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EBS

Erste Group Bank WBAG:EBS Stock Report

Last Price

€29.65

Market Cap

€12.0b

7D

-0.8%

1Y

-12.2%

Updated

25 May, 2022

Data

Company Financials +
EBS fundamental analysis
Snowflake Score
Valuation4/6
Future Growth2/6
Past Performance4/6
Financial Health4/6
Dividends4/6

EBS Stock Overview

Erste Group Bank AG provides a range of banking and other financial services to retail, corporate, real estate, and public sector customers in Austria, Central and Eastern Europe, and internationally.

Erste Group Bank Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Erste Group Bank
Historical stock prices
Current Share Price€29.65
52 Week High€45.57
52 Week Low€23.90
Beta1.77
1 Month Change-4.14%
3 Month Change-8.49%
1 Year Change-12.17%
3 Year Change-5.93%
5 Year Change-8.20%
Change since IPO149.10%

Recent News & Updates

May 17
Erste Group Bank (VIE:EBS) Is Paying Out A Larger Dividend Than Last Year

Erste Group Bank (VIE:EBS) Is Paying Out A Larger Dividend Than Last Year

The board of Erste Group Bank AG ( VIE:EBS ) has announced that it will be increasing its dividend on the 25th of May...

May 03
Erste Group Bank (VIE:EBS) Has Announced That It Will Be Increasing Its Dividend To €1.60

Erste Group Bank (VIE:EBS) Has Announced That It Will Be Increasing Its Dividend To €1.60

Erste Group Bank AG ( VIE:EBS ) will increase its dividend on the 25th of May to €1.60. This will take the annual...

Shareholder Returns

EBSAT BanksAT Market
7D-0.8%0.4%4.7%
1Y-12.2%-11.9%0.2%

Return vs Industry: EBS exceeded the Austrian Banks industry which returned -13.3% over the past year.

Return vs Market: EBS underperformed the Austrian Market which returned -2.6% over the past year.

Price Volatility

Is EBS's price volatile compared to industry and market?
EBS volatility
EBS Average Weekly Movement9.3%
Banks Industry Average Movement5.5%
Market Average Movement5.4%
10% most volatile stocks in AT Market9.1%
10% least volatile stocks in AT Market2.7%

Stable Share Price: EBS is more volatile than 90% of Austrian stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: EBS's weekly volatility (9%) has been stable over the past year, but is still higher than 75% of Austrian stocks.

About the Company

FoundedEmployeesCEOWebsite
181944,692Bernhard Spalthttps://www.erstegroup.com

Erste Group Bank AG provides a range of banking and other financial services to retail, corporate, real estate, and public sector customers in Austria, Central and Eastern Europe, and internationally. The company operates through Retail, Corporates, Group Markets, Asset/Liability Management & Local Corporate Center, Savings Banks, and Group Corporate Center segments. It provides mortgage and consumer loans, investment products, current accounts, savings products, and credit cards, as well as cross selling products, such as leasing, insurance, and building society products.

Erste Group Bank Fundamentals Summary

How do Erste Group Bank's earnings and revenue compare to its market cap?
EBS fundamental statistics
Market Cap€12.02b
Earnings (TTM)€1.87b
Revenue (TTM)€7.76b

6.4x

P/E Ratio

0.6x

P/B Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
EBS income statement (TTM)
Revenue€7.76b
Cost of Revenue€0
Gross Profit€7.76b
Other Expenses€5.89b
Earnings€1.87b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

Aug 01, 2022

Earnings per share (EPS)4.61
Gross Margin100.00%
Net Profit Margin24.08%
Debt/Equity Ratio178.7%

How did EBS perform over the long term?

See historical performance and comparison

Dividends

5.4%

Current Dividend Yield

36%

Payout Ratio

Valuation

Is Erste Group Bank undervalued compared to its fair value and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Below Fair Value

  • Significantly Below Fair Value

  • PE vs Industry

  • PE vs Market

  • PEG Ratio

  • PB vs Industry


>50%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: EBS (€29.65) is trading below our estimate of fair value (€85.03)

Significantly Below Fair Value: EBS is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: EBS is good value based on its Price-To-Earnings Ratio (6.4x) compared to the Austrian Banks industry average (8.4x).

PE vs Market: EBS is good value based on its Price-To-Earnings Ratio (6.4x) compared to the Austrian market (12.8x).


