Workflow
United Bankshares(UBSI)
icon
Search documents
United Bank and Federal Home Loan Bank of Atlanta Award $4.7 Million to Support Affordable Housing in Washington, D.C. and Virginia
GlobeNewswire News Room· 2025-04-14 13:04
Core Points - United Bank and FHLBank Atlanta announced a $4.7 million investment for affordable housing projects in Washington, D.C. and Virginia, creating 363 new units [1][3] - The funding is part of FHLBank Atlanta's Affordable Housing Program and aims to address the growing need for affordable housing [3][4] Project Summaries - Bluestone Town Center Residences in Harrisonburg, VA received $1 million for 62 affordable housing units for seniors with incomes between 30% and 60% of AMI, expected completion by early 2026 [2] - Hope View Apartments received $1 million for 42 housing units for seniors with incomes at or below 80% of AMI, including 16 units for homeless households, expected completion in early 2026 [4] - 2229 M Street NE Apartments received $1 million for 92 rental units for families, with 89% for households at or below 50% of AMI, expected completion by the end of 2026 [4] - Wagner Senior Residences received $742,805 for 67 affordable housing units, with 90% for seniors below 50% of AMI, expected completion by the end of 2026 [4] - 2911 Rhode Island Avenue NE Apartments received $1 million for 100 units for households between 30% and 80% of AMI, expected completion in spring 2028 [4] Organizational Background - United Bank is a community bank with over $32 billion in consolidated assets and more than 240 offices across several states, committed to community development and affordable housing initiatives [5] - FHLBank Atlanta provides financing and grants to support affordable housing and economic development, having awarded approximately $9.1 billion since 1990 to assist over 1.2 million households [6]
United Bankshares (UBSI) Upgraded to Buy: What Does It Mean for the Stock?
ZACKS· 2025-04-03 17:05
Core Viewpoint - United Bankshares (UBSI) has been upgraded to a Zacks Rank 2 (Buy), indicating a positive outlook on its earnings estimates, which is a significant factor influencing stock prices [1][3]. Earnings Estimates and Stock Price Impact - The Zacks rating system is based on changes in earnings estimates, which have a strong correlation with near-term stock price movements [4][6]. - Rising earnings estimates for United Bankshares suggest an improvement in the company's underlying business, likely leading to increased stock prices [5][10]. Recent Earnings Estimate Revisions - For the fiscal year ending December 2025, United Bankshares is expected to earn $2.83 per share, reflecting a 2.9% increase from the previous year [8]. - Over the past three months, the Zacks Consensus Estimate for United Bankshares has increased by 5.2%, indicating positive sentiment among analysts [8]. Zacks Rank System Overview - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with only the top 20% receiving a 'Strong Buy' or 'Buy' rating [9][10]. - The upgrade of United Bankshares to a Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, suggesting potential for market-beating returns in the near term [10].
United Bankshares: A Neat-And-Tidy Operator
Seeking Alpha· 2025-03-30 08:23
Group 1 - The article emphasizes the importance of evaluating bank stocks based on their ability to maintain or grow dividends during financial crises, indicating a potential for long-term investment stability [1] - A long-term, buy-and-hold investment strategy is favored, particularly for stocks that can consistently deliver high-quality earnings, often found in the dividend and income sectors [1] Group 2 - The article does not provide any specific stock recommendations or positions held by the author, ensuring an unbiased perspective [2] - There is a disclaimer regarding past performance not guaranteeing future results, highlighting the need for individual assessment of investment suitability [3]
United Bankshares: Organic Growth Is The Issue For This Dividend King
Seeking Alpha· 2025-03-20 14:46
In my last article on United Bankshares ( UBSI ) I highlighted the strength of this bank over the decades, which is a rare factor to find in such a cyclical industry. UBSI has been issuing a growing dividendHi there, welcome to my profile. My name is Eugenio Catone, I live in Italy and I am 26 years old. In 2023 I graduated in Business Administration and I am completing my studies. My interest in financial markets started about 5 years ago when I accidentally came across a video about trading. That was the ...
