Banco Macro S.A. Fundamental Analysis (NYSE: BMA)
Banco Macro S.A. (NYSE: BMA) shows weak financial fundamentals with a PE ratio of 16.94, profit margin of 8.85%, and ROE of 0.03%. The company generates $4822.0B in annual revenue with weak year-over-year growth of -22.81%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 26.1/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze BMA's fundamental strength across five key dimensions:
Efficiency Score
WeakBMA struggles to generate sufficient returns from assets.
Valuation Score
ExcellentBMA trades at attractive valuation levels.
Growth Score
WeakBMA faces weak or negative growth trends.
Financial Health Score
ExcellentBMA maintains a strong and stable balance sheet.
Profitability Score
WeakBMA struggles to sustain strong margins.
Key Financial Metrics
Is BMA Expensive or Cheap?
P/E Ratio
BMA trades at 16.94 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, BMA's PEG of 0.01 indicates potential undervaluation.
Price to Book
The market values Banco Macro S.A. at 1.14 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 11.10 times EBITDA. This signals the market has high growth expectations.
How Well Does BMA Make Money?
Net Profit Margin
For every $100 in sales, Banco Macro S.A. keeps $8.85 as profit after all expenses.
Operating Margin
Core operations generate 10.30 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $0.03 in profit for every $100 of shareholder equity.
ROA
Banco Macro S.A. generates $1.64 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Banco Macro S.A. generates strong operating cash flow of $1.76T, reflecting robust business health.
Free Cash Flow
Banco Macro S.A. generates strong free cash flow of $1.64T, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $25676.10 in free cash annually.
FCF Yield
BMA converts 22.73% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
16.94
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.006
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.14
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.50
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.27
vs 25 benchmark
Current Ratio
Current assets to current liabilities
9.57
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.00
vs 25 benchmark
ROA
Return on assets percentage
0.02
vs 25 benchmark
ROCE
Return on capital employed
0.02
vs 25 benchmark
How BMA Stacks Against Its Sector Peers
| Metric | BMA Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 16.94 | 20.76 | Better (Cheaper) |
| ROE | 0.03% | 644.00% | Weak |
| Net Margin | 8.85% | -1529.00% (disorted) | Weak |
| Debt/Equity | 0.27 | 0.88 | Strong (Low Leverage) |
| Current Ratio | 9.57 | 830.27 | Strong Liquidity |
| ROA | 1.64% | -577.00% (disorted) | Weak |
BMA outperforms its industry in 3 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Banco Macro S.A.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
748.73%
Industry Style: Value, Dividend, Cyclical
High GrowthEPS CAGR
276.36%
Industry Style: Value, Dividend, Cyclical
High GrowthFCF CAGR
2249.38%
Industry Style: Value, Dividend, Cyclical
High Growth