Barclays Plc (BCS)
NYSE:BCS
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Barclays
(NYSE:BCS)
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Rating:60Neutral
Price Target:
$23.00
â–²(8.70% Upside)
Action:ReiteratedDate:02/17/26
The score is most constrained by financial risk factors—volatile cash flow and a recent leverage spike—despite solid profitability. The latest earnings call supports the outlook via upgraded 2026 guidance, improving RoTE/cost efficiency targets, and meaningful planned distributions, while technicals show a near-term pullback and valuation appears reasonable.
Positive Factors
Diversified global franchise
Barclays’ multi‑business model across UK retail, US consumer and a global investment bank delivers diversified, repeatable earnings streams. Double‑digit RoTEs across divisions indicate durable profitability that reduces reliance on any single market cycle and supports long‑term cash generation.
Negative Factors
Elevated leverage
A marked increase in leverage materially raises refinancing, interest‑rate and stress‑loss vulnerability. Higher debt-to-equity constrains strategic optionality, raises regulatory and funding costs, and makes the bank more sensitive to credit shocks, weakening long‑run balance sheet resilience.
Read all positive and negative factors
Positive Factors
Negative Factors
Diversified global franchise
Barclays’ multi‑business model across UK retail, US consumer and a global investment bank delivers diversified, repeatable earnings streams. Double‑digit RoTEs across divisions indicate durable profitability that reduces reliance on any single market cycle and supports long‑term cash generation.
Read all positive factors
Barclays (BCS) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$73.93B
Dividend Yield1.71%
Average Volume (3M)9.47M
Price to Earnings (P/E)9.3
Beta (1Y)1.29
Revenue Growth17.50%
EPS Growth49.25%
CountryUS
Employees93,000
SectorFinancial
Sector Strength70
IndustryBanks - Diversified
Share Statistics
EPS (TTM)0.47
Shares Outstanding3,431,302,200
10 Day Avg. Volume9,021,656
30 Day Avg. Volume9,472,295
Financial Highlights & Ratios
PEG Ratio0.42
Price to Book (P/B)0.86
Price to Sales (P/S)2.48
P/FCF Ratio-8.26
Enterprise Value/Market Cap0.63
Enterprise Value/Revenue1.63
Enterprise Value/Gross Profit1.66
Enterprise Value/Ebitda6.42
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusHold
Number of Analyst Covering1
EPS Forecast (FY)2.85
Revenue Forecast (FY)$41.60B
Barclays Business Overview & Revenue Model
Company Description
Barclays PLC provides various financial services in the United Kingdom, Europe, the Americas, Africa, the Middle East, and Asia. The company operates through Barclays UK; Barclays UK Corporate Bank; Barclays Private Bank and Wealth Management; Bar...
How the Company Makes Money
Barclays makes money primarily by earning interest income and fee-based income across its banking and investment banking activities.
1) Net interest income (interest spread): A core revenue source is the difference between interest earned on inte...
Barclays Earnings Call Summary
Earnings Call Date:Feb 10, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:Apr 28, 2026
Earnings Call Sentiment Positive
The call presents a broadly positive outlook: Barclays met or beat its 2025 targets, upgraded 2026 income guidance, improved profitability and efficiency metrics, strengthened capital and liquidity positions, and laid out an ambitious but disciplined 2026–28 plan focused on targeted investment (technology/AI), growth in higher-return U.K. businesses, and sustained shareholder distributions. Material near-term headwinds remain — notably a higher 2025 cost base (including one-offs and Tesco integration), elevated impairment expectations in the U.S. Consumer Bank in 2026 (post-acquisitions), mortgage book product-margin pressure in H1 2026, and regulatory RWA/capital timing uncertainty — but management framed these as known, manageable, and largely temporary, with clear mitigation and a path to improving cost/income and RoTE by 2028.Positive Updates
All 2025 Targets Achieved; Upgraded 2026 Income Guidance
Barclays achieved all financial targets for FY2025 and upgraded 2026 income guidance to circa GBP 31.0 billion (from circa GBP 30.0 billion); top-line grew 9% y/y to GBP 29.1bn.
Negative Updates
Higher 2025 Cost Base and One-Off Charges
Total costs rose by GBP 1.0bn to GBP 17.7bn in 2025 (nearly half due to Tesco Bank addition). The year included a GBP 235m Q3 finance provision and ~GBP 50m of one-off Q4 costs (including VAT in Barclays U.K.), temporarily inflating the cost base.
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Q4-2025 Updates
Positive
Negative
All 2025 Targets Achieved; Upgraded 2026 Income Guidance
Barclays achieved all financial targets for FY2025 and upgraded 2026 income guidance to circa GBP 31.0 billion (from circa GBP 30.0 billion); top-line grew 9% y/y to GBP 29.1bn.