United Bankshares(UBSI) - 2024 Q4 - Annual Report
2025-02-28 21:41
Regulatory Compliance - United Bank's deposits are insured by the FDIC, and the bank is subject to deposit insurance assessments to maintain the Deposit Insurance Fund (DIF) [74]. - United and United Bank must comply with capital adequacy standards established by the Federal Reserve Board under the Basel III Capital Rules [77]. - The company is subject to regulatory scrutiny regarding incentive compensation arrangements, which could impact acquisition activities [105]. - United Bank must comply with the CFPB's final rule requiring data availability for consumers, effective by April 1, 2027 [97]. - The Anti-Money Laundering Act of 2020 requires financial institutions to adopt a risk-based approach to compliance, impacting operational procedures [103]. - The CFPB's final rule on overdraft credit requires compliance with consumer protection standards, effective October 1, 2025 [98]. - Financial institutions must notify regulators of significant cybersecurity incidents within 36 hours, impacting operational risk management [113]. - The Federal Reserve Board has indicated that bank holding companies should carefully review their dividend policy, discouraging maximum allowable payment ratios unless asset quality and capital are strong [71]. - Changes in the U.S. presidential administration may lead to significant regulatory changes affecting financial institutions [99]. - Certain banking laws may inhibit potential acquisitions, affecting the market price of United's common stock [164]. Financial Performance and Capital Management - United and United Bank are required to maintain a minimum Common Equity Tier 1 (CET1) ratio of 4.5% plus a 2.5% capital conservation buffer, resulting in a minimum CET1 ratio of 7.0% [77]. - United Bank was classified as "well capitalized" as of December 31, 2024, allowing it to engage in a wider range of banking activities [89]. - As of December 31, 2024, approximately $458.4 million was available for dividend payments from United Bank to United without regulatory approval [160]. - The declaration and payment of future cash dividends will depend on United's earnings, liquidity, and capital requirements [159]. - United's ability to raise additional capital will depend on market conditions and its financial performance, which may not be assured [166]. - United Bank's net interest income is significantly dependent on market interest rates, which can affect overall earnings [153]. Strategic Growth and Acquisitions - Regulatory approvals for acquisitions may be delayed or denied due to compliance issues, affecting strategic growth opportunities [157]. - The company faces potential dilution of tangible book value and net income per share from future acquisitions [156]. - The company adopted a "clawback" policy for executive compensation in compliance with SEC regulations, effective from October 2, 2023 [111]. Economic and Environmental Risks - High inflation and economic downturns could adversely affect the quality of United's loan portfolio and customer repayment ability [174]. - Climate change poses both physical and transition risks that may negatively impact United's financial condition and creditworthiness of customers [175][178]. - The company is subject to reputational risk regarding its response to climate change and relationships with carbon-intensive industries [179]. - The company may face unanticipated environmental liabilities related to properties acquired through foreclosure, impacting financial results [170]. Community and Social Responsibility - In 2023, United Bank received a "Satisfactory" rating in its Community Reinvestment Act (CRA) Performance Evaluation from the Federal Reserve Bank of Richmond [92]. - The Inflation Reduction Act of 2022 imposes a 1% excise tax on the fair market value of stock repurchased by publicly traded U.S. corporations [73].
