Back to top

Analyst Blog

Shares of SVB Financial Group (SIVB - Analyst Report) reached a new 52-week high, touching $80.88 in the last hour of the trading session on Jun 24, 2013. The closing price of this regional bank reflected a robust year-to-date return of 38.0%. The trading volume for the session was 0.5 million shares, higher than the average of 0.2 million over the last 3 months.

Despite the strong price appreciation, this Zacks Rank #3 (Hold) stock has plenty of upside left, given its estimate revisions over the last 60 days for 2013 and expected long-term earnings growth of 11.0%.

Growth Drivers

Impressive first-quarter 2013 results, strong capital position and a declining long-term debt were the primary growth drivers for SVB Financial.

SVB Financial’s first-quarter earnings marginally beat the Zacks Consensus Estimate. Results benefited from growth in top line, partially offset by a rise in operating expenses. Improvement in asset quality as well as capital and profitability ratios, and stable loan and deposit growth were among the positives.

Further, SVB Financial has been consistently lowering its long-term debt levels. Reduction in long-term debt will lead to lower interest expenses, which in turn will boost the top line.

Estimate Revisions

Over the last 60 days, 6 out of 13 estimates for 2013 have been revised upward, lifting the Zacks Consensus Estimate by 1.1% to $3.77 per share. However, for 2014, the Zacks Consensus Estimate fell 1.2% to $3.96 per share over the same time period.

Better performing banks include Central Pacific Financial Corp. (CPF - Snapshot Report), Preferred Bank (PFBC - Snapshot Report) and TriCo Bancshares (TCBK - Snapshot Report), all of which carry a Zacks Rank #1 (Strong Buy).

Please login to or register to post a comment.

New to Zacks?

Start Here

Zacks Investment Research


Are you a new Zacks Member or a visitor to

Top Zacks Features

My Portfolio Tracker

Is it Time to Sell?

One of the most important steps you can take today is to set up your portfolio tracker on Once you do, you'll be notified of major events affecting your stocks and/or funds with daily email alerts.

More Zacks Resources

Zacks Rank Home - Evaluate your stocks and use the Zacks Rank to eliminate the losers and keep the winners.

Mutual Fund Rank Home - Evaluate your funds with the Mutual Fund Rank for both your personal and retirement funds.

Stock/Mutual Fund Screening - Find better stocks and mutual funds. The ones most likely to beat the market and provide a positive return.

My Portfolio - Track your Portfolio and find out where your stocks/mutual funds stack up with the Zacks Rank.

Zacks #1 Rank Top Movers for Zacks #1 Rank Top Movers

Company Symbol Price %Chg
UNITED THER… UTHR 117.83 +28.51%
TRIQUINT SE… TQNT 20.67 +6.52%
RF MICRO DE… RFMD 12.47 +6.04%
VASCO DATA… VDSI 14.77 +4.68%
BANCO DO BR… BDORY 15.53 +3.95%