BIT:MB

Stock Analysis Report

Mediobanca Banca di Credito Finanziario

Executive Summary

Mediobanca Banca di Credito Finanziario S.p.A., together with its subsidiaries, provides various banking products and services in Italy and internationally.

Rewards

PE ratio (10.4x) is below the Italian market (18.3x)

Earnings are forecast to grow 2.31% per year

Earnings have grown 11.3% per year over the past 5 years

Risk Analysis

Unstable dividend track record



Snowflake Analysis

Average dividend payer with questionable track record.


Similar Companies

Share Price & News

How has Mediobanca Banca di Credito Finanziario's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

1.1%

MB

1.2%

IT Banks

0.7%

IT Market


1 Year Return

38.8%

MB

18.1%

IT Banks

19.9%

IT Market

Return vs Industry: MB exceeded the Italian Banks industry which returned 18.1% over the past year.

Return vs Market: MB exceeded the Italian Market which returned 19.9% over the past year.


Shareholder returns

MBIndustryMarket
7 Day1.1%1.2%0.7%
30 Day-3.1%-0.6%-1.4%
90 Day6.3%11.0%4.5%
1 Year45.2%38.8%24.5%18.1%25.3%19.9%
3 Year55.3%34.3%-6.0%-30.3%28.6%9.9%
5 Year87.0%50.8%-12.8%-47.5%34.6%-12.6%

Price Volatility Vs. Market

How volatile is Mediobanca Banca di Credito Finanziario's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Mediobanca Banca di Credito Finanziario undervalued compared to its fair value and its price relative to the market?

10.39x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: MB (€10.11) is trading above our estimate of fair value (€8.23)

Significantly Below Fair Value: MB is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: MB is poor value based on its PE Ratio (10.4x) compared to the Banks industry average (8.9x).

PE vs Market: MB is good value based on its PE Ratio (10.4x) compared to the Italian market (18.3x).


Price to Earnings Growth Ratio

PEG Ratio: MB is poor value based on its PEG Ratio (4.5x)


Price to Book Ratio

PB vs Industry: MB is overvalued based on its PB Ratio (0.9x) compared to the IT Banks industry average (0.4x).


Next Steps

Future Growth

How is Mediobanca Banca di Credito Finanziario forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

2.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MB's forecast earnings growth (2.3% per year) is above the savings rate (1.2%).

Earnings vs Market: MB's earnings (2.3% per year) are forecast to grow slower than the Italian market (8.9% per year).

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

Revenue vs Market: MB's revenue (4.6% per year) is forecast to grow faster than the Italian market (3.1% per year).

High Growth Revenue: MB's revenue (4.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: MB's Return on Equity is forecast to be low in 3 years time (8.5%).


Next Steps

Past Performance

How has Mediobanca Banca di Credito Finanziario performed over the past 5 years?

11.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MB has high quality earnings.

Growing Profit Margin: MB's current net profit margins (38.1%) are lower than last year (43.7%).


Past Earnings Growth Analysis

Earnings Trend: MB's earnings have grown by 11.3% per year over the past 5 years.

Accelerating Growth: MB's earnings growth over the past year (4.9%) is below its 5-year average (11.3% per year).

Earnings vs Industry: MB earnings growth over the past year (4.9%) underperformed the Banks industry 17.6%.


Return on Equity

High ROE: MB's Return on Equity (8.6%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Mediobanca Banca di Credito Finanziario'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: MB has a low level of unsold assets or inventory.

Debt Coverage by Assets: MB's debt is not covered by short term assets (assets are 0.4x debt).


Financial Institutions Analysis

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

Allowance for Bad Loans: Insufficient data to determine if MB has a sufficient allowance for bad loans.

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

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

Low Risk Deposits: MB has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: MB has a high level of bad loans (5.18%)


Next Steps

Dividend

What is Mediobanca Banca di Credito Finanziario's current dividend yield, its reliability and sustainability?

