BIT:CE

Stock Analysis Report

Credito Emiliano

Executive Summary

Credito Emiliano S.p.A., together with its subsidiaries, provides various banking services to retail and corporate customers primarily in Italy.


Snowflake Analysis

6 star dividend payer with solid track record.


Similar Companies

Share Price & News

How has Credito Emiliano's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

1.1%

CE

-11.4%

IT Banks

-1.1%

IT Market


1 Year Return

-23.8%

CE

-38.7%

IT Banks

-26.1%

IT Market

Return vs Industry: CE exceeded the Italian Banks industry which returned -38.7% over the past year.

Return vs Market: CE exceeded the Italian Market which returned -26.1% over the past year.


Shareholder returns

CEIndustryMarket
7 Day1.1%-11.4%-1.1%
30 Day-7.2%-31.7%-22.6%
90 Day-25.2%-42.4%-29.1%
1 Year-20.4%-23.8%-35.4%-38.7%-22.9%-26.1%
3 Year-33.9%-39.8%-38.8%-44.8%-13.5%-22.2%
5 Year-46.8%-53.6%-62.2%-76.5%-26.2%-51.9%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Credito Emiliano undervalued compared to its fair value and its price relative to the market?

8.6%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CE (€3.82) is trading below our estimate of fair value (€4.18)

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


Price To Earnings Ratio

PE vs Industry: CE is poor value based on its PE Ratio (6.3x) compared to the Banks industry average (5.9x).

PE vs Market: CE is good value based on its PE Ratio (6.3x) compared to the Italian market (12.7x).


Price to Earnings Growth Ratio

PEG Ratio: CE's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: CE is overvalued based on its PB Ratio (0.4x) compared to the IT Banks industry average (0.3x).


Next Steps

Future Growth

How is Credito Emiliano forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

-7.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CE's earnings are forecast to decline over the next 3 years (-7.8% per year).

Earnings vs Market: CE's earnings are forecast to decline over the next 3 years (-7.8% per year).

High Growth Earnings: CE's earnings are forecast to decline over the next 3 years.

Revenue vs Market: CE's revenue (2.8% per year) is forecast to grow faster than the Italian market (0.06% per year).

High Growth Revenue: CE's revenue (2.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CE's Return on Equity is forecast to be low in 3 years time (6%).


Next Steps

Past Performance

How has Credito Emiliano performed over the past 5 years?

5.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CE has high quality earnings.

Growing Profit Margin: CE's current net profit margins (18.1%) are higher than last year (17.6%).


Past Earnings Growth Analysis

Earnings Trend: CE's earnings have grown by 5.8% per year over the past 5 years.

Accelerating Growth: CE's earnings growth over the past year (7.8%) exceeds its 5-year average (5.8% per year).

Earnings vs Industry: CE earnings growth over the past year (7.8%) exceeded the Banks industry 6.9%.


Return on Equity

High ROE: CE's Return on Equity (7%) is considered low.


Next Steps

Financial Health

How is Credito Emiliano'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: CE has a low level of unsold assets or inventory.

Debt Coverage by Assets: CE's debt is not covered by short term assets (assets are 0.1x debt).


Financial Institutions Analysis

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

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

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

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

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

Level of Bad Loans: CE has a high level of bad loans (3.24%)


Next Steps

Dividend

What is Credito Emiliano's current dividend yield, its reliability and sustainability?

5.76%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: CE's dividend (5.76%) is higher than the bottom 25% of dividend payers in the Italian market (2.39%).

High Dividend: CE's dividend (5.76%) is in the top 25% of dividend payers in the Italian market (5.75%)


Stability and Growth of Payments

Stable Dividend: CE's dividends per share have been stable in the past 10 years.

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (36.1%), CE's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: CE's dividends in 3 years are forecast to be well covered by earnings (44.5% payout ratio).


Next Steps

Management

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

8.0yrs

Average board tenure


CEO

Nazzareno Gregori

no data

Tenure

€541,000

Compensation

Mr. Nazzareno Gregori has been General Manager of Credito Emiliano S.p.A. since August 31, 2016. Mr. Gregori served as a Deputy General Manager of Credito Emiliano S.p.A. until August 31, 2016. Mr. Gregori ...


CEO Compensation Analysis

Compensation vs Market: Nazzareno's total compensation ($USD0.00) is below average for companies of similar size in the Italian market ($USD1.04M).

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


Board Members

NamePositionTenureCompensationOwnership
Enrico Corradi
Deputy Chairman of the Board2yrs€69.80kno data
Lucio Zanon di Valgiurata
Chairman of the Board2yrs€61.40kno data
Benedetto Maria Renda
Director19.58yrs€42.00kno data
Giorgio Ferrari
Directorno data€221.50kno data
Giovanni Viani
Director14yrs€41.50kno data
Luigi Maramotti
Deputy Chairman of the Boardno data€16.70kno data
Giorgia Fontanesi
Director8yrs€44.00kno data
Paola Maria Schwizer
Independent Director8yrs€61.30kno data
Ernestina Morstofolini
Independent Director6.33yrs€52.80kno data
Anna Allievi
Chairman of Statutory Auditors Boardno datano datano data

8.0yrs

Average Tenure

62yo

Average Age

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

Credito Emiliano S.p.A.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Credito Emiliano S.p.A.
  • Ticker: CE
  • Exchange: BIT
  • Founded: 1910
  • Industry: Diversified Banks
  • Sector: Banks
  • Market Cap: €1.267b
  • Shares outstanding: 331.61m
  • Website: https://www.credem.it

Number of Employees


Location

  • Credito Emiliano S.p.A.
  • Via Emilia San Pietro no. 4
  • Reggio Emilia
  • Reggio Emilia
  • 42100
  • Italy

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CDEF.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJan 1998
CEBIT (Borsa Italiana)YesOrdinary SharesITEURJan 1998
0K93LSE (London Stock Exchange)YesOrdinary SharesGBEURJan 1998
CEMBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEURJan 1998

Biography

Credito Emiliano S.p.A., together with its subsidiaries, provides various banking services to retail and corporate customers primarily in Italy. The company operates through Commercial Banking, Asset Management, Bancassurance, Trading, and ALM Treasury segments. Its deposit products include current accounts and savings accounts, time deposits, certificates of deposit, bonds and subordinated debts, and repurchase agreements. The company’s loan portfolio comprises mortgages, credit cards, personal loans, and salary-backed loans. It also offers wealth management services, including management of mutual investment funds, SICAV, portfolio management, and private equity and hedge funds; and asset management, bancassurance, remote banking, fiduciary, savings management, brokerage, factoring, insurance, trading, financial leasing, and ALM treasury services, as well as cheese warehousing services. As of December 31, 2018, Credito Emiliano S.p.A. operated a network of approximately 592 branches, business centers, and financial outlets in 19 regions and 89 Italian provinces. The company was founded in 1910 and is headquartered in Reggio Emilia, Italy. Credito Emiliano S.p.A. is a subsidiary of Credito Emiliano Holding S.p.A. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/04 23:08
End of Day Share Price2020/04/03 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.