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Banks with the lowest price-to-adjusted TBV

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Banks with the lowest price-to-adjusted TBV

WestfieldFinancial Inc. is among the banks with the lowest price-to-adjustedtangible book value following its recently announced of

S&P Global Market Intelligence analyzedprice-to-adjusted tangible book values across the U.S. banking industry. As ofMay 3 this ratio was 96.6% at Westfield Financial. When the company announced plansto purchase Chicopee Bancorp on April 4, some analysts the shareholder dilution andearnback period. Westfield Financialestimated TBV dilution of 6% with an earnback period of about 4.7years. Westfield Financial's stock fell 10.1% on a total return basisfrom March 31 to May 3, well off the 5.5% gain in the SNL Bank & ThriftIndex.

West Point, Ga.-based Charter Financial Corp. was also among the banks withthe lowest price/adjusted TBV. The bank's stock declined 7.3% from the end ofMarch to May 3. Charter completed the acquisition of CBS Financial Corp. on April 15.

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In this analysis, Johnstown, Pa.-based was again thebank with the lowest price/adjusted TBV, at 64.8% as of May 3. , the bank a net loss of 7 centsper share in the first quarter, largely because of an elevated loan lossprovision. For comparison, the bank reported EPS of 7 cents in the firstquarter of 2015.

CitigroupInc. was second on the price/adjusted TBV list, with a ratio of74.3%. The company's first-quarter net income 27% from a year earlier to $3.50billion, or $1.10 per share. Citi disclosed that itheld $23.7 billion of outstanding energy and energy-related loansat March 31, more than any other public bank or thrift based in the U.S.

Bank of AmericaCorp. was the other money-center bank on the list, with aprice/adjusted TBV ratio of 93.5%. Like Citi, BofA's EPS and operating revenuewere lower on a year-over-year basis. The bank energy reserves by $525million from year-end 2015 to $1.0 billion at March 31.

Price/adjusted TBV at Wilmington, Del.-based was 85.4%. Thecompany reported a net loss available to common shareholders of $10.9 million,or 29 cents per share, for the first quarter, the of the loss to $14.3million of Bank Secrecy Act and lookback consulting expenses.

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Click here for a relative valuation model. This template provides pricing trends and profitability ratios for financial institutions.

Click here to read a previous analysis of banks with the lowest price-to-adjusted tangible book value.