Banco Macro SA (BMA) AI Stock Analysis

• Market Cap: $4.29B
• Dividend Yield: 32.56%
• Average Volume (3M): 320.35K
• Price to Earnings (P/E): 957.4
• Beta (1Y): 0.89
• Revenue Growth: -46.30%
• EPS Growth: -79.35%
• Country: US
• Employees: 9,004
• Sector: Financial
• Sector Strength: 73
• Industry: Banks - Regional
• EPS (TTM): 0.60
• Shares Outstanding: 62,817,800
• 10 Day Avg. Volume: 273,919
• 30 Day Avg. Volume: 320,351
• PEG Ratio: -0.80
• Price to Book (P/B): 1.22
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 3.42
• 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: 97.75% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 74 Outperform
• Price Target: ―

Banco Macro's overall score reflects a balance of strong profitability and revenue growth against challenges in cash flow management and rising liabilities. The technical indicators show positive momentum, and the stock presents a fair valuation with an attractive dividend yield. The mixed results from the earnings call highlight the need to improve efficiency and manage loan loss provisions effectively. Despite these challenges, the bank's strong market position and capitalization provide a positive outlook for future growth.

Banco Macro SA Business Overview & Revenue Model

Company Description

Banco Macro S.A. provides various banking products and services to retail and corporate customers in Argentina. It offers various retail banking products and services, such as savings and checking accounts, time deposits, credit and debit cards, consumer finance loans, mortgage loans, automobile loans, overdrafts, credit-related services, home and car insurance coverage, tax collection, utility payments, automated teller machines (ATMs), and money transfers. The company also provides personal loans, document discounts, residential mortgages, overdrafts, pledged loans, and credit card loans to retail customers. In addition, it offers corporate banking products and services, including deposits, lending, check cashing advances and factoring, guaranteed loans, credit lines for financing foreign trade, and cash management services; and trust, payroll, and financial agency services, as well as corporate credit cards and other specialty products; and working capital facilities, credit for investment projects, and leasing and foreign trade transactions. Further, the company provides transaction services, such as cash management, collection services, payments to suppliers, payroll services, foreign exchange transactions, and foreign trade services; information services comprising Datanet and Interpymes services to corporate customers; and Internet and mobile banking services. Additionally, it offers short-term and medium-to-long-term corporate lending products. As of December 31, 2021, it operated through a network of 466 branches, 1,779 ATMs, 955 self-service terminals, and various service points. The company was incorporated in 1966 and is headquartered in Buenos Aires, Argentina.

How the Company Makes Money

Banco Macro SA generates revenue primarily through interest income from loans and credit products, including personal, mortgage, and commercial loans. Another significant source of income is fee-based services, such as transaction fees, account maintenance fees, and fees from investment products. The bank also earns from the spread between interest earned on loans and paid on deposits. Banco Macro has established partnerships with various businesses and institutions to enhance its service offerings and reach a broader customer base, contributing to its financial performance.

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	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	6.46T	3.15B	1.51T	1.13T	409.07B
Gross Profit	4.41T	2.83T	1.51T	1.13T	409.07B
EBITDA	498.16B	772.19B	47.23B	35.79B	12.82B
Net Income	325.50B	587.32B	126.95B	138.74B	76.90B
Balance Sheet
Total Assets	14.49T	6.72T	6.51T	1.95T	1.17T
Cash, Cash Equivalents and Short-Term Investments	3.21T	1.20T	1.21T	335.69B	196.18B
Total Debt	446.45B	396.48B	239.19B	90.36B	60.98B
Total Liabilities	10.44T	4.67T	280.10B	102.52B	72.23B
Stockholders Equity	4.05T	2.04T	1.59T	466.72B	228.74B
Cash Flow
Free Cash Flow	794.07B	-142.30B	1.54T	229.96B	341.09B
Operating Cash Flow	918.59B	-85.23B	1.61T	271.77B	351.90B
Investing Cash Flow	-133.69B	-951.69B	-75.77B	-42.03B	-10.81B
Financing Cash Flow	-592.03B	-56.91M	-77.79B	-52.64B	-20.05B

Banco Macro SA Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 63.21
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

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 63.21 is below the 20-day moving average (MA) of 69.42, below the 50-day MA of 79.12, and below the 200-day MA of 84.58, indicating a bearish trend. The MACD of -3.62 indicates Positive momentum. The RSI at 31.22 is Neutral, neither overbought nor oversold. The STOCH value of 16.47 is Positive, 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
FHB	79 Outperform	$3.27B	14.18	9.11%	3.99%	-0.36%	5.97%
CIB	75 Outperform	$11.57B	13.16	15.99%	15.46%	-5.45%	3.43%
BMA	74 Outperform	$4.29B	957.37	0.11%	32.56%	-46.30%	-79.35%
BLX	71 Outperform	$1.48B	7.55	15.82%	5.91%	8.33%	13.48%
GGAL	71 Outperform	$7.74B	5.11	28.17%	2.27%	-35.65%	70.23%
BBAR	70 Outperform	$3.08B	7.74	15.46%	<0.01%	-48.81%	0.18%
Sector *	67 Neutral	$16.64B	11.61	9.79%	3.78%	11.89%	-8.13%