Corporate Webpages Valley Bancorp
Valley Bancorp is a New Jersey bank with some branches in and
around New York City. It is in one of the weakest industry
groups as far as recent stock performance is concerned because
banks got beat up badly, especially smaller regional ones, after
the credit crisis last year.
Valley Bancorp has taken a lot of TARP ("toxic asset relief
program") money. The company's stock is liked and rated as a
"buy" by our two favorite researchers, Street.Com and Market
Grader, where often these rating services disagree. The idea is
to pick a stock so beaten down that just has to take a bounce
back upward (and Valley did, now leveling off.) We were a bit
skeptical that TARP money was being used to buy back common
stock. This company was making a large number of acquisitions
just before and during the credit crisis, using money obtained
by floating new issues. It took advantage of troubled rivals to
eliminate some competition. This is being done by larger banks
all over the U.S. Using TARP money to make acquisitions seems
to us to be defeating the purpose of TARP.
The company has an acceptable Zenith Index, but we didn't like
the financial ratios. It has little or no intrinsic (growth)
value at this time. It represents a somewhat low-risk play in
the beaten-down banking industry. Management seems
reasonably-compensated but note a large sale of stock by one
officer with "timing Grade A."
Much of the bad news seems to be out and has run its course, and
now things have leveled off and perhaps it is time for this
rotational stock market to swing around to banks again and allow
this company's stock to slowly rise again toward former heights.
The credit crunch is not over. Foreclosures are at an all time
high subsequent to the Great Depression. The bank competes for
deposits, especially from wealthy clients, as the preferred
method for funding its aggressive acquisitions and capital
position. To that extent, it has unlimited deposit insurance
over and above the FDIC limit of $250,000. The housing market
does appear to be recovering in the Northeast a lot faster than
in the Southwest. However, anyone who has traveled through New
Jersey and landed in Newark or Camden might rightfully be a bit skeptical.
New Jersey is a troubled high-tax state, but people have to live
somewhere.
One should understand that Valley's loan portfolio is of higher quality than many
other banks' because it operates in some affluent areas. However, unemployment
is running high in the New York City area, and also competition is pretty strong
from other regional banks competing for the same deposits.
12-15-2009: Valley Bancorp (VLY): The Good Life in New Jersey
(WAIT FOR PAGE TO LOAD COMPLETELY BEFORE LINKS WORK.)
Company Profile
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Comparison with Peers
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Financial Statements
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Research Reports
Analysts' Opinions
Insider Activity
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Sentiment
Short Interest
Stock Report
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Moving Average Chart
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Company Profile |
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Comparison |
Similar Companies Performance:
Bond Issue |
Zenith Index |
Valley National Bancorp (VLY ) Sector: Financial
1455 Valley Road Industry: Regional - Northeast Banks
Wayne, NJ 07470 Exchange: NYSE
Valley National Bancorp as the holding company for Valley National
Bank that provides commercial, retail, trust, and investment
services. It offers various services, including acceptance of
demand, savings, and time deposits; the provision of consumer, real
estate, and small business administration loans, as well as other
commercial credits; and the provision of equipment leasing, personal
and corporate trust, and pension and fiduciary services. The
company-Ęs Consumer Lending segment provides residential mortgages,
home equity loans, automobile loans. It also offers trust; asset
management advisory services; and property, casualty, life, health,
and title insurance services. Its Commercial Lending segment
provides floating rate and adjustable rate commercial loans, as well
as fixed rate owner occupied and commercial mortgage loans. The
company-Ęs Investment Management segment offers fixed rate
investments, trading securities, and federal funds. Valley National
Bancorp also engages in real estate related investment activities.
As of December 31, 2008, it operated 195 full-service banking
offices located in northern and central New Jersey and New York
City. The company was founded in 1927 and is headquartered in Wayne,
New Jersey.
Last Trade: 13.31 52-Week Range: 19.57 - 8.04
Trade Date: 12-13 Avg. Volume: 955,831 Shares
Index Membership: S&P 400 MidCap Employees: 2,783
Corporate Governance:
Valley National Bancorp's Corporate Governance Quotient (CGQ-«) as of
1-Dec-09 is better than 11.9% of S&P 400 companies and 61.2% of
Banks companies.