Price to Earnings Growth Ratio

PEG Ratio: EBS is poor value based on its PEG Ratio (11.4x)


Price to Book Ratio

PB vs Industry: EBS is overvalued based on its Price-To-Book Ratio (0.6x) compared to the AT Banks industry average (0.5x).


Future Growth

How is Erste Group Bank forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?

Future Growth Score

2/6

Future Growth Score 2/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


0.6%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: EBS's forecast earnings growth (0.6% per year) is above the savings rate (0.2%).

Earnings vs Market: EBS's earnings (0.6% per year) are forecast to grow slower than the Austrian market (5.9% per year).

High Growth Earnings: EBS's earnings are forecast to grow, but not significantly.

Revenue vs Market: EBS's revenue (3.7% per year) is forecast to grow faster than the Austrian market (1.8% per year).

High Growth Revenue: EBS's revenue (3.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: EBS's Return on Equity is forecast to be low in 3 years time (9.6%).


Past Performance

How has Erste Group Bank performed over the past 5 years?

Past Performance Score

4/6

Past Performance Score 4/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


1.9%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: EBS has a high level of non-cash earnings.

Growing Profit Margin: EBS's current net profit margins (24.1%) are higher than last year (13.9%).


Past Earnings Growth Analysis

Earnings Trend: EBS's earnings have grown by 1.9% per year over the past 5 years.

Accelerating Growth: EBS's earnings growth over the past year (122.6%) exceeds its 5-year average (1.9% per year).

Earnings vs Industry: EBS earnings growth over the past year (122.6%) exceeded the Banks industry 82.8%.


Return on Equity

High ROE: EBS's Return on Equity (10.2%) is considered low.


Financial Health

How is Erste Group Bank's financial position? (This company is analysed differently as a bank or financial institution)

Financial Health Score

4/6

Financial Health Score 4/6

  • Asset Level

  • Allowance for Bad Loans

  • Low Risk Liabilities

  • Loan Level

  • Low Risk Deposits

  • Level of Bad Loans

Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet


Financial Institutions Analysis

Asset Level: EBS's Assets to Equity ratio (13.5x) is moderate.

Allowance for Bad Loans: EBS has a low allowance for bad loans (89%).

Low Risk Liabilities: 83% of EBS's liabilities are made up of primarily low risk sources of funding.

Loan Level: EBS has an appropriate level of Loans to Assets ratio (65%).

Low Risk Deposits: EBS's Loans to Deposits ratio (85%) is appropriate.

Level of Bad Loans: EBS has a high level of bad loans (2%).


Dividend

What is Erste Group Bank current dividend yield, its reliability and sustainability?

Dividend Score

4/6

Dividend Score 4/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


5.40%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: EBS's dividend (5.4%) is higher than the bottom 25% of dividend payers in the Austrian market (1.6%).

High Dividend: EBS's dividend (5.4%) is in the top 25% of dividend payers in the Austrian market (4.46%)


Stability and Growth of Payments

Stable Dividend: EBS has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: EBS's dividend payments have increased, but the company has only paid a dividend for 9 years.


Current Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (36.5%), EBS's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: EBS's dividends in 3 years are forecast to be well covered by earnings (43.5% payout ratio).


Discover strong dividend paying companies

Management

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

2.8yrs

Average management tenure


CEO

Bernhard Spalt (53 yo)

2.83yrs

Tenure

€2,083,664

Compensation

Mr. Bernhard Spalt has been Chairman of Management Board and Chief Executive Officer at Erste Group Bank AG since January 1, 2020. Mr. Spalt is a Member of Supervisory Board at Banca Comerciala Româna SA s...


CEO Compensation Analysis

Compensation vs Market: Bernhard's total compensation ($USD2.22M) is below average for companies of similar size in the Austrian market ($USD4.02M).

Compensation vs Earnings: Bernhard's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: EBS's management team is considered experienced (2.8 years average tenure).


Board Members

Experienced Board: EBS's board of directors are considered experienced (7.5 years average tenure).


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

Erste Group Bank AG's employee growth, exchange listings and data sources


Key Information

  • Name: Erste Group Bank AG
  • Ticker: EBS
  • Exchange: WBAG
  • Founded: 1819
  • Industry: Diversified Banks
  • Sector: Banks
  • Implied Market Cap: €12.022b
  • Shares outstanding: 405.47m
  • Website: https://www.erstegroup.com

Number of Employees


Location

  • Erste Group Bank AG
  • Erste Campus
  • Am Belvedere 1
  • Vienna
  • Vienna
  • 1100
  • Austria

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/05/25 00:00
End of Day Share Price2022/05/25 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


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.