Stellar BancorpSTEL 43 5-Year Yield-on-Cost % is 1.95 as of Jul. 09, 2026, which is 14% below its 10-year median of 2.28. GuruFocus rates STEL with a GF Score™ of 43/100 and a GF Value™ of $27.73 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 1,254 Banks companies, Stellar Bancorp ranks worse than 82.54% on this metric.
Stellar Bancorp's yield on cost for the quarter that ended in Mar. 2026 was 1.95.
The historical rank and industry rank for Stellar Bancorp's 5-Year Yield-on-Cost % or its related term are showing as below:
STEL'
s 5-Year Yield-on-Cost % Range Over the Past 10 Years
Min: 0.22 Med: 2.28 Max: 3.46
Current: 1.95
During the past 11 years, Stellar Bancorp's highest Yield on Cost was 3.46. The lowest was 0.22. And the median was 2.28.
STEL's 5-Year Yield-on-Cost % is ranked worse than 82.54% of 1254
companies
in the Banks industry
Industry Median: 3.905
vs STEL: 1.95
Of course the risk here is that the company may not raise its dividends as it did before. The key is to select the companies that can consistently raise its dividends. Usually companies with long history of raising dividends tend to do so.
Stellar Bancorp 5-Year Yield-on-Cost % Related Terms
STEL vs NBHC, OFG, SRCE: 5-Year Yield-on-Cost % Comparison
For the Banks - Regional subindustry, Stellar Bancorp's 5-Year Yield-on-Cost %, along with its competitors' market caps and 5-Year Yield-on-Cost % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Stellar Bancorp 5-Year Yield-on-Cost % vs Banks Industry
For the Banks industry and Financial Services sector, Stellar Bancorp's 5-Year Yield-on-Cost % distribution charts can be found below:
* The bar in red indicates where Stellar Bancorp's 5-Year Yield-on-Cost % falls into.
Dividend Yield % and dividend growth of a stock is an important factor for income investors. But if company A raises its dividend constantly faster than company B, company A's future dividend yield might be much higher than Company B's even if their yields are the same now and their stock prices do not change.
Yield on Cost assumes that you buy and the stock today, and hold it for 5 years. If the company raises it dividends at the same rate as it did over the past 5 years, the dividends investors receive annually in 5 years relative to the stock price today.
Therefore, Yield-on-Cost of Stellar Bancorp is calculated as
Stellar Bancorp (STEL) has a 5-Year Yield-on-Cost % of 1.95 as of Jul. 09, 2026. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Stellar Bancorp and its competitors. This is 14% below median its historical median of 2.28. Over the past decade, Stellar Bancorp's 5-Year Yield-on-Cost % has ranged from 0.22 to 3.46. According to the industry distribution chart, Stellar Bancorp ranks #1035 out of 1254 companies in the Banks industry, placing it in the top 82.5%.
Is Stellar Bancorp's 5-Year Yield-on-Cost % too high?
Stellar Bancorp's current 5-Year Yield-on-Cost % of 1.95 is 14% below median its 10-year median of 2.28. Over the past 10 years, this metric has ranged from a low of 0.22 to a high of 3.46. The Banks industry median 5-Year Yield-on-Cost % is 3.91. Stellar Bancorp's value of 1.95 is 50.1% below this industry median. Based on the distribution chart, Stellar Bancorp ranks #1035 out of 1254 companies in the Banks industry, which is in the bottom quartile relative to peers. Overall, Stellar Bancorp has a GF Score™ of 43/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Stellar Bancorp's 5-Year Yield-on-Cost % compare to NBHC and OFG?
According to the Banks industry distribution chart, Stellar Bancorp ranks #1035 out of 1254 companies for 5-Year Yield-on-Cost %. This places Stellar Bancorp in the lower half of its industry. The industry median 5-Year Yield-on-Cost % is 3.91. Stellar Bancorp's value of 1.95 is 50.1% below this benchmark. Historically, Stellar Bancorp's own 5-Year Yield-on-Cost % has ranged from 0.22 to 3.46 over the past decade. While the company's 10-year median is 2.28 vs. the industry median of 3.91, Stellar Bancorp has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 5-Year Yield-on-Cost % for a Banks company?
The median 5-Year Yield-on-Cost % among Banks companies is 3.91, based on 1,254 companies in the industry. Companies in the top quartile (top 25%) have a 5-Year Yield-on-Cost % significantly above this median, while those in the bottom quartile fall well below. However, 5-Year Yield-on-Cost % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Stellar Bancorp's current 5-Year Yield-on-Cost % of 1.95 is 50.1% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 5-Year Yield-on-Cost % mean?
A high 5-Year Yield-on-Cost % can signal that a stock is expensive relative to its fundamentals. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Stellar Bancorp and its competitors. For the Banks industry, the median 5-Year Yield-on-Cost % is 3.91 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Stellar Bancorp's current 5-Year Yield-on-Cost % is 1.95, which is 14% below median its own 10-year median of 2.28. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Stellar Bancorp stock overvalued right now?
Based on GuruFocus' analysis, Stellar Bancorp (STEL) is currently considered Significantly Overvalued. The stock's GF Value™ is $27.73, compared to a current price of $39.32 — trading 41.8% above its estimated fair value. The current 5-Year Yield-on-Cost % is 1.95, which is 14% below median its 10-year median of 2.28 and 50.1% below the Banks industry median of 3.91. Stellar Bancorp's overall GF Score™ is 43/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 5-Year Yield-on-Cost % calculated?
5-Year Yield-on-Cost % is calculated from a company's financial statements. For Stellar Bancorp (STEL), the current 5-Year Yield-on-Cost % is 1.95 as of Jul. 09, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Stellar Bancorp (STEL) Overvalued in 2026?
Based on GuruFocus' analysis, Stellar Bancorp stock appears to be overvalued.
The current stock price of $39.32 is trading 41.8% above its estimated GF Value™ of $27.73.
GuruFocus considers Stellar Bancorp to be Significantly Overvalued.
Key valuation signals for STEL:
5-Year Yield-on-Cost %: 1.95 (14% below median its 10-year median of 2.28)
GF Value™: $27.73 vs. price of $39.32 (41.8% above fair value)
Industry Position: 50.1% below the Banks median (#1035 of 1254)
No single metric tells the full story. See the STEL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Stellar Bancorp Inc is a U.S. based bank holding company. Through its subsidiary, Stellar Bank, the company provides a diversified range of commercial banking services predominantly to small to medium sized businesses, professionals, and individual customers. Its offerings include different types of loans, such as mortgage loans, home equity loans, automobile loans, etc.; deposit products, such as checking accounts, commercial accounts, money market accounts, savings accounts, etc. and other banking services like mobile banking, debit cards, cash management and wire transfer services, letters of credit, and others.
43GF Score
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