DB:KYM1

Stock Analysis Report

Executive Summary

VTB Bank (public joint-stock company), together with its subsidiaries, provides various banking products and services in Russia, OECD, and internationally.


Snowflake Analysis

Very undervalued with excellent balance sheet and pays a dividend.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: KYM1's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-5.7%

KYM1

4.4%

DE Banks

9.9%

DE Market


1 Year Return

-31.6%

KYM1

-37.7%

DE Banks

-17.5%

DE Market

Return vs Industry: KYM1 exceeded the German Banks industry which returned -33.2% over the past year.

Return vs Market: KYM1 underperformed the German Market which returned -17.7% over the past year.


Shareholder returns

KYM1IndustryMarket
7 Day-5.7%4.4%9.9%
30 Day-38.7%-25.5%-16.6%
90 Day-46.3%-27.2%-24.8%
1 Year-30.2%-31.6%-35.7%-37.7%-15.0%-17.5%
3 Year-65.1%-68.1%-43.7%-46.4%-17.4%-24.5%
5 Year-59.3%-63.8%-41.2%-53.2%-16.6%-28.1%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is VTB 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: KYM1 (€0.7) is trading below our estimate of fair value (€2.05)

Significantly Below Fair Value: KYM1 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: KYM1 is good value based on its PE Ratio (2.2x) compared to the Banks industry average (15.1x).

PE vs Market: KYM1 is good value based on its PE Ratio (2.2x) compared to the German market (16.4x).


Price to Earnings Growth Ratio

PEG Ratio: KYM1 is good value based on its PEG Ratio (0.8x)


Price to Book Ratio

PB vs Industry: KYM1 is good value based on its PB Ratio (0.4x) compared to the DE Banks industry average (0.7x).


Next Steps

Future Growth

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

2.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: KYM1's forecast earnings growth (2.6% per year) is above the savings rate (-0.4%).

Earnings vs Market: KYM1's earnings (2.6% per year) are forecast to grow slower than the German market (14.3% per year).

High Growth Earnings: KYM1's earnings are forecast to grow, but not significantly.

Revenue vs Market: KYM1's revenue (8.9% per year) is forecast to grow faster than the German market (4.1% per year).

High Growth Revenue: KYM1's revenue (8.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: KYM1's Return on Equity is forecast to be low in 3 years time (12.4%).


Next Steps

Past Performance

How has VTB Bank performed over the past 5 years?

52.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: KYM1 has a high level of non-cash earnings.

Growing Profit Margin: KYM1's current net profit margins (33.9%) are higher than last year (31.3%).


Past Earnings Growth Analysis

Earnings Trend: KYM1 has become profitable over the past 5 years, growing earnings by 52.2% per year.

Accelerating Growth: KYM1's earnings growth over the past year (11.9%) is below its 5-year average (52.2% per year).

Earnings vs Industry: KYM1 earnings growth over the past year (11.9%) exceeded the Banks industry 0.7%.


Return on Equity

High ROE: KYM1's Return on Equity (12.2%) is considered low.


Next Steps

Financial Health

How is VTB 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: KYM1 has a low level of unsold assets or inventory.

Debt Coverage by Assets: KYM1's debt is covered by short term assets (assets are 1.7x debt).


Financial Institutions Analysis

Asset Level: KYM1's level of assets compared to its equity is low.

Allowance for Bad Loans: KYM1 has a sufficient allowance for bad loans.

Low Risk Liabilities: KYM1's liabilities are made up of primarily low risk sources of funding.

Loan Level: KYM1 has an acceptable proportion of non-loan assets held.

Low Risk Deposits: KYM1's loans are broadly funded by customer deposits.

Level of Bad Loans: KYM1 has a high level of bad loans (4.81%)


Next Steps

Dividend

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

3.49%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: KYM1's dividend (3.49%) is higher than the bottom 25% of dividend payers in the German market (1.7%).

High Dividend: KYM1's dividend (3.49%) is low compared to the top 25% of dividend payers in the German market (4.97%).


Stability and Growth of Payments

Stable Dividend: KYM1's dividend payments have been volatile in the past 10 years.

Growing Dividend: KYM1's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (7.6%), KYM1's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: KYM1's dividends in 3 years are forecast to be well covered by earnings (30.2% payout ratio).


Next Steps

Management

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

6.3yrs

Average management tenure


CEO

Andrey Kostin (63yo)

17.75s

Tenure

Mr. Andrey Leonidovich Kostin serves as the President of VTB Capital plc. Mr. Kostin served as the President of VTB BANK at VTB Capital Inc. Mr. Kostin founded the Russian Investment and Finance Company (R ...


