Valley National Bancorp (VLY) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

KeyCorp

Valley National Bancorp

Regions Financial Corp.

BOK Financial Corp.

Credicorp Ltd.

Capital One Financial Corp.

The PNC Financial Services Group, Inc.

Citizens Financial Group, Inc. (Rhode Island)

Huntington Bancshares, Inc.

Zions Bancorporation, NA

Comerica, Inc.

Why is Valley National Bancorp ?

Healthy long term growth as Net Interest Income (ex other income) has grown by an annual rate of 0% and Net profit at 8.35%

Positive results in Dec 25

ROCE(HY) Highest at 0.94%
OPERATING PROFIT MARGIN(Q) Highest at 25.29 %
PRE-TAX PROFIT(Q) Highest at USD 221.7 MM

With ROA of 0.55%, it has a very attractive valuation with a 0.76 Price to Book Value

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 33.30%, its profits have risen by 19.5% ; the PEG ratio of the company is 1.4

High Institutional Holdings at 77.53%

These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
Their stake has increased by 1.92% over the previous quarter.

Market Beating Performance

The stock has generated a return of 33.30% in the last 1 year, much higher than market (S&P 500) returns of 17.78%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Valley National Bancorp should be less than 10%
Overall Portfolio exposure to Major Banks should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Major Banks)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Valley National Bancorp for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

Valley National Bancorp

39.22%

2.42

32.16%

S&P 500

20.78%

0.92

19.35%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

18.49%

EBIT Growth (5y)

7.79%

EBIT to Interest (avg)

Debt to EBITDA (avg)

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

Dividend Payout Ratio

43.56%

Pledged Shares

Institutional Holding

77.53%

ROCE (avg)

ROE (avg)

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

0.76

EV to EBIT

14.69

EV to EBITDA

12.62

EV to Capital Employed

0.78

EV to Sales

2.03

PEG Ratio

1.42

Dividend Yield

ROCE (Latest)

5.33%

ROE (Latest)

5.99%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

Mildly Bearish

Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

20What is working for the Company

ROCE(HY)

Highest at 0.94%

OPERATING PROFIT MARGIN(Q)

Highest at 25.29 %

PRE-TAX PROFIT(Q)

Highest at USD 221.7 MM

NII(Q)

Highest at USD 464.91 MM

NET PROFIT(Q)

Highest at USD 195.4 MM

EPS(Q)

Highest at USD 0.33

-6What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD 147.19 MM

ROCE(HY)

Lowest at 0.94%

CREDIT DEPOSIT RATIO(HY)

Lowest at 96.08%

Here's what is working for Valley National Bancorp

Operating Profit Margin

Highest at 25.29 % and Grown

In each period in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at USD 221.7 MM and Grown

In each period in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (USD MM)

Pre-Tax Profit

At USD 221.7 MM has Grown at 148.94%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (USD MM)

NII

Highest at USD 464.91 MM

in the last five periods

MOJO Watch

The bank's income from core business is increasing

NII (USD MM)

Net Profit

Highest at USD 195.4 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

Net Profit

At USD 195.4 MM has Grown at 68.87%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

EPS

Highest at USD 0.33

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (USD)

Here's what is not working for Valley National Bancorp

Credit Deposit Ratio

Lowest at 96.08% and Fallen

In each half year in the last four Semi-Annual periods

MOJO Watch

Bank has been creating proportionately lower loans against its deposits, thereby creating fewer revenue generating assets

Credit Deposit Ratio (%)

Operating Cash Flow

Lowest at USD 147.19 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)