Stock Analysis Report

Header cover image

Deutsche Pfandbriefbank

Market Cap


Last Updated

2021/06/21 19:31 UTC

Data Sources

Company Financials +

Executive Summary

Deutsche Pfandbriefbank AG provides commercial real estate and public investment finance products. More Details

Snowflake Analysis

Very undervalued with acceptable track record.

Similar Companies

Share Price & News

How has Deutsche Pfandbriefbank's share price performed over time and what events caused price changes?

Latest Share Price and Events

Stable Share Price: PBB is not significantly more volatile than the rest of German stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: PBB's weekly volatility (4%) has been stable over the past year.

Market Performance

7 Day Return




DE Mortgage


DE Market

1 Year Return




DE Mortgage


DE Market

Return vs Industry: PBB underperformed the German Mortgage industry which returned 35.4% over the past year.

Return vs Market: PBB exceeded the German Market which returned 27% over the past year.

Shareholder returns

7 Day-4.8%-2.7%-1.4%
30 Day-13.0%-1.0%1.8%
90 Day-8.0%5.0%4.2%
1 Year35.9%32.2%38.0%35.4%31.4%27.1%
3 Year-17.5%-26.5%11.3%3.4%28.0%17.5%
5 Year38.5%4.1%76.3%53.4%64.9%42.2%

Long-Term Price Volatility Vs. Market

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

Simply Wall St News


Is Deutsche Pfandbriefbank undervalued compared to its fair value and its price relative to the market?


Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: PBB (€8.8) is trading below our estimate of fair value (€11.4)

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

Price To Earnings Ratio

PE vs Industry: PBB is good value based on its PE Ratio (7.4x) compared to the European Mortgage industry average (11.6x).

PE vs Market: PBB is good value based on its PE Ratio (7.4x) compared to the German market (27.1x).

Price to Earnings Growth Ratio

PEG Ratio: PBB is good value based on its PEG Ratio (0.8x)

Price to Book Ratio

PB vs Industry: PBB is good value based on its PB Ratio (0.4x) compared to the XE Mortgage industry average (0.8x).

Future Growth

How is Deutsche Pfandbriefbank forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?


Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: PBB's forecast earnings growth (9.9% per year) is above the savings rate (0.01%).

Earnings vs Market: PBB's earnings (9.9% per year) are forecast to grow slower than the German market (15% per year).

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

Revenue vs Market: PBB's revenue (3.1% per year) is forecast to grow slower than the German market (5.6% per year).

High Growth Revenue: PBB's revenue (3.1% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: PBB's Return on Equity is forecast to be low in 3 years time (4.7%).

Past Performance

How has Deutsche Pfandbriefbank performed over the past 5 years?


Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: PBB has high quality earnings.

Growing Profit Margin: PBB's current net profit margins (30.2%) are higher than last year (28.9%).

Past Earnings Growth Analysis

Earnings Trend: PBB's earnings have declined by 15.1% per year over the past 5 years.

Accelerating Growth: PBB's earnings growth over the past year (16.7%) exceeds its 5-year average (-15.1% per year).

Earnings vs Industry: PBB earnings growth over the past year (16.7%) underperformed the Mortgage industry 16.7%.

Return on Equity

High ROE: PBB's Return on Equity (4.7%) is considered low.

Financial Health

How is Deutsche Pfandbriefbank'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: PBB's Assets to Equity ratio (17.4x) is moderate.

Allowance for Bad Loans: PBB has a low allowance for bad loans (52%).

Low Risk Liabilities: 60% of PBB's liabilities are made up of primarily higher risk sources of funding.

Loan Level: PBB has an appropriate level of Loans to Assets ratio (70%).

Low Risk Deposits: PBB's Loans to Deposits ratio (189%) is high.

Level of Bad Loans: PBB has an appropriate level of bad loans (1.1%).


What is Deutsche Pfandbriefbank current dividend yield, its reliability and sustainability?


Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: PBB's dividend (2.95%) is higher than the bottom 25% of dividend payers in the German market (1.01%).

High Dividend: PBB's dividend (2.95%) is low compared to the top 25% of dividend payers in the German market (3.17%).

Stability and Growth of Payments

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

Growing Dividend: PBB has only been paying a dividend for 5 years, and since then payments have fallen.

Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (22%), PBB's dividend payments are well covered by earnings.

Future Payout to Shareholders

Future Dividend Coverage: PBB's dividends in 3 years are forecast to be covered by earnings (72.2% payout ratio).

Next Steps


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


Average management tenure


Andreas Arndt (62 yo)





Mr. Andreas Arndt has been the Chief Executive Officer and Chairman of Management Board at Deutsche Pfandbriefbank AG since May 12, 2016 and has been its Chief Financial Officer since October 2014. Mr. Arn...

CEO Compensation Analysis

Compensation vs Market: Andreas's total compensation ($USD1.93M) is about average for companies of similar size in the German market ($USD1.60M).

Compensation vs Earnings: Andreas's compensation has been consistent with company performance over the past year.

Leadership Team

Experienced Management: PBB's management team is seasoned and experienced (7 years average tenure).

Board Members

Experienced Board: PBB's board of directors are considered experienced (5.9 years average tenure).


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

Deutsche Pfandbriefbank AG's company bio, employee growth, exchange listings and data sources

Key Information

  • Name: Deutsche Pfandbriefbank AG
  • Ticker: PBB
  • Exchange: XTRA
  • Founded: NaN
  • Industry: Thrifts and Mortgage Finance
  • Sector: Banks
  • Market Cap: €1.185b
  • Shares outstanding: 134.48m
  • Website: https://www.pfandbriefbank.com

Number of Employees


  • Deutsche Pfandbriefbank AG
  • Parkring 28
  • Garching bei München
  • Bavaria
  • 85748
  • Germany



Deutsche Pfandbriefbank AG provides commercial real estate and public investment finance products. Its commercial real estate financing activities include financing instruments, such as financing investmen...

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/06/21 19:31
End of Day Share Price2021/06/21 00:00
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.