LSE:0DVR

Stock Analysis Report

Santander Bank Polska

Executive Summary

Santander Bank Polska S.A., together with its subsidiaries, provides various banking products and services.


Snowflake Analysis

Adequate balance sheet average dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 0DVR has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-12.0%

0DVR

-4.1%

GB Banks

-4.4%

GB Market


1 Year Return

n/a

0DVR

-11.3%

GB Banks

1.4%

GB Market

Return vs Industry: Insufficient data to determine how 0DVR performed against the UK Banks industry.

Return vs Market: Insufficient data to determine how 0DVR performed against the UK Market.


Shareholder returns

0DVRIndustryMarket
7 Day-12.0%-4.1%-4.4%
30 Day-8.5%-8.0%-6.3%
90 Dayn/a-9.1%-2.7%
1 Yearn/a-6.8%-11.3%6.7%1.4%
3 Year-18.4%-24.6%-10.1%-20.4%12.6%-1.5%
5 Year-6.2%-17.2%-6.7%-24.6%28.8%-0.7%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

16.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 0DVR (PLN276.72) is trading below our estimate of fair value (PLN332.78)

Significantly Below Fair Value: 0DVR is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: 0DVR is poor value based on its PE Ratio (13.1x) compared to the Banks industry average (8.9x).

PE vs Market: 0DVR is good value based on its PE Ratio (13.1x) compared to the UK market (17.7x).


Price to Earnings Growth Ratio

PEG Ratio: 0DVR is poor value based on its PEG Ratio (1.3x)


Price to Book Ratio

PB vs Industry: 0DVR is overvalued based on its PB Ratio (1.1x) compared to the GB Banks industry average (0.8x).


Next Steps

Future Growth

How is Santander Bank Polska forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?

10.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 0DVR's forecast earnings growth (10.1% per year) is above the savings rate (0.5%).

Earnings vs Market: 0DVR's earnings (10.1% per year) are forecast to grow slower than the UK market (13% per year).

High Growth Earnings: 0DVR's earnings are forecast to grow, but not significantly.

Revenue vs Market: 0DVR's revenue (7.5% per year) is forecast to grow faster than the UK market (3.8% per year).

High Growth Revenue: 0DVR's revenue (7.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 0DVR's Return on Equity is forecast to be low in 3 years time (10.3%).


Next Steps

Past Performance

How has Santander Bank Polska performed over the past 5 years?

0.02%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 0DVR has a high level of non-cash earnings.

Growing Profit Margin: 0DVR's current net profit margins (26%) are lower than last year (33.1%).


Past Earnings Growth Analysis

Earnings Trend: 0DVR's earnings have grown by 0.02% per year over the past 5 years.

Accelerating Growth: 0DVR's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 0DVR had negative earnings growth (-9.5%) over the past year, making it difficult to compare to the Banks industry average (26.6%).


Return on Equity

High ROE: 0DVR's Return on Equity (9.1%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Santander Bank Polska'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: 0DVR has a low level of unsold assets or inventory.

Debt Coverage by Assets: 0DVR's debt is not covered by short term assets (assets are 0.7x debt).


Financial Institutions Analysis

Asset Level: 0DVR's level of assets compared to its equity is low.

Allowance for Bad Loans: 0DVR has a low allowance for bad loans.

Low Risk Liabilities: 0DVR's liabilities are made up of primarily low risk sources of funding.

Loan Level: 0DVR has an acceptable proportion of non-loan assets held.

Low Risk Deposits: 0DVR's loans are broadly funded by customer deposits.

Level of Bad Loans: 0DVR has a high level of bad loans (4.97%)


Next Steps

Dividend

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

7.17%

Current Dividend Yield


Dividend Yield vs Market

company7.2%marketbottom25%1.9%markettop25%5.3%industryaverage6.8%forecastin3Years4.5%

Current dividend yield vs market & industry

Notable Dividend: 0DVR's dividend (7.17%) is higher than the bottom 25% of dividend payers in the UK market (1.9%).

High Dividend: 0DVR's dividend (7.17%) is in the top 25% of dividend payers in the UK market (5.34%)


Stability and Growth of Payments

Stable Dividend: 0DVR's dividend payments have been volatile in the past 10 years.

Growing Dividend: 0DVR's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (94.1%), 0DVR's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 0DVR's dividends in 3 years are forecast to be well covered by earnings (48% payout ratio).


Next Steps

Management

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

2.9yrs

Average management tenure


CEO

Michal Gajewski 0

3.3yrs

Tenure

zł2,261,000

Compensation

Mr. Michal Gajewski has been the President of Management Board and Chief Executive Officer at Santander Bank Polska SA (formerly Bank Zachodni WBK S.A.) since November 29, 2016. Mr. Gajewski serves as Head ...


