Banco Macro SA (BMA) AI Stock Analysis

• Market Cap: $5.89B
• Dividend Yield: 10.11%
• Average Volume (3M): 346.87K
• Price to Earnings (P/E): 14.5
• Beta (1Y): 0.98
• Revenue Growth: 40.86%
• EPS Growth: 236.42%
• Country: US
• Employees: 9,192
• Sector: Financial
• Sector Strength: 77
• Industry: Banking
• EPS (TTM): 4.57
• Shares Outstanding: 62,817,800
• 10 Day Avg. Volume: 361,620
• 30 Day Avg. Volume: 346,872
• PEG Ratio: 0.02
• Price to Book (P/B): N/A
• Price to Sales (P/S): 2.93
• Price to Cash Flow (P/CF): N/A
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $125.00
• Price Target Upside: 53.15% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

Banco Macro's overall stock score is driven by strong financial performance, particularly in terms of income growth and a solid balance sheet. The technical indicators show positive momentum, and the valuation is compelling with a low P/E ratio and high dividend yield. Earnings call insights further support a positive outlook, despite some operational challenges. These factors collectively position Banco Macro as an attractive investment in the banking sector.

Banco Macro SA Business Overview & Revenue Model

Company Description

Banco Macro SA (BMA) is a prominent financial institution in Argentina, focusing primarily on providing comprehensive banking services to individuals, small and medium-sized enterprises (SMEs), and corporate clients. The bank operates through a wide network of branches across the country, offering a diverse range of financial products including savings and checking accounts, personal and business loans, credit cards, and investment services. Additionally, Banco Macro provides insurance products and online banking solutions to enhance customer convenience and accessibility.

How the Company Makes Money

Banco Macro SA generates revenue through multiple streams. The primary source of income is the interest earned on loans and credit products extended to individuals and businesses. The bank also earns from fees and commissions associated with services such as account management, credit card transactions, and foreign exchange operations. Another significant revenue stream is derived from investment activities, where the bank invests in government securities and other financial instruments. Additionally, Banco Macro benefits from strategic partnerships with insurance companies, offering bundled financial products that include insurance solutions. The bank's extensive branch network and digital banking platforms also contribute to its earnings by reaching a broad customer base across Argentina.

Banco Macro SA Financial Statement Overview

Summary

Banco Macro SA exhibits strong financial performance, particularly in terms of profitability and revenue growth. The balance sheet is stable with a solid equity base, though rising liabilities could pose a risk if not managed properly. Cash flow management appears to be an area for improvement, as recent declines may affect liquidity. Overall, the company is in a strong financial position, but should focus on enhancing cash flow stability and managing liabilities.

Income Statement

Banco Macro SA demonstrates strong revenue growth, with total revenue increasing significantly over the years. The gross profit margin is exceptionally high, indicating efficient cost management. However, the net profit margin shows fluctuations, suggesting some volatility in managing expenses or other income sources. Overall, the income statement reflects a robust financial performance with high profitability metrics.

Balance Sheet

The balance sheet shows a healthy equity position with a relatively low debt-to-equity ratio, indicating strong financial stability. The equity ratio is also strong, reflecting a solid capital structure. However, there is a noticeable increase in total liabilities over the years, which could indicate rising obligations. Overall, the balance sheet is solid, but attention to liability management is advisable.

Cash Flow

The company's cash flow statement reveals fluctuations in operating cash flow, with a notable decline in the latest year. Free cash flow has also decreased recently, indicating potential challenges in maintaining liquidity. Despite the past strong free cash flow, recent trends suggest the need for improved cash flow management to support ongoing operations and investments.

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
4.31T	3.15B	1.51T	1.13T	409.07B	139.32B
	Gross Profit
4.31T	2.83T	1.51T	1.13T	409.07B	139.32B
	EBIT
786.85B	714.74B	184.16B	145.94B	115.26B	45.75B
	EBITDA
701.37B	772.19B	47.23B	35.79B	12.82B	49.45B
	Net Income Common Stockholders
553.24B	587.32B	126.95B	138.74B	76.90B	40.80B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.49T	1.20T	1.21T	335.69B	196.18B	0.00
	Total Assets
6.72T	6.72T	6.51T	1.95T	1.17T	428.41B
	Total Debt
396.48B	396.48B	239.19B	90.36B	60.98B	33.73B
	Net Debt
-806.62B	-806.62B	-539.60B	-245.34B	-135.19B	33.73B
	Total Liabilities
441.90B	4.67T	280.10B	102.52B	72.23B	338.60B
	Stockholders Equity
2.04T	2.04T	1.59T	466.72B	228.74B	89.81B
Cash Flow		Free Cash Flow
245.45B	-142.30B	1.54T	229.96B	341.09B	0.00
	Operating Cash Flow
320.97B	-85.23B	1.61T	271.77B	351.90B	0.00
	Investing Cash Flow
62.81B	-951.69B	-75.77B	-42.03B	-10.81B	0.00
	Financing Cash Flow
-283.31B	-56.91M	-77.79B	-52.64B	-20.05B	0.00

Banco Macro SA Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 81.62
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BMA, the sentiment is Negative. The current price of 81.62 is below the 20-day moving average (MA) of 86.89, below the 50-day MA of 97.23, and above the 200-day MA of 73.81, indicating a neutral trend. The MACD of -4.04 indicates Positive momentum. The RSI at 40.38 is Neutral, neither overbought nor oversold. The STOCH value of 36.83 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for BMA.

Banco Macro SA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BMA	81 Outperform	$5.89B	14.49	9.05%	10.11%	40.86%	236.42%
GGAL	80 Outperform	$10.00B	6.35	32.82%	4.64%	30.54%	97.65%
SUPV	74 Outperform	$1.33B	8.10	23.58%	1.24%	18.91%	238.93%
PAM	66 Neutral	$4.78B	12.79	22.11%	―	-0.88%	-47.59%
Sector *	64 Neutral	$13.80B	10.64	9.23%	4.22%	17.66%	-7.66%
TEO	57 Neutral	$5.35B	5.02	23.27%	―	-26.74%	―
IRS	52 Neutral	$1.14B	―	-30.83%	7.52%	-9.69%	-172.08%