Banco de Chile
Market Cap
CL$7.8t
Last Updated
2020/02/23 18:07 UTC
Data Sources
Company Financials +
Executive Summary
Banco de Chile, together with its subsidiaries, provides banking and financial products and services to customers in Chile.
Rewards
PE ratio (13.1x) is below the Banks industry average (13.1x)
Risk Analysis
No risks detected for CHILE from our risk checks.
Snowflake Analysis
Established dividend payer with mediocre balance sheet.
Similar Companies
Share Price & News
How has Banco de Chile's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: CHILE has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
-4.5%
CHILE
-3.9%
CL Banks
-2.6%
CL Market
1 Year Return
-26.6%
CHILE
-25.9%
CL Banks
-20.0%
CL Market
Return vs Industry: CHILE matched the CL Banks industry which returned -25.9% over the past year.
Return vs Market: CHILE underperformed the CL Market which returned -19.9% over the past year.
Shareholder returns
| CHILE | Industry | Market | |
|---|---|---|---|
| 7 Day | -4.5% | -3.9% | -2.6% |
| 30 Day | -1.9% | -3.7% | -2.8% |
| 90 Day | -10.4% | -10.0% | -4.2% |
| 1 Year | -24.1%-26.6% | -23.7%-25.9% | -17.3%-20.0% |
| 3 Year | 15.6%4.5% | 22.1%10.6% | 5.4%-3.8% |
| 5 Year | 42.5%17.3% | 60.9%31.1% | 18.9%-6.7% |
Price Volatility Vs. Market
How volatile is Banco de Chile's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
Here's What Banco de Chile's (SNSE:CHILE) P/E Ratio Is Telling Us1 month ago | Simply Wall St
Can We See Significant Institutional Ownership On The Banco de Chile (SNSE:CHILE) Share Register?2 months ago | Simply Wall St
The Banco de Chile (SNSE:CHILE) Share Price Is Up 29% And Shareholders Are Holding OnValuation
Is Banco de Chile undervalued compared to its fair value and its price relative to the market?
13.14x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: CHILE (CLP77.15) is trading above our estimate of fair value (CLP51.61)
Significantly Below Fair Value: CHILE is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: CHILE is good value based on its PE Ratio (13.1x) compared to the Banks industry average (13.1x).
PE vs Market: CHILE is poor value based on its PE Ratio (13.1x) compared to the CL market (12.4x).
Price to Earnings Growth Ratio
PEG Ratio: CHILE is poor value based on its PEG Ratio (1.8x)
Price to Book Ratio
PB vs Industry: CHILE is overvalued based on its PB Ratio (2.2x) compared to the CL Banks industry average (1.4x).
Next Steps
Future Growth
How is Banco de Chile forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?
7.5%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: CHILE's forecast earnings growth (7.5% per year) is above the savings rate (7.5%).
Earnings vs Market: CHILE's earnings (7.5% per year) are forecast to grow slower than the CL market (13.3% per year).
High Growth Earnings: CHILE's earnings are forecast to grow, but not significantly.
Revenue vs Market: CHILE's revenue (12.4% per year) is forecast to grow faster than the CL market (5.5% per year).
High Growth Revenue: CHILE's revenue (12.4% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: CHILE's Return on Equity is forecast to be low in 3 years time (17.5%).
Next Steps
Past Performance
How has Banco de Chile performed over the past 5 years?
0.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: CHILE has high quality earnings.
Growing Profit Margin: CHILE's current net profit margins (35.6%) are lower than last year (37.4%).
Past Earnings Growth Analysis
Earnings Trend: CHILE's earnings have grown by 0.9% per year over the past 5 years.
Accelerating Growth: CHILE's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: CHILE had negative earnings growth (-0.3%) over the past year, making it difficult to compare to the Banks industry average (6.2%).
Return on Equity
High ROE: CHILE's Return on Equity (16.8%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is Banco de Chile'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
Inventory Level: CHILE has a low level of unsold assets or inventory.
Debt Coverage by Assets: CHILE's debt is not covered by short term assets (assets are 0.7x debt).
Financial Institutions Analysis
Asset Level: CHILE's level of assets compared to its equity is moderate.
Allowance for Bad Loans: CHILE has a low allowance for bad loans.
Low Risk Liabilities: CHILE's liabilities are made up of primarily low risk sources of funding.
Loan Level: CHILE has an acceptable proportion of non-loan assets held.
Low Risk Deposits: CHILE has advanced significantly more loans than the customer deposits it holds.
Level of Bad Loans: CHILE has a high level of bad loans (3.07%)
Next Steps
Dividend
What is Banco de Chile's current dividend yield, its reliability and sustainability?
