Credito Emiliano (BIT:CE) - Share price, News & Analysis

CE fundamental analysis
Snowflake Score
Valuation	3/6
Future Growth	1/6
Past Performance	5/6
Financial Health	4/6
Dividends	5/6

CE Stock Overview

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

Rewards

Trading at 15.4% below our estimate of its fair value

Revenue is forecast to grow 2.4% per year

Earnings grew by 74.8% over the past year

Risk Analysis

Earnings are forecast to decline by an average of 11.7% per year for the next 3 years

Unstable dividend track record

Shareholders have been diluted in the past year

Credito Emiliano Competitors

Intesa Sanpaolo

BIT:ISP

€38.6b

UniCredit

BIT:UCG

€22.1b

Mediobanca Banca di Credito Finanziario

BIT:MB

€8.2b

FinecoBank Banca Fineco

BIT:FBK

€7.8b

Price History & Performance

Summary of all time highs, changes and price drops for Credito Emiliano
Historical stock prices
Current Share Price	€5.69
52 Week High	€7.70
52 Week Low	€4.93
Beta	1.21
1 Month Change	-2.07%
3 Month Change	-21.73%
1 Year Change	9.42%
3 Year Change	29.03%
5 Year Change	-17.18%
Change since IPO	36.75%

Shareholder Returns

	CE	IT Banks	IT Market
7D	-3.9%	2.9%	1.4%
1Y	9.4%	-8.8%	-4.1%

Return vs Industry: CE exceeded the Italian Banks industry which returned -8.8% over the past year.

Return vs Market: CE exceeded the Italian Market which returned -4.1% over the past year.

Price Volatility

Is CE's price volatile compared to industry and market?
CE volatility
CE Average Weekly Movement	6.4%
Banks Industry Average Movement	6.7%
Market Average Movement	6.3%
10% most volatile stocks in IT Market	8.8%
10% least volatile stocks in IT Market	4.1%

Stable Share Price: CE is not significantly more volatile than the rest of Italian stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: CE's weekly volatility (6%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1910	6,196	Nazzareno Gregori	https://www.credem.it

Credito Emiliano S.p.A., together with its subsidiaries, provides various banking services to retail and corporate customers primarily in Italy. It operates through Commercial Banking, Asset Management, Bancassurance, and ALM Treasury segments. The company’s deposit products include current and savings accounts, time deposits, certificates of deposit, bonds, and subordinated debts; and loan portfolio comprises mortgages, credit cards, personal loans, and salary-backed loans.

Credito Emiliano Fundamentals Summary

How do Credito Emiliano's earnings and revenue compare to its market cap?
CE fundamental statistics
Market Cap	€1.94b
Earnings (TTM)	€352.43m
Revenue (TTM)	€1.29b

5.5x

P/E Ratio

0.6x

P/B Ratio

Is CE overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
CE income statement (TTM)
Revenue	€1.29b
Cost of Revenue	€0
Gross Profit	€1.29b
Other Expenses	€937.97m
Earnings	€352.43m

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

Aug 04, 2022

Earnings per share (EPS)	1.04
Gross Margin	100.00%
Net Profit Margin	27.31%
Debt/Equity Ratio	549.1%

How did CE perform over the long term?

See historical performance and comparison

Dividends

5.3%

Current Dividend Yield

29%

Payout Ratio

Valuation

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

Valuation Score

3/6

Valuation Score 3/6

Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry

15.4%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: CE (€5.69) is trading below our estimate of fair value (€6.72)

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 good value based on its PE Ratio (5.5x) compared to the Italian Banks industry average (8.3x).

PE vs Market: CE is good value based on its PE Ratio (5.5x) compared to the Italian market (17.3x).

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's PB Ratio (0.6x) is in line with the IT Banks industry average.

Future Growth

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

Future Growth Score

1/6

Future Growth Score 1/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

-11.7%

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 (-11.7% per year).

Earnings vs Market: CE's earnings are forecast to decline over the next 3 years (-11.7% per year).

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

Revenue vs Market: CE's revenue (2.4% per year) is forecast to grow faster than the Italian market (0.07% per year).

High Growth Revenue: CE's revenue (2.4% 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 (6.6%).

Past Performance

How has Credito Emiliano performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

13.5%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: CE has high quality earnings.

Growing Profit Margin: CE's current net profit margins (27.3%) are higher than last year (18.9%).

Past Earnings Growth Analysis

Earnings Trend: CE's earnings have grown by 13.5% per year over the past 5 years.

Accelerating Growth: CE's earnings growth over the past year (74.8%) exceeds its 5-year average (13.5% per year).

Earnings vs Industry: CE earnings growth over the past year (74.8%) exceeded the Banks industry 35.8%.

Return on Equity

High ROE: CE's Return on Equity (10.2%) is considered low.

Financial Health

How is Credito Emiliano's financial position? (This company is analysed differently as a bank or financial institution)

Financial Health Score

4/6

Financial Health Score 4/6

Asset Level
Allowance for Bad Loans
Low Risk Liabilities
Loan Level
Low Risk Deposits
Level of Bad Loans

Financial Position Analysis

Debt to Equity History and Analysis

Balance Sheet

Financial Institutions Analysis

Asset Level: CE's Assets to Equity ratio (19.5x) is moderate.

Allowance for Bad Loans: CE has a low allowance for bad loans (63%).

Low Risk Liabilities: 60% of CE's liabilities are made up of primarily low risk sources of funding.

Loan Level: CE has an appropriate level of Loans to Assets ratio (61%).

Low Risk Deposits: CE's Loans to Deposits ratio (106%) is appropriate.

Level of Bad Loans: CE has a high level of bad loans (2.2%).

Dividend

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

Dividend Score

5/6

Dividend Score 5/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

5.27%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: CE's dividend (5.27%) is higher than the bottom 25% of dividend payers in the Italian market (1.6%).

High Dividend: CE's dividend (5.27%) is in the top 25% of dividend payers in the Italian market (4.82%)

Stability and Growth of Payments

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

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

Current Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (28.5%), 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 (41% payout ratio).

Discover strong dividend paying companies

Management

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

8.4yrs

Average board tenure

CEO

Nazzareno Gregori

5.75yrs

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: Insufficient data to establish whether Nazzareno's total compensation is reasonable compared to companies of similar size in the Italian market.

Compensation vs Earnings: Insufficient data to compare Nazzareno's compensation with company performance.

Board Members

Experienced Board: CE's board of directors are considered experienced (8.4 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.

Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 2.9%.

Data	Last Updated (UTC time)
Company Analysis	2022/05/19 00:00
End of Day Share Price	2022/05/19 00:00
Earnings	2021/12/31
Annual Earnings	2021/12/31