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HSB

HSBC Bank Malta MTSE:HSB Stock Report

Last Price

€0.78

Market Cap

€281.0m

7D

-4.3%

1Y

-1.3%

Updated

17 May, 2022

Data

Company Financials
HSB fundamental analysis
Snowflake Score
Valuation2/6
Future Growth0/6
Past Performance4/6
Financial Health4/6
Dividends2/6

HSB Stock Overview

HSBC Bank Malta p.l.c., together with its subsidiaries, provides various banking and related financial services in Malta.

HSBC Bank Malta Competitors

 

 

 

 

 

 

 

 

 

 

 

 

Price History & Performance

Summary of all time highs, changes and price drops for HSBC Bank Malta
Historical stock prices
Current Share Price€0.78
52 Week High€0.99
52 Week Low€0.76
Beta0.40
1 Month Change-6.02%
3 Month Change-14.29%
1 Year Change-1.27%
3 Year Change-54.12%
5 Year Change-60.61%
Change since IPO165.65%

Recent News & Updates

Shareholder Returns

HSBMT BanksMT Market
7D-4.3%4.5%0.6%
1Y-1.3%-9.3%-5.7%

Return vs Industry: HSB exceeded the MT Banks industry which returned -11.4% over the past year.

Return vs Market: HSB exceeded the MT Market which returned -5.4% over the past year.

Price Volatility

Is HSB's price volatile compared to industry and market?
HSB volatility
HSB Average Weekly Movement7.9%
Banks Industry Average Movement5.7%
Market Average Movement6.5%
10% most volatile stocks in MT Market12.0%
10% least volatile stocks in MT Market3.6%

Stable Share Price: HSB is not significantly more volatile than the rest of MT stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: HSB's weekly volatility (8%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1975971Simon Johnsonhttps://www.hsbc.com.mt

HSBC Bank Malta p.l.c., together with its subsidiaries, provides various banking and related financial services in Malta. The company operates through two segments, Wealth and Personal Banking and Commercial Banking. The company offers personal banking products, including current, student, term deposit, and savings accounts; foreign exchange services, home loan drawings, personal bank guarantees, and payment and transfer services; various investment and pension products; and personal, car, home improvements, student, and green loans, as well as overdrafts.

HSBC Bank Malta Fundamentals Summary

How do HSBC Bank Malta's earnings and revenue compare to its market cap?
HSB fundamental statistics
Market Cap€281.04m
Earnings (TTM)€17.76m
Revenue (TTM)€132.29m

15.8x

P/E Ratio

0.6x

P/B Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
HSB income statement (TTM)
Revenue€132.29m
Cost of Revenue€0
Gross Profit€132.29m
Other Expenses€114.53m
Earnings€17.76m

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.049
Gross Margin100.00%
Net Profit Margin13.42%
Debt/Equity Ratio25.8%

How did HSB perform over the long term?

See historical performance and comparison

Dividends

4.4%

Current Dividend Yield

69%

Payout Ratio

Valuation

Is HSBC Bank Malta undervalued compared to its fair value and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • PE vs Industry

  • PE vs Market

  • PEG Ratio

  • PB vs Industry


5.0%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: HSB (€0.78) is trading below our estimate of fair value (€0.82)

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


Price To Earnings Ratio

PE vs Industry: HSB is poor value based on its PE Ratio (15.8x) compared to the European Banks industry average (9.4x).

PE vs Market: HSB is good value based on its PE Ratio (15.8x) compared to the MT market (24.8x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate HSB's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: HSB's PB Ratio (0.6x) is in line with the XE Banks industry average.


Future Growth

How is HSBC Bank Malta forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


10.7%

Forecasted Banks industry annual growth in earnings

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as HSBC Bank Malta has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Past Performance

How has HSBC Bank Malta performed over the past 5 years?

Past Performance Score

4/6

Past Performance Score 4/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-22.5%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: HSB has high quality earnings.

Growing Profit Margin: HSB's current net profit margins (13.4%) are higher than last year (7%).


Past Earnings Growth Analysis

Earnings Trend: HSB's earnings have declined by 22.5% per year over the past 5 years.

Accelerating Growth: HSB's earnings growth over the past year (134.5%) exceeds its 5-year average (-22.5% per year).

Earnings vs Industry: HSB earnings growth over the past year (134.5%) exceeded the Banks industry 35.9%.


Return on Equity

High ROE: HSB's Return on Equity (3.6%) is considered low.


Financial Health

How is HSBC Bank Malta'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: HSB's Assets to Equity ratio (14.7x) is moderate.

Allowance for Bad Loans: HSB has a low allowance for bad loans (34%).

Low Risk Liabilities: 84% of HSB's liabilities are made up of primarily low risk sources of funding.

Loan Level: HSB has an appropriate level of Loans to Assets ratio (48%).

Low Risk Deposits: HSB's Loans to Deposits ratio (61%) is appropriate.

Level of Bad Loans: HSB has a high level of bad loans (4.8%).


Dividend

What is HSBC Bank Malta current dividend yield, its reliability and sustainability?

Dividend Score

2/6

Dividend Score 2/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


4.38%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: HSB's dividend (4.38%) is higher than the bottom 25% of dividend payers in the MT market (2.48%).

High Dividend: HSB's dividend (4.38%) is low compared to the top 25% of dividend payers in the MT market (5.63%).


Stability and Growth of Payments

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

Growing Dividend: HSB's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Earnings Coverage: With its reasonable payout ratio (69.4%), HSB's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years or that it will be covered by earnings.


Next Steps

Management

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

3.6yrs

Average management tenure


CEO

Simon Johnson

2.17yrs

Tenure

€812,050

Compensation

Mr. Simon Vaughan Johnson has been Chief Executive Officer of HSBC Bank Malta Plc since March 2020 and its Executive Director since July 6, 2020. Mr. Johnson serves as Chief Executive Officer of HSBC Kuwai...


CEO Compensation Analysis

Compensation vs Market: Simon's total compensation ($USD855.33K) is above average for companies of similar size in the MT market ($USD523.19K).

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


Leadership Team

Experienced Management: HSB's management team is considered experienced (3.6 years average tenure).


Board Members

Experienced Board: HSB's board of directors are considered experienced (3.1 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

HSBC Bank Malta p.l.c.'s employee growth, exchange listings and data sources


Key Information

  • Name: HSBC Bank Malta p.l.c.
  • Ticker: HSB
  • Exchange: MTSE
  • Founded: 1975
  • Industry: Diversified Banks
  • Sector: Banks
  • Implied Market Cap: €281.039m
  • Shares outstanding: 360.31m
  • Website: https://www.hsbc.com.mt

Number of Employees


Location

  • HSBC Bank Malta p.l.c.
  • 116 Archbishop Street
  • Valletta
  • 1444
  • Malta

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/05/17 00:00
End of Day Share Price2022/05/17 00:00
Earnings2021/12/31
Annual Earnings2021/12/31


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.