OTCPK:KBCS.F

Stock Analysis Report

Executive Summary

KBC Group NV, together with its subsidiaries, provides integrated bank-insurance services primarily for retail, private banking, small and medium sized enterprises, and mid-cap clients.

Snowflake

Fundamentals

Adequate balance sheet average dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-0.3%

KBCS.F

1.4%

US Banks

1.0%

US Market


1 Year Return

-15.1%

KBCS.F

0.2%

US Banks

6.7%

US Market

Return vs Industry: KBCS.F underperformed the US Banks industry which returned 0.2% over the past year.

Return vs Market: KBCS.F underperformed the US Market which returned 6.7% over the past year.


Share holder returns

KBCS.FIndustryMarket
7 Day-0.3%1.4%1.0%
30 Day-2.1%-2.6%-1.8%
90 Dayn/a0.8%-1.8%
1 Year-15.1%-15.1%3.1%0.2%9.1%6.7%
3 Year9.2%9.2%52.0%41.5%46.1%36.6%
5 Year28.6%28.6%69.7%51.2%66.9%48.6%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

10.48x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Undervalued: KBCS.F ($63.36) is trading above our estimate of fair value ($58.72)

Significantly Undervalued: KBCS.F is trading above our estimate of fair value.


Price Based on Earnings

PE vs Industry: KBCS.F is good value based on its PE Ratio (10.5x) compared to the Banks industry average (12.5x).

PE vs Market: KBCS.F is good value based on its PE Ratio (10.5x) compared to the US market (17.5x).


Price Based on Expected Growth

Low PEG Ratio: KBCS.F's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price Based on Value of Assets

PB vs Industry: KBCS.F is overvalued based on its PB Ratio (1.3x) compared to the US Banks industry average (1.2x).


Next Steps

Future Growth

How is KBC Group expected to perform in the next 1 to 3 years based on estimates from 17 analysts?

-0.04%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Earnings vs Savings Rate: KBCS.F's earnings are forecast to decline over the next 3 years (-0.04% per year).

Earnings vs Market: KBCS.F's earnings are forecast to decline over the next 3 years (-0.04% per year).

High Growth Earnings: KBCS.F's earnings are forecast to decline over the next 3 years.

Revenue vs Market: KBCS.F's revenue (2.5% per year) is forecast to grow slower than the US market (7.3% per year).

High Growth Revenue: KBCS.F's revenue (2.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Estimates


Future Return on Equity

High Future ROE: KBCS.F's Return on Equity is forecast to be low in 3 years time (13%).


Next Steps

Past Performance

How has KBC Group performed over the past 5 years?

19.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: KBCS.F's earnings have grown by 19.5% per year over the past 5 years.

Accelerating Growth: KBCS.F's earnings growth over the past year (5.7%) is below its 5-year average (19.5% per year).

Earnings vs Industry: KBCS.F earnings growth over the past year (5.7%) underperformed the Banks industry 31.8%.


Return on Equity

High ROE: KBCS.F's Return on Equity (12.9%) is considered low.


Return on Assets

ROA vs Industry: KBCS.F's Return on Assets is below or equal to the Banks industry average last year.


Return on Capital Employed

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


Next Steps

Financial Health

How is KBC 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

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

Debt Coverage by Assets: KBCS.F's debt is covered by short term assets (assets are 1.571420x debt).


Financial Institutions Analysis

Asset Level: KBCS.F's level of assets compared to its equity is moderate.

Allowance for Bad Loans: KBCS.F has a low allowance for bad loans.

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

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

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

Level of Bad Loans: KBCS.F has a high level of bad loans (3.96%)


Next Steps

Dividend

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

6.37%

Expected Dividend Yield


Dividend Yield vs Market

company5.7%marketbottom25%1.5%markettop25%3.8%industryaverage2.5%forecastin3Years6.4%

Current dividend yield vs market & industry


Dividend Yield and Payments Analysis

Notable Dividend: KBCS.F's dividend (5.74%) is higher than the bottom 25% of dividend payers in the US market (1.46%).

High Dividend: KBCS.F's dividend (5.74%) is in the top 25% of dividend payers in the US market (3.77%)

Stable Dividend: KBCS.F has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: KBCS.F's dividend payments have increased, but the company has only paid a dividend for 9 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (60.1%), KBCS.F's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: KBCS.F's dividends in 3 years are forecast to be covered by earnings (63.8% payout ratio).


Next Steps

Management

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

5.4yrs

Average management tenure


CEO

Johan Thijs (54yo)

7.4yrs

Tenure

€2,298,415

Compensation

Mr. Johan Thijs has been Group Chief Executive Officer and Executive Director of KBC Group NV and KBC Bank NV since May 3, 2012 and September 1, 2009 respectively and serves as it's Managing Director. Mr.  ...