EPS: 0.58 Dividend Amount: $ 0.76 Yield: 5.70%
Ex-Dividend Date: 02-Sep-09 Mkt Cap: $ 1,970,000K
Payout Ratio: %123.00%
Last Split Factor (new for old): 105:100 Split Date: 06-May-09
Key Statistics:
Enterprise Value: $ 4,750,000K Revenue (ttm) : $ 443,190K
Gross Profit: $ 649,650K
Earnings before Income Tax, Depreciation and Amortization: $ 0K
Enterprise Value/Revenue (ttm): 10.71 Revenue per Share: $ 3.11
Enterprise Value/EBITDA (ttm): 0.00 Qtrly Rev Growth (y to y): 56.60%
P/E Ratio (fwd projected): 15.66 P/E Ratio (current): 22.91
P/E Growth Ratio (5 yr expected): 3.31 Operating Margin: 37.62%
Price/Sales Ratio: 4.41 Profit Margin: 22.77%
Price/Book Value: 1.65 Book Value: $ 8.03/sh.
Return on Assets: 0.71% Net Income Avl to Common: $ 82,810K
Return on Equity: 8.50% Diluted Earnings/Share: $ 0.58
Qrtly Earnings Growth (yoy): 778.50%
Balance Sheet Items : Cash Flow Items (ttm):
(most recent qrtr) (trailing 12 mo.)
Total Cash: $ 564,090K Operating Cash Flow:$ 181,860K
Total Debt: $ 3,340,000K Lvgd Free Cash Flow:$ 0K
Total Debt/Equity: 0.00
Total Cash/Share: $ 3.82
Current Ratio: 0.00
Share Statistics: Stock Price History:
Shares Outstanding: 147,840K Stk 52-Week Change: -16.26%
Float: 140,060K S&P 500 52-Wk Chng: 25.77%
Sh. Short % of Float: 10.80% 50-Day Moving Avg: 13.29
Short Ratio: 18.70 200-Day Moving Avg: 12.37
% Held by Institutions: 35.60% Beta: 0.72
% Held by Insiders: 4.60%
Analysts' Estimates: Cur. Qtr Next Qtr Cur. Year Next Year
___________________________ Dec-09 Mar-10 Dec-09 Dec-10
Average Earnings Estimate 0.20 0.21 0.67 0.85
Average Revenue Estimate 136M 138M 526M 561M
Factors Comparing This Company to Its Industry Leader (1.0 = Average):
Long Term EPS Growth Rate (5 yr): 0.000 EPS Growth (Qrtly YoY): 0.000
PEG Ratio (ttm, 5 yr expected): 0.658 P/E Ratio (ttm): 0.000
Revenue Growth (Qrtly YoY): 0.077
Annual Income Statements: All numbers in thousands)
Period Ending 31-Dec-08 31-Dec-07 31-Dec-06
Total Revenue 812,765 827,097 784,899
Cost of Revenue 163,113 210,369 188,476
Gross Profit 649,652 616,728 596,423
Operating Expenses:
Research & Development 0 0 0
Selling, General & Administrative 278,024 241,363 241,653
Non-Recurring Expenses 0 2,310 0
Other Operating Expenses 115,321 35,176 23,421
Total Operating Expenses 0 0 0
Operating Income or Loss 256,307 337,879 331,349
Income from Continuing Operations:
Total Other Income/Expenses Net 0 0 0
Earnings Before Interest & Taxes 256,307 337,879 331,349
Interest Expense 145,782 132,953 127,774
Income Before Taxes 110,525 204,926 203,575
Income Tax Expense 16,934 51,698 39,884
Minority Interest 0 0 0
Net Income from Continuing Op.s 93,591 153,228 163,691
Non-recurring Events:
Discontinued Operations 0 0 0
Extraordinary Items 0 0 0
Effect of Accounting Changes 0 0 0
Other Items 0 0 0
Net Income 93,591 153,228 163,691
Preferred Stock & Other Adjustmnts -2,090 0 0
Net Income Avail To Common Shares 91,501 153,228 163,691
Quarterly Income Statements: All numbers in thousands)
Period Ending 30-Sep-09 30-Jun-09 31-Mar-09 31-Dec-08
Total Revenue 184,342 188,241 216,268 196,336
Cost of Revenue 26,471 31,902 36,066 40,261
Gross Profit 0 156,339 180,202 156,075
Operating Expenses:
Research & Development 0 0 0 0
Selling, General & Adminis. 72,182 77,095 74,130 77,852
Non-Recurring Expenses -4,605 2,434 2,171 0
Other Operating Expenses 9,020 19,450 12,834 25,295
Total Operating Expenses 0 0 0 0
Operating Income or Loss 0 57,360 91,067 52,928
Income from Continuing Operations:
Total Other Income/Expenses Net 0 0 0 0
Earnings Before Int. & Taxes 81,274 57,360 91,067 52,928
