NYSE:KB

Stock Analysis Report

KB Financial Group

Executive Summary

KB Financial Group Inc., a financial holding company, provides a range of banking and related financial services to consumers and corporations in South Korea and internationally.

Snowflake

Fundamentals

Flawless balance sheet, undervalued and pays a dividend.


Similar Companies

Share Price & News

How has KB Financial Group's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

1.2%

NYSE:KB

-2.5%

US Banks

-0.7%

US Market


1 Year Return

-29.5%

NYSE:KB

-14.2%

US Banks

-0.5%

US Market

KB underperformed the Banks industry which returned -14.2% over the past year.

KB underperformed the Market in United States of America which returned -0.4% over the past year.


Share holder returns

KBIndustryMarket
7 Day1.2%-2.5%-0.7%
30 Day-16.2%-6.1%-3.0%
90 Day-18.1%-3.8%0.9%
1 Year-27.2%-29.5%-11.8%-14.2%1.7%-0.5%
3 Year2.2%-3.6%42.1%32.4%39.5%30.4%
5 Year-10.2%-18.5%53.3%36.7%54.1%37.0%

Price Volatility Vs. Market

How volatile is KB Financial Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is KB Financial Group undervalued based on future cash flows and its price relative to the stock market?

>50%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

KB Financial Group's share price is below the future cash flow value, and at a moderate discount (> 20%).

KB Financial Group's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

KB Financial Group is good value based on earnings compared to the US Banks industry average.

KB Financial Group is good value based on earnings compared to the United States of America market.


Price Based on Expected Growth

KB Financial Group is poor value based on expected growth next year.


Price Based on Value of Assets

KB Financial Group is good value based on assets compared to the US Banks industry average.


Next Steps

Future Growth

How is KB Financial Group expected to perform in the next 1 to 3 years based on estimates from 20 analysts?

3.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

KB Financial Group's revenue is expected to grow by 3.5% yearly, however this is not considered high growth (20% yearly).

KB Financial Group's earnings are expected to grow by 3.3% yearly, however this is not considered high growth (20% yearly).

KB Financial Group's revenue growth is positive but not above the United States of America market average.

KB Financial Group's earnings growth is positive but not above the United States of America market average.

KB Financial Group's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

KB Financial Group is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has KB Financial Group performed over the past 5 years?

19.3%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

KB Financial Group's year on year earnings growth rate has been positive over the past 5 years.

KB Financial Group's 1-year earnings growth is negative, it can't be compared to the 5-year average.

KB Financial Group's 1-year earnings growth is negative, it can't be compared to the US Banks industry average.


Return on Equity

KB Financial Group has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

KB Financial Group used its assets less efficiently than the US Banks industry average last year based on Return on Assets.


Return on Capital Employed

Unable to establish if KB Financial Group improved its use of capital last year versus 3 years ago (Return on Capital Employed) due to insufficient past data.


Next Steps

Financial Health

How is KB Financial Group'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

Information is not available.

Information is not available.


Financial Institutions Analysis

KB Financial Group has an acceptable proportion of non-loan assets held.

KB Financial Group has a sufficient allowance for bad loans.

KB Financial Group's liabilities are made up of primarily low risk sources of funding.

KB Financial Group's level of assets compared to its equity is moderate (i.e. an appropriate level of borrowing to fund lending).

Loans at KB Financial Group are broadly funded by customer deposits.

KB Financial Group has an acceptable level of bad loans (less than 2%).


Next Steps

Dividend

What is KB Financial Group's current dividend yield, its reliability and sustainability?

5.83%

Expected Dividend Yield


Dividend Yield and Payments Analysis

KB Financial Group's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.49%).

KB Financial Group's dividend is above the markets top 25% of dividend payers in United States of America (3.84%).

Dividends per share have been volatile in the past 10 years (annual drop of over 20%).

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are well covered by earnings (3.9x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be well covered by earnings (3.6x coverage).


Next Steps

Management

What is the CEO of KB Financial Group's salary, the management and board of directors tenure and is there insider trading?

1.4yrs

Average board tenure


CEO

Jong-Kyoo Yoon (64yo)

4.8yrs

Tenure

0

Dr. Jong-Kyoo Yoon has been CEO of KB Financial Group Inc. since November 21, 2014 and also has been its Co-Chairman since June 7, 2017. Dr. Yoon served as Chairman of KB Financial Group Inc. since Novembe ...


CEO Compensation Analysis

Jong-Kyoo's remuneration is lower than average for companies of similar size in United States of America.

Jong-Kyoo's compensation has been consistent with company performance over the past year, both up more than 20%.


Board Age and Tenure

1.4yrs

Average Tenure

66yo

Average Age

The average tenure for the KB Financial Group board of directors is less than 3 years, this suggests a new board.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Jong-Kyoo Yoon (64yo)

    Chairman & CEO

    • Tenure: 4.8yrs
  • Kyung-Yup Cho (58yo)

    Deputy President & Head of KB Research

    • Tenure: 6.1yrs
  • Ki-Hwan Kim (56yo)

    Deputy President & CFO

    • Tenure: 0.0yrs
  • Jeong-Rim Park (56yo)

    Head of Capital Market Business Unit

    • Tenure: 0.0yrs
  • Pil-Kyu Im (55yo)

    Deputy President & Chief Human Resources Officer

    • Tenure: 0.0yrs
  • Chai Hyun Sung (54yo)

    Senior MD & Chief Public Relation Officer

    • Tenure: 0.0yrs
  • Peter Bong

    Head of Investor Relations

    • Tenure: 0.0yrs
  • Yin Hur (58yo)

    Head of Digital Transformation Business Unit & Non-Standing Director

    • Tenure: 1.8yrs
  • Bo Youl Oh (57yo)

    Head of Corporate & Investment Banking Business Unit

    • Tenure: 0.0yrs
  • Chan Park (56yo)

    MD & Chief Compliance Officer

    • Tenure: 0.0yrs

Board Members

  • Stuart Solomon (70yo)

    Non-Executive Independent Director

    • Tenure: 2.4yrs
  • Jong-Kyoo Yoon (64yo)

    Chairman & CEO

    • Tenure: 4.8yrs
  • Suk Ryul Yoo (69yo)

    Chairman of the Board

    • Tenure: 1.3yrs
  • Jae-Ha Park (62yo)

    Non Executive Director

    • Tenure: 4.4yrs
  • Yin Hur (58yo)

    Head of Digital Transformation Business Unit & Non-Standing Director

    • Tenure: 1.8yrs
  • Myung Hee Choi (67yo)

    Non-Executive Independent Director

    • Tenure: 1.4yrs
  • Suk Ho Sonu (68yo)

    Non-Executive Independent Director

    • Tenure: 1.4yrs
  • Kouwhan Jeong (66yo)

    Non-Executive Independent Director

    • Tenure: 1.4yrs
  • Kyung Kim (65yo)

    Independent Director

    • Tenure: 0.4yrs

Company Information

KB Financial Group Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: KB Financial Group Inc.
  • Ticker: KB
  • Exchange: NYSE
  • Founded: 2008
  • Industry: Diversified Banks
  • Sector: Banks
  • Market Cap: ₩14.981t
  • Listing Market Cap: ₩12.420b
  • Shares outstanding: 389.63m
  • Website: https://www.kbfg.com

Number of Employees


Location

  • KB Financial Group Inc.
  • 26, Gukjegeumyung-ro 8-gil
  • Yeongdeungpo-gu
  • Seoul
  • 7331
  • South Korea

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
A105560KOSE (Korea Stock Exchange)YesCommon StockKRKRWNov 2001
KBNYSE (New York Stock Exchange)ADR EACH REPR 1 ORD SHSUSUSDSep 2008
KBIADB (Deutsche Boerse AG)ADR EACH REPR 1 ORD SHSDEEURSep 2008
KB NBMV (Bolsa Mexicana de Valores)ADR EACH REPR 1 ORD SHSMXMXNSep 2008

Biography

KB Financial Group Inc., a financial holding company, provides a range of banking and related financial services to consumers and corporations in South Korea and internationally. It operates through Corpor ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/19 00:30
End of Day Share Price2019/08/16 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.