Eastern Bankshares Inc (EBC, Financial), a commercial bank operating in the banking industry, has seen a significant surge in its stock price over the past three months. With a current market cap of $2.46 billion and a price of $13.94, the company's stock has gained 5.31% over the past week and a remarkable 23.52% over the past three months. This article aims to provide an in-depth analysis of Eastern Bankshares Inc's stock performance, profitability, growth, and its position in the banking industry.
Stock Performance
Eastern Bankshares Inc's stock performance has been impressive, with a significant gain of 23.52% over the past three months. The company's GF Value, which calculates a stock's intrinsic value using historical multiples, past performance adjustments, and future business estimates, is currently at $15.69, up from $15.28 three months ago. This indicates that the stock is modestly undervalued, a status that has remained consistent over the past three months. This suggests that the stock has potential for further growth.
Company Introduction
Eastern Bankshares Inc is a commercial bank that offers a range of products and services to retail, commercial, and small business customers. Its diversified offerings include lending, deposit, wealth management, and insurance products. The company operates through two segments: the Banking business, which offers commercial, retail, wealth management, and banking services, and the Insurance agency business, which offers commercial, personal, and employee benefits insurance products to individual and commercial clients.
Profitability
Eastern Bankshares Inc's profitability rank is 2/10, indicating its profitability relative to other companies in the industry. The company's ROE and ROA, which are -1.90% and -0.22% respectively, are better than 3.18% and 3.58% of companies in the industry. Over the past 10 years, the company has had 5 years of profitability, better than 10.05% of companies in the industry.
Growth
The company's 3-Year Revenue Growth Rate per Share is 16.70%, better than 86.14% of companies in the industry. Its 3-Year EPS without NRI Growth Rate is 23.50%, better than 79.7% of companies in the industry. These figures indicate that Eastern Bankshares Inc has experienced significant growth over the past three years.
Holders
The top three holders of Eastern Bankshares Inc's stock are Jim Simons (Trades, Portfolio), Keeley-Teton Advisors, LLC (Trades, Portfolio), and First Pacific Advisors (Trades, Portfolio), holding 0.3%, 0.11%, and 0.05% of the company's stock respectively.
Competitors
Eastern Bankshares Inc's main competitors in the banking industry are Community Bank System Inc (CBU, Financial) with a market cap of $2.56 billion, CVB Financial Corp (CVBF, Financial) with a market cap of $2.51 billion, and BankUnited Inc (BKU, Financial) with a market cap of $2.01 billion. These figures indicate that Eastern Bankshares Inc is competitive within its industry.
Conclusion
In conclusion, Eastern Bankshares Inc's stock performance, profitability, and growth indicate that the company is in a strong position within the banking industry. With a significant surge in its stock price over the past three months and a GF Value indicating that the stock is modestly undervalued, Eastern Bankshares Inc presents an attractive investment opportunity. However, as with any investment, potential investors should conduct thorough research and consider the company's financial health, market position, and future prospects before making an investment decision.