United Bankshares (UBSI) Q4 Earnings: How Key Metrics Compare to Wall Street Estimates
ZACKS· 2025-01-24 15:30
Financial Performance - For the quarter ended December 2024, United Bankshares (UBSI) reported revenue of $262.72 million, down 0.6% year-over-year [1] - EPS for the quarter was $0.69, an increase from $0.66 in the same quarter last year [1] - The reported revenue exceeded the Zacks Consensus Estimate of $261.09 million, resulting in a surprise of +0.63% [1] - The company delivered an EPS surprise of +1.47%, with the consensus EPS estimate being $0.68 [1] Key Metrics - Efficiency Ratio was reported at 51.2%, better than the average estimate of 52.7% based on two analysts [4] - Average balance of earning assets was $26.69 billion, compared to the estimated $26.26 billion [4] - Net interest margin was reported at 3.5%, matching the average estimate of 3.5% [4] - Net Charge-off as a percentage of Average Loans was 0.1%, consistent with the average estimate [4] - Total Noninterest Income was $29.32 million, below the estimated $30.68 million [4] - Income from mortgage banking operations was $2.31 million, significantly lower than the average estimate of $4.30 million [4] Stock Performance - Shares of United Bankshares have returned -0.3% over the past month, while the Zacks S&P 500 composite increased by +2.5% [3] - The stock currently holds a Zacks Rank 4 (Sell), indicating potential underperformance relative to the broader market in the near term [3]
United Bankshares (UBSI) Tops Q4 Earnings and Revenue Estimates
ZACKS· 2025-01-24 15:06
Core Viewpoint - United Bankshares (UBSI) reported quarterly earnings of $0.69 per share, exceeding the Zacks Consensus Estimate of $0.68 per share, and showing an increase from $0.66 per share a year ago, indicating a positive earnings surprise of 1.47% [1] Financial Performance - The company posted revenues of $262.72 million for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 0.63%, although this represents a decline from year-ago revenues of $264.23 million [2] - Over the last four quarters, United Bankshares has exceeded consensus EPS estimates three times and has also topped consensus revenue estimates three times [2] Stock Performance and Outlook - United Bankshares shares have increased by approximately 2.1% since the beginning of the year, while the S&P 500 has gained 4% [3] - The company's earnings outlook is crucial for investors, as it includes current consensus earnings expectations for upcoming quarters and any recent changes to these expectations [4] Estimate Revisions and Industry Context - The trend for estimate revisions for United Bankshares has been unfavorable, resulting in a Zacks Rank 4 (Sell) for the stock, indicating expected underperformance in the near future [6] - The current consensus EPS estimate for the upcoming quarter is $0.44 on revenues of $269.8 million, and for the current fiscal year, it is $2.69 on revenues of $1.14 billion [7] - The Banks - Southeast industry, to which United Bankshares belongs, is currently ranked in the top 20% of over 250 Zacks industries, suggesting a favorable industry outlook [8]
United Bankshares(UBSI) - 2024 Q4 - Annual Results
2025-01-24 13:01
Earnings and Financial Performance - Q4 2024 earnings were $94.4 million, or $0.69 per diluted share, with annualized returns on average assets, equity, and tangible equity of 1.25%, 7.48%, and 12.03%, respectively[2] - Full-year 2024 earnings were $373.0 million, or $2.75 per diluted share, with returns on average assets, equity, and tangible equity of 1.26%, 7.61%, and 12.43%, respectively[2] - Net income for Q4 2024 was $94.4 million, compared to $79.4 million in Q4 2023, representing an 18.9% increase[41][44] - Diluted earnings per share for Q4 2024 were $0.69, up 16.9% from $0.59 in Q4 2023[41] - Basic earnings per share (EPS) for the year ended December 2024 was $2.76, up from $2.72 in December 2023, a 1.5% increase[48] - Diluted EPS for the year ended December 2024 was $2.75, compared to $2.71 in December 2023, a 1.5% growth[48] - Net Income (GAAP) for December 2024 was $94,408, up from $79,390 in December 2023[56] Net Interest Income and Margin - Net interest income for Q4 2024 increased by $2.4 million (1%) to $232.6 million compared to Q3 2024, driven by lower deposit rates and