SWX:VPBN

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

VP Bank AG provides asset-management and investment-advisory services for private and institutional investors, and financial intermediaries in Liechtenstein and internationally.


Snowflake Analysis

Excellent balance sheet with solid track record and pays a dividend.

Share Price & News

How has VP Bank's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: VPBN has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-1.5%

VPBN

8.1%

CH Capital Markets

2.8%

CH Market


1 Year Return

-13.4%

VPBN

-4.0%

CH Capital Markets

3.8%

CH Market

Return vs Industry: VPBN underperformed the Swiss Capital Markets industry which returned -9% over the past year.

Return vs Market: VPBN underperformed the Swiss Market which returned 3.2% over the past year.


Shareholder returns

VPBNIndustryMarket
7 Day-1.5%8.1%2.8%
30 Day4.6%17.0%5.4%
90 Day-13.5%5.6%-1.6%
1 Year-9.4%-13.4%-1.2%-4.0%7.2%3.8%
3 Year27.0%13.1%-13.2%-21.4%19.9%7.7%
5 Year101.8%65.3%-32.8%-45.9%31.1%9.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

14.9%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: VPBN (CHF130.6) is trading below our estimate of fair value (CHF153.51)

Significantly Below Fair Value: VPBN is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: VPBN is good value based on its PE Ratio (10.6x) compared to the Capital Markets industry average (19.1x).

PE vs Market: VPBN is good value based on its PE Ratio (10.6x) compared to the Swiss market (19.3x).


Price to Earnings Growth Ratio

PEG Ratio: VPBN's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: VPBN is good value based on its PB Ratio (0.8x) compared to the CH Capital Markets industry average (1.2x).


Next Steps

Future Growth

How is VP Bank forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

-1.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: VPBN's earnings are forecast to decline over the next 3 years (-1.4% per year).

Earnings vs Market: VPBN's earnings are forecast to decline over the next 3 years (-1.4% per year).

High Growth Earnings: VPBN's earnings are forecast to decline over the next 3 years.

Revenue vs Market: VPBN's revenue (1.9% per year) is forecast to grow slower than the Swiss market (2.4% per year).

High Growth Revenue: VPBN's revenue (1.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: VPBN's Return on Equity is forecast to be low in 3 years time (6.8%).


Next Steps

Past Performance

How has VP Bank performed over the past 5 years?

9.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: VPBN has high quality earnings.

Growing Profit Margin: VPBN's current net profit margins (22%) are higher than last year (18%).


Past Earnings Growth Analysis

Earnings Trend: VPBN's earnings have grown by 9.1% per year over the past 5 years.

Accelerating Growth: VPBN's earnings growth over the past year (34.4%) exceeds its 5-year average (9.1% per year).

Earnings vs Industry: VPBN earnings growth over the past year (34.4%) exceeded the Capital Markets industry 15%.


Return on Equity

High ROE: VPBN's Return on Equity (7.1%) is considered low.


Next Steps

Financial Health

How is VP Bank'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: VPBN's Assets to Equity ratio (13x) is moderate.

Allowance for Bad Loans: VPBN has a low allowance for bad loans (69%).

Low Risk Liabilities: 90% of VPBN's liabilities are made up of primarily low risk sources of funding.

Loan Level: VPBN has an appropriate level of Loans to Assets ratio (51%).

Low Risk Deposits: VPBN's Loans to Deposits ratio (61%) is appropriate.

Level of Bad Loans: VPBN has an appropriate level of bad loans (0.8%).


Next Steps

Dividend

What is VP Bank's current dividend yield, its reliability and sustainability?

4.21%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: VPBN's dividend (4.21%) is higher than the bottom 25% of dividend payers in the Swiss market (1.9%).

High Dividend: VPBN's dividend (4.21%) is in the top 25% of dividend payers in the Swiss market (3.9%)


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (44.8%), VPBN's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: VPBN's dividends in 3 years are forecast to be covered by earnings (50.4% payout ratio).


