Erste Group Bank AG
Erste Group Bank AG Fundamental Analysis
Erste Group Bank AG (EBKDY) shows moderate financial fundamentals with a PE ratio of 26.21, profit margin of 23.22%, and ROE of 13.53%. The company generates $13.7B in annual revenue with moderate year-over-year growth of 5.91%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 49.0/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze EBKDY's fundamental strength across five key dimensions:
Efficiency Score
WeakEBKDY struggles to generate sufficient returns from assets.
Valuation Score
ModerateEBKDY shows balanced valuation metrics.
Growth Score
ModerateEBKDY shows steady but slowing expansion.
Financial Health Score
WeakEBKDY carries high financial risk with limited liquidity.
Profitability Score
ModerateEBKDY maintains healthy but balanced margins.
Key Financial Metrics
Is EBKDY Expensive or Cheap?
P/E Ratio
EBKDY trades at 26.21 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, EBKDY's PEG of -1.44 indicates potential undervaluation.
Price to Book
The market values Erste Group Bank AG at 3.78 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at -0.13 times EBITDA. This is generally considered low.
How Well Does EBKDY Make Money?
Net Profit Margin
For every $100 in sales, Erste Group Bank AG keeps $23.22 as profit after all expenses.
Operating Margin
Core operations generate 38.32 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $13.53 in profit for every $100 of shareholder equity.
ROA
Erste Group Bank AG generates $0.87 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Erste Group Bank AG generates strong operating cash flow of $15.78B, reflecting robust business health.
Free Cash Flow
Erste Group Bank AG generates strong free cash flow of $15.07B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $9.70 in free cash annually.
FCF Yield
EBKDY converts 18.13% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
26.21
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-1.44
vs 25 benchmark
P/B Ratio
Price to book value ratio
3.78
vs 25 benchmark
P/S Ratio
Price to sales ratio
6.09
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
3.80
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.00
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.14
vs 25 benchmark
ROA
Return on assets percentage
0.009
vs 25 benchmark
ROCE
Return on capital employed
0.01
vs 25 benchmark
How EBKDY Stacks Against Its Sector Peers
| Metric | EBKDY Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 26.21 | 18.73 | Worse (Expensive) |
| ROE | 13.53% | 847.00% | Weak |
| Net Margin | 23.22% | 2562.00% | Weak |
| Debt/Equity | 3.80 | 0.93 | Weak (High Leverage) |
| Current Ratio | 0.00 | 674.76 | Weak Liquidity |
| ROA | 0.87% | -21692.00% (disorted) | Weak |
EBKDY outperforms its industry in 0 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Erste Group Bank AG's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
53.99%
Industry Style: Value, Dividend, Cyclical
High GrowthEPS CAGR
118.04%
Industry Style: Value, Dividend, Cyclical
High GrowthFCF CAGR
-481.37%
Industry Style: Value, Dividend, Cyclical
Declining