increased average earning assets[7] - Net interest margin for Q4 2024 was 3.49%, down from 3.52% in Q3 2024 and 3.55% in Q4 2023[7][14] - Full-year 2024 net interest income decreased by $8.9 million (1%) compared to 2023, primarily due to higher deposit rates and lower investment securities[21] - Net interest income for Q4 2024 was $233,403 thousand, slightly higher than $230,556 thousand in Q4 2023[50] - Net interest income for the full year 2024 was $914,430 thousand, slightly lower than $923,938 thousand in 2023[53] Noninterest Income and Expense - Noninterest income for Q4 2024 decreased by $2.6 million (8%) to $29.3 million compared to Q3 2024, primarily due to declines in mortgage loan servicing and banking activities[9] - Noninterest expense for Q4 2024 decreased by $18.1 million (12%) compared to Q4 2023, largely due to lower FDIC insurance and reserve expenses[17] - Noninterest expense for 2024 decreased by $15.2 million (3%) to $545.0 million, driven by reductions in FDIC insurance expense ($10.6 million), reserve for unfunded loan commitments ($8.3 million), mortgage loan servicing expense ($3.2 million), and amortization of intangibles ($1.5 million)[25] - Noninterest income for Q4 2024 was $29.3 million, a 12.9% decrease from $33.7 million in Q4 2023[41][44] Credit Losses and Loan Performance - The provision for credit losses in Q4 2024 was $6.7 million, slightly lower than the $6.9 million in Q3 2024[8] - The provision for credit losses for 2024 was $25.2 million, down from $31.2 million in 2023[22] - Provision for credit losses for Q4 2024 was $6.7 million, a 2.7% decrease from $6.9 million in Q4 2023[41][44] - Non-performing loans (NPLs) increased to $73.4 million (0.34% of loans & leases) at December 31, 2024, up from $45.5 million (0.21%) at December 31, 2023[27] - Allowance for loan & lease losses stood at $271.8 million (1.25% of loans & leases) at December 31, 2024, compared to $259.2 million (1.21%) at December 31, 2023[28] - Net charge-offs for 2024 were $12.5 million (0.06% of average loans & leases), up from $6.7 million (0.03%) in 2023[29] - Total EOP Non-performing Loans increased to $73,400 in December 2024 from $45,498 in December 2023[59] - Allowance for Loan & Lease Losses ending balance was $271,844 in December 2024, up from $259,237 in December 2023[59] Capital and Liquidity - United's estimated risk-based capital ratio was 16.5% at December 31, 2024, with Common Equity Tier 1 capital, Tier 1 capital, and leverage ratios at 14.2%, 14.2%, and 11.7%, respectively[30] - Consolidated assets as of December 31, 2024, were approximately $30 billion, making United the 41st largest banking company in the U.S. by market capitalization[31] - Tangible equity is calculated as GAAP total shareholders' equity minus total intangible assets, used to assess the quality and composition of United's capital structure[37] - Total shareholders' equity increased to $4,993,223 as of December 31, 2024, compared to $4,771,240 in December 2023, a 4.7% growth[48] - Return on Average Tangible Equity (non-GAAP) rose to 12.03% in December 2024 compared to 11.27% in December 2023[56] Asset and Deposit Growth - United completed the acquisition of Piedmont Bancorp on January 10, 2025, adding $2.4 billion in total assets and $2.1 billion in total loans[4] - Total deposits as of December 31, 2024, were $23.96 billion, a 5.0% increase from $22.82 billion in the same period last year[41] - Total assets as of December 31, 2024, were $30.02 billion, a 0.3% increase from $29.93 billion in the same period last year[41] - Cash and cash equivalents increased to $2,292,244 as of December 31, 2024, up from $1,598,943 in December 2023, reflecting a 43.4% year-over-year growth[46] - Total securities decreased to $3,259,296 as of December 31, 2024, compared to $4,125,754 in December 2023, a decline of 21.0%[46] - Gross loans increased to $21,680,498 as of December 31, 2024, up from $21,373,185 in December 2023, a 1.4% year-over-year growth[46] - Total deposits grew to $23,961,859 as of December 31, 2024, compared to $22,819,319 in December 2023, a 5.0% increase[46] - Total earning assets for Q4 2024 increased to $26,687,835 thousand, up from $25,875,812 thousand in Q4 2023, with a yield of 5.62% compared to 5.68% in the previous year[50] - Loans and loans