(STEL) Stellar Bancorp - Overview
Sector: Financial Services | Industry: Banks - Regional | Exchange: NYSE (USA) | Market Cap: 1.886m USD | Total Return: 43.1% in 12m
Avg Turnover: 8.45M
EPS Trend: -91.3%
Qual. Beats: 0
Rev. Trend: -46.4%
Qual. Beats: 0
Warnings
No concerns identified
Tailwinds
No distinct edge detected
Stellar Bancorp, Inc. (STEL) is a bank holding company headquartered in Houston, Texas, providing commercial banking services to small and medium-sized businesses and individual clients. Its portfolio includes a diverse range of deposit products, commercial and industrial loans, and specialized real estate financing, including multi-family and construction lending. The company also generates revenue through ancillary services such as factoring, cash management, and retail lending products.
Operating within the regional banking sub-industry, Stellar Bancorp relies on a business model centered on the net interest margin-the difference between interest earned on loans and interest paid on deposits. Regional banks in the United States often focus on localized relationship banking, which allows them to capture market share in specific geographic corridors through personalized credit assessment. Further analysis of the companys valuation metrics on ValueRay can help clarify its current market position. As a Houston-based entity, its performance is frequently correlated with the economic health and industrial activity of the Texas Gulf Coast region.
- Net interest margin sensitivity to Federal Reserve monetary policy shifts
- Concentration of commercial real estate loans in the Houston metro area
- Expense management and synergy realization following the Allegiance and CBTX merger
- Growth in non-interest bearing deposits from small business banking clients
- Credit quality performance within the commercial and industrial loan portfolio
| Net Income: 105.1m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.01 > 0.02 and ΔFCF/TA 0.21 > 1.0 |
| NWC/Revenue: -1.17k% < 20% (prev -1.10k%; Δ -66.14% < -1%) |
| CFO/TA 0.01 > 3% & CFO 119.2m > Net Income 105.1m |
| Net Debt (-1.84b) to EBITDA (159.1m): -11.58 < 3 |
| Current Ratio: 0.23 > 1.5 & < 3 |
| Outstanding Shares: last quarter (51.1m) vs 12m ago -3.87% < -2% |
| Gross Margin: 69.94% > 18% (prev 0.70%; Δ 6.92k% > 0.5%) |
| Asset Turnover: 5.55% > 50% (prev 5.93%; Δ -0.38% > 0%) |
| Interest Coverage Ratio: 0.77 > 6 (EBITDA TTM 159.1m / Interest Expense TTM 169.0m) |
| A: -0.64 (Total Current Assets 2.07b - Total Current Liabilities 8.99b) / Total Assets 10.9b |
| B: 0.05 (Retained Earnings 585.4m / Total Assets 10.9b) |
| C: 0.01 (EBIT TTM 130.2m / Avg Total Assets 10.7b) |
| D: 0.05 (Book Value of Equity 496.9m / Total Liabilities 9.22b) |
| Altman-Z'' = -3.85 = D |
| DSRI: 1.01 (Receivables 36.6m/37.7m, Revenue 592.0m/618.6m) |
| GMI: 1.00 (GM 69.94% / 69.64%) |
| AQI: 0.97 (AQ_t 0.80 / AQ_t-1 0.82) |
| SGI: 0.96 (Revenue 592.0m / 618.6m) |
| TATA: -0.00 (NI 105.1m - CFO 119.2m) / TA 10.9b) |
| Beneish M = -3.06 (Cap -4..+1) = AA |
As of May 24, 2026, the stock is trading at USD 37.41 with a total of 204,586 shares traded.
Over the past week, the price has changed by +2.97%,
over one month by -0.61%,
over three months by -0.06% and
over the past year by +43.07%.
Stellar Bancorp has received a consensus analysts rating of 3.20. Therefore, it is recommended to hold STEL.
