Regional S.A.B. de C.V.

BMV:R A Stock Report

Market Cap: Mex$37.4b

Regional. de Valuation

Is R A undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

6/6

Valuation Score 6/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of R A when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: R A (MX$114.09) is trading below our estimate of fair value (MX$188.65)

Significantly Below Fair Value: R A is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for R A?

Key metric: As R A is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for R A. This is calculated by dividing R A's market cap by their current earnings.
What is R A's PE Ratio?
PE Ratio5.8x
EarningsMex$6.45b
Market CapMex$37.41b

Price to Earnings Ratio vs Peers

How does R A's PE Ratio compare to its peers?

The above table shows the PE ratio for R A vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average47.5x
BBAJIO O Banco del Bajío Institución de Banca Múltiple
4.4x-6.3%Mex$48.6b
ELEKTRA * Grupo Elektra. de
162.9xn/aMex$209.5b
GFINBUR O Grupo Financiero Inbursa. de
7.8x3.8%Mex$275.9b
NBHC National Bank Holdings
15x6.3%US$1.9b
R A Regional. de
5.8x3.5%Mex$37.4b

Price-To-Earnings vs Peers: R A is good value based on its Price-To-Earnings Ratio (5.8x) compared to the peer average (47.5x).

Price to Earnings Ratio vs Industry

How does R A's PE Ratio compare vs other companies in the South American Banks Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
R A 5.8xIndustry Avg. 8.7xNo. of Companies9PE0612182430+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: R A is good value based on its Price-To-Earnings Ratio (5.8x) compared to the South American Banks industry average (8.7x).

Price to Earnings Ratio vs Fair Ratio

What is R A's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

R A PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio5.8x
Fair PE Ratio6.1x

Price-To-Earnings vs Fair Ratio: R A is good value based on its Price-To-Earnings Ratio (5.8x) compared to the estimated Fair Price-To-Earnings Ratio (6.1x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst R A forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentMex$114.09
Mex$162.60
+42.5%
10.0%Mex$196.80Mex$140.00n/a13
Nov ’25Mex$126.52
Mex$164.22
+29.8%
9.5%Mex$196.80Mex$140.00n/a13
Oct ’25Mex$114.31
Mex$165.37
+44.7%
8.6%Mex$196.80Mex$141.00n/a13
Sep ’25Mex$124.76
Mex$169.91
+36.2%
9.5%Mex$196.80Mex$141.00n/a13
Aug ’25Mex$131.11
Mex$170.83
+30.3%
9.8%Mex$196.80Mex$141.00n/a13
Jul ’25Mex$138.35
Mex$173.06
+25.1%
8.9%Mex$196.80Mex$141.00n/a13
Jun ’25Mex$147.32
Mex$179.68
+22.0%
5.6%Mex$196.80Mex$165.00n/a13
May ’25Mex$154.72
Mex$179.52
+16.0%
5.5%Mex$196.80Mex$165.00n/a13
Apr ’25Mex$164.13
Mex$170.47
+3.9%
9.8%Mex$196.80Mex$140.00n/a13
Mar ’25Mex$161.88
Mex$170.47
+5.3%
9.8%Mex$196.80Mex$140.00n/a13
Feb ’25Mex$159.96
Mex$166.49
+4.1%
8.7%Mex$192.00Mex$140.00n/a13
Jan ’25Mex$162.27
Mex$164.26
+1.2%
7.7%Mex$185.00Mex$140.00n/a13
Dec ’24Mex$146.02
Mex$163.42
+11.9%
8.2%Mex$185.00Mex$140.00n/a13
Nov ’24Mex$135.21
Mex$162.65
+20.3%
7.6%Mex$185.00Mex$140.00Mex$126.5213
Oct ’24Mex$125.17
Mex$158.56
+26.7%
8.6%Mex$185.00Mex$136.00Mex$114.3113
Sep ’24Mex$124.97
Mex$159.93
+28.0%
9.9%Mex$187.10Mex$136.00Mex$124.7613
Aug ’24Mex$128.76
Mex$161.68
+25.6%
10.0%Mex$187.10Mex$136.00Mex$131.1112
Jul ’24Mex$124.02
Mex$166.01
+33.9%
8.9%Mex$187.10Mex$134.00Mex$138.3513
Jun ’24Mex$138.11
Mex$166.01
+20.2%
8.9%Mex$187.10Mex$134.00Mex$147.3213
May ’24Mex$131.67
Mex$166.24
+26.3%
9.0%Mex$187.10Mex$134.00Mex$154.7213
Apr ’24Mex$137.68
Mex$168.01
+22.0%
7.1%Mex$187.10Mex$146.00Mex$164.1313
Mar ’24Mex$157.28
Mex$167.16
+6.3%
8.3%Mex$187.10Mex$140.00Mex$161.8813
Feb ’24Mex$164.66
Mex$165.08
+0.3%
7.5%Mex$185.00Mex$140.00Mex$159.9613
Jan ’24Mex$140.09
Mex$157.00
+12.1%
11.9%Mex$177.00Mex$111.00Mex$162.2713
Dec ’23Mex$141.89
Mex$150.35
+6.0%
12.4%Mex$177.00Mex$111.00Mex$146.0213
Nov ’23Mex$139.39
Mex$140.58
+0.9%
10.0%Mex$165.00Mex$111.00Mex$135.2113

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

Discover undervalued companies

Nordea Bank Abp

SEK 419.7b

Offers banking products and services in Sweden, Finland, Norway, Denmark, and internationally.

NDA N

SEK 206.33

7D

0%

1Y

n/a

Banco Santander

€66.4b

Provides various financial services worldwide.

SAN N

€94.50

7D

-0.7%

1Y

34.8%

Postal Savings Bank of China

HK$491.9b

Provides various banking products and services for retail and corporate customers in the People’s Republic of China.

1658 N

HK$10.08

7D

0%

1Y

n/a