held for sale, net of unearned income, increased to $21,713,148 thousand in Q4 2024 from $21,279,444 thousand in Q4 2023, with a yield of 5.95% compared to 6.00% in the previous year[50] - Interest-bearing deposits grew to $17,871,685 thousand in Q4 2024 from $16,414,152 thousand in Q4 2023, with a yield of 3.02% compared to 2.95% in the previous year[50] - Total assets for Q4 2024 reached $30,012,726 thousand, up from $29,164,146 thousand in Q4 2023[50] - For the full year 2024, total earning assets were $26,230,908 thousand, with a yield of 5.74%, compared to $25,984,208 thousand and a yield of 5.41% in 2023[53] - Loans and loans held for sale, net of unearned income, for the full year 2024 were $21,612,707 thousand, with a yield of 6.04%, compared to $20,909,248 thousand and a yield of 5.77% in 2023[53] - Interest-bearing deposits for the full year 2024 increased to $17,171,286 thousand from $15,782,761 thousand in 2023, with a yield of 3.14% compared to 2.48% in the previous year[53] - Total assets for the full year 2024 were $29,580,359 thousand, up from $29,295,658 thousand in 2023[53] Tax and Efficiency Metrics - Income tax expense for 2024 decreased to $91.6 million from $97.5 million in 2023, with an effective tax rate of 19.7% compared to 21.0% in 2023[26] - Effective tax rate for Q4 2024 was 22.01%, down from 23.81% in Q4 2023[44] - Efficiency Ratio improved to 51.23% in December 2024 from 57.82% in December 2023[56] Dividends and Shareholder Value - Common dividends declared per share for the year ended December 2024 were $1.48, up from $1.45 in December 2023, a 2.1% increase[48] - Book value per share increased to $36.89 as of December 31, 2024, compared to $35.36 in December 2023, a 4.3% growth[48] - Tangible book value per share (non-GAAP) rose to $22.87 as of December 31, 2024, up from $21.27 in December 2023, a 7.5% increase[48] Risk and Forward-Looking Statements - Forward-looking statements highlight risks including U.S. fiscal and monetary policies, global market volatility, inflation, regulatory changes, and geopolitical events[39] - Price / Earnings Ratio decreased to 13.53x in December 2024 from 16.00x in December 2023[56] - Loans & Leases, net of unearned income / Deposit Ratio was 90.45% in December 2024, down from 93.60% in December 2023[56] - Non-performing Assets / Total Assets increased to 0.25% in December 2024 from 0.16% in December 2023[56] Loan Origination and Yield - Loans originated in December 2024 totaled $132,381, down from $225,319 in September 2024[59] - Loans and loans held for sale, net of unearned income, increased to $21,713,148 thousand in Q4 2024 from $21,279,444 thousand in Q4 2023, with a yield of 5.95% compared to 6.00% in the previous year[50] - Loans and loans held for sale, net of unearned income, for the full year 2024 were $21,612,707 thousand, with a yield of 6.04%, compared to $20,909,248 thousand and a yield of 5.77% in 2023[53]
United Bankshares(UBSI) - 2024 Q3 - Quarterly Report
2024-11-08 16:28
Financial Position - As of September 30, 2024, United's total assets were $29.86 billion, a decrease of $63.22 million or less than 1% from December 31, 2023[138]. - Total liabilities decreased by $259.80 million or 1.03% from year-end 2023, with borrowings decreasing by $1.26 billion or 63.63%[138]. - Shareholders' equity increased by $196.58 million or 4.12%[138]. - Total deposits increased by $1.01 billion or 4.42% to $23.83 billion as of September 30, 2024[147]. - Total liabilities as of September 30, 2024, were $24.594 billion, with interest-bearing liabilities totaling $18.339 billion[162]. - Total assets increased to $29,503,324 thousand as of September 30, 2024, compared to $29,370,164 thousand at June 30, 2024, reflecting a growth of 0.45%[163]. - Total shareholders' equity was $4.97 billion at September 30, 2024, an increase of $196.58 million or 4.12% from December 31, 2023, primarily due to an increase in retained earnings[176]. Cash and Deposits - Cash and cash equivalents increased by $309.89 million or 19.38% from year-end 2023, primarily due to a $288.98 million or 21.56% increase in interest-bearing deposits with other banks[139]. - Interest-bearing deposits increased by $1.12 billion or 6.72% from December 31, 2023[147]. - Average interest-bearing deposits increased by $1.41 billion or 8.79% from Q3 2023, indicating growth in the deposit base[158]. - Average interest-bearing deposits increased by $659.24 million, or 3.94%, from Q2 2024, with the yield rising by 10 basis points to 3.28%[159]. Loans and Credit - Total loans, net of unearned income, increased by $262.88 million or 1.23% since year-end 2023[144]. - Loans held for sale decreased by $9.77 million or 17.36% to $46.49 million since year-end 2023[143]. - The allowance for loan and lease losses increased to $270.77 million as of September 30, 2024, from $259.24 million at December 31, 2023, driven by higher outstanding loan balances[166]. - Nonperforming loans increased by $21.53 million from December 31, 2023, primarily due to the transfer of significant commercial and residential loans to nonaccrual status[166]. - Total nonperforming loans increased to $65,240 thousand as of September 30, 2024, up from $45,498 thousand on December 31, 2023, representing a 43.5% increase[167]. - Net charge-offs for Q3 2024 were $3.60 million, compared to $1.78 million in Q3 2023, reflecting a significant rise in consumer loan charge-offs[165]. Income and Expenses - Net income for Q3 2024 was $95.27 million, a decrease from $96.16 million in Q3 2023, while net income for the first nine months of 2024 was $278.59 million compared to $286.92 million in the same period of 2023[155]. - Noninterest income for Q3 2024 was $31.94 million, a decrease of $1.72 million or 5.11% from Q3 2023, primarily due to lower income from mortgage banking activities[157]. - Noninterest expense for Q3 2024 was $135.34 million, relatively flat compared to Q3 2023, with an increase of only $109 thousand[172]. - Employee compensation increased by $3.30 million or 1.90% for the first nine months of 2024 compared to the same period in 2023[172]. Interest Income and Margin - Net interest income for the third quarter of 2024 was $230.26 million, a slight increase from $228.45 million in the same quarter of 2023[154]. - The net interest margin for Q3 2024 was 3.52%, an increase of 2 basis points from Q2 2024[159]. - Tax-equivalent net interest income for Q3 2024 increased by $4.50 million, or 1.99%, from Q2 2024, driven by higher average short-term investments and net loans yield[159]. - The yield on average net loans and loans held for sale increased by 6 basis points to 6.20% in Q3 2024[159]. Mergers and Acquisitions - United entered into a merger agreement with Piedmont Bancorp, Inc., which has total assets of approximately $2.2 billion and total loans of approximately $1.9 billion as of September 30, 2024[132]. - United recorded expenses of $332 thousand related to the Piedmont acquisition in Q3 2024, with total expenses of $1.61 million for the first nine months of 2024[155]. Risk Management - Interest rate risk is considered the most significant market risk for United, with a focus on maintaining consistent growth in net interest income[178]. - The company utilizes various measurement techniques, including earnings simulation models, to manage interest rate risk and assess the sensitivity of net interest income[180]. - United may use derivative instruments, such as interest rate swaps, to protect against adverse price or interest rate movements[181]. Regulatory and Compliance - United's risk-based capital ratio was 16.18% at September 30, 2024, well above the regulatory requirement of 10.0% for a well-capitalized financial institution[176]. - The company has not experienced any changes in internal control over financial reporting that materially affect its financial reporting as of September 30, 2024[185]. - United's management concluded that its disclosure controls and procedures were effective as of September 30, 2024, ensuring compliance with SEC requirements[183].
United Bankshares (UBSI) Q3 Earnings and Revenues Surpass Estimates
ZACKS· 2024-10-24 14:05
United Bankshares (UBSI) came out with quarterly earnings of $0.70 per share, beating the Zacks Consensus Estimate of $0.68 per share. This compares to earnings of $0.71 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 2.94%. A quarter ago, it was expected that this holding company for United Bank would post earnings of $0.65 per share when it actually produced earnings of $0.71, delivering a surprise of 9.23%.Over the last fou ...