CEO Compensation Analysis

Compensation vs Market: Michal's total compensation ($USD570.24K) is below average for companies of similar size in the UK market ($USD3.32M).

Compensation vs Earnings: Michal's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Michal Gajewski
President of the Management Board & CEO3.3yrszł2.26mno data
Andrzej Burliga
Vice President of the Management Board2.9yrszł1.40mno data
Michael McCarthy
Vice President of the Management Board2.9yrszł1.41mno data
Juan de Porras Aguirre
Vice President of the Management Board2.9yrszł1.41mno data
Arkadiusz Przybyl
Vice President of the Management Board1.8yrszł1.42mno data
Maciej Reluga
CFO, Chief Economist & Member of Management Board3yrszł1.06mno data
Carlos Polaino-Izquierdo
Member of Management Board and In Charge of the General Intervention & Management Control Division4.8yrszł1.89mno data
Dorota Strojkowska
Member of Management Board2.8yrszł1.17mno data
Patryk Nowakowski
Member of Management Board0.7yrszł1.02mno data
Wojciech Skalski
Director of Financial Accounting Area0yrsno datano data

2.9yrs

Average Tenure

Experienced Management: 0DVR's management team is considered experienced (2.9 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
José Antonio García Cantera
Member of Supervisory Board4.8yrsno datano data
Gerald Byrne
Supervisory Board Chairman8.8yrsno datano data
John Power
Supervisory Board Member17.8yrsno datano data
Jose Luis De Mora Gil-Gallardo
Deputy Chairman of the Supervisory Board4.1yrsno datano data
David Hexter
Independent Member of Supervisory Board0yrsno datano data
Jerzy Surma
Independent Member of Supervisory Board7.8yrsno datano data
Danuta Dabrowska
Independent Member of Supervisory Board5.8yrsno datano data
Marynika Woroszylska-Sapieha
Independent Member of Supervisory Board5.8yrsno datano data
Isabel Guerreiro
Member of the Supervisory Board0.4yrsno datano data

5.8yrs

Average Tenure

55yo

Average Age

Experienced Board: 0DVR's board of directors are considered experienced (5.8 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 been diluted in the past year, with total shares outstanding growing by 2.4%.


Top Shareholders

Company Information

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


Key Information

  • Name: Santander Bank Polska S.A.
  • Ticker: 0DVR
  • Exchange: LSE
  • Founded: 1989
  • Industry: Diversified Banks
  • Sector: Banks
  • Market Cap: zł28.074b
  • Shares outstanding: 102.09m
  • Website: https://www.santander.pl

Number of Employees


Location

  • Santander Bank Polska S.A.
  • al. Jana Pawla II 17
  • Warsaw
  • 00-854
  • Poland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SPLWSE (Warsaw Stock Exchange)YesCommon Bearer SharesPLPLNJun 2001
0DVRLSE (London Stock Exchange)YesCommon Bearer SharesGBPLNJun 2001
BZIDB (Deutsche Boerse AG)YesCommon Bearer SharesDEEURJun 2001

Biography

Santander Bank Polska S.A., together with its subsidiaries, provides various banking products and services. The company’s Retail Banking segment provides savings products, consumer and mortgage loans, credit and debit cards, insurance and investment products, clearing services, foreign payments, and Western Union and private-banking services, as well as GSM phones top-ups. This segment also offers lending, deposits, cash management services, leasing, factoring, letters of credit, guarantees, and others for small and medium companies; asset management services; and insourcing services to retail customers. Its Business & Corporate Banking segment offers deposits, lending, cash management, leasing, factoring, trade financing, and guarantees for business entities, local governments, and the public sector. The company’s Global Corporate Banking segment provides transactional banking products; project finance, syndicated facilities, and bond issues; FX and interest rate risk management products; and underwriting and financing services for securities issues, financial advice, and brokerage activities. Its ALM and Centre segment offers liquidity, interest rate risk, and FX risk management services. The company’s Santander Consumer segment provides term deposits; car, cash, and installment loans; and credit cards, lease products, and insurance products related to loans products to individual and business customers. In addition, the company offers personal accounts, payment cards; home mortgages; mutual funds; bancassurance products; tourist/travel, motor, and home insurance policies; and online and mobile banking services. The company has approximately 1,000 branches and partner outlets in Poland. The company was formerly known as Bank Zachodni WBK S.A. and changed its name to Santander Bank Polska S.A. in September 2018. The company was founded in 1989 and is based in Warsaw, Poland. Santander Bank Polska S.A. operates as a subsidiary of Banco Santander, S.A. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/25 21:27
End of Day Share Price2020/02/25 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.