Banco de Sabadell, S.A.

WBAG:SAB Stock Report

Market Cap: €9.7b

Banco de Sabadell Valuation

Is SAB undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of SAB when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: SAB (€1.8) is trading below our estimate of fair value (€3.8)

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

Key Valuation Metric

Which metric is best to use when looking at relative valuation for SAB?

Key metric: As SAB is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for SAB. This is calculated by dividing SAB's market cap by their current earnings.
What is SAB's PE Ratio?
PE Ratio6.5x
Earnings€1.48b
Market Cap€9.66b

Price to Earnings Ratio vs Peers

How does SAB's PE Ratio compare to its peers?

The above table shows the PE ratio for SAB vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average8x
BG BAWAG Group
8.8x5.7%€5.8b
RBI Raiffeisen Bank International
2.7x-6.7%€6.0b
OBS Oberbank
13.8xn/a€5.0b
EBS Erste Group Bank
6.8x-2.4%€20.7b
SAB Banco de Sabadell
6.5x-2.4%€9.7b

Price-To-Earnings vs Peers: SAB is good value based on its Price-To-Earnings Ratio (6.5x) compared to the peer average (7.9x).

Price to Earnings Ratio vs Industry

How does SAB's PE Ratio compare vs other companies in the European Banks Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
SAB 6.5xIndustry Avg. 7.3xNo. of Companies45PE0612182430+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: SAB is good value based on its Price-To-Earnings Ratio (6.5x) compared to the European Banks industry average (7.2x).

Price to Earnings Ratio vs Fair Ratio

What is SAB's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

SAB PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio6.5x
Fair PE Ratio5.8x

Price-To-Earnings vs Fair Ratio: SAB is expensive based on its Price-To-Earnings Ratio (6.5x) compared to the estimated Fair Price-To-Earnings Ratio (5.8x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst SAB forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€1.80
€2.18
+21.6%
10.8%€2.80€1.65n/a15
Nov ’25€1.84
€2.19
+18.7%
11.4%€2.80€1.65n/a15
Oct ’25€1.84
€2.19
+19.0%
10.8%€2.70€1.65n/a15
Sep ’25€1.93
€2.20
+13.9%
10.8%€2.70€1.65n/a15
Aug ’25€1.89
€2.15
+13.9%
11.4%€2.70€1.65n/a15
Jul ’25€1.86
€2.03
+9.5%
13.6%€2.50€1.58n/a15
Jun ’25€1.94
€2.01
+3.7%
14.0%€2.50€1.58n/a15
May ’25€1.82
€1.95
+6.7%
15.2%€2.50€1.58n/a16
Apr ’25€1.46
€1.60
+9.4%
16.6%€2.26€1.25n/a17
Mar ’25€1.19
€1.56
+30.3%
19.2%€2.38€1.20n/a18
Feb ’25€1.15
€1.53
+32.5%
20.6%€2.38€1.10n/a18
Jan ’25€1.11
€1.60
+43.8%
18.6%€2.38€1.20n/a18
Dec ’24€1.35
€1.61
+19.4%
18.4%€2.38€1.20n/a18
Nov ’24€1.18
€1.60
+35.0%
19.5%€2.38€1.20€1.8418
Oct ’24€1.11
€1.46
+31.6%
16.7%€2.00€1.10€1.8418
Sep ’24€1.13
€1.45
+29.2%
17.1%€2.00€1.10€1.9318
Aug ’24€1.13
€1.44
+27.6%
16.8%€2.00€1.10€1.8918
Jul ’24€1.06
€1.35
+27.8%
19.0%€2.00€1.00€1.8618
Jun ’24€0.94
€1.37
+45.2%
17.9%€2.00€1.00€1.9417
May ’24€1.01
€1.41
+39.7%
16.6%€2.00€1.13€1.8215
Apr ’24€1.01
€1.36
+34.3%
19.2%€1.85€0.90€1.4615
Mar ’24€1.24
€1.36
+9.3%
18.2%€1.85€0.90€1.1915
Feb ’24€1.22
€1.33
+8.7%
16.8%€1.85€0.90€1.1516
Jan ’24€0.88
€1.13
+28.3%
21.2%€1.70€0.85€1.1116
Dec ’23€0.86
€1.12
+30.6%
21.5%€1.70€0.85€1.3516
Nov ’23€0.81
€1.10
+34.7%
23.1%€1.70€0.78€1.1816

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

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