Banco del Bajío, S.A., Institución de Banca Múltiple

DB:5NT Stock Report

Market Cap: €2.3b

Banco del Bajío Institución de Banca Múltiple Valuation

Is 5NT undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

6/6

Valuation Score 6/6

  • 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 5NT when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 5NT (€1.85) is trading below our estimate of fair value (€5.54)

Significantly Below Fair Value: 5NT is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 5NT?

Key metric: As 5NT is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 5NT. This is calculated by dividing 5NT's market cap by their current earnings.
What is 5NT's PE Ratio?
PE Ratio4.5x
EarningsMex$10.94b
Market CapMex$49.20b

Price to Earnings Ratio vs Peers

How does 5NT's PE Ratio compare to its peers?

The above table shows the PE ratio for 5NT vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average7.6x
PCZ ProCredit Holding
4.3x9.7%€462.9m
CBK Commerzbank
8.9x8.2%€18.8b
MBK Merkur PrivatBank KgaA
10.5x8.6%€112.8m
MCBG.N0000 MCB Group
6.7x4.1%MU₨115.2b
5NT Banco del Bajío Institución de Banca Múltiple
4.5x-6.3%€49.2b

Price-To-Earnings vs Peers: 5NT is good value based on its Price-To-Earnings Ratio (4.5x) compared to the peer average (7.6x).

Price to Earnings Ratio vs Industry

How does 5NT's PE Ratio compare vs other companies in the European Banks Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
5NT 4.5xIndustry Avg. 7.4xNo. of Companies43PE0612182430+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 5NT is good value based on its Price-To-Earnings Ratio (4.5x) compared to the European Banks industry average (7.4x).

Price to Earnings Ratio vs Fair Ratio

What is 5NT'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.

5NT PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio4.5x
Fair PE Ratio8.3x

Price-To-Earnings vs Fair Ratio: 5NT is good value based on its Price-To-Earnings Ratio (4.5x) compared to the estimated Fair Price-To-Earnings Ratio (8.3x).

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 5NT forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€1.85
€2.83
+52.9%
8.5%€3.23€2.31n/a14
Nov ’25€1.94
€2.88
+48.5%
8.4%€3.26€2.33n/a14
Oct ’25€2.02
€3.00
+48.4%
8.2%€3.62€2.58n/a14
Sep ’25€2.14
€3.00
+40.0%
7.8%€3.56€2.54n/a14
Aug ’25€2.66
€3.22
+21.2%
8.0%€3.82€2.73n/a13
Jul ’25€2.68
€3.40
+26.9%
8.2%€3.93€2.81n/a12
Jun ’25€3.04
€3.79
+24.5%
5.4%€4.22€3.51n/a12
May ’25€3.44
€3.72
+8.0%
5.4%€4.17€3.47n/a13
Apr ’25€3.44
€3.73
+8.3%
6.9%€4.07€3.30n/a13
Mar ’25€3.28
€3.62
+10.5%
6.8%€3.91€3.21n/a13
Feb ’25€3.34
€3.57
+6.7%
6.4%€3.88€3.18n/a13
Jan ’25€2.88
€3.46
+20.0%
6.2%€3.83€3.15n/a13
Dec ’24€2.76
€3.42
+23.8%
5.3%€3.73€3.10n/a13
Nov ’24€2.74
€3.49
+27.5%
5.4%€3.77€3.14€1.9413
Oct ’24€2.94
€3.46
+17.7%
8.4%€3.83€2.97€2.0214
Sep ’24€2.74
€3.46
+26.4%
8.0%€3.81€2.95€2.1414
Aug ’24€2.70
€3.52
+30.4%
7.5%€3.86€2.99€2.6613
Jul ’24€2.80
€3.44
+22.8%
7.9%€3.75€2.86€2.6814
Jun ’24€2.88
€3.44
+19.3%
7.9%€3.75€2.86€3.0414
May ’24€2.86
€3.35
+17.0%
8.3%€3.74€2.78€3.4414
Apr ’24€3.22
€3.23
+0.3%
8.7%€3.59€2.74€3.4414
Mar ’24€3.52
€3.23
-8.2%
8.8%€3.61€2.76€3.2814
Feb ’24€3.61
€3.12
-13.7%
9.2%€3.52€2.69€3.3414
Jan ’24€2.89
€2.79
-3.7%
8.4%€3.19€2.43€2.8814
Dec ’23€3.04
€2.81
-7.7%
9.7%€3.28€2.22€2.7614
Nov ’23€2.77
€2.80
+1.1%
10.3%€3.35€2.26€2.7414

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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