Danske Bank A/S
Danske Bank A/S Fundamental Analysis
Danske Bank A/S (DNKEY) shows moderate financial fundamentals with a PE ratio of 12.27, profit margin of 24.13%, and ROE of 13.12%. The company generates $96.0B in annual revenue with weak year-over-year growth of 1.48%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 45.6/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze DNKEY's fundamental strength across five key dimensions:
Efficiency Score
WeakDNKEY struggles to generate sufficient returns from assets.
Valuation Score
ExcellentDNKEY trades at attractive valuation levels.
Growth Score
ModerateDNKEY shows steady but slowing expansion.
Financial Health Score
WeakDNKEY carries high financial risk with limited liquidity.
Profitability Score
ModerateDNKEY maintains healthy but balanced margins.
Key Financial Metrics
Is DNKEY Expensive or Cheap?
P/E Ratio
DNKEY trades at 12.27 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, DNKEY's PEG of 0.79 indicates potential undervaluation.
Price to Book
The market values Danske Bank A/S at 1.56 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -20.47 times EBITDA. This is generally considered low.
How Well Does DNKEY Make Money?
Net Profit Margin
For every $100 in sales, Danske Bank A/S keeps $24.13 as profit after all expenses.
Operating Margin
Core operations generate 32.24 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $13.12 in profit for every $100 of shareholder equity.
ROA
Danske Bank A/S generates $0.61 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Danske Bank A/S produces operating cash flow of $22.74B, showing steady but balanced cash generation.
Free Cash Flow
Danske Bank A/S generates strong free cash flow of $20.72B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $12.61 in free cash annually.
FCF Yield
DNKEY converts 7.23% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
12.27
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.79
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.56
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.99
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
6.27
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.21
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.13
vs 25 benchmark
ROA
Return on assets percentage
0.006
vs 25 benchmark
ROCE
Return on capital employed
0.01
vs 25 benchmark
How DNKEY Stacks Against Its Sector Peers
| Metric | DNKEY Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 12.27 | 18.73 | Better (Cheaper) |
| ROE | 13.12% | 847.00% | Weak |
| Net Margin | 24.13% | 2562.00% | Weak |
| Debt/Equity | 6.27 | 0.93 | Weak (High Leverage) |
| Current Ratio | 0.21 | 674.76 | Weak Liquidity |
| ROA | 0.61% | -21692.00% (disorted) | Weak |
DNKEY outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Danske Bank A/S's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
22.53%
Industry Style: Value, Dividend, Cyclical
High GrowthEPS CAGR
57.94%
Industry Style: Value, Dividend, Cyclical
High GrowthFCF CAGR
26.52%
Industry Style: Value, Dividend, Cyclical
High Growth