BankUnited (BKU) AI Stock Analysis

• Market Cap: $2.91B
• Dividend Yield: 3.77%
• Average Volume (3M): 755.26K
• Price to Earnings (P/E): 12.0
• Beta (1Y): 1.30
• Revenue Growth: -2.81%
• EPS Growth: 51.85%
• Country: US
• Employees: 1,662
• Sector: Financial
• Sector Strength: 74
• Industry: Banks - Regional
• EPS (TTM): 0.91
• Shares Outstanding: 75,211,920
• 10 Day Avg. Volume: 747,540
• 30 Day Avg. Volume: 755,258
• PEG Ratio: 1.83
• Price to Book (P/B): 0.99
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 7.75
• Enterprise Value/Market Cap: 0.75
• Enterprise Value/Revenue: 0.27
• Enterprise Value/Gross Profit: 2.24
• Enterprise Value/Ebitda: 1.59
• 1Y Price Target: $41.25
• Price Target Upside: 4.30% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 8

• Rating: 73 Outperform
• Price Target: $44.00 ▲(11.25%Upside)

BankUnited's overall score is bolstered by strong earnings performance and a solid financial position, as highlighted in the recent earnings call. Positive technical indicators and a reasonable valuation further support the stock's outlook. However, caution is advised due to potential leverage risks and the stock's approach to overbought territory.

Positive Factors

Company Potential

Management is optimistic about deposit concentrations reaching over 30%, improving the company's attractiveness as a potential consolidation candidate.

Earnings

BankUnited reported better than expected NIM expansion and lower provision drove an EPS beat.

Financial Performance

The company posted its most profitable quarter in nearly two years, with a notable return on assets and equity.

Negative Factors

Guidance and Forecasts

2024 guidance updates were net negative related to loans and expenses.

Loan Growth

Loan growth on a period end basis decreased 4% annualized Q/Q driven by declines in all loan categories excluding commercial real estate.

Loan Performance

Loan balances were negatively impacted by larger payoff activity in the C&I book, as M&A picked up.

BankUnited Business Overview & Revenue Model

Company Description

BankUnited, Inc. operates as the bank holding company for BankUnited, a national banking association that provides a range of banking services in the United States. The company offers deposit products, such as checking, money market deposit, and savings accounts; certificates of deposit; and treasury, commercial payment, and cash management services. Its loans portfolio includes commercial loans, including equipment loans, secured and unsecured lines of credit, formula-based loans, owner-occupied commercial real estate term loans and lines of credit, mortgage warehouse lines, letters of credit, commercial credit cards, small business administration and U.S. department of agriculture product offerings, export-import bank financing products, trade finance, and business acquisition finance credit facilities; commercial real estate loans; residential mortgages; and other consumer loans. The company also offers online, mobile, and telephone banking services. As of December 31, 2021, it operated through a network of 63 banking centers located in 13 Florida counties; and 4 banking centers in the New York metropolitan area. The company was formerly known as BU Financial Corporation. BankUnited, Inc. was incorporated in 2009 and is headquartered in Miami Lakes, Florida.

How the Company Makes Money

BankUnited makes money primarily through the interest income generated from its lending activities. The bank extends loans to businesses and individuals, including commercial real estate loans, residential mortgages, and consumer loans, earning interest over the life of these loans. Additionally, BankUnited generates non-interest income through fees and charges associated with deposit accounts, loan servicing, and other banking services. The company also invests in securities, earning returns from its investment portfolio. BankUnited's profitability is influenced by factors such as interest rate fluctuations, credit risk management, and its ability to attract and retain deposits.

BankUnited Financial Statement Overview

Summary

BankUnited exhibits solid financial health with strong profitability metrics and efficient cash flow management. However, the high debt-to-equity ratio suggests potential leverage risks. The company is maintaining profitability while navigating revenue fluctuations, reflecting a resilient operational framework.

Income Statement

BankUnited's income statement shows moderate revenue growth with a slight decline in revenue from 2024 to TTM 2025. The gross profit margin remains robust at 49.1% in TTM 2025. The net profit margin has improved to 12.3% in TTM, indicating enhanced profitability. However, EBIT and EBITDA margins have slightly decreased compared to previous years, suggesting some cost pressures.