Leadership Team

NamePositionTenureCompensationOwnership
Andrey Kostin
President17.75yrsno data0.0018% RUB84.7k
Denis Bortnikov
Deputy President & Chairman of Management Board8.33yrsno datano data
Andrey Puchkov
First Deputy President & Chairman of Management Board11.25yrsno data0.00030% RUB13.9k
Olga Dergunova
Deputy President & Chairman of the Management Board3.67yrsno datano data
Yuri Soloviev
First Deputy President & Chairman of Management Board8.83yrsno data0.018% RUB842.7k
Valery Lukyanenko
Deputy President & Chairman of Management Board3.58yrsno data0.00046% RUB21.3k
Anatoly Pechatnikov
Deputy President & Chairman of Management Board2.67yrsno data0.000010% RUB463.0
Vadim Kulik
Deputy President & Chairman of the Management Board0.42yrno datano data
Erkin Norov
Member of Management Board10.5yrsno datano data
Maxim Kondratenko
Member of Management Board4.33yrsno datano data

6.3yrs

Average Tenure

49.5yo

Average Age

Experienced Management: KYM1's management team is seasoned and experienced (6.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Andrey Kostin
President17.75yrsno data0.0018% RUB84.7k
Yves-Thibault de Silguy
Independent Member of the Supervisory Council6.75yrsno datano data
Sergey Konstantinovich Dubinin
Member of the Supervisory Council8.75yrsno datano data
Mikhail Zadornov
Member of the Supervisory Council1.83yrsno data0.00025% RUB11.6k
Arthur Warnig
Member of the Supervisory Council12.92yrsno datano data
Igor Repin
Independent Member of the Supervisory Council1.83yrsno datano data
Anton Siluanov
Chairman of the Supervisory Council2.92yrsno datano data
Shahmar Arif Movsumov
Independent Member of Supervisory Council6.75yrsno datano data
Vladimir Chistyukhin
Supervisory Board Member5.75yrsno datano data
Sergei Platonov
Chairman of the Statutory Audit Commissionno datano datano data

6.8yrs

Average Tenure

56yo

Average Age

Experienced Board: KYM1's board of directors are considered experienced (6.8 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

VTB Bank (public joint-stock company)'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: VTB Bank (public joint-stock company)
  • Ticker: KYM1
  • Exchange: DB
  • Founded: 1990
  • Industry: Diversified Banks
  • Sector: Banks
  • Market Cap: US$5.108b
  • Listing Market Cap: US$4.630b
  • Shares outstanding: 6.48b
  • Website: https://www.vtb.com/o-banke

Number of Employees


Location

  • VTB Bank (public joint-stock company)
  • 43, Building.1
  • Vorontsovskaya Street
  • Moscow
  • Moskovskaya obl.
  • 109147
  • Russia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
VTBRLSE (London Stock Exchange)YesGDR (EACH REPR 2000 ORDS)(REGS)GBUSDMay 2007
KYM1DB (Deutsche Boerse AG)YesGDR (EACH REPR 2000 ORDS)(REGS)DEEURMay 2007
VTBRLBATS-CHIXE (BATS 'Chi-X Europe')YesGDR (EACH REPR 2000 ORDS)(REGS)GBUSDMay 2007
VTBRWBAG (Wiener Boerse AG)YesGDR (EACH REPR 2000 ORDS)(REGS)ATEURMay 2007
VTBRMISX (Micex - Rts)Ordinary SharesRURUBMay 2007
RU_VTBRKAS (Kazakhstan Stock Exchange)Ordinary SharesKZKZTMay 2007

Biography

VTB Bank (public joint-stock company), together with its subsidiaries, provides various banking products and services in Russia, OECD, and internationally. The company operates five segments: Corporate-Investment Banking, Medium and Small Banking, Retail Business, Treasury, and Other Business. It offers standard term deposits, structured deposits, promissory notes, certificates of deposit, and corporate overnight accounts, as well as placement of funds on current accounts; and term loans, credit lines, overdraft loans, complex loan products, and consultancy services, as well as loans to the mining industry. The company also provides factoring, leasing, pension fund, registrar, and investment banking products and services; insurance solutions for corporates and small businesses; cash management products and services; investment products and services, including debt and equity capital market products, corporate finance, securitization, commodities, credit derivatives, equities, equity repo and structured finance, private equity and special situation solutions, infrastructure and project finance, portfolio management, and venture investment services; documentary and depository services; and credit operations through remote banking systems. In addition, it offers payment cards, payment processing, custody, syndication, trade and export finance, anti money laundering and counter terrorist financing policies, construction and development services, treasury, electronic banking, and bank cards. VTB Bank (public joint-stock company) was founded in 1990 and is headquartered in Moscow, Russia. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/30 21:46
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.