What's Driving Glacier Bancorp Inc's Surprising 38% Stock Rally?

Glacier Bancorp Inc (GBCI, Financial) has experienced a notable uptick in its stock performance, with a market capitalization now standing at $4.65 billion. Over the past week, the stock price has climbed to $41.92, marking a 2.17% gain. This upward trajectory becomes even more impressive when considering the 37.58% increase over the past three months. According to the GF Value, which is currently at $47.35, Glacier Bancorp is considered Modestly Undervalued. This is a shift from the previous assessment three months ago, where the stock was seen as a Possible Value Trap, suggesting investors should Think Twice before investing.

Glacier Bancorp Inc: A Pillar in Regional Banking

Glacier Bancorp Inc operates as a regional bank holding company, providing essential commercial banking services across multiple states including Montana, Idaho, Colorado, Utah, Washington, and Wyoming. Through its subsidiary, Glacier Bank, it offers a comprehensive suite of products and services such as deposits, loans, and mortgage origination, catering to individuals, small to medium-sized businesses, community organizations, and public entities. The company's strategic focus on internal growth and selective acquisitions has positioned it well within the banking industry. 1751971401407033344.png

Assessing Glacier Bancorp's Profitability

Glacier Bancorp's Profitability Rank stands at 6/10, reflecting a solid position in terms of earnings. The company's Return on Equity (ROE) is 8.65%, which is more favorable than 38.51% of its peers in the industry. Furthermore, its Return on Assets (ROA) of 0.91% surpasses 48.48% of the industry. Notably, Glacier Bancorp has maintained profitability for the past 10 years, a feat better than 99.93% of companies in its sector. 1751971419211853824.png

Growth Trajectory of Glacier Bancorp

The company's Growth Rank is also at 6/10. Glacier Bancorp's 3-Year Revenue Growth Rate per Share stands at 5.20%, outperforming 42.51% of the industry. Its 5-Year Revenue Growth Rate per Share is even more impressive at 7.30%, surpassing 61.92% of its competitors. The 3-Year EPS without NRI Growth Rate is 5.50%, which is better than 39.12% of the industry, and the 5-Year EPS without NRI Growth Rate is a robust 10.00%, exceeding 56.13% of its peers. 1751971436521746432.png

Notable Shareholders in Glacier Bancorp

Several prominent investors have taken notice of Glacier Bancorp's potential. Ken Fisher (Trades, Portfolio) holds a significant stake with 1,250,472 shares, accounting for 1.13% of the shares outstanding. Mairs and Power (Trades, Portfolio) also have a vested interest with 229,225 shares, representing 0.21% of the company. Additionally, Paul Tudor Jones (Trades, Portfolio) has invested in 112,033 shares, making up 0.1% of the shares outstanding.

Glacier Bancorp's Competitive Landscape

When compared to its competitors, Glacier Bancorp holds its ground with a market cap of $4.65 billion. It stands alongside First Financial Bankshares Inc (FFIN, Financial) with a market cap of $4.6 billion, United Bankshares Inc (UBSI, Financial) at $4.96 billion, and Home BancShares Inc (HOMB, Financial) closely trailing with a market cap of $4.97 billion. These companies represent the competitive environment in which Glacier Bancorp operates within the banking industry.

Conclusion: Glacier Bancorp's Market Position

In summary, Glacier Bancorp Inc has demonstrated a strong stock performance with significant gains over the past three months. The company's profitability and growth metrics are commendable, with a consistent track record of profitability over the past decade. Its strategic focus on growth through internal means and acquisitions has paid off, as reflected in its revenue and EPS growth rates. With the backing of notable investors and a competitive position in the banking industry, Glacier Bancorp is well-positioned for continued success. Investors looking for a potentially undervalued stock in the regional banking sector may find Glacier Bancorp an attractive option.

This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.

Disclosures

I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.