Erste Group Bank Valuation
Is EBOR undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
5/6Valuation Score 5/6
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 EBOR when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: EBOR (€25.8) is trading below our estimate of fair value (€66.13)
Significantly Below Fair Value: EBOR is trading below fair value by more than 20%.
Key Valuation Metric
Which metric is best to use when looking at relative valuation for EBOR?
Key metric: As EBOR is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.
| What is EBOR's PE Ratio? | |
|---|---|
| PE Ratio | 6.8x |
| Earnings | €3.10b |
| Market Cap | €20.97b |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | n/a |
| Enterprise Value/EBITDA | n/a |
| PEG Ratio | -2.4x |
Price to Earnings Ratio vs Peers
How does EBOR's PE Ratio compare to its peers?
| Company | Forward PE | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 8x | ||
CBK Commerzbank | 8.5x | 8.8% | €18.2b |
PCZ ProCredit Holding | 4.2x | 9.9% | €450.0m |
MBK Merkur PrivatBank KgaA | 10x | 8.6% | €107.3m |
1010 Riyad Bank | 9.1x | 4.8% | ر.س79.7b |
EBOR Erste Group Bank | 6.8x | -2.8% | €21.0b |
Price-To-Earnings vs Peers: EBOR is good value based on its Price-To-Earnings Ratio (6.8x) compared to the peer average (8x).
Price to Earnings Ratio vs Industry
How does EBOR's PE Ratio compare vs other companies in the European Banks Industry?
| 2 Companies | Price / Earnings | Estimated Growth | Market Cap |
|---|---|---|---|
| 2 Companies | Estimated Growth | Market Cap | |
|---|---|---|---|
Price-To-Earnings vs Industry: EBOR is good value based on its Price-To-Earnings Ratio (6.8x) compared to the European Banks industry average (7.4x).
Price to Earnings Ratio vs Fair Ratio
What is EBOR'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.
| Fair Ratio | |
|---|---|
| Current PE Ratio | 6.8x |
| Fair PE Ratio | 9.8x |
Price-To-Earnings vs Fair Ratio: EBOR is good value based on its Price-To-Earnings Ratio (6.8x) compared to the estimated Fair Price-To-Earnings Ratio (9.8x).
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
Analyst Forecast: Insufficient data to show price forecast.
Discover undervalued companies
Grupo Financiero Banorte. de
Mex$402.5b
Through its subsidiaries, engages in the provision of banking and financial products and services in Mexico and internationally.
4FN
Mex$6.40
7D
-1.5%
1Y
-25.1%
Crédit Agricole
€39.7b
Provides retail, corporate, insurance, and investment banking products and services in France and internationally.
XCA
€13.26
7D
-0.5%
1Y
13.5%
Banco del Bajío Institución de Banca Múltiple
Mex$48.6b
Provides banking products and services in Mexico.
5NT
Mex$1.82
7D
-1.6%
1Y
-37.2%