
5.1 Amount
EBC has a Yearly Dividend Yield of 3.37%.
EBC's Dividend Yield is comparable with the industry average which is at 3.83.
EBC's Dividend Yield is a higher than the S&P500 average which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.37% |
5.2 History
EBC has been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)N/A
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
28.71% of the earnings are spent on dividend by EBC. This is a low number and sustainable payout ratio.
DP28.71%
EPS Next 2Y18.34%
EPS Next 3YN/A
EASTERN BANKSHARES INC
NASDAQ:EBC (4/26/2024, 7:00:02 PM)
After market: 12.95 -0.09 (-0.69%)13.04
+0.1 (+0.77%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap2.30B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.37% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.07 | ||
| Fwd PE | 11.09 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)1.36
PEG (5Y)0.65
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.1% | ||
| ROE | 7.81% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | N/A | ||
| PM (TTM) | 74.25% | ||
| GM | N/A | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.01
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-15.62%
EPS 3Y135.13%
EPS 5Y
EPS growth Q2Q
EPS Next Y8.86%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-53.1%
Revenue growth 3Y-18.6%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y