Exploring BBVA's (BME:BBVA) Valuation Following Recent Steady Share Performance

Banco Bilbao Vizcaya Argentaria (BME:BBVA) has delivered steady performance recently, drawing interest from investors curious about its long-term resilience. Over the past month, BBVA shares are up 4%, which reflects solid sentiment in the banking sector.

See our latest analysis for Banco Bilbao Vizcaya Argentaria.

After its solid month, BBVA now boasts a 1-year total shareholder return of just under 0.8%, while the 3- and 5-year figures show modest but steady progress. With momentum holding up and the latest price near €16.18, this suggests investors continue to see potential for growth and stability in the bank's long-term outlook.

If BBVA’s resilience has you wondering what else the market has to offer, it could be an ideal time to broaden your search and discover fast growing stocks with high insider ownership

That raises the big question: does BBVA’s current price reflect all its recent progress, or is there still an opportunity for investors to benefit if long-term growth has not been fully priced in?

Most Popular Narrative: 3.1% Undervalued

With the last close at €16.18 and a narrative fair value of €16.69, the gap between price and value is slim yet notable for investors watching every move. The current sentiment suggests there could be more room for upside if the underlying drivers prove out.

The analysts have a consensus price target of €16.003 for Banco Bilbao Vizcaya Argentaria based on their expectations of its future earnings growth, profit margins and other risk factors. However, there is a degree of disagreement amongst analysts, with the most bullish reporting a price target of €18.0, and the most bearish reporting a price target of just €11.7.

Read the complete narrative.

Intrigued by what’s behind this consensus? The experts are factoring in more than expected profit resilience. They are also betting on a specific set of growth and profitability forecasts that could surprise even longtime followers. Curious which ambitious numbers fuel the narrative value? Click to unlock the assumptions and see what could send BBVA higher.

Result: Fair Value of €16.69 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, ongoing macroeconomic uncertainty in key emerging markets and rising competition from digital banks could present challenges to BBVA's future growth prospects and earnings stability.

Find out about the key risks to this Banco Bilbao Vizcaya Argentaria narrative.

Build Your Own Banco Bilbao Vizcaya Argentaria Narrative

If you'd like to draw your own conclusions or dig into the details yourself, it's quick and easy to assemble your personalized view of BBVA. In just a few minutes you can Do it your way.

A great starting point for your Banco Bilbao Vizcaya Argentaria research is our analysis highlighting 4 key rewards and 3 important warning signs that could impact your investment decision.

Looking for more investment ideas?

Expand your horizons and get ahead of the curve with top opportunities picked by Simply Wall Street’s powerful Screener. You could be missing out on the next big winner if you limit your search.

• Uncover high potential with these 24 AI penny stocks, a leading force in artificial intelligence innovation and transformation.
• Tap into reliable income by browsing these 19 dividend stocks with yields > 3%, which highlights companies with standout dividend yields above 3%.
• Seize the upside in digital finance trends by reviewing these 78 cryptocurrency and blockchain stocks, which features companies pushing boundaries in cryptocurrency and blockchain adoption.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com