VALLEY NATIONAL BANCORP (VLY) Stock Fundamental Analysis
USA - NASDAQ:VLY - US9197941076 - Common Stock
10.6438 USD
-0.15 (-1.35%)
Taking everything into account, VLY scores 3 out of 10 in our fundamental rating. VLY was compared to 391 industry peers in the Banks industry. VLY has a bad profitability rating. Also its financial health evaluation is rather negative. VLY is not valued too expensively and it also shows a decent growth rate. Finally VLY also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year VLY was profitable.
VLY had a positive operating cash flow in the past year.
Each year in the past 5 years VLY has been profitable.
Each year in the past 5 years VLY had a positive operating cash flow.
1.2 Ratios
VLY's Return On Assets of 0.68% is on the low side compared to the rest of the industry. VLY is outperformed by 62.92% of its industry peers.
VLY has a worse Return On Equity (5.62%) than 72.63% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.68% | ||
| ROE | 5.62% | ||
| ROIC | N/A |
ROA(3y)0.78%
ROA(5y)0.86%
ROE(3y)6.9%
ROE(5y)7.6%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
VLY's Profit Margin of 22.27% is in line compared to the rest of the industry. VLY outperforms 44.25% of its industry peers.
VLY's Profit Margin has declined 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) | 22.27% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-16.82%
PM growth 5Y-6.15%
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.
VLY has more shares outstanding than it did 1 year ago.
The number of shares outstanding for VLY has been increased compared to 5 years ago.
The debt/assets ratio for VLY has remained at the same level compared to a year ago.
2.2 Solvency
VLY has a debt to FCF ratio of 1.55. This is a very positive value and a sign of high solvency as it would only need 1.55 years to pay back of all of its debts.
VLY has a Debt to FCF ratio (1.55) which is comparable to the rest of the industry.
A Debt/Equity ratio of 0.07 indicates that VLY is not too dependend on debt financing.
The Debt to Equity ratio of VLY (0.07) is better than 76.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 1.55 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC20.74%
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 -10.00%.
Measured over the past years, VLY shows a decrease in Earnings Per Share. The EPS has been decreasing by -7.49% on average per year.
Looking at the last year, VLY shows a small growth in Revenue. The Revenue has grown by 4.51% in the last year.
VLY shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 10.66% yearly.
EPS 1Y (TTM)-10%
EPS 3Y-18.41%
EPS 5Y-7.49%
EPS Q2Q%76.92%
Revenue 1Y (TTM)4.51%
Revenue growth 3Y10.59%
Revenue growth 5Y10.66%
Sales Q2Q%9.3%
3.2 Future
VLY is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 28.60% yearly.
Based on estimates for the next years, VLY will show a quite strong growth in Revenue. The Revenue will grow by 8.41% on average per year.
EPS Next Y50.01%
EPS Next 2Y37.17%
EPS Next 3Y28.6%
EPS Next 5YN/A
Revenue Next Year8.95%
Revenue Next 2Y9.23%
Revenue Next 3Y8.41%
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 14.78, the valuation of VLY can be described as correct.
Compared to the rest of the industry, the Price/Earnings ratio of VLY indicates a slightly more expensive valuation: VLY is more expensive than 67.01% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 27.49. VLY is valued slightly cheaper when compared to this.
With a Price/Forward Earnings ratio of 8.98, the valuation of VLY can be described as very reasonable.
Based on the Price/Forward Earnings ratio, VLY is valued a bit cheaper than 67.26% of the companies in the same industry.
VLY's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.99.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.78 | ||
| Fwd PE | 8.98 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, VLY is valued a bit more expensive than the industry average as 64.71% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.5 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
VLY'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 VLY's earnings are expected to grow with 28.60% in the coming years.
PEG (NY)0.3
PEG (5Y)N/A
EPS Next 2Y37.17%
EPS Next 3Y28.6%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.04%, VLY is a good candidate for dividend investing.
VLY's Dividend Yield is a higher than the industry average which is at 3.59.
Compared to an average S&P500 Dividend Yield of 2.43, VLY pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.04% |
5.2 History
The dividend of VLY has a limited annual growth rate of 1.53%.
VLY has been paying a dividend for at least 10 years, so it has a reliable track record.