- StrongBuy: 0
- Buy: 1
- Hold: 4
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 38 | 1.6% |
P/E Forward = 14.881
P/S = 4.4836
P/B = 1.1437
Revenue TTM = 592.0m USD
EBIT TTM = 130.2m USD
EBITDA TTM = 159.1m USD
Long Term Debt = 175.3m USD (from longTermDebt, last quarter)
Short Term Debt = 4.09m USD (from shortTermDebt, two quarters ago)
Debt = 189.0m USD (from shortLongTermDebtTotal, last quarter) + Leases 13.7m
Net Debt = -1.84b USD (calculated: Debt 189.0m - CCE 2.03b)
Enterprise Value = 42.7m USD (1.89b + Debt 189.0m - CCE 2.03b)
Interest Coverage Ratio = 0.77 (Ebit TTM 130.2m / Interest Expense TTM 169.0m)
EV/FCF = 0.36x (Enterprise Value 42.7m / FCF TTM 117.7m)
FCF Yield = 275.8% (FCF TTM 117.7m / Enterprise Value 42.7m)
FCF Margin = 19.87% (FCF TTM 117.7m / Revenue TTM 592.0m)
Net Margin = 17.76% (Net Income TTM 105.1m / Revenue TTM 592.0m)
Gross Margin = 69.94% ((Revenue TTM 592.0m - Cost of Revenue TTM 178.0m) / Revenue TTM)
Gross Margin QoQ = 70.99% (prev 69.38%)
Tobins Q-Ratio = 0.00 (Enterprise Value 42.7m / Total Assets 10.9b)
Interest Expense / Debt = 89.39% (Interest Expense 169.0m / Debt 189.0m)
Taxrate = 19.22% (6.41m / 33.4m)
NOPAT = 105.2m (EBIT 130.2m * (1 - 19.22%))
Current Ratio = 0.23 (Total Current Assets 2.07b / Total Current Liabilities 8.99b)
Debt / Equity = 0.11 (Debt 189.0m / totalStockholderEquity, last quarter 1.67b)
Debt / EBITDA = -11.58 (Net Debt -1.84b / EBITDA 159.1m)
Debt / FCF = -15.67 (Net Debt -1.84b / FCF TTM 117.7m)
Total Stockholder Equity = 1.65b (last 4 quarters mean from totalStockholderEquity)
RoA = 0.99% (Net Income 105.1m / Total Assets 10.9b)
RoE = 6.38% (Net Income TTM 105.1m / Total Stockholder Equity 1.65b)
RoCE = 7.14% (EBIT 130.2m / Capital Employed (Equity 1.65b + L.T.Debt 175.3m))
RoIC = 6.55% (NOPAT 105.2m / Invested Capital 1.61b)
WACC = 7.67% (E(1.89b)/V(2.08b) * Re(8.44%) + (debt cost/tax rate unavailable))
Discount Rate = 8.44% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -65.93 | Cagr: -1.87%
[DCF] Terminal Value 77.97% ; FCFF base≈107.0m ; Y1≈122.6m ; Y5≈180.5m
[DCF] Fair Price = 89.54 (EV 2.72b - Net Debt -1.84b = Equity 4.56b / Shares 50.9m; r=8.35% [WACC [floored]]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: -91.26 | EPS CAGR: -11.28% | SUE: 0.63 | # QB: 0
Revenue Correlation: -46.37 | Revenue CAGR: -1.85% | SUE: 0.55 | # QB: 0
EPS current Quarter (2026-06-30): EPS=0.51 | Chg30d=-4.97% | Revisions=-20% | Analysts=1
EPS next Quarter (2026-09-30): EPS=0.56 | Chg30d=-0.59% | Revisions=-20% | Analysts=1
EPS current Year (2026-12-31): EPS=2.16 | Chg30d=-0.77% | Revisions=-20% | GrowthEPS=+8.5% | GrowthRev=+4.6%
EPS next Year (2027-12-31): EPS=2.35 | Chg30d=-0.11% | Revisions=+43% | GrowthEPS=+8.7% | GrowthRev=+4.4%
[Analyst] Revisions Ratio: +43%