Executive Summary
UniCredit S.p.A. operates as a commercial bank. More Details
Rewards
Risk Analysis
Snowflake Analysis
Reasonable growth potential with adequate balance sheet.
Similar Companies
Share Price & News
How has UniCredit's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: UCG is not significantly more volatile than the rest of Italian stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: UCG's weekly volatility (4%) has been stable over the past year.
Market Performance
7 Day Return
-1.1%
UCG
-0.7%
IT Banks
0.3%
IT Market
1 Year Return
36.0%
UCG
38.3%
IT Banks
28.8%
IT Market
Return vs Industry: UCG underperformed the Italian Banks industry which returned 42.4% over the past year.
Return vs Market: UCG exceeded the Italian Market which returned 30.2% over the past year.
Shareholder returns
| UCG | Industry | Market | |
|---|---|---|---|
| 7 Day | -1.1% | -0.7% | 0.3% |
| 30 Day | 5.2% | 3.2% | 4.5% |
| 90 Day | 15.4% | 7.9% | 7.4% |
| 1 Year | 38.0%36.0% | 42.1%38.3% | 32.5%28.8% |
| 3 Year | -22.5%-25.2% | -0.2%-8.9% | 20.1%9.8% |
| 5 Year | -9.3%-56.9% | -25.2%-42.4% | 33.3%9.6% |
Long-Term Price Volatility Vs. Market
How volatile is UniCredit's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 month ago | Simply Wall St
Is UniCredit S.p.A. (BIT:UCG) A Smart Pick For Income Investors?3 months ago | Simply Wall St
Do Institutions Own UniCredit S.p.A. (BIT:UCG) Shares?4 months ago | Simply Wall St
UniCredit (BIT:UCG) Has Returned Negative 45% To Its Shareholders In The Past Five YearsValuation
Is UniCredit undervalued compared to its fair value and its price relative to the market?
0.4x
Price to Book (PB) ratio
Share Price vs. Fair Value
Below Fair Value: UCG (€10.74) is trading above our estimate of fair value (€6.34)
Significantly Below Fair Value: UCG is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: UCG is good value based on its PE Ratio (-8.1x) compared to the Italian Banks industry average (8.2x).
PE vs Market: UCG is good value based on its PE Ratio (-8.1x) compared to the Italian market (21.4x).
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate UCG's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: UCG is good value based on its PB Ratio (0.4x) compared to the IT Banks industry average (0.6x).
Future Growth
How is UniCredit forecast to perform in the next 1 to 3 years based on estimates from 21 analysts?
23.6%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: UCG's forecast earnings growth (23.6% per year) is above the savings rate (1.8%).
Earnings vs Market: UCG's earnings (23.6% per year) are forecast to grow faster than the Italian market (16.4% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: UCG's revenue (3.3% per year) is forecast to grow faster than the Italian market (2.6% per year).
High Growth Revenue: UCG's revenue (3.3% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: UCG's Return on Equity is forecast to be low in 3 years time (5.9%).
Past Performance
How has UniCredit performed over the past 5 years?
29.5%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: UCG has a large one-off loss of €1.9B impacting its March 31 2021 financial results.
Growing Profit Margin: UCG became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: UCG has become profitable over the past 5 years, growing earnings by 29.5% per year.
Accelerating Growth: UCG has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: UCG has become profitable in the last year, making it difficult to compare its past year earnings growth to the Banks industry (13.1%).
Return on Equity
High ROE: UCG's Return on Equity (1.3%) is considered low.
Financial Health
How is UniCredit'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
Financial Institutions Analysis
Asset Level: UCG's Assets to Equity ratio (15.4x) is moderate.
Allowance for Bad Loans: UCG has a low allowance for bad loans (79%).
Low Risk Liabilities: 56% of UCG's liabilities are made up of primarily low risk sources of funding.
Loan Level: UCG has an appropriate level of Loans to Assets ratio (59%).
Low Risk Deposits: UCG's Loans to Deposits ratio (113%) is appropriate.
Level of Bad Loans: UCG has a high level of bad loans (4.2%).
Dividend
What is UniCredit current dividend yield, its reliability and sustainability?
1.12%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: UCG's dividend (1.12%) isn’t notable compared to the bottom 25% of dividend payers in the Italian market (1.21%).
High Dividend: UCG's dividend (1.12%) is low compared to the top 25% of dividend payers in the Italian market (3.61%).
Stability and Growth of Payments
Stable Dividend: UCG's dividend payments have been volatile in the past 10 years.
Growing Dividend: UCG's dividend payments have fallen over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: UCG is paying a dividend but the company is unprofitable.
Future Payout to Shareholders
Future Dividend Coverage: UCG's dividends in 3 years are forecast to be well covered by earnings (36.8% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
0.3yrs
Average management tenure
CEO
Andrea Orcel (57 yo)
0.17
Tenure
Mr. Andrea Orcel serves as Chief Executive Officer & Director at UniCredit S.p.A. since April 15, 2021. He serves as Senior Vice President of Merrill Lynch & Co. Inc. and served as its Head of Global Finan...
Leadership Team
Experienced Management: UCG's management team is not considered experienced ( 0.3 years average tenure), which suggests a new team.
Board Members
Experienced Board: UCG's board of directors are not considered experienced ( 1.9 years average tenure), which suggests a new board.
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
UniCredit S.p.A.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: UniCredit S.p.A.
- Ticker: UCG
- Exchange: BIT
- Founded: 1870
- Industry: Diversified Banks
- Sector: Banks
- Market Cap: €24.098b
- Shares outstanding: 2.24b
- Website: https://www.unicreditgroup.eu
Number of Employees
Location
- UniCredit S.p.A.
- Tower A
- Piazza Gae Aulenti, 3
- Milan
- Milan
- 20154
- Italy
Listings
Biography
UniCredit S.p.A. operates as a commercial bank. The company operates through Commercial Banking Italy, Commercial Banking Germany, Commercial Banking Austria, Corporate & Investment Banking, and Central Ea...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/06/14 17:54 |
| End of Day Share Price | 2021/06/14 00:00 |
| Earnings | 2021/03/31 |
| Annual Earnings | 2020/12/31 |
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.