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Wintrust Financial (WTFC) Valuation Check After Recent Share Price Momentum And DCF Discount

Simply Wall St · 5d ago

Wintrust Financial (WTFC) has drawn investor attention recently as its shares trade around $142.66, while reported return figures over the past year and past 3 months give a snapshot of how the stock has behaved.

See our latest analysis for Wintrust Financial.

The recent 1 day share price return of 2.03% and 90 day share price return of 8.35% suggest momentum has been building. The 1 year total shareholder return of 13.55% and 5 year total shareholder return of 136.89% point to a stronger longer term record.

If Wintrust Financial has caught your eye, it can be useful to compare it with other bank names, starting with solid balance sheet and fundamentals stocks screener (None results).

With the shares around $142.66, an intrinsic value estimate that implies a 40.12% discount, and analyst targets that sit above today’s price, the key question is simple: is Wintrust Financial undervalued or is the market already pricing in future growth?

Price to earnings of 12.9x: Is it justified?

At roughly $142.66 per share, Wintrust Financial trades on a P/E of 12.9x, which appears modestly priced versus peers and its own fair ratio.

The P/E ratio compares the current share price with the company’s earnings per share. It shows how many dollars investors are paying for each dollar of profit. For banks, where earnings and return on equity matter a lot, P/E is a common shorthand for how confident the market is in the earnings profile.

Here, WTFC’s 12.9x P/E sits slightly below the estimated fair P/E of 13.4x. This suggests the market is pricing earnings a bit lower than the level our fair ratio implies it could move toward. At the same time, that 12.9x multiple is higher than the US Banks industry average of 11.8x, so the stock trades at a premium to the broader group, even if it looks reasonable compared with its own fair ratio and peer set.

Explore the SWS fair ratio for Wintrust Financial

Result: Price-to-earnings of 12.9x (ABOUT RIGHT)

However, the story can change quickly if credit quality weakens or if funding costs pressure margins, especially for a bank focused on community and specialty finance.

Find out about the key risks to this Wintrust Financial narrative.

Another view: what the DCF is saying

While the 12.9x P/E looks roughly in line with WTFC’s fair ratio, our DCF model presents a different picture. With an estimated fair value of $238.22 versus a share price of $142.66, WTFC appears materially undervalued. The key question is whether those cash flow assumptions are too optimistic or the price is simply too low.

Look into how the SWS DCF model arrives at its fair value.

WTFC Discounted Cash Flow as at Jan 2026
WTFC Discounted Cash Flow as at Jan 2026

Simply Wall St performs a discounted cash flow (DCF) on every stock in the world every day (check out Wintrust Financial for example). We show the entire calculation in full. You can track the result in your watchlist or portfolio and be alerted when this changes, or use our stock screener to discover 870 undervalued stocks based on their cash flows. If you save a screener we even alert you when new companies match - so you never miss a potential opportunity.

Build Your Own Wintrust Financial Narrative

If parts of this view do not quite fit how you see Wintrust Financial, you can test the assumptions yourself and build a personalised story in just a few minutes, starting with Do it your way.

A good starting point is our analysis highlighting 3 key rewards investors are optimistic about regarding Wintrust Financial.

Looking for more investment ideas?

Once you have weighed up Wintrust Financial, do not stop there. Widen your opportunity set with other focused stock ideas that might better fit your style.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.