Balance Sheet

The balance sheet reflects a stable equity position with an equity ratio of 8.3% in TTM 2025. However, the debt-to-equity ratio is elevated at 1.08, indicating higher leverage, which may pose risks in a volatile market. Return on equity is strong at 8.4%, demonstrating effective use of shareholders' equity.

Cash Flow

Operating cash flow remains positive, with a sound operating cash flow to net income ratio of 1.58 in TTM 2025. The free cash flow generation is stable, although there is a decline in free cash flow from the previous year, resulting in a negative free cash flow growth rate.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.02B	1.94B	1.31B	1.09B	1.20B
Gross Profit	958.35M	873.03M	915.44M	996.96M	706.55M
EBITDA	376.46M	311.14M	452.75M	527.88M	321.87M
Net Income	232.47M	178.67M	284.97M	414.98M	197.85M
Balance Sheet
Total Assets	35.24B	35.76B	37.03B	35.82B	35.01B
Cash, Cash Equivalents and Short-Term Investments	491.12M	588.28M	572.65M	314.86M	397.72M
Total Debt	3.64B	5.82B	6.33B	2.83B	4.03B
Total Liabilities	32.43B	33.18B	34.59B	32.78B	32.03B
Stockholders Equity	2.81B	2.58B	2.44B	3.04B	2.98B
Cash Flow
Free Cash Flow	433.78M	657.50M	1.29B	1.19B	844.57M
Operating Cash Flow	433.78M	657.50M	1.29B	1.22B	864.17M
Investing Cash Flow	409.71M	980.57M	-2.12B	-1.64B	-2.62B
Financing Cash Flow	-940.66M	-1.62B	1.08B	334.87M	1.94B

BankUnited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 39.55
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BKU, the sentiment is Positive. The current price of 39.55 is above the 20-day moving average (MA) of 37.05, above the 50-day MA of 35.46, and above the 200-day MA of 36.05, indicating a bullish trend. The MACD of 1.02 indicates Negative momentum. The RSI at 70.46 is Negative, neither overbought nor oversold. The STOCH value of 85.35 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for BKU.

BankUnited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FRME	79 Outperform	$2.41B	10.70	9.90%	3.42%	-1.18%	23.42%
FFBC	79 Outperform	$2.33B	10.12	9.58%	4.89%	8.05%	-3.31%
PRK	78 Outperform	$2.75B	17.44	12.98%	3.43%	11.80%	23.34%
BKU	73 Outperform	$2.91B	12.05	8.98%	3.77%	-2.81%	51.85%
SFNC	73 Outperform	$2.48B	15.57	4.57%	4.20%	-0.32%	5.65%
TOWN	70 Outperform	$2.70B	15.20	8.36%	2.84%	8.59%	17.97%
Sector *	61 Neutral	C$15.14B	6.69	23.28%	5.39%	30.07%	-23.38%

BankUnited Corporate Events

BankUnited Announces $100M Share Repurchase Program

On July 22, 2025, BankUnited‘s Board of Directors authorized a share repurchase program of up to $100 million and the redemption of $400 million in senior notes due November 2025. The company reported strong financial results for the second quarter of 2025, with a net income increase of 18% from the previous quarter and a 25% increase compared to the same period in 2024. The company also saw improvements in net interest margin, deposit growth, and a decline in criticized and classified loans, indicating a robust financial position.

The most recent analyst rating on (BKU) stock is a Sell with a $42.00 price target. To see the full list of analyst forecasts on BankUnited stock, see the BKU Stock Forecast page.

BankUnited Approves Key Proposals at Annual Meeting

On May 22, 2025, BankUnited, Inc. held its annual meeting of shareholders where three key proposals were voted on. The election of nine directors to the Board was approved, Deloitte & Touche LLP was ratified as the independent registered public accounting firm for 2025, and the compensation of the Company’s named executive officers was approved.

The most recent analyst rating on (BKU) stock is a Sell with a $42.00 price target. To see the full list of analyst forecasts on BankUnited stock, see the BKU Stock Forecast page.