Banco Comercial Português, S.A.
Banco Comercial Português, S.A. Fundamental Analysis
Banco Comercial Português, S.A. (BCP.LS) shows moderate financial fundamentals with a PE ratio of 10.14, profit margin of 18.88%, and ROE of 16.85%. The company generates $6.7B in annual revenue with weak year-over-year growth of -3.23%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 40.1/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze BCP.LS's fundamental strength across five key dimensions:
Efficiency Score
WeakBCP.LS struggles to generate sufficient returns from assets.
Valuation Score
ModerateBCP.LS shows balanced valuation metrics.
Growth Score
WeakBCP.LS faces weak or negative growth trends.
Financial Health Score
ModerateBCP.LS shows balanced financial health with some risks.
Profitability Score
ExcellentBCP.LS achieves industry-leading margins.
Key Financial Metrics
Is BCP.LS Expensive or Cheap?
P/E Ratio
BCP.LS trades at 10.14 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, BCP.LS's PEG of 2.22 indicates potential overvaluation.
Price to Book
The market values Banco Comercial Português, S.A. at 1.64 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 5.14 times EBITDA. This is generally considered low.
How Well Does BCP.LS Make Money?
Net Profit Margin
For every $100 in sales, Banco Comercial Português, S.A. keeps $18.88 as profit after all expenses.
Operating Margin
Core operations generate 28.87 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $16.85 in profit for every $100 of shareholder equity.
ROA
Banco Comercial Português, S.A. generates $1.15 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Banco Comercial Português, S.A. generates strong operating cash flow of $2.24B, reflecting robust business health.
Free Cash Flow
Banco Comercial Português, S.A. generates strong free cash flow of $2.09B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.14 in free cash annually.
FCF Yield
BCP.LS converts 16.33% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
10.14
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
2.22
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.64
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.91
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.79
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.00
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.17
vs 25 benchmark
ROA
Return on assets percentage
0.01
vs 25 benchmark
ROCE
Return on capital employed
0.02
vs 25 benchmark
How BCP.LS Stacks Against Its Sector Peers
| Metric | BCP.LS Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 10.14 | 18.59 | Better (Cheaper) |
| ROE | 16.85% | 801.00% | Weak |
| Net Margin | 18.88% | -498.00% (disorted) | Strong |
| Debt/Equity | 0.79 | 0.98 | Neutral |
| Current Ratio | 0.00 | 661.40 | Weak Liquidity |
| ROA | 1.15% | -21324.00% (disorted) | Weak |
BCP.LS outperforms its industry in 2 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Banco Comercial Português, S.A.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
31.32%
Industry Style: Value, Dividend, Cyclical
High GrowthEPS CAGR
190.26%
Industry Style: Value, Dividend, Cyclical
High GrowthFCF CAGR
325.72%
Industry Style: Value, Dividend, Cyclical
High Growth