CEO Compensation Analysis

Compensation vs. Market: Johan's total compensation ($USD2.54M) is about average for companies of similar size in the US market ($USD11.20M).

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


Management Age and Tenure

5.4yrs

Average Tenure

57yo

Average Age

Experienced Management: KBCS.F's management team is seasoned and experienced (5.4 years average tenure).


Board Age and Tenure

11.6yrs

Average Tenure

61yo

Average Age

Experienced Board: KBCS.F's board of directors are seasoned and experienced ( 11.6 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

  • John Hollows (63yo)

    Chief Executive Officer of Czech Republic Business Unit

    • Tenure: 5.4yrs
    • Compensation: €1.44m
  • Luc Popelier (55yo)

    Chief Executive Officer of International Markets Business Unit

    • Tenure: 2.4yrs
    • Compensation: €1.46m
  • Johan Thijs (54yo)

    Group CEO

    • Tenure: 7.4yrs
    • Compensation: €2.30m
  • Rik Scheerlinck (63yo)

    CFO & Executive Director

    • Tenure: 2.4yrs
    • Compensation: €1.45m
  • Viviane Huybrecht

    General Manager of Corporate Communication

    • Tenure: 0yrs
  • Kurt De Baenst

    General Manager

    • Tenure: 0yrs
  • Erik Marcel Luts (59yo)

    Chief Innovation Officer

    • Tenure: 2.4yrs
    • Compensation: €1.45m
  • Johan Thiers

    Chief Financial Officer of Kbc Belgium B.U.

    • Tenure: 0yrs
  • Daniel Falque (56yo)

    Chief Executive Officer of Belgium Business Unit

    • Tenure: 7.4yrs
    • Compensation: €1.45m
  • Christine Van Rijsseghem (57yo)

    Chief Risk Officer & Executive Director

    • Tenure: 5.4yrs
    • Compensation: €1.47m

Board Members

  • Thomas Leysen (59yo)

    Independent Chairman of the Board

    • Tenure: 8yrs
    • Compensation: €500.00k
  • Philippe Vlerick (64yo)

    Deputy Chairman of the Board

    • Tenure: 18.8yrs
    • Compensation: €110.00k
  • Marc Wittemans (62yo)

    Non-Executive Director

    • Tenure: 21.8yrs
    • Compensation: €150.00k
  • Theo Roussis (65yo)

    Non-Executive Director

    • Tenure: 22.8yrs
    • Compensation: €80.00k
  • Frank Donck (54yo)

    Non-Executive Director

    • Tenure: 16.5yrs
    • Compensation: €110.00k
  • John Hollows (63yo)

    Chief Executive Officer of Czech Republic Business Unit

    • Tenure: 5.4yrs
    • Compensation: €1.44m
  • Franky Depickere (60yo)

    Non-Executive Director

    • Tenure: 13.1yrs
    • Compensation: €251.25k
  • Johan Thijs (54yo)

    Group CEO

    • Tenure: 7.4yrs
    • Compensation: €2.30m
  • Rik Scheerlinck (63yo)

    CFO & Executive Director

    • Tenure: 2.4yrs
    • Compensation: €1.45m
  • Christine Van Rijsseghem (57yo)

    Chief Risk Officer & Executive Director

    • Tenure: 5.4yrs
    • Compensation: €1.47m

Company Information

KBC Group NV's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: KBC Group NV
  • Ticker: KBCS.F
  • Exchange: OTCPK
  • Founded: 1935
  • Industry: Diversified Banks
  • Sector: Banks
  • Market Cap: €25.383b
  • Listing Market Cap: €28.047b
  • Shares outstanding: 416.11m
  • Website: https://www.kbc.com

Number of Employees


Location

  • KBC Group NV
  • Havenlaan 2
  • Brussels
  • Brussels
  • 1080
  • Belgium

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
KBCENXTBR (Euronext Brussels)YesOrdinary SharesBEEURJan 1992
KDBDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 1992
KBCS.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJan 1992
0EYGLSE (London Stock Exchange)YesOrdinary SharesGBEURJan 1992
KBCBBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEURJan 1992
KBCWBAG (Wiener Boerse AG)YesOrdinary SharesATEURJan 1992
KBC1 NBMV (Bolsa Mexicana de Valores)YesOrdinary SharesMXMXNJan 1992
KBCS.YOTCPK (Pink Sheets LLC)UNSPONSORED ADRUSUSDOct 2008

Biography

KBC Group NV, together with its subsidiaries, provides integrated bank-insurance services primarily for retail, private banking, small and medium sized enterprises, and mid-cap clients. The company offers  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/14 01:54
End of Day Share Price2019/10/09 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.

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