OTCPK:GBOO.F

Stock Analysis Report

Grupo Financiero Banorte. de

Executive Summary

Grupo Financiero Banorte, S.A.B. de C.V., through its subsidiaries, provides banking and financial products and services in Mexico.

Snowflake

Fundamentals

Excellent balance sheet with proven track record.


Similar Companies

Share Price & News

How has Grupo Financiero Banorte. de's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-1.5%

GBOO.F

1.7%

US Banks

1.3%

US Market


1 Year Return

-20.9%

GBOO.F

0.3%

US Banks

5.9%

US Market

Return vs Industry: GBOO.F underperformed the US Banks industry which returned 0.3% over the past year.

Return vs Market: GBOO.F underperformed the US Market which returned 5.9% over the past year.


Shareholder returns

GBOO.FIndustryMarket
7 Day-1.5%1.7%1.3%
30 Day-2.7%-2.4%-1.9%
90 Day-3.6%1.0%-1.8%
1 Year-20.9%-20.9%3.2%0.3%8.3%5.9%
3 Year-5.7%-5.7%52.1%41.7%45.6%36.2%
5 Year-9.5%-9.5%69.8%51.4%66.1%47.9%

Price Volatility Vs. Market

How volatile is Grupo Financiero Banorte. de's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Grupo Financiero Banorte. de undervalued compared to its fair value and its price relative to the market?

33.6%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: GBOO.F ($5.42) is trading below our estimate of fair value ($8.16)

Significantly Undervalued: GBOO.F is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: GBOO.F is good value based on its PE Ratio (8.7x) compared to the Banks industry average (12.5x).

PE vs Market: GBOO.F is good value based on its PE Ratio (8.7x) compared to the US market (17.5x).


Price to Earnings Growth Ratio

Low PEG Ratio: GBOO.F is poor value based on its PEG Ratio (2x)


Price to Book Ratio

PB vs Industry: GBOO.F is overvalued based on its PB Ratio (1.8x) compared to the US Banks industry average (1.2x).


Next Steps

Future Growth

How is Grupo Financiero Banorte. de forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?

4.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: GBOO.F's forecast earnings growth (4.4% per year) is above the savings rate (2.7%).

Earnings vs Market: GBOO.F's earnings (4.4% per year) are forecast to grow slower than the US market (14.4% per year).

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

Revenue vs Market: GBOO.F's revenue (8.3% per year) is forecast to grow faster than the US market (7.3% per year).

High Growth Revenue: GBOO.F's revenue (8.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: GBOO.F's Return on Equity is forecast to be high in 3 years time (20.3%)


Next Steps

Past Performance

How has Grupo Financiero Banorte. de performed over the past 5 years?

19.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: GBOO.F's earnings have grown by 19% per year over the past 5 years.

Accelerating Growth: GBOO.F's earnings growth over the past year (37.5%) exceeds its 5-year average (19% per year).

Earnings vs Industry: GBOO.F earnings growth over the past year (37.5%) exceeded the Banks industry 31.8%.


Return on Equity

High ROE: Whilst GBOO.F's Return on Equity (20.85%) is high, this metric is skewed due to their high level of debt.


Return on Assets

ROA vs Industry: GBOO.F has a higher Return on Assets than the Banks industry average last year.


Return on Capital Employed

ROCE Improving: Insufficient data to calculate GBOO.F's Return on Capital Employed to determine if it has improved over the past 3 years.


Next Steps

Financial Health

How is Grupo Financiero Banorte. de'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

Inventory Level: GBOO.F has a low level of unsold assets or inventory.

Debt Coverage by Assets: GBOO.F's debt is not covered by short term assets (assets are 0.3x debt).


Financial Institutions Analysis

Asset Level: GBOO.F's level of assets compared to its equity is low.

Allowance for Bad Loans: GBOO.F has a sufficient allowance for bad loans.

Low Risk Liabilities: GBOO.F's liabilities are made up of primarily higher risk sources of funding.

Loan Level: GBOO.F has an acceptable proportion of non-loan assets held.

Low Risk Deposits: GBOO.F's loans are broadly funded by customer deposits.

Level of Bad Loans: GBOO.F has an appropriate level of bad loans (1.85%)


Next Steps

Dividend

What is Grupo Financiero Banorte. de's current dividend yield, its reliability and sustainability?

3.12%

Current Dividend Yield


Dividend Yield vs Market

company3.1%marketbottom25%1.5%markettop25%3.8%industryaverage3.1%forecastin3Years6.2%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: GBOO.F's dividend (3.12%) is higher than the bottom 25% of dividend payers in the US market (1.47%).

High Dividend: GBOO.F's dividend (3.12%) is low compared to the top 25% of dividend payers in the US market (3.77%).

Stable Dividend: GBOO.F's dividend payments have been volatile in the past 10 years.

