BASE:BMA

Stock Analysis Report

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Market Cap

AR$184.6b

Last Updated

2021/06/15 03:54 UTC

Data Sources

Company Financials +

Executive Summary

Banco Macro S.A. provides various banking products and services to retail and corporate customers in Argentina. More Details


Snowflake Analysis

Flawless balance sheet established dividend payer.


Similar Companies

Share Price & News

How has Banco Macro's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: BMA is more volatile than 75% of AR stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: BMA's weekly volatility (7%) has been stable over the past year, but is still higher than 75% of AR stocks.


Market Performance


7 Day Return

-0.5%

BMA

-1.7%

AR Banks

0.9%

AR Market


1 Year Return

24.0%

BMA

27.7%

AR Banks

40.1%

AR Market

Return vs Industry: BMA underperformed the AR Banks industry which returned 26.9% over the past year.

Return vs Market: BMA underperformed the AR Market which returned 37.9% over the past year.


Shareholder returns

BMAIndustryMarket
7 Day-0.5%-1.7%0.9%
30 Day20.2%26.4%21.8%
90 Day30.9%34.1%28.9%
1 Year24.0%24.0%28.5%27.7%41.9%40.1%
3 Year70.8%62.9%56.3%50.1%101.5%88.2%
5 Year208.1%180.7%194.1%170.3%310.1%257.7%

Long-Term Price Volatility Vs. Market

How volatile is Banco Macro's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Banco Macro undervalued compared to its fair value and its price relative to the market?

8.17x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: BMA (ARS290.25) is trading above our estimate of fair value (ARS170.21)

Significantly Below Fair Value: BMA is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: BMA is good value based on its PE Ratio (8.1x) compared to the AR Banks industry average (9.9x).

PE vs Market: BMA is good value based on its PE Ratio (8.1x) compared to the AR market (10.9x).


Price to Earnings Growth Ratio

PEG Ratio: BMA is good value based on its PEG Ratio (0.3x)


Price to Book Ratio

PB vs Industry: BMA's PB Ratio (1.1x) is in line with the AR Banks industry average.


Future Growth

How is Banco Macro forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

24.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BMA's forecast earnings growth (24.6% per year) is above the savings rate (7.6%).

Earnings vs Market: BMA's earnings (24.6% per year) are forecast to grow slower than the AR market (40.7% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: BMA's revenue (26.6% per year) is forecast to grow faster than the AR market (19.6% per year).

High Growth Revenue: BMA's revenue (26.6% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: BMA's Return on Equity is forecast to be low in 3 years time (17.7%).


Past Performance

How has Banco Macro performed over the past 5 years?

41.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: BMA has high quality earnings.

Growing Profit Margin: BMA's current net profit margins (25.6%) are lower than last year (45%).


Past Earnings Growth Analysis

Earnings Trend: BMA's earnings have grown significantly by 41.3% per year over the past 5 years.

Accelerating Growth: BMA's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: BMA had negative earnings growth (-48.2%) over the past year, making it difficult to compare to the Banks industry average (-20.5%).


Return on Equity

High ROE: BMA's Return on Equity (13.4%) is considered low.


Financial Health

How is Banco Macro's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet


Financial Institutions Analysis

Asset Level: BMA's Assets to Equity ratio (4.5x) is low.

Allowance for Bad Loans: BMA has a sufficient allowance for bad loans (388%).

Low Risk Liabilities: 77% of BMA's liabilities are made up of primarily low risk sources of funding.

Loan Level: BMA has an appropriate level of Loans to Assets ratio (35%).

Low Risk Deposits: BMA's Loans to Deposits ratio (58%) is appropriate.

Level of Bad Loans: BMA has an appropriate level of bad loans (0.9%).


Dividend

What is Banco Macro current dividend yield, its reliability and sustainability?

5.36%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: BMA's dividend (5.39%) is higher than the bottom 25% of dividend payers in the AR market (0.94%).

High Dividend: BMA's dividend (5.39%) is in the top 25% of dividend payers in the AR market (3.21%)


Stability and Growth of Payments

Stable Dividend: BMA's dividend payments have been volatile in the past 10 years.

Growing Dividend: BMA's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (43.8%), BMA's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: BMA's dividends in 3 years are forecast to be well covered by earnings (33.6% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.6yrs

Average management tenure


CEO

Gustavo Alejandro Manriquez (51 yo)

3.58yrs

Tenure

Mr. Gustavo Alejandro Manriquez has been CEO of Banco Macro S.A. since November 2017 and served as its General Manager from May 30, 2016 to November 8, 2017. Mr. Manriquez served as a Deputy General Manage...


Leadership Team

Experienced Management: BMA's management team is considered experienced (3.6 years average tenure).


Board Members

Experienced Board: BMA's board of directors are not considered experienced ( 2.7 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Banco Macro S.A.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Banco Macro S.A.
  • Ticker: BMA
  • Exchange: BASE
  • Founded: 1966
  • Industry: Diversified Banks
  • Sector: Banks
  • Market Cap: AR$184.643b
  • Shares outstanding: 639.41m
  • Website: https://www.macro.com.ar

Number of Employees


Location

  • Banco Macro S.A.
  • Avenida Madero 1182
  • Buenos Aires
  • Capital Federal
  • 1182
  • Argentina

Listings


Biography

Banco Macro S.A. provides various banking products and services to retail and corporate customers in Argentina. It offers various retail banking products and services, such as savings and checking accounts...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/06/15 03:54
End of Day Share Price2021/06/14 00:00
Earnings2021/03/31
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.