VLY has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)1.53%
Div Incr Years0
Div Non Decr Years10
5.3 Sustainability
VLY pays out 62.54% of its income as dividend. This is not a sustainable payout ratio.
VLY's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP62.54%
EPS Next 2Y37.17%
EPS Next 3Y28.6%
NASDAQ:VLY (10/15/2025, 9:56:09 AM)
10.6438
-0.15 (-1.35%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)
Earnings (Next)
Inst Owners84.41%
Inst Owner Change0%
Ins Owners1.31%
Ins Owner Change0.28%
Market Cap5.96B
Analysts81.18
Price Target12.47 (17.16%)
Short Float %4.41%
Short Ratio2.93
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.04% |
Yearly Dividend0.47
Dividend Growth(5Y)1.53%
DP62.54%
Div Incr Years0
Div Non Decr Years10
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.55%
Min EPS beat(2)-6%
Max EPS beat(2)2.9%
EPS beat(4)2
Avg EPS beat(4)-2.88%
Min EPS beat(4)-8.83%
Max EPS beat(4)2.9%
EPS beat(8)2
Avg EPS beat(8)-8.33%
EPS beat(12)3
Avg EPS beat(12)-6.87%
EPS beat(16)6
Avg EPS beat(16)-4.68%
Revenue beat(2)0
Avg Revenue beat(2)-1.33%
Min Revenue beat(2)-2.12%
Max Revenue beat(2)-0.55%
Revenue beat(4)1
Avg Revenue beat(4)-0.6%
Min Revenue beat(4)-2.12%
Max Revenue beat(4)0.32%
Revenue beat(8)1
Avg Revenue beat(8)-1.5%
Revenue beat(12)2
Avg Revenue beat(12)-2.04%
Revenue beat(16)6
Avg Revenue beat(16)-0.95%
PT rev (1m)14.04%
PT rev (3m)17.7%
EPS NQ rev (1m)-0.58%
EPS NQ rev (3m)1.38%
EPS NY rev (1m)0.05%
EPS NY rev (3m)1.13%
Revenue NQ rev (1m)-0.26%
Revenue NQ rev (3m)-0.29%
Revenue NY rev (1m)-0.1%
Revenue NY rev (3m)-0.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.78 | ||
| Fwd PE | 8.98 | ||
| P/S | 3.12 | ||
| P/FCF | 16.5 | ||
| P/OCF | 15.8 | ||
| P/B | 0.79 | ||
| P/tB | 1.07 | ||
| EV/EBITDA | N/A |
EPS(TTM)0.72
EY6.76%
EPS(NY)1.19
Fwd EY11.14%
FCF(TTM)0.65
FCFY6.06%
OCF(TTM)0.67
OCFY6.33%
SpS3.41
BVpS13.53
TBVpS9.99
PEG (NY)0.3
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.68% | ||
| ROE | 5.62% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | 22.27% | ||
| GM | N/A | ||
| FCFM | 18.89% |
ROA(3y)0.78%
ROA(5y)0.86%
ROE(3y)6.9%
ROE(5y)7.6%
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-16.82%
PM growth 5Y-6.15%
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.03
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 1.55 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 21.31% | ||
| Cap/Sales | 0.83% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | 84.83% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score7
WACC20.74%
ROIC/WACCN/A
Cap/Depr(3y)58.08%
Cap/Depr(5y)51.11%
Cap/Sales(3y)2.87%
Cap/Sales(5y)2.67%
Profit Quality(3y)151.88%
Profit Quality(5y)132.43%
High Growth Momentum
Growth
EPS 1Y (TTM)-10%
EPS 3Y-18.41%
EPS 5Y-7.49%
EPS Q2Q%76.92%
EPS Next Y50.01%
EPS Next 2Y37.17%
EPS Next 3Y28.6%
EPS Next 5YN/A
Revenue 1Y (TTM)4.51%
Revenue growth 3Y10.59%
Revenue growth 5Y10.66%
Sales Q2Q%9.3%
Revenue Next Year8.95%
Revenue Next 2Y9.23%
Revenue Next 3Y8.41%
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-56.09%
FCF growth 3Y-12.61%
FCF growth 5Y-18.05%
OCF growth 1Y-58.36%
OCF growth 3Y-13.14%
OCF growth 5Y-17.83%