Read all positive updates
Company Guidance
Management guided that after delivering FY25 results (RoTE 11.3%; income up 9% to £29.1bn; NII £12.8bn, +13% y/y; PBT £9.1bn; EPS 43.8p; cost base £17.7bn; cost/income 61%; impairment £2.3bn, loan‑loss rate 52bps; TNAV 409p) Barclays expects c.£31bn group income in 2026 (up from c.£30bn previously) and group NII of at least c.£13.5bn, with structural hedge income locked at c.£6.4bn in 2026 and c.£17bn over three years (average reinvestment rate ~3.5%; maturing‑hedge yields c.1.5%/2.1%/2.7% in ’26/’27/’28); targets include RoTE >12% in 2026 and >14% in 2028, a group cost/income falling from the mid‑60s/61% area in 2025 to high‑50s in 2026 and low‑50s by 2028 underpinned by c.£2bn gross efficiencies to 2028 (£700m delivered in 2025; £1.7bn cumulative), planned >£15bn of shareholder distributions (including £3.7bn for 2025: £1.2bn dividend, £2.5bn buybacks), CET1 run at top of 13–14% range (14.3% end‑Q4), RWA inflation of £19–26bn expected (including ~£16bn IRB migration in US Consumer Bank), and divisional targets such as Barclays UK NII £7.7bn in 2025 rising to £8.1–8.3bn in 2026 (c.£550m hedge benefit) and RoTEs: IB ~12% in 2026 (>13% by 2028), US Consumer Bank mid‑teens over time (USCB through‑the‑cycle LLP ~500bps, c.550bps in 2026), and continued deployment of £20bn of the £30bn targeted UK RWA growth (including £7bn in 2025) with sustained lending momentum.Barclays Financial Statement Overview
Summary
Income Statement
68
Positive
Balance Sheet
55
Neutral
Cash Flow
42
Neutral
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 26.82B | 51.62B | 23.50B | 23.74B | 22.59B |
| Gross Profit | 29.14B | 26.23B | 25.38B | 24.96B | 21.94B |
| EBITDA | 10.89B | 9.81B | 8.34B | 8.73B | 9.87B |
| Net Income | 7.17B | 6.31B | 5.26B | 5.93B | 7.01B |
Balance Sheet | |||||
| Total Assets | 1.54T | 1.52T | 1.48T | 1.51T | 1.38T |
| Cash, Cash Equivalents and Short-Term Investments | 407.56B | 509.67B | 538.31B | 542.42B | 521.33B |
| Total Debt | 170.76B | 185.75B | 176.55B | 183.37B | 166.59B |
| Total Liabilities | 1.47T | 1.45T | 1.41T | 1.44T | 1.31T |
| Stockholders Equity | 77.78B | 71.82B | 71.20B | 68.29B | 69.05B |
Cash Flow | |||||
| Free Cash Flow | -8.07B | 5.54B | -2.65B | 28.48B | 47.20B |
| Operating Cash Flow | -6.21B | 7.11B | -927.00M | 30.23B | 48.92B |
| Investing Cash Flow | 1.59B | -17.89B | -23.41B | -21.67B | 4.27B |
| Financing Cash Flow | 27.21B | 784.00M | -1.39B | 696.00M | 107.00M |
Barclays Technical Analysis
Neutral
21.16
Price Trends
23.75
Negative
23.72
Negative
21.65
Positive
Market Momentum
-0.69
Negative
48.96
Neutral
86.82
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BCS, the sentiment is Neutral. The current price of 21.16 is above the 20-day moving average (MA) of 21.10, below the 50-day MA of 23.75, and below the 200-day MA of 21.65, indicating a neutral trend. The MACD of -0.69 indicates Negative momentum. The RSI at 48.96 is Neutral, neither overbought nor oversold. The STOCH value of 86.82 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for BCS.
Barclays Risk Analysis
Barclays disclosed 18 risk factors in its most recent earnings report. Barclays reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Barclays Peers Comparison
UnderperformOutperform
Sector (68)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
72 Outperform | $165.75B | 10.97 | 13.89% | 1.85% | -15.34% | 16.71% | |
71 Outperform | $288.65B | 12.28 | 11.88% | 4.14% | -9.54% | -22.46% | |
71 Outperform | $74.86B | 11.24 | 12.46% | 4.14% | 2.20% | -0.17% | |
68 Neutral | $18.00B | 11.42 | 9.92% | 3.81% | 9.73% | 1.22% | |
60 Neutral | $73.93B | 9.29 | 9.41% | 1.71% | 17.50% | 49.25% | |
58 Neutral | $201.61B | 21.83 | 6.71% | 1.94% | -0.62% | 105.57% | |
58 Neutral | $60.53B | 4.48 | 14.33% | 3.67% | 7.43% | 30.31% |
* Financial Sector Average
BCS
Barclays
21.80
9.27
73.97%
C
Citigroup
115.25
57.89
100.93%
HSBC
HSBC Holdings
84.41
38.39
83.44%
ING
ING Groep
26.56
10.57
66.13%
NWG
NatWest Group
15.29
5.16
51.00%
SAN
Banco Santander SA
11.41
5.81
103.86%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.