) crafted a new 52-week high, touching $34.83 in the last hour of
the trading session on Mar 31. The closing price of this major
regional bank represents a return of 39.9% over the last one
year. The trading volume for the session was around 0.7 million
Despite the strong price appreciation, this Zacks Rank #2 (Buy)
stock has plenty of upside left, given its strong estimate
revisions over the last 60 days.
Impressive fourth-quarter 2013 results that included a rise in
fee income, along with growth in loan and deposit balances, were
the primary growth drivers for BankUnited. Further, the long-term
expected earnings growth rate for the company is 8.9%.
On Jan 23, BankUnited reported fourth-quarter earnings at 50
cents per share, surpassing the Zacks Consensus Estimate by 8.7%.
Results benefited from growth in non-interest income (up 6.4%
from the prior-year quarter).
Moreover, as of Dec 31, 2013, net loans were $9.1 billion, up
61.5% year over year. Further, total deposits increased 23.4% to
On the flip side, rising expenses and a decline in net interest
income dragged down the fourth-quarter results. Additionally,
capital ratios and profitability deteriorated.
Estimate Revisions Show Strength
Over the last 60 days, the Zacks Consensus Estimate for 2014
advanced nearly 1% to $1.81 per share while for 2015, it rose by
a penny to $2.11 per share.
Other major banks worth considering include
Fifth Third Bancorp
Wells Fargo & Company
). All these stocks carry the same Zacks Rank as BankUnited.
BANKUNITED INC (BKU): Free Stock Analysis
FIFTH THIRD BK (FITB): Free Stock Analysis
KEYCORP NEW (KEY): Free Stock Analysis Report
WELLS FARGO-NEW (WFC): Free Stock Analysis
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