NASDAQ$VLY

Valley National Bancorp · Q4 2020 earnings

Q4 2020 earnings · · Investor relations

Briefing

Valley National Bancorp reported strong fourth-quarter net income, driven by a 21 percent increase in net interest income.

Valley National Bancorp reported a strong fourth quarter with net income of $105.4 million, or $0.25 per diluted common share, compared to $38.1 million, or $0.10 per diluted common share, in the fourth quarter of 2019. The results were driven by a 21% increase in net interest income.

  • Net interest income increased by $49.2 million compared to the fourth quarter of 2019.
  • Loans totaled $32.2 billion, an increase of 8.5 percent compared to one year ago.
  • The allowance for credit losses for loans totaled $351.4 million.
  • Annualized return on average assets (ROA) was 1.02 percent for the fourth quarter.

Headline financials

Total Revenue

$335M

Previous: $277M+21.3%
EPS (adj)

$0.27

Previous: $0.24+12.5%
Net interest margin (FTE)

3.1%

Previous: 3.0%+3.4%
Efficiency ratio

51.6%

Previous: 70.9%-27.2%
Capital Expenditures

$3.89M

Previous: $7.62M-48.9%
Free Cash Flow

$167M

Previous: $1.04B-84.0%
Net Income

$105M

Previous: $38.1M+176.5%
Operating Income

$143M

Previous: $75.1M+90.9%
Cash & Equivalents

$1.33B

Previous: $435M+205.8%
Total Assets

$40.7B

Previous: $37.4B+8.7%
Stock-Based Comp

$4.15M

Previous: $3.22M+28.9%

Revenue & EPS history

Valley National · Revenue · Quarterly

$335M

Q4 2020+21.3%vs Q4 2019
Beat estimate in 8 of 16 quarters(50%)
ActualEstimate

Revenue by segment

Valley National · $45.2B total across 4 segments · Q3 2022

  • Total commercial real estate
    $28.1B
  • Commercial and industrial loans
    $8.7B+2709.1%
  • Residential mortgage
    $5.18B
  • Total consumer loans
    $3.24B

Forward guidance

The company is focused on supporting customers and communities during the pandemic and innovating new products, services, and technology to position Valley for the future.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2020

Historical avgQ4 2020

-0.2%

Avg return

Earnings day

+0.2%

Avg return

5 days after

+1.6%

Avg return

30 days after

50%

34 / 68 earnings

Positive

+9.3%

Q1 2023

Best reaction

-8.3%

Q1 2013

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+3.9%+2.8%+2.2%
Q4 2025+3.0%+7.1%+2.8%
Q3 2025+4.3%+10.5%+6.3%
Q1 2025+1.2%+0.5%+0.8%
Q4 2024-0.2%+4.1%-2.7%
Q3 2024+1.6%+5.0%+15.8%
Q2 2024+5.1%+4.7%+13.5%
Q1 2024-6.6%-10.6%-6.1%
Q4 2023-4.3%-3.4%-21.9%
Q3 2023+0.1%+0.4%+13.2%
Q2 2023-1.4%-3.8%-15.0%
Q1 2023+9.3%-14.9%-11.0%
Q4 2022+3.0%+7.0%+5.5%
Q3 2022+3.0%+2.8%+8.4%
Q2 2022+4.1%+4.1%+8.0%
Q1 2022-2.0%-1.8%+4.5%
Q4 2021-5.7%-4.3%-3.4%
Q3 2021-1.2%+3.9%+3.6%
Q2 2021-0.9%-1.4%+1.1%
Q1 2021-1.6%+2.1%+2.4%
Q4 2020-1.7%+0.8%+17.9%
Q3 2020+5.8%-1.0%+20.4%
Q2 2020+3.5%-0.8%-0.4%
Q1 2020-4.6%-8.0%-3.9%
Q4 2019-3.4%+0.0%-14.7%
Q3 2019+0.3%+2.9%+2.1%
Q2 2019+1.2%+1.8%-7.8%
Q1 2019+0.3%+1.3%-1.5%
Q4 2018-2.5%-1.1%+2.0%
Q3 2018+0.3%+5.1%+4.8%
Q2 2018-6.1%-7.8%-5.1%
Q1 2018+3.2%+1.7%+3.9%
Q4 2017+4.7%+2.9%+5.8%
Q3 2017-2.4%-3.7%-5.4%
Q2 2017-5.9%-4.2%-9.1%
Q1 2017+0.4%-0.7%-5.0%
Q4 2016+6.8%+5.7%+9.0%
Q3 2016+1.4%+0.9%+16.7%
Q2 2016-0.8%-1.0%+4.6%
Q1 2016-6.7%
Q4 2015+0.7%
Q3 2015+5.8%
Q2 2015-1.8%
Q1 2015-2.0%
Q4 2014-1.2%
Q3 2014-0.3%
Q2 2014-0.6%
Q1 2014-6.9%
Q4 2013-1.8%
Q3 2013-4.1%
Q2 2013+3.8%
Q1 2013-8.3%
Q4 2012-0.2%
Q3 2012-0.4%
Q2 2012-0.3%
Q1 2012+0.1%
Q4 2011+0.5%
Q4 2008+0.5%
Q3 2011+3.8%
Q2 2011-2.7%
Q1 2010+0.4%
Q1 2011+0.3%
Q4 2010-1.6%
Q3 2010-2.9%
Q3 2009-2.9%
Q4 2009+0.1%
Q2 2010+0.1%
Q2 2009+0.1%

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