WSE:BHW

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Bank Handlowy w Warszawie

Executive Summary

Bank Handlowy w Warszawie S.A. provides a range of banking services for individual and corporate clients in Poland and internationally.


Snowflake Analysis

Adequate balance sheet and overvalued.


Similar Companies

Share Price & News

How has Bank Handlowy w Warszawie's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

-3.7%

BHW

-2.6%

PL Banks

-0.1%

PL Market


1 Year Return

-30.2%

BHW

-42.8%

PL Banks

-7.5%

PL Market

Return vs Industry: BHW exceeded the Polish Banks industry which returned -43.2% over the past year.

Return vs Market: BHW underperformed the Polish Market which returned -9.2% over the past year.


Shareholder returns

BHWIndustryMarket
7 Day-3.7%-2.6%-0.1%
30 Day-9.7%-9.4%2.0%
90 Day-0.4%4.5%18.9%
1 Year-30.2%-30.2%-42.8%-42.8%-6.3%-7.5%
3 Year-41.6%-48.4%-46.8%-49.6%-18.4%-23.3%
5 Year-48.2%-60.0%-37.2%-44.3%-6.9%-17.6%

Price Volatility Vs. Market

How volatile is Bank Handlowy w Warszawie's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Bank Handlowy w Warszawie undervalued compared to its fair value and its price relative to the market?

10.52x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: BHW (PLN36) is trading above our estimate of fair value (PLN11.14)

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


Price To Earnings Ratio

PE vs Industry: BHW's PE Ratio (10.5x) is in line with the PL Banks industry average.

PE vs Market: BHW is good value based on its PE Ratio (10.5x) compared to the Polish market (13.9x).


Price to Earnings Growth Ratio

PEG Ratio: BHW is poor value based on its PEG Ratio (1.2x)


Price to Book Ratio

PB vs Industry: BHW's PB Ratio (0.7x) is in line with the PL Banks industry average.


Next Steps

Future Growth

How is Bank Handlowy w Warszawie forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

9.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BHW's forecast earnings growth (9.1% per year) is above the savings rate (2.9%).

Earnings vs Market: BHW's earnings (9.1% per year) are forecast to grow slower than the Polish market (13.4% per year).

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

Revenue vs Market: BHW's revenue (1.1% per year) is forecast to grow slower than the Polish market (3.9% per year).

High Growth Revenue: BHW's revenue (1.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: BHW's Return on Equity is forecast to be low in 3 years time (5.6%).


Next Steps

Past Performance

How has Bank Handlowy w Warszawie performed over the past 5 years?

-8.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: BHW has a high level of non-cash earnings.

Growing Profit Margin: BHW's current net profit margins (23.5%) are lower than last year (27%).


Past Earnings Growth Analysis

Earnings Trend: BHW's earnings have declined by 8.2% per year over the past 5 years.

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

Earnings vs Industry: BHW had negative earnings growth (-19%) over the past year, making it difficult to compare to the Banks industry average (-11.8%).


Return on Equity

High ROE: BHW's Return on Equity (6.3%) is considered low.


Next Steps

Financial Health

How is Bank Handlowy w Warszawie'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: BHW's Assets to Equity ratio (8.7x) is low.

Allowance for Bad Loans: BHW has a low allowance for bad loans (89%).

Low Risk Liabilities: 83% of BHW's liabilities are made up of primarily low risk sources of funding.

Loan Level: BHW has an appropriate level of Loans to Assets ratio (39%).

Low Risk Deposits: BHW's Loans to Deposits ratio (53%) is appropriate.

Level of Bad Loans: BHW has a high level of bad loans (3.5%).


Next Steps

Dividend

What is Bank Handlowy w Warszawie current dividend yield, its reliability and sustainability?

5.31%

Forecast Dividend Yield


Dividend Yield vs Market

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

High Dividend: Unable to evaluate BHW'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 BHW's dividends per share have been stable in the past.

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


Current Payout to Shareholders

Dividend Coverage: BHW is not paying a notable dividend for the Polish market.


Future Payout to Shareholders

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


Next Steps

  • Explore strong dividend paying companies in the Banks industry.

Management

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

3.5yrs

Average management tenure


CEO

Slawomir Sikora (58 yo)

no data

Tenure

zł5,394,000

Compensation

Mr. Slawomir S. Sikora has been Chief Executive Officer of Citibank Handlowy of Citigroup Inc. since March 1, 2005 and serves as its President & Citi Country Officer of Citi Handlowy. Mr. Sikora is respons ...


CEO Compensation Analysis

Compensation vs Market: Slawomir's total compensation ($USD1.44M) is above average for companies of similar size in the Polish market ($USD905.39K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Slawomir Sikora
President of Management Board & COOno datazł5.39mno data
Barbara Sobala
Vice President of Management Board6.83yrszł1.51mno data
Maciej Kropidlowski
Vice President of Management Board6.42yrszł4.37mno data
Natalia Bozek
Vice President of Management Board2.42yrszł1.23mno data
Katarzyna Majewska
Member of Management Board4.58yrszł1.46mno data
James Foley
Member of Management Board1.5yrszł1.52mno data
Dennis Hussey
Vice President of the Bank's Management Board0.33yrno datano data
Maciej Krywoniuk
Head of Strategy & Investor Relationsno datano datano data

3.5yrs

Average Tenure

Experienced Management: BHW's management team is considered experienced (3.5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Stephen Volk
Independent Supervisory Board Member10.75yrsno datano data
Andrzej Olechowski
Independent Supervisory Board Chairman8.08yrsno data0.0017%
PLN 80.1k
Shirish Apte
Independent Supervisory Board Member17.17yrsno datano data
Zdenek Turek
Supervisory Board Member0.92yrno datano data
Stanislaw Soltysinski
Independent Supervisory Board Member23.42yrsno datano data
Igor Chalupec
Independent Supervisory Board Member11.17yrsno datano data
Anna Rulkiewicz
Independent Supervisory Board Member1.17yrsno datano data
Frank Mannion
Independent Supervisory Board Deputy Chairman3.58yrsno datano data
Barbara Smalska
Independent Supervisory Board Member1.17yrsno datano data
Gonzalo Luchetti
Member of Supervisory Board0.92yrno datano data
Jenny Grey
Independent Supervisory Board Member4.17yrsno datano data
Marek Kapuscinski
Independent Supervisory Board Member3.92yrsno datano data

4.0yrs

Average Tenure

70yo

Average Age

Experienced Board: BHW's board of directors are considered experienced (4 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

Bank Handlowy w Warszawie S.A.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Bank Handlowy w Warszawie S.A.
  • Ticker: BHW
  • Exchange: WSE
  • Founded: 1870
  • Industry: Diversified Banks
  • Sector: Banks
  • Market Cap: zł4.769b
  • Shares outstanding: 130.66m
  • Website: https://www.citibank.pl

Number of Employees


Location

  • Bank Handlowy w Warszawie S.A.
  • ul. Senatorska 16
  • Warsaw
  • 00-923
  • Poland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BHWWSE (Warsaw Stock Exchange)YesCommon Bearer SharesPLPLNJul 1997
0DOSLSE (London Stock Exchange)YesCommon Bearer SharesGBPLNJul 1997

Biography

Bank Handlowy w Warszawie S.A. provides a range of banking services for individual and corporate clients in Poland and internationally. The company operates through two segments, Institutional Bank and Con ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/05 22:04
End of Day Share Price2020/08/05 00:00
Earnings2020/03/31
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.