4.65%

Current Dividend Yield


Dividend Yield vs Market

company4.6%marketbottom25%2.0%markettop25%4.4%industryaverage5.3%forecastin3Years5.4%

Current dividend yield vs market & industry

Notable Dividend: MB's dividend (4.65%) is higher than the bottom 25% of dividend payers in the Italian market (1.96%).

High Dividend: MB's dividend (4.65%) is in the top 25% of dividend payers in the Italian market (4.4%)


Stability and Growth of Payments

Stable Dividend: MB has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: MB's dividend payments have increased, but the company has only paid a dividend for 9 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (48.3%), MB's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: MB's dividends in 3 years are forecast to be covered by earnings (56.3% payout ratio).


Next Steps

Management

What is the CEO of Mediobanca Banca di Credito Finanziario's salary, the management and board of directors tenure and is there insider trading?

6.8yrs

Average management tenure


CEO

Alberto Nagel (54yo)

11.2yrs

Tenure

€3,313,702

Compensation

Mr. Alberto Nicola Nagel has been the Chief Executive Officer at Mediobanca Banca di Credito Finanziario S.p.A. since October 2008 and serves as its Co-Head of CIB. Mr. Nagel served as Chief Executive Offi ...


CEO Compensation Analysis

Compensation vs Market: Alberto's total compensation ($USD3.68M) is above average for companies of similar size in the Italian market ($USD846.40K).

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


Management Age and Tenure

6.8yrs

Average Tenure

55yo

Average Age

Experienced Management: MB's management team is seasoned and experienced (6.8 years average tenure).


Board Age and Tenure

6.7yrs

Average Tenure

69yo

Average Age

Experienced Board: MB's board of directors are considered experienced (6.7 years average tenure).


Insider Trading

Insider Buying: MB insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Buy€602,37306 Dec 19
Maurizio Carfagna
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares60,000
Max Price€10.05
Buy€304,54504 Dec 19
Maurizio Carfagna
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares30,000
Max Price€10.15
Sell€514,85302 Dec 19
Gian Sichel
EntityIndividual
Shares50,683
Max Price€10.16
Sell€480,24102 Dec 19
Francesco Vinci
EntityIndividual
Role
Member of the Board of Directors
GM & Director
Shares47,293
Max Price€10.15
Sell€715,10802 Dec 19
Alberto Nagel
EntityIndividual
Role
Chief Executive Officer
CEO & Director
Shares70,386
Max Price€10.16
Buy€611,22402 Dec 19
Maurizio Carfagna
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares60,000
Max Price€10.22
Buy€618,71929 Nov 19
Maurizio Carfagna
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares60,000
Max Price€10.31
Buy€616,81727 Nov 19
Maurizio Carfagna
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares60,000
Max Price€10.30
Buy€511,96725 Nov 19
Maurizio Carfagna
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares50,000
Max Price€10.25
Sell€908,35002 Aug 19
Renato Pagliaro
EntityIndividual
Role
Chairman of the Board
Chairman
Shares100,000
Max Price€9.08
Buy€541,35704 Jun 19
Maurizio Carfagna
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares65,000
Max Price€8.39
Buy€582,19431 May 19
Maurizio Carfagna
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares68,846
Max Price€8.49
Buy€2,366,25828 May 19
Maurizio Carfagna
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares275,000
Max Price€8.69
Buy€1,330,16024 May 19
Maurizio Carfagna
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares150,000
Max Price€8.90
Buy€919,65022 May 19
Maurizio Carfagna
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares103,000
Max Price€8.98
Sell€916,45813 May 19
Renato Pagliaro
EntityIndividual
Role
Chairman of the Board
Chairman
Shares100,000
Max Price€9.19
Buy€9,462,97525 Mar 19
Maurizio Carfagna
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,050,000
Max Price€9.29
Buy€73,05227 Dec 18
Maurizio Carfagna
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares10,000
Max Price€7.31

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Management Team

  • Francisco Bachiller

    Executive Chairman of Corporate & Investment Banking and Co-Head of CIB

    • Tenure: 1.6yrs
  • Ulrich Paefgen

    Vice Chairman of Strategic Development for Europe

    • Tenure: 6.8yrs
  • Alberto Nagel (54yo)

