ENXTAM:INGA

Stock Analysis Report

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Executive Summary

ING Groep N.V., a financial institution, provides various banking products and services to individuals, small and medium-sized enterprises, and mid-corporates.


Snowflake Analysis

Adequate balance sheet and slightly overvalued.


Similar Companies

Share Price & News

How has ING Groep's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: INGA's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

7.0%

INGA

4.4%

NL Banks

1.3%

NL Market


1 Year Return

-16.6%

INGA

-18.6%

NL Banks

-5.0%

NL Market

Return vs Industry: INGA exceeded the Dutch Banks industry which returned -18.6% over the past year.

Return vs Market: INGA underperformed the Dutch Market which returned -5% over the past year.


Shareholder returns

INGAIndustryMarket
7 Day7.0%4.4%1.3%
30 Day7.8%-0.2%-1.4%
90 Day41.9%17.6%13.7%
1 Year-16.6%-16.6%-17.5%-18.6%-1.9%-5.0%
3 Year-49.0%-54.5%-36.5%-42.8%7.0%-3.8%
5 Year-36.8%-49.1%-29.9%-46.5%31.7%7.3%

Price Volatility Vs. Market

How volatile is ING Groep's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is ING Groep undervalued compared to its fair value and its price relative to the market?

9.72x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: INGA (€6.95) is trading above our estimate of fair value (€6.52)

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


Price To Earnings Ratio

PE vs Industry: INGA is poor value based on its PE Ratio (9.7x) compared to the XE Banks industry average (9.4x).

PE vs Market: INGA is good value based on its PE Ratio (9.7x) compared to the Dutch market (19.4x).


Price to Earnings Growth Ratio

PEG Ratio: INGA is good value based on its PEG Ratio (0.4x)


Price to Book Ratio

PB vs Industry: INGA's PB Ratio (0.5x) is in line with the XE Banks industry average.


Next Steps

Future Growth

How is ING Groep forecast to perform in the next 1 to 3 years based on estimates from 18 analysts?

25.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: INGA's forecast earnings growth (25% per year) is above the savings rate (0.4%).

Earnings vs Market: INGA's earnings (25% per year) are forecast to grow slower than the Dutch market (25.9% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: INGA's revenue (1.5% per year) is forecast to grow slower than the Dutch market (7.6% per year).

High Growth Revenue: INGA's revenue (1.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: INGA's Return on Equity is forecast to be low in 3 years time (6.4%).


Next Steps

Past Performance

How has ING Groep performed over the past 5 years?

-1.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: INGA has high quality earnings.

Growing Profit Margin: INGA's current net profit margins (18.6%) are lower than last year (23.1%).


Past Earnings Growth Analysis

Earnings Trend: INGA's earnings have declined by 1.5% per year over the past 5 years.

Accelerating Growth: INGA's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: INGA had negative earnings growth (-27.2%) over the past year, making it difficult to compare to the Banks industry average (-4.8%).


Return on Equity

High ROE: INGA's Return on Equity (5.5%) is considered low.


Next Steps

Financial Health

How is ING Groep'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: INGA's Assets to Equity ratio (18.8x) is moderate.

Allowance for Bad Loans: INGA has a low allowance for bad loans (45%).

Low Risk Liabilities: 74% of INGA's liabilities are made up of primarily low risk sources of funding.

Loan Level: INGA has an appropriate level of Loans to Assets ratio (65%).

Low Risk Deposits: INGA's Loans to Deposits ratio (93%) is appropriate.

Level of Bad Loans: INGA has a high level of bad loans (2.1%).


Next Steps

Dividend

What is ING Groep current dividend yield, its reliability and sustainability?

6.22%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate INGA's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate INGA's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if INGA's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if INGA's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: INGA is not paying a notable dividend for the Dutch market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of INGA's dividend in 3 years as they are not forecast to pay a notable one for the Dutch market.


Next Steps

Management

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

8.5yrs

Average management tenure


CEO

Steven J. Van Rijswijk (50 yo)

0.083

Tenure

€1,788,600

Compensation

Mr. Steven J. A. Van Rijswijk serves as the Chief Executive Officer at ING Bank NV since June 2020. He served as Chief Risk Officer of ING Bank N.V. since August 01, 2017 until June 2020. He served as Chie ...


CEO Compensation Analysis

Compensation vs Market: Steven J.'s total compensation ($USD2.12M) is below average for companies of similar size in the Dutch market ($USD5.14M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Steven J. Van Rijswijk
CEO & Chairman of the Executive Board0.083yr€1.79m0.0019%
€ 526.0k
Tanate Phutrakul
CFO & Member of Executive Board1.5yrs€1.59m0.00034%
€ 92.2k
Rob Veldhuizen
Head of Corporate Finance Beneluxno datano datano data
Mark Milders
Head of Investor Relationsno datano datano data
Cornelis Blokbergen
Head of Legal Departmentno datano datano data
Peter Jong
Global Head of Communicationsno datano datano data
Ricardo Zemella
Co-Head of Global Debt Syndicateno datano datano data
Michael Baudo
Co-Head of Global Securities Finance Businessno datano datano data
Robert Scholten
Head of Real Estate Finance of Asia Pacific - Wholesale Banking13.92yrsno datano data
Martijn Bruins
MD & Head of Leveraged Finance13.58yrsno datano data
Raymond Vermeulen
Head of Media Relations10.92yrsno datano data
Charles Hall
Managing Director6.08yrsno datano data

8.5yrs

Average Tenure

Experienced Management: INGA's management team is seasoned and experienced (8.5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Nicolaas Jue
Chairman of ING Netherlands and Chief Executive Officer of ING Germanyno datano datano data
Rodney Martin
Chairman of ING US and Chief Executive of ING USno datano datano data
Gheorghe Wijers
Independent Chairman of Supervisory Board2.33yrs€202.00kno data
Mariana Gheorghe
Independent Member of the Supervisory Board5.25yrs€119.00kno data
Alun Michael Rees
Independent Vice Chairman of the Supervisory Board0.33yr€73.00kno data
Hendrika W. P. M. Verhagen
Independent Member of Supervisory Board0.83yr€30.00kno data
Margarete Haase
Independent Member of the Supervisory Board2.25yrs€98.00k0.000020%
€ 5.4k
Jan Balkenende
Independent Member of the Supervisory Board2.92yrs€99.00kno data
Herman Hulst
Independent Members of the Supervisory Board0.33yrno datano data
Harold Naus
Members of the Supervisory Board0.33yrno data0.000040%
€ 10.8k

1.5yrs

Average Tenure

64yo

Average Age

Experienced Board: INGA's board of directors are not considered experienced ( 1.5 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: INGA insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

ING Groep N.V.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: ING Groep N.V.
  • Ticker: INGA
  • Exchange: ENXTAM
  • Founded: 1991
  • Industry: Diversified Banks
  • Sector: Banks
  • Market Cap: €27.114b
  • Shares outstanding: 3.90b
  • Website: https://www.ing.com

Number of Employees


Location

  • ING Groep N.V.
  • Cedar
  • Bijlmerdreef 106
  • Amsterdam
  • Noord-Holland
  • 1102 CT
  • Netherlands

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
INGAABATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEURMar 1991
INGAENXTAM (Euronext Amsterdam)YesOrdinary SharesNLEURMar 1991
INGASWX (SIX Swiss Exchange)YesOrdinary SharesCHCHFMar 1991
INN1XTRA (XETRA Trading Platform)YesOrdinary SharesDEEURMar 1991
INGV.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDMar 1991
INGAWBAG (Wiener Boerse AG)YesOrdinary SharesATEURMar 1991
INGNYSE (New York Stock Exchange)SPONSORED ADRUSUSDSep 1995
ING NBMV (Bolsa Mexicana de Valores)SPONSORED ADRMXMXNSep 1995
INNADB (Deutsche Boerse AG)SPONSORED ADRDEEURSep 1995
INNAXTRA (XETRA Trading Platform)SPONSORED ADRDEEURSep 1995
0A2KLSE (London Stock Exchange)SPONSORED ADRGBUSDSep 1995

Biography

ING Groep N.V., a financial institution, provides various banking products and services to individuals, small and medium-sized enterprises, and mid-corporates. It operates in Retail Netherlands, Retail Bel ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/13 22:28
End of Day Share Price2020/08/13 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.