4.50%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: CHILE's dividend (4.5%) is higher than the bottom 25% of dividend payers in the CL market (2.4%).
High Dividend: CHILE's dividend (4.5%) is low compared to the top 25% of dividend payers in the CL market (5.93%).
Stability and Growth of Payments
Stable Dividend: CHILE's dividends per share have been stable in the past 10 years.
Growing Dividend: CHILE's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (59.1%), CHILE's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: CHILE's dividends in 3 years are forecast to be covered by earnings (57.4% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
4.7yrs
Average management tenure
CEO
Eduardo Ebensperger Orrego (54yo)
3.8yrs
Tenure
Mr. Eduardo Ebensperger Orrego serves as Chief Executive Officer of Banco de Chile since May 1, 2016 and served as its General Manager of Commercial Division since December 30, 2015. Mr. Ebensperger Orrego ...
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman & President | 12.9yrs | CL$999.00m | no data | |
| Chief Executive Officer | 3.8yrs | no data | no data | |
| Chief Financial Officer | 5.7yrs | no data | no data | |
| Operations & Technology Division Manager | 1.5yrs | no data | no data | |
| General Manager of Accounting | 0yrs | no data | no data | |
| Head of Investor Relations | 10.1yrs | no data | no data | |
| Manager of Global Compliance Division | 12.1yrs | no data | no data | |
| General Counsel & Secretary of the Board of Directors | 0.2yrs | no data | no data | |
| Manager of Marketing & Digital Banking Division | 0.3yrs | no data | no data | |
| Manager of People & Organisation Division | 7.8yrs | no data | no data |
4.7yrs
Average Tenure
53.5yo
Average Age
Experienced Management: CHILE's management team is considered experienced (4.7 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman & President | 12.9yrs | CL$999.00m | no data | |
| Director | 0.5yrs | CL$87.00m | no data | |
| Director | 18.9yrs | CL$137.00m | no data | |
| Vice Chairman of the Board | 17.9yrs | CL$186.00m | no data | |
| Director | 6.8yrs | CL$70.00m | no data | |
| Director | 2.9yrs | CL$156.00m | no data | |
| Independent Director | 12.9yrs | CL$222.00m | no data | |
| Director | 4.8yrs | no data | no data | |
| Independent Director | 2.9yrs | CL$157.00m | no data | |
| Vice Chairman of the Board | 2.1yrs | no data | no data |
5.8yrs
Average Tenure
57yo
Average Age
Experienced Board: CHILE's board of directors are considered experienced (5.8 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
Banco de Chile's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Banco de Chile
- Ticker: CHILE
- Exchange: SNSE
- Founded: 1855
- Industry: Diversified Banks
- Sector: Banks
- Market Cap: CL$7.793t
- Shares outstanding: 101.02b
- Website: https://www.bancochile.com
Number of Employees
Location
- Banco de Chile
- Paseo Ahumada 251
- Santiago
- Region Metropolitana (Santiago)
- Chile
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| CHILE | SNSE (Santiago Stock Exchange) | Yes | Common Stock | CL | CLP | Jan 1998 |
| BCH | NYSE (New York Stock Exchange) | SPON ADR REP 600 ORD NPV | US | USD | Jan 2002 | |
| G4RA | DB (Deutsche Boerse AG) | SPON ADR REP 600 ORD NPV | DE | EUR | Jan 2002 |
Biography
Banco de Chile, together with its subsidiaries, provides banking and financial products and services to customers in Chile. The company operates through four segments: Retail, Wholesale, Treasury and Money Market Operations, and Subsidiaries. It offers deposit products, such as checking accounts, current accounts, demand deposits and accounts, saving accounts, and time deposits; credit and debit cards; installment loans; credit lines; and residential mortgage loans, as well as short and long term financing. The company also provides commercial loans, such as factoring and leasing; trade finance services; liquidity management services, debt instruments, foreign trade, and derivative contracts; capital markets services; and cash management and non-lending services that include payroll, payment, and collection services, as well as treasury, financial advisory, and risk management products. In addition, it offers securities brokerage, mutual funds management, investment banking, insurance brokerage, and securitization services. The company serves individuals; small and medium enterprises; and wholesale customers. As of December 31, 2018, it operated through 390 branches comprising 245 branches under the Banco de Chile brand name, 41 branches under the Banco Edwards Citi brand name, and 104 branches under the Banco CrediChile brand name, as well as 1,485 automatic teller machines. Banco de Chile was founded in 1855 and is headquartered in Santiago, Chile.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/02/23 18:07 |
| End of Day Share Price | 2020/02/21 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/12/31 |
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.