Next Steps

Management

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

2.3yrs

Average management tenure


CEO

Paul Arni (55yo)

0.67

Tenure

Mr. Paul H. Arni has been Chief Executive Officer and Member of Executive Board at VP Bank AG since October 1, 2019. Mr. Arni serves as the Managing Director and Chief Operating Officer of Private Banking  ...


Leadership Team

NamePositionTenureCompensationOwnership
Paul Arni
CEO & Member of Executive Board0.67yrno datano data
Siegbert Näscher
CFO, Deputy CEO & Member of Executive Board8.17yrsno data0.11% CHF880.0k
Monika Vicandi
General Counsel3.42yrsno data0.084% CHF653.0k
Christoph Mauchle
Head of Client Business & Member of Executive Board7.42yrsno data0.39% CHF3.0m
Felix Brill
Chief Investment Officer & Member of Executive Board2.25yrsno datano data
Urs Monstein
COO & Member of Executive Board2.08yrsno datano data
Markus Reinacher
Head of Group Complianceno datano datano data
Rudolf Seuhs
Head of Corporate Communicationsno datano datano data
Cécile Bachmann
Head of Group Communications & Marketing1.42yrsno datano data
Dominique Christen
Head of Group Human Resources2.25yrsno datano data

2.3yrs

Average Tenure

54.5yo

Average Age

Experienced Management: VPBN's management team is considered experienced (2.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Fredy Vogt
Director8.42yrsCHF642.00k0.16% CHF1.3m
Markus Hilti
Vice Chairman of the Board4.42yrsCHF130.00k0.11% CHF843.8k
Heinz Batliner
Chairman Emeritus24.42yrsno datano data
Thomas Meier
Chairman of the Board0.17yrCHF190.00k0.0020% CHF15.3k
Gabriela Payer
Director4.17yrsCHF140.00k0.019% CHF146.4k
Beat Graf
Director6.17yrsCHF145.00k0.020% CHF155.7k
Michael Riesen
Director6.17yrsCHF160.00k0.028% CHF218.2k
Ursula Lang
Director4.17yrsCHF160.00k0.012% CHF92.6k
Katja Rosenplänter-Marxer
Director0.17yrno datano data

4.4yrs

Average Tenure

57yo

Average Age

Experienced Board: VPBN's board of directors are considered experienced (4.4 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

VP Bank AG's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: VP Bank AG
  • Ticker: VPBN
  • Exchange: SWX
  • Founded: 1956
  • Industry: Asset Management and Custody Banks
  • Sector: Diversified Financials
  • Market Cap: CHF781.590m
  • Shares outstanding: 5.98m
  • Website: https://www.vpbank.com

Number of Employees


Location

  • VP Bank AG
  • Aeulestrasse 6
  • Vaduz
  • 9490
  • Liechtenstein

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
0RG7LSE (London Stock Exchange)Bearer SharesGBCHFJan 1992
VPBNSWX (SIX Swiss Exchange)YesClass A Registered SharesCHCHFMay 2000
3VFNDB (Deutsche Boerse AG)YesClass A Registered SharesDEEURMay 2000
VUPP.FOTCPK (Pink Sheets LLC)YesClass A Registered SharesUSUSDMay 2000

Biography

VP Bank AG provides asset-management and investment-advisory services for private and institutional investors, and financial intermediaries in Liechtenstein and internationally. The company offers personal, foreign currency, and savings accounts; bank cards; and e-banking and reporting services. It also provides safekeeping and trustee services; lending services; residential property finance for private clients; commercial loans to commercial clients; execution and settlement services; and wealth planning services. In addition, the company offers advisory and custodian bank services. VP Bank AG was founded in 1956 and is headquartered in Vaduz, Liechtenstein. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/06/04 00:33
End of Day Share Price2020/06/03 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.