Evaluating United Bankshares: Insights From 5 Financial Analysts

United Bankshares UBSI underwent analysis by 5 analysts in the last quarter, revealing a spectrum of viewpoints from bullish to bearish.

In the table below, you'll find a summary of their recent ratings, revealing the shifting sentiments over the past 30 days and comparing them to the previous months.

Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $39.2, a high estimate of $41.00, and a low estimate of $38.00. Marking an increase of 4.26%, the current average surpasses the previous average price target of $37.60.

Breaking Down Analyst Ratings: A Detailed Examination

The standing of United Bankshares among financial experts is revealed through an in-depth exploration of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to United Bankshares. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Analysts assign qualitative assessments to stocks, ranging from 'Outperform' to 'Underperform'. These ratings convey the analysts' expectations for the relative performance of United Bankshares compared to the broader market.
• Price Targets: Understanding forecasts, analysts offer estimates for United Bankshares's future value. Examining the current and prior targets provides insight into analysts' changing expectations.

For valuable insights into United Bankshares's market performance, consider these analyst evaluations alongside crucial financial indicators. Stay well-informed and make prudent decisions using our Ratings Table.

Stay up to date on United Bankshares analyst ratings.

Unveiling the Story Behind United Bankshares

United Bankshares Inc is a financial holding company that provides banking services. The company operates in two segments: Community banking, which accepts deposits, makes loans (for personal, credit card, commercial, and construction uses), provides brokerage services, safe deposit boxes, and related services; and Mortgage banking, which offers and acquires home mortgages through an indirectly owned subsidiary. Nearly all revenue comes from the community banking segment.

Key Indicators: United Bankshares's Financial Health

Market Capitalization Analysis: The company exhibits a lower market capitalization profile, positioning itself below industry averages. This suggests a smaller scale relative to peers.

Negative Revenue Trend: Examining United Bankshares's financials over 3 months reveals challenges. As of 31 March, 2024, the company experienced a decline of approximately -4.36% in revenue growth, reflecting a decrease in top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Financials sector.

Net Margin: United Bankshares's net margin is impressive, surpassing industry averages. With a net margin of 34.29%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): United Bankshares's ROE is below industry standards, pointing towards difficulties in efficiently utilizing equity capital. With an ROE of 1.81%, the company may encounter challenges in delivering satisfactory returns for shareholders.

Return on Assets (ROA): United Bankshares's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 0.29% ROA, the company effectively utilizes its assets for optimal returns.

Debt Management: With a below-average debt-to-equity ratio of 0.38, United Bankshares adopts a prudent financial strategy, indicating a balanced approach to debt management.

What Are Analyst Ratings?

Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.

Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.

Beyond their standard evaluations, some analysts contribute predictions for metrics like growth estimates, earnings, and revenue, furnishing investors with additional guidance. Users of analyst ratings should be mindful that this specialized advice is shaped by human perspectives and may be subject to variability.

This article was generated by Benzinga's automated content engine and reviewed by an editor.