Interest Expense 35,742 35,806 37,445 38,943
Income Before Taxes 45,532 21,554 53,622 13,985
Income Tax Expense 13,950 6,557 16,238 -2,945
Minority Interest 0 0 0 0
Net Income from Continuing Op.s 31,582 14,997 37,384 16,930
Non-recurring Events:
Discontinued Operations 0 0 0 0
Extraordinary Items 0 0 0 0
Effect of Accounting Changes 0 0 0 0
Other Items 0 0 0 0
Net Income 31,582 14,997 37,384 16,930
Preferred Stock & Other Adj.s -5,983 -5,789 -4,224 -2,090
Net Income Avail To Common Shs 25,599 9,208 33,160 14,840
Annual Balance Sheets: All Numbers in Thousands
Period Ending 31-Dec-08 31-Dec-07 31-Dec-06
Current Assets:
Cash & Cash Equivalents 580,507 951,042 248,804
Short Term Investments 0 9,000 175,000
Net Receivables 67,127 65,453 73,154
Inventory 0 0 0
Other Current Assets 0 0 0
Total Current Assets 0 0 0
Long-Term Investments 12,679,403 10,589,064 11,140,507
Property, Plant & Equipt 256,343 227,553 209,397
Goodwill 295,146 179,835 181,497
Intangible Assets 25,954 24,712 29,858
Accumulated Amortization 0 0 0
Other Assets 813,649 702,300 336,810
Deferred Long Term Asset Charges 0 0 0
Total Assets 14,718,129 12,748,959 12,395,027
Current Liabilities:
Accounts Payable 297,740 130,438 100,437
Short/Current Long Term Debt 640,304 605,154 362,615
Other Current Liabilities 9,242,333 8,099,879 8,497,449
Total Current Liabilities 0 0 0
Long Term Debt 3,174,143 2,964,428 2,484,936
Other Liabilities 0 0 0
Deferred LT Liability Charges 0 0 0
Minority Interest 0 0 0
Negative Goodwill 0 0 0
Total Liabilities 13,354,520 11,799,899 11,445,437
Stockholder Equity:
Misc. Stocks Options Warrants 0 0 0
Redeemable Perferred Stock 0 0 0
Preferred Stock 291,539 0 0
Common Stock 48,228 43,185 41,212
Retained Earnings 85,234 104,225 97,639
Treasury Stock -47,546 -65,260 -39,410
Capital Surplus 1,047,085 879,892 881,022
Other Stockholder Equity -60,931 -12,982 -30,873
Total Stockholder Equity 1,363,609 949,060 949,590
Net Tangible Assets 1,042,509 744,513 738,235
Quarterly Balance Sheets: All Numbers in Thousands
Period Ending 30-Sep-09 30-Jun-09 31-Mar-09 31-Dec-08
Current Assets:
Cash & Cash Equivalents 3,488,701 343,059 778,608 580,507
Short Term Investments 0 0 0 0
Net Receivables 65,576 62,611 64,676 67,127
Inventory 0 0 0 0
Other Current Assets 0 0 0 0
Total Current Assets 0 0 0 0
Long-Term Investments 12,378,968 12,473,549 12,332,813 12,679,403
Property, Plant & Equipt 268,319 271,062 266,996 256,343
Goodwill 295,698 295,631 295,146 295,146
Intangible Assets 24,365 24,412 23,761 25,954
Accumulated Amortization 0 0 0 0
Other Assets 667,026 661,707 667,597 813,649
Deferred LT Asset Charges 9,447,517 9,325,699 9,424,450 9,242,333
Total Assets 14,231,870 14,132,031 14,429,597 14,718,129
Current Liabilities:
Accounts Payable 157,618 146,292 158,677 297,740
Current Portion LT Debt 199,392 193,281 301,175 640,304
Other Current Liabilities 0 0 0 0
Total Current Liabilities 0 0 0 0
Long Term Debt 0 3,147,863 3,157,908 3,174,143
Other Liabilities 0 0 0 0
Deferred LT Liab. Charges 0 0 0 0
Minority Interest 0 0 0 0
Negative Goodwill 0 0 0 0
Total Liabilities 12,947,768 12,813,135 13,042,210 13,354,520
Stockholder Equity:
Misc. Options, WarrantS 0 0 0 0
Redeemable Perferred Stock 0 0 0 0
Preferred Stock 97,625 219,333 292,013 291,539
Common Stock 52,611 50,631 48,243 48,228
Retained Earnings 76,851 81,785 99,971 85,234
Treasury Stock -41,946 -46,808 -47,530 -47,546
Capital Surplus 1,117,240 1,047,146 1,048,236 1,047,085
Other Stockholder Equity -18,279 -33,191 -53,546 -60,931
Total Stockholder Equity 1,284,102 1,318,896 1,387,387 1,363,609