    CEO & Director

    • Tenure: 11.2yrs
    • Compensation: €3.31m
  • Clemente Rebecchini (55yo)

    Head of the Principal Investing Division and Central Manager

    • Tenure: 9.6yrs
  • Antonio Guglielmi

    Head of CIB Rome & Public Institutions and Head of European Equity Research

    • Tenure: 0yrs
  • Francesco Vinci (57yo)

    GM & Director

    • Tenure: 11.2yrs
    • Compensation: €3.38m
  • Adam Bolek

    Head of Germany Unit

    • Tenure: 6.8yrs
  • Matteo Maralla

    Head of Equity Capital Markets Syndicate

    • Tenure: 0yrs
  • Jessica Spina

    Head of Group Investor Relations & Strategic Corporate Development

    • Tenure: 0yrs
  • Emanuele Flappini

    Head of Company Financial Reporting

    • Tenure: 0yrs

Board Members

  • Maurizia Comneno (71yo)

    Deputy Chairman of the Board

    • Tenure: 5.2yrs
    • Compensation: €225.00k
  • Elisabetta Magistretti (72yo)

    Independent Director

    • Tenure: 8.2yrs
    • Compensation: €220.00k
  • Alberto Pecci (76yo)

    Deputy Chairman of the Board

    • Tenure: 2.2yrs
    • Compensation: €165.00k
  • Maurizio Costa (71yo)

    Independent Director

    • Tenure: 5.2yrs
    • Compensation: €125.00k
  • Renato Pagliaro (62yo)

    Chairman

    • Tenure: 9.6yrs
    • Compensation: €2.25m
  • Alberto Nagel (54yo)

    CEO & Director

    • Tenure: 11.2yrs
    • Compensation: €3.31m
  • Maurizio Carfagna (72yo)

    Independent Director

    • Tenure: 5.2yrs
    • Compensation: €220.00k
  • Francesco Vinci (57yo)

    GM & Director

    • Tenure: 11.2yrs
    • Compensation: €3.38m
  • Gabriele Villa (55yo)

    Independent Director

    • Tenure: 2.2yrs
    • Compensation: €190.00k
  • Natale Freddi (67yo)

    Chairman of Statutory Audit Committee

    • Tenure: 8.2yrs
    • Compensation: €133.43k

Company Information

Mediobanca Banca di Credito Finanziario S.p.A.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Mediobanca Banca di Credito Finanziario S.p.A.
  • Ticker: MB
  • Exchange: BIT
  • Founded: 1946
  • Industry: Diversified Banks
  • Sector: Banks
  • Market Cap: €8.815b
  • Shares outstanding: 871.87m
  • Website: https://www.mediobanca.com

Number of Employees


Location

  • Mediobanca Banca di Credito Finanziario S.p.A.
  • Piazzetta Enrico Cuccia, 1
  • Milan
  • Milan
  • 20121
  • Italy

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MBBIT (Borsa Italiana)YesOrdinary Registered SharesITEURJan 1992
ME9DB (Deutsche Boerse AG)YesOrdinary Registered SharesDEEURJan 1992
0HBFLSE (London Stock Exchange)YesOrdinary Registered SharesGBEURJan 1992
MDIB.FOTCPK (Pink Sheets LLC)YesOrdinary Registered SharesUSUSDJan 1992
MBMBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary Registered SharesGBEURJan 1992
MBWBAG (Wiener Boerse AG)YesOrdinary Registered SharesATEURJan 1992
MDIB.YOTCPK (Pink Sheets LLC)UNSPONSORED ADRUSUSDOct 2008

Biography

Mediobanca Banca di Credito Finanziario S.p.A., together with its subsidiaries, provides various banking products and services in Italy and internationally. It operates through five segments: Corporate & I ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/12/10 20:44
End of Day Share Price2019/12/10 00:00
Earnings2019/09/30
Annual Earnings2019/06/30


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.