Growing Dividend: GBOO.F's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: GBOO.F's dividends in 3 years are forecast to be covered by earnings (55.6% payout ratio).


Next Steps

Management

What is the CEO of Grupo Financiero Banorte. de's salary, the management and board of directors tenure and is there insider trading?

8.9yrs

Average board tenure


CEO

José Marcos Ramirez Miguel (55yo)

4.9yrs

Tenure

0

Mr. José Marcos Ramirez Miguel has been the Director of Grupo Financiero Banorte, S.A.B. de C.V. (GFNorte) since July 2011. He is Chief Executive Officer of GFNorte and Banco Mercantil del Norte, S.A. sinc ...


Board Age and Tenure

8.9yrs

Average Tenure

66yo

Average Age

Experienced Board: GBOO.F's board of directors are considered experienced (8.9 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Rafael Victorio Arana de la Garza (68yo)

    Director General of Finance & Operations

    • Tenure: 5.8yrs
  • Carlos Eduardo Martínez González (55yo)

    MD & General Director of Retail Banking

    • Tenure: 0yrs
  • Fernando Solís Cámara y Jiménez Canet

    Deputy Managing Director of Communication & Public Affairs

    • Tenure: 0yrs
  • Fernando Solís Soberón (57yo)

    MD of Long Term Savings & General Director of Long Term Savings

    • Tenure: 0yrs
  • Carla Juan Chelala (49yo)

    Deputy Managing Director of Marketing

    • Tenure: 0yrs
  • José Marcos Ramirez Miguel (55yo)

    CEO & Proprietary Board Member

    • Tenure: 4.9yrs
  • Héctor Martín Ávila Flores (51yo)

    MD of Legal Affairs & Secretary of the Board

    • Tenure: 0yrs
  • Mayra Nelly López López

    Executive Director of Accounting

    • Tenure: 0yrs
  • José Francisco Martha González (49yo)

    Deputy Managing Director of Technology

    • Tenure: 0yrs
  • Ursula Wilhelm

    Head of Investor Relations and Financial Intelligence

    • Tenure: 0yrs

Board Members

  • Juan Antonio González Moreno (61yo)

    Proprietary Board Member

    • Tenure: 15.5yrs
  • Eduardo Livas Cantu (76yo)

    Independent Proprietary Board Member

    • Tenure: 20.5yrs
  • David Juan Villarreal Montemayor (70yo)

    Proprietary Board Member

    • Tenure: 26yrs
  • Carmen Patricia Armendáriz Guerra (63yo)

    Independent Proprietary Board Member

    • Tenure: 10.5yrs
  • Alfredo Elías Ayub (69yo)

    Independent Proprietary Board Member

    • Tenure: 7.5yrs
  • Carlos Hank González (48yo)

    Chairman

    • Tenure: 4.8yrs
  • Adrian G. Sada Cueva (44yo)

    Independent Proprietary Board Member

    • Tenure: 6.5yrs
  • Everardo Elizondo Almaguer (75yo)

    Independent Proprietary Board Member

    • Tenure: 9.5yrs
  • Héctor Federico Reyes-Retana y Dahl (72yo)

    Independent Proprietary Board Member

    • Tenure: 8.3yrs
  • José Marcos Ramirez Miguel (55yo)

    CEO & Proprietary Board Member

    • Tenure: 4.9yrs

Company Information

Grupo Financiero Banorte, S.A.B. de C.V.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Grupo Financiero Banorte, S.A.B. de C.V.
  • Ticker: GBOO.F
  • Exchange: OTCPK
  • Founded: 1899
  • Industry: Diversified Banks
  • Sector: Banks
  • Market Cap: Mex$319.141b
  • Listing Market Cap: Mex$16.555b
  • Shares outstanding: 2.88b
  • Website: https://www.banorte.com

Number of Employees


Location

  • Grupo Financiero Banorte, S.A.B. de C.V.
  • Santa Fe Building
  • Prolongacion Paseo de la Reforma #1230
  • Santa Fe
  • Distrito Federal
  • 5349
  • Mexico

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
GBOO.FOTCPK (Pink Sheets LLC)YesSeries O SharesUSUSDJun 1999
GFNORTE OBMV (Bolsa Mexicana de Valores)YesSeries O SharesMXMXNJun 1999
4FNDB (Deutsche Boerse AG)YesSeries O SharesDEEURJun 1999
XNORBME (Bolsas y Mercados Espanoles)YesSeries O SharesESEURJun 1999
GBOO.YOTCPK (Pink Sheets LLC)ADRUSUSDJun 2009

Biography

Grupo Financiero Banorte, S.A.B. de C.V., through its subsidiaries, provides banking and financial products and services in Mexico. It offers deposits, which include demand deposits, term deposits, money m ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/14 23:44
End of Day Share Price2019/10/14 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.