Grupo Cibest (CIB) AI Stock Analysis

• Market Cap: $21.55B
• Dividend Yield: 10.29%
• Average Volume (3M): 349.96K
• Price to Earnings (P/E): 21.4
• Beta (1Y): 0.52
• Revenue Growth: -6.79%
• EPS Growth: 16.13%
• Country: US
• Employees: 34,182
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 2.37
• Shares Outstanding: 112,485,146
• 10 Day Avg. Volume: 430,307
• 30 Day Avg. Volume: 349,958
• PEG Ratio: 2.16
• Price to Book (P/B): 0.77
• Price to Sales (P/S): 0.78
• P/FCF Ratio: -20.76
• Enterprise Value/Market Cap: 3.70K
• Enterprise Value/Revenue: 1.88
• Enterprise Value/Gross Profit: 3.20
• Enterprise Value/Ebitda: 6.99
• 1Y Price Target: $65.00
• Price Target Upside: -21.58% Downside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 4
• EPS Forecast (FY): 8.32
• Revenue Forecast (FY): $7.98B

• Rating: 70 Outperform
• Price Target: $92.00 ▲(10.99% Upside)

Overall score is driven by strong earnings-call fundamentals and a clear technical uptrend, tempered by weaker cash-flow quality and a revenue growth decline. Dividend yield is supportive, while the P/E limits valuation upside.

Positive Factors

Strong profit margins

Sustained high margins indicate durable operational efficiency and pricing power across core businesses. Strong gross and EBITDA margins give the company flexibility to fund technology investments, absorb cyclical revenue dips, and maintain profitability over the next several quarters without immediