Erste Group Bank AG provides a range of banking and other financial services to the retail and corporate customers in Austria, Central and Eastern Europe, and internationally.
Undervalued established dividend payer.
Share Price & News
How has Erste Group Bank's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: EBKD.Y's share price has been volatile over the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: EBKD.Y underperformed the US Banks industry which returned -26.4% over the past year.
Return vs Market: EBKD.Y underperformed the US Market which returned -10.4% over the past year.
Price Volatility Vs. Market
How volatile is Erste Group Bank's share price compared to the market and industry in the last 5 years?
Simply Wall St News
No news available
Is Erste Group Bank undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: EBKD.Y ($10.33) is trading below our estimate of fair value ($20.92)
Significantly Below Fair Value: EBKD.Y is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: EBKD.Y is good value based on its PE Ratio (5.3x) compared to the Banks industry average (8.9x).
PE vs Market: EBKD.Y is good value based on its PE Ratio (5.3x) compared to the US market (13.1x).
Price to Earnings Growth Ratio
PEG Ratio: EBKD.Y is poor value based on its PEG Ratio (2.2x)
Price to Book Ratio
PB vs Industry: EBKD.Y is good value based on its PB Ratio (0.4x) compared to the US Banks industry average (0.8x).
How is Erste Group Bank forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: EBKD.Y's forecast earnings growth (2.4% per year) is above the savings rate (1.7%).
Earnings vs Market: EBKD.Y's earnings (2.4% per year) are forecast to grow slower than the US market (12.2% per year).
High Growth Earnings: EBKD.Y's earnings are forecast to grow, but not significantly.
Revenue vs Market: EBKD.Y's revenue (2.4% per year) is forecast to grow slower than the US market (7.2% per year).
High Growth Revenue: EBKD.Y's revenue (2.4% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: EBKD.Y's Return on Equity is forecast to be low in 3 years time (8.2%).
How has Erste Group Bank performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: EBKD.Y has a high level of non-cash earnings.
Growing Profit Margin: EBKD.Y's current net profit margins (19.1%) are lower than last year (24.6%).
Past Earnings Growth Analysis
Earnings Trend: EBKD.Y has become profitable over the past 5 years, growing earnings by 33.7% per year.
Accelerating Growth: EBKD.Y's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: EBKD.Y had negative earnings growth (-19.7%) over the past year, making it difficult to compare to the Banks industry average (10.9%).
Return on Equity
High ROE: EBKD.Y's Return on Equity (9.3%) is considered low.
How is Erste Group Bank's financial position? (This company is analysed differently as a bank or financial institution)
Financial Position Analysis
Debt to Equity History and Analysis
Inventory Level: EBKD.Y has a low level of unsold assets or inventory.
Debt Coverage by Assets: EBKD.Y's debt is not covered by short term assets (assets are 0.5x debt).
Financial Institutions Analysis
Asset Level: EBKD.Y's level of assets compared to its equity is moderate.
Allowance for Bad Loans: EBKD.Y has a low allowance for bad loans.
Low Risk Liabilities: EBKD.Y's liabilities are made up of primarily low risk sources of funding.
Loan Level: EBKD.Y has an acceptable proportion of non-loan assets held.
Low Risk Deposits: EBKD.Y's loans are broadly funded by customer deposits.
Level of Bad Loans: EBKD.Y has a high level of bad loans (2.32%)
What is Erste Group Bank's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: EBKD.Y's dividend (8.79%) is higher than the bottom 25% of dividend payers in the US market (1.95%).
High Dividend: EBKD.Y's dividend (8.79%) is in the top 25% of dividend payers in the US market (5.4%)
Stability and Growth of Payments
Stable Dividend: EBKD.Y's dividend payments have been volatile in the past 10 years.
Growing Dividend: EBKD.Y's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (46.4%), EBKD.Y's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: EBKD.Y's dividends in 3 years are forecast to be well covered by earnings (47.6% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Bernhard Spalt (51yo)
Mr. Bernhard Spalt has been Chairman of Management Board and Chief Executive Officer at Erste Group Bank AG since January 1, 2020. Mr. Spalt serves as Chairman of Management Board at ERSTE Foundation. Mr. ...
|Chief Retail Officer & Member of the Management Board||5.25yrs||€1.05m||0.00024% €18.2k|
|Member of the Management Board||3.25yrs||€993.60k||no data|
|Chairman of the Management Board & CEO||0.25yr||€202.40k||no data|
|Chief Financial Officer & Member of Management Board||0.75yr||no data||no data|
|Chief Operating Officer & Member of Management Board||0.25yr||no data||no data|
|Chief Digital Transformation Officer & Member of Management Board||0.25yr||no data||no data|
|Chief Risk Officer & Member of Management Board||0.75yr||no data||no data|
|Chief Corporate & Capital Markets Officer and Member of Management Board||0.75yr||no data||no data|
Experienced Management: EBKD.Y's management team is not considered experienced ( 0.7 years average tenure), which suggests a new team.
|Member of the Supervisory Board||14.92yrs||€90.00k||0.0055% €414.0k|
|Member of the Supervisory Board||12.92yrs||€66.00k||0.0080% €608.1k|
|Second Vice Chairman of Supervisory Board||2.92yrs||€111.70k||0.000060% €4.5k|
|Chairman of the Supervisory Board||7.92yrs||€210.00k||0.00042% €31.8k|
|1st Vice Chairman of the Supervisory Board||6.25yrs||€133.00k||0.0011% €81.9k|
|Member of the Supervisory Board||5.92yrs||€69.00k||no data|
|Employee Representative of the Supervisory Board||11.67yrs||no data||0.000010% €758.2|
|Employee Representative of the Supervisory Board||11.67yrs||no data||no data|
|Employee Representative Member of the Supervisory Board||8.42yrs||no data||0.000040% €3.0k|
|Member of the Supervisory Board||5.92yrs||€80.00k||no data|
Experienced Board: EBKD.Y's board of directors are considered experienced (8 years average tenure).
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.
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Erste Group Bank AG's company bio, employee growth, exchange listings and data sources
- Name: Erste Group Bank AG
- Ticker: EBKD.Y
- Exchange: OTCPK
- Founded: 1819
- Industry: Diversified Banks
- Sector: Banks
- Market Cap: €6.900b
- Listing Market Cap: €7.582b
- Shares outstanding: 408.62m
- Website: https://www.erstegroup.com
Number of Employees
- Erste Group Bank AG
- Erste Campus
- Am Belvedere 1
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|EBKO.F||OTCPK (Pink Sheets LLC)||Yes||Common Stock||US||USD||Sep 1997|
|EBO||DB (Deutsche Boerse AG)||Yes||Common Stock||DE||EUR||Sep 1997|
|EBS||WBAG (Wiener Boerse AG)||Yes||Common Stock||AT||EUR||Sep 1997|
|ERBAG||SEP (The Stock Exchange Prague Co. Ltd.)||Yes||Common Stock||CZ||CZK||Sep 1997|
|0MJK||LSE (London Stock Exchange)||Yes||Common Stock||GB||EUR||Sep 1997|
|EBS||BVB (Bucharest Stock Exchange)||Yes||Common Stock||RO||RON||Sep 1997|
|EBO||XTRA (XETRA Trading Platform)||Yes||Common Stock||DE||EUR||Sep 1997|
|EBSV||BATS-CHIXE (BATS 'Chi-X Europe')||Yes||Common Stock||GB||EUR||Sep 1997|
|EBS||SWX (SIX Swiss Exchange)||Yes||Common Stock||CH||CHF||Sep 1997|
|EBO N||BMV (Bolsa Mexicana de Valores)||Yes||Common Stock||MX||MXN||Sep 1997|
|EBO||ETLX (Eurotlx)||Yes||Common Stock||IT||EUR||Sep 1997|
|EBKD.Y||OTCPK (Pink Sheets LLC)||SPONSORED ADR||US||USD||Feb 2003|
Erste Group Bank AG provides a range of banking and other financial services to the retail and corporate customers in Austria, Central and Eastern Europe, and internationally. The company operates through Retail, Corporates, Group Markets, Asset/Liability Management and Local Corporate Center, Savings Banks, and Group Corporate Center segments. The company provides mortgage and consumer loans, investment products, current accounts, savings products, and credit cards, as well as cross selling products, such as leasing, insurance, and building society products. It also offers banking solutions for small and medium-sized enterprises, and local large corporate and group large corporate customers, as well as commercial real estate and public sector business, such as account management, payments, digital-banking, and cash logistics services; working capital finance, accounts receivable purchasing, factoring, and structured trade finance; letters of credit, documentary collections, guarantees, equity interests and investments, revolving export credits lines, customer financing, and export guarantee; investment, acquisition and leveraged, project, and commercial real estate finance; and corporate finance advisory and research services. In addition, the company offers trading and markets services; trade execution, market making, and short-term liquidity management services; custody, depository, cash management, and trade and export finance services; and asset/liability management services. Further, the company provides discretionary portfolio management services and investment funds. It operates approximately 2,507 branches. Erste Group Bank AG was founded in 1819 and is headquartered in Vienna, Austria.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/04/01 07:44|
|End of Day Share Price||2020/03/31 00:00|
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.