Critical Contrast: Amalgamated Financial (AMAL) versus Its Rivals

Amalgamated Financial (NASDAQ:AMALGet Rating) is one of 317 publicly-traded companies in the “State commercial banks” industry, but how does it contrast to its competitors? We will compare Amalgamated Financial to similar businesses based on the strength of its valuation, profitability, institutional ownership, earnings, risk, analyst recommendations and dividends.

Dividends

Amalgamated Financial pays an annual dividend of $0.32 per share and has a dividend yield of 1.5%. Amalgamated Financial pays out 18.4% of its earnings in the form of a dividend. As a group, “State commercial banks” companies pay a dividend yield of 2.4% and pay out 26.3% of their earnings in the form of a dividend.

Profitability

This table compares Amalgamated Financial and its competitors’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Amalgamated Financial 25.03% 10.20% 0.76%
Amalgamated Financial Competitors 28.54% 12.44% 1.30%

Insider and Institutional Ownership

37.3% of Amalgamated Financial shares are owned by institutional investors. Comparatively, 51.8% of shares of all “State commercial banks” companies are owned by institutional investors. 2.1% of Amalgamated Financial shares are owned by company insiders. Comparatively, 10.4% of shares of all “State commercial banks” companies are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Earnings and Valuation

This table compares Amalgamated Financial and its competitors revenue, earnings per share and valuation.

Gross Revenue Net Income Price/Earnings Ratio
Amalgamated Financial $208.91 million $52.94 million 12.23
Amalgamated Financial Competitors $1.30 billion $320.66 million 11.56

Amalgamated Financial’s competitors have higher revenue and earnings than Amalgamated Financial. Amalgamated Financial is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Analyst Recommendations

This is a summary of recent ratings and target prices for Amalgamated Financial and its competitors, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Amalgamated Financial 0 0 3 0 3.00
Amalgamated Financial Competitors 2321 9950 7858 582 2.32

Amalgamated Financial presently has a consensus target price of $20.33, suggesting a potential downside of 4.45%. As a group, “State commercial banks” companies have a potential upside of 29.49%. Given Amalgamated Financial’s competitors higher possible upside, analysts plainly believe Amalgamated Financial has less favorable growth aspects than its competitors.

Volatility & Risk

Amalgamated Financial has a beta of 0.75, indicating that its share price is 25% less volatile than the S&P 500. Comparatively, Amalgamated Financial’s competitors have a beta of 0.67, indicating that their average share price is 33% less volatile than the S&P 500.

Summary

Amalgamated Financial competitors beat Amalgamated Financial on 10 of the 15 factors compared.

Amalgamated Financial Company Profile (Get Rating)

Amalgamated Financial Corp. operates as the bank holding company for Amalgamated Bank that provides commercial and retail banking, investment management, and trust and custody services for commercial and retail customers in the United States. The company accepts various deposit products, including non-interest bearing accounts, interest-bearing demand products, savings accounts, money market accounts, NOW accounts, and certificates of deposit. It also provides various commercial loans comprising commercial and industrial, multifamily mortgage, and commercial real estate loans; and retail loans, such as residential real estate, and consumer and other loans. In addition, the company offers online banking, bill payment, online cash management, and safe deposit box rental services; debit and ATM cards; and trust, custody, and investment management services comprising asset safekeeping, corporate actions, income collections, proxy, account transition, asset transfers, and conversion management services. Further, it provides investment products, such as equity, fixed-income, real estate, and alternative investment products; and brokerage, asset management, and insurance products. The company operates through its three branch offices across New York City, one branch office in Washington, D.C., one branch office in San Francisco, one commercial office in Boston, and digital banking platform. Amalgamated Financial Corp. was founded in 1923 and is headquartered in New York, New York.

Want More Great Investing Ideas?

Receive News & Ratings for Amalgamated Financial Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Amalgamated Financial and related companies with MarketBeat.com's FREE daily email newsletter.