Net Tangible Assets 964,039 998,853 1,068,480 1,042,509
Annual Cash Flow: All Numbers in Thousands
Period Ending 31-Dec-08 31-Dec-07 31-Dec-06
Net Income 93,591 14,997 163,691
Operating Activites:
Depreciation 27,135 28,305 34,698
Adjustments to Net Income 746,357 236,033 -8,584
Changes in Accounts Recv'bls 82,339 -36,384 24,714
Changes in Liabilities -1,155 28,350 24,305
Changes in Inventories 0 0 0
Changes in Other Op'ing Actv's 0 571,857 -8,171
Total Cash Flow fr Operations 938,100 981,389 230,653
Investing Activities:
Capital Expenditures -29,877 -58,482 -45,090
Investments -1,314,161 -1,264,024 171,932
Other Cash Flows fr Investing 0 -32,140 9,119
Total Cash Flows fr Investing -1,306,453 -1,354,646 135,961
Financing Acitivies:
Dividends Paid -102,517 -99,956 -99,251
Sale or Purchase of Stock 301,993 -33,327 -45,293
Net Borrowings 84,836 721,503 19,384
Other Cash Flows fr Financing 427,083 0 0
Total Cash Flows fr Financing 711,395 191,573 0
Effect of Exchange Rate Change 0 0 0
Change in Cash & Cash Equiv.s 343,042 0 181,684
Quarterly Cash Flow: All Numbers in Thousands
Period Ending 30-Sep-09 30-Jun-09 31-Mar-09 31-Dec-08
Net Income 31,582 14,997 37,384 16,930
Operating Activites:
Depreciation 6,816 7,183 7,401 6,798
Adjustments to Net Income 27,060 65,299 -49,210 680,999
Changes in Accounts Recv'bls -19,459 -1,439 135,606 19,811
Changes in Liabilities -2,950 -9,634 -148,714 15,894
Changes in Inventories 0 0 0 0
Changes in Other Oper'g Acts 2,768 -2,768 0 0
Total Cash Flow f Operations 47,880 73,638 -17,533 77,875
Investing Activities:
Capital Expenditures -4,125 -8,189 -11,147 -29,877
Investments 101,658 -156,777 413,031 -275,066
Other Cash Flows fr Investing 4,254 1,186 0 24,393
Total Cash Flows fr Investing 101,787 0 -163,780 0
Financing Acitivies:
Dividends Paid -30,414 -30,942 -30,794 -26,969
Sale or Purchase of Stock -51,529 -74,427 6 300,195
Net Borrowings -889 -141,894 -341,130 -158,588
Other Cash Flows fr Financing 122,024 0 -98,144 185,668
Total Cash Flows fr Financing 39,192 -345,407 -186,250 284,261
Effect of Exchange Rate Chg 0 0 0 0
Change in Cash & Cash Equiv. 188,859 0 -435,549 198,101
VLY Valley National Bancorp [Indices near +3.0 or near zero,
or < zero bear special attention.]
P/E Ratio Tests:
Current P/E Ratio < 28? 1.2222 P/E Ratio > 5? 1.0000
P/E Ratio Vs Growth Rate: 3.0000 Forward P/E Ratio < 28? 1.7880
Sales Tests:
Price/Sales Ratio < 2.3? 0.5215 Inventory/Sales < 5%? 1.0000
Sales < $1 billion? 1.2304 Operating Margin < 7.5%? 0.1994
Balance Sheet Tests:
Debt/Equity < 0.40? 1.0000 Long-Term Debt Service: 0.4296
LTD Being Reduced? 1.8000 Short-Term Debt Service: 0.0000
Current Ratio > 2? 0.0000 Working Capital >= 1.5? 1.0000
Leverage Ratio < 20%? 3.0000 Debt / Assets < 1? 3.0000
Quick Ratio > 1? 1.0000 Inventory Turnover > 1? 1.0000
Shares Out Decreasing? 1.2000 Market Cap.> 1.5 Billion? 0.7614
Profit Margin > 7.5%? 3.0000
Income Tests:
Dividend Yield > 2.0%? 1.0526 EPS Annual Growth > 10%? 0.0000
Enterprise Value/Revenue: 3.0000 EPS 5-yr Growth > 20%? 1.2000
Enterprise Value/EBITDA: 0.0000 EPS Growth Consistent? 1.2000
EPS Qrtly Growth > 10%? 3.0000 Collection < 45 days? 1.4928
Rev. Qtrly Growth > 15%? 3.0000 Gross Pft/Cur. LTD < 1? 0.7737
EPS Annual Growth > 10%? 0.0000 Borrowing Int. Rate< 6%? 1.0492
Stock Performance Tests:
Volatility > 25%? 3.0000 % Held by Insiders < 5%? 1.0870
Beta > 1.25? 0.5760 % Held by Institut. < 50? 1.4045
50 Da MA > 200 Da MA? 0.2074 % Held by Institut. > 30? 1.1867
52-Wk Change vs. S&P 500: 1.7181 Short Ratio > 5? 3.0000
Price/Book Value < 3? 2.3500 Short % of Float > 20? 0.5400
Return on Assets > 17%? 0.0418 Average Volume > 100,000? 3.0000
Cash Flow Tests:
Oper. C.F. > Lever'd C.F: 1.0000 Positive Free Cash Flow? 0.0000
Positive Oper. Cash Flow? 1.0000 Price to C.F./sh. Ratio: 0.0000
Cash Flow / Assets >.10? 0.0000
VLY Valley National Bancorp Overall Zenith Index: 1.3144
Financial Statements |
Financial Ratios |
. . . . . . . . . . . . 1 = Highest , 10 = Lowest
Market Grader |
Intrinsic Value |
Intrinsic Value by Discounted Cash Flow Method:
Intrinsic Value |
Intrinsic Value by Projected Earnings Growth Method:
Stock Scout |
We find "Scout" to be a bit biased toward the high end, so anything under a 6 is considered a negative, 6 and above, positive.
Projected Earnings |
Research Reports |
Analysts' Opinions |
Insider Activity |
Institutional Activity |
Institutional Orders to Buy or Sell:
Sentiment |
Zenith uses the "sentiment" score above or below 50 to award a positive or negative point in the Decision Matrix.
Short Interest Ratio |
As the short interest rises as a percentage of average daily share volume (Days to Cover), this is considered a measure of negative sentiment. Similarly, a decrease in that percentage is considered positive sentiment.
Stock Report |
Management's Discussion of Results of Operations Excerpts |
Moving Average Chart |
Right Time Study |
Channeling Potential |
The summary below includes a value for `Degree,' which refers on a
scale of 1 to 10 the range of a channel in the period under consi-
deration compared to the total range of price movement. It also looks
for the last closing price to be within the channel, otherwise zeroed.
The `Index' is the `Degree' weighted for volatility. Generally, the
the higher the index, the more suitable is the stock for trading as
a `rolling stock' between channel high and low points.
Results for Valley Bancorp:
Symbol? VLY
Total Months Available: 119
Months in Cycle? 4
Months Covered by Periods: 12
Period 1 Period 2 Period 3
H1 L1 H2 L2 H3 L3
20.55 8.44 15.56 10.81 14.07 10.99
RANGE = 20.55 TO 8.44 Close = 13.22
CHANNEL = 14.07 TO 10.99 Degree = 3
Volatility = 23.30% Index = 6
Intraday Chart |
20 Days:
1 Day:
Stock Fetcher |
Point & Figure Chart |
Wall Street Analyzer |
Marketspace Chart |
Time Series Forecast |
Neural Network Prediction |
"Neurostock" can only track long trades. Therefore its performance, as tracked by itself on stocks which are consistently falling, may not appear as good as it could if each "sell" signal were a "short sale."
Ultimate Trading Systems |
The corresponding trades for the above chart are shown in tabular form below.
Recommendation |
| Factors | Weighted Points |
|---|---|
| News | + 1 |
| Comparison | - 1 |
| Industry | - 1 |
| Bond Issue | 0 |
| Zenith Index | + 1 |
| GAAP vs. non-GAAP Earnings < 1% | - 1 |
| Cash Flow | + 1 |
| Ratios | - 1 |
| Market Grader | + 1 |
| Intrinsic Value DCF | - 1 |
| Intrinsic Value DDM | - 1 |
| Stock Scout | - 1 |
| Projected Earnings | + 1 |
| Research Reports | 0 |
| Analysts | - 1 |
| Executive Perquisites | + 1 |
| Insider Activity | - 1 |
| Institutional Activity | + 1 |
| Management Reporting | + 1 |
| Short Interest | - 1 |
| Sentiment | + 1 |
| Standard & Poor's | + 1 |
| Moving Average | - 1 |
| Stock Fetcher | 0 |
| Point & Figure | + 1 |
| Wall Street Analyzer | - 1 |
| Marketspace Chart | + 1 |
| Time Series Chart | + 1 |
| Neural Network | - 1 |
| Stock Options | + 1 |
| Ultimate Trading Systems | + 1 |
| Total | + 2 |
Place 2,250 shares of Valley Bancorp (VLY) on the Active List.
