DB:A6O

Stock Analysis Report

Executive Summary

Alior Bank S.A. provides banking products and services to individuals, businesses, and enterprises in Poland.


Snowflake Analysis

Very undervalued with reasonable growth potential.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: A6O's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-11.1%

A6O

4.4%

DE Banks

9.9%

DE Market


1 Year Return

-79.8%

A6O

-37.7%

DE Banks

-17.5%

DE Market

Return vs Industry: A6O underperformed the German Banks industry which returned -33.2% over the past year.

Return vs Market: A6O underperformed the German Market which returned -17.7% over the past year.


Shareholder returns

A6OIndustryMarket
7 Day-11.1%4.4%9.9%
30 Day-45.6%-25.5%-16.6%
90 Day-57.1%-27.2%-24.8%
1 Year-79.8%-79.8%-35.7%-37.7%-15.0%-17.5%
3 Year-82.9%-82.9%-43.7%-46.4%-17.4%-24.5%
5 Year-83.7%-86.7%-41.2%-53.2%-16.6%-28.1%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: A6O (€2.75) is trading below our estimate of fair value (€10.05)

Significantly Below Fair Value: A6O is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: A6O is good value based on its PE Ratio (6.7x) compared to the Banks industry average (15.1x).

PE vs Market: A6O is good value based on its PE Ratio (6.7x) compared to the German market (16.4x).


Price to Earnings Growth Ratio

PEG Ratio: A6O is good value based on its PEG Ratio (0.3x)


Price to Book Ratio

PB vs Industry: A6O is good value based on its PB Ratio (0.2x) compared to the DE Banks industry average (0.7x).


Next Steps

Future Growth

How is Alior Bank forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

23.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: A6O's forecast earnings growth (23.8% per year) is above the savings rate (-0.4%).

Earnings vs Market: A6O's earnings (23.8% per year) are forecast to grow faster than the German market (14.3% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: A6O's revenue (13.6% per year) is forecast to grow faster than the German market (4.1% per year).

High Growth Revenue: A6O's revenue (13.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: A6O's Return on Equity is forecast to be low in 3 years time (8.2%).


Next Steps

Past Performance

How has Alior Bank performed over the past 5 years?

11.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: A6O has a high level of non-cash earnings.

Growing Profit Margin: A6O's current net profit margins (9.8%) are lower than last year (24.5%).


Past Earnings Growth Analysis

Earnings Trend: A6O's earnings have grown by 11.2% per year over the past 5 years.

Accelerating Growth: A6O's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: A6O had negative earnings growth (-64.6%) over the past year, making it difficult to compare to the Banks industry average (0.7%).


Return on Equity

High ROE: A6O's Return on Equity (3.7%) is considered low.


Next Steps

Financial Health

How is Alior 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

Inventory Level: A6O has a low level of unsold assets or inventory.

Debt Coverage by Assets: A6O's debt is covered by short term assets (assets are 2.4x debt).


Financial Institutions Analysis

Asset Level: A6O's level of assets compared to its equity is moderate.

Allowance for Bad Loans: A6O has a low allowance for bad loans.

Low Risk Liabilities: A6O's liabilities are made up of primarily low risk sources of funding.

Loan Level: A6O has an acceptable proportion of non-loan assets held.

Low Risk Deposits: A6O's loans are broadly funded by customer deposits.

Level of Bad Loans: A6O has a high level of bad loans (12.61%)


Next Steps

Dividend

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

3.20%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate A6O's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate A6O's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if A6O's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if A6O's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of A6O's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

Management

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

1.3yrs

Average management tenure


CEO

Krzysztof Bachta

1.42s

Tenure

zł814,115

Compensation

Mr. Krzysztof Bachta serves as President of the Management Board at Alior Bank SA since February 26, 2019. He served as an Acting Chief Executive Officer of Alior Bank SA since October 2018 until February  ...


CEO Compensation Analysis

Compensation vs Market: Krzysztof's total compensation ($USD197.42K) is below average for companies of similar size in the German market ($USD1.03M).

Compensation vs Earnings: Insufficient data to compare Krzysztof's compensation with company performance.


Leadership Team

NamePositionTenureCompensationOwnership
Krzysztof Bachta
CEO & President of the Management Board1.42yrszł814.12k0.0038% PLN14.2k
Marcin Jaszczuk
Deputy President of the Management Board2yrszł846.52kno data
Agata Strzelecka
Deputy President of the Management Board1.92yrszł807.07kno data
Marek Szczesniak
Vice President of Management Board1.17yrszł799.45kno data
Seweryn Kowalczyk
Vice President of Management Board1.17yrszł790.34kno data
Dariusz Szwed
Vice Chairman of Management Board & Deputy CEOno datano datano data
Tomasz Bilous
Deputy CEO & Member of Management Board1yrno datano data
Anna Czerwonka
Investor Relations Expertno datano datano data

1.3yrs

Average Tenure

Experienced Management: A6O's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Artur Kucharski
Member of the Supervisory Board2.42yrszł178.00kno data
Mikolaj Handsche
Member of the Supervisory Board2.42yrszł190.00kno data
Maciej Rapkiewicz
Member of the Supervisory Board4.17yrsno datano data
Dariusz Gatarek
Member of the Supervisory Board4.17yrszł198.00kno data
Tomasz Kulik
Chairman of the Supervisory Board2.5yrsno datano data
Wojciech Myslecki
Member of the Supervisory Board1.75yrszł94.00kno data
Marcin Eckert
Deputy Chairman of Supervisory Board0.92yrzł89.00kno data

2.4yrs

Average Tenure

Experienced Board: A6O's board of directors are not considered experienced ( 2.4 years average tenure), which suggests a new board.


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

Alior Bank S.A.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Alior Bank S.A.
  • Ticker: A6O
  • Exchange: DB
  • Founded: 2008
  • Industry: Diversified Banks
  • Sector: Banks
  • Market Cap: zł1.685b
  • Listing Market Cap: zł370.458m
  • Shares outstanding: 130.55m
  • Website: https://www.aliorbank.pl

Number of Employees


Location

  • Alior Bank S.A.
  • ul. Lopuszanska 38D
  • Warsaw
  • 02-232
  • Poland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ALRWSE (Warsaw Stock Exchange)YesRegistered SharesPLPLNDec 2012
0QBMLSE (London Stock Exchange)YesRegistered SharesGBPLNDec 2012
A6ODB (Deutsche Boerse AG)YesRegistered SharesDEEURDec 2012
A6OBRSE (Berne Stock Exchange)YesRegistered SharesCHCHFDec 2012

Biography

Alior Bank S.A. provides banking products and services to individuals, businesses, and enterprises in Poland. The company offers personal accounts and savings products; credits and loans; mortgages; cards; investment and insurance products; bills, leasing, and remote services; financing trade platforms; treasury products; and services for agribusiness. It also provides private banking, finance management, and Internet banking services, as well as issues commercial bonds. The company was founded in 2008 and is headquartered in Warsaw, Poland. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/30 22:17
End of Day Share Price2020/03/30 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.