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United Bankshares (UBSI)
NASDAQ:UBSI

United Bankshares (UBSI) AI Stock Analysis

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United Bankshares

(NASDAQ:UBSI)

Rating:68Neutral
Price Target:
United Bankshares exhibits strong financial performance with solid revenue growth and profitability. The stable balance sheet is offset by declining cash reserves. Technical indicators present a mixed picture, while valuation metrics suggest the stock may be undervalued. The absence of recent earnings call data and corporate events limits further assessment.

United Bankshares (UBSI) vs. SPDR S&P 500 ETF (SPY)

United Bankshares Business Overview & Revenue Model

Company DescriptionUnited Bankshares, Inc., a financial holding company, primarily provides commercial and retail banking products and services in the United States. It operates through two segments, Community Banking and Mortgage Banking. The company accepts checking, savings, and time and money market accounts; individual retirement accounts; and demand deposits, statement and special savings, NOW accounts, and interest-bearing checking accounts. Its loan products include commercial loans and leases; construction and real estate loans; personal, student, credit card, commercial, and floor plan loans; and home equity loans. In addition, the company provides credit cards; safe deposit boxes, wire transfers, and other banking products and services; investment and security services; services to correspondent banks, including buying and selling federal funds; automated teller machine services; and internet and telephone banking services. Further, it offers community banking services, such as asset management, real property title insurance, financial planning, mortgage banking, and brokerage services. As of December 31, 2021, the company operated 250 offices in Virginia, Maryland, Washington, D.C., North Carolina, South Carolina, Georgia, Pennsylvania, West Virginia, and Ohio. United Bankshares, Inc. was incorporated in 1982 and is headquartered in Charleston, West Virginia.
How the Company Makes MoneyUnited Bankshares generates revenue primarily through the interest income derived from its loan portfolio, which includes personal, commercial, and real estate loans. The company also earns income from fees and charges associated with various banking services such as account maintenance, transaction processing, and ATM usage. Additionally, United Bankshares benefits from investment management and brokerage services, enhancing its non-interest income. The company's financial performance is further supported by strategic acquisitions and partnerships, which expand its market reach and customer base, thereby contributing to its overall earnings.

United Bankshares Financial Statement Overview

Summary
United Bankshares demonstrates solid financial performance with strong revenue growth and profitability margins. The balance sheet is stable with a robust equity position, though cash reserves are decreasing. Cash flow generation is adequate but declining free cash flow growth is a concern.
Income Statement
72
Positive
United Bankshares has demonstrated solid revenue and net income growth over recent years, with a modest revenue growth rate of approximately 1.3% from 2022 to 2023. The net profit margin is strong, reflecting efficient management and operational excellence. However, the absence of EBIT and EBITDA data for 2024 makes it challenging to fully assess the company's operational efficiency.
Balance Sheet
68
Positive
The company maintains a strong equity base with an equity ratio of around 16.65% in 2024, indicating a stable financial structure. The debt-to-equity ratio is low, reflecting conservative leverage usage, which reduces financial risk. However, a declining trend in cash and cash equivalents could indicate potential liquidity challenges if not managed carefully.
Cash Flow
65
Positive
United Bankshares shows a positive free cash flow, though it decreased from 2023 to 2024. The operating cash flow to net income ratio remains healthy, suggesting good cash generation relative to earnings. The decline in free cash flow growth is a concern and should be monitored for future liquidity management.
Breakdown
Dec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income StatementTotal Revenue
1.03B1.50B1.03B1.01B1.04B
Gross Profit
1.03B1.02B1.03B1.01B1.04B
EBIT
448.88M436.23M585.81M462.85M363.63M
EBITDA
0.000.00448.49M259.83M0.00
Net Income Common Stockholders
373.00M366.31M379.63M367.74M289.02M
Balance SheetCash, Cash Equivalents and Short-Term Investments
3.20B4.04B5.72B7.80B5.16B
Total Assets
30.02B29.93B29.49B29.33B26.18B
Total Debt
627.19M1.88B2.43B1.03B1.08B
Net Debt
-1.66B284.21M1.26B-2.73B-1.13B
Total Liabilities
25.03B25.16B24.97B24.61B21.89B
Stockholders Equity
4.99B4.77B4.52B4.72B4.30B
Cash FlowFree Cash Flow
433.33M423.55M743.96M594.16M121.42M
Operating Cash Flow
445.45M435.24M760.82M609.54M140.45M
Investing Cash Flow
571.49M38.99M-3.45B15.65M137.59M
Financing Cash Flow
-323.64M-51.94M105.32M923.91M1.09B

United Bankshares Technical Analysis

Technical Analysis Sentiment
Positive
Last Price36.83
Price Trends
50DMA
34.66
Positive
100DMA
35.66
Positive
200DMA
36.69
Positive
Market Momentum
MACD
0.63
Positive
RSI
60.13
Neutral
STOCH
39.84
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For UBSI, the sentiment is Positive. The current price of 36.83 is above the 20-day moving average (MA) of 36.02, above the 50-day MA of 34.66, and above the 200-day MA of 36.69, indicating a bullish trend. The MACD of 0.63 indicates Positive momentum. The RSI at 60.13 is Neutral, neither overbought nor oversold. The STOCH value of 39.84 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for UBSI.

United Bankshares Risk Analysis

United Bankshares disclosed 30 risk factors in its most recent earnings report. United Bankshares reported the most risks in the “Finance & Corporate” category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

United Bankshares Peers Comparison

Overall Rating
UnderperformOutperform
Sector (64)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
OZOZK
79
Outperform
$5.16B7.4512.85%3.74%13.85%2.43%
FNFNB
76
Outperform
$5.09B11.177.40%3.47%10.18%2.27%
VLVLY
69
Neutral
$5.00B12.995.48%5.06%1.60%-18.84%
68
Neutral
$5.23B13.667.30%4.11%6.39%2.93%
67
Neutral
$5.05B21.8514.60%2.10%16.01%15.70%
64
Neutral
$12.67B9.747.58%17015.08%12.21%-6.96%
FLFLG
51
Neutral
$4.91B-10.40%0.51%-8.17%73.59%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
UBSI
United Bankshares
36.83
6.98
23.38%
OZK
Bank OZK
45.49
7.45
19.58%
FNB
F.N.B.
14.16
1.16
8.92%
FFIN
First Financial Bankshares
35.30
6.59
22.95%
FLG
Flagstar Financial
11.83
2.17
22.46%
VLY
Valley National Bancorp
8.92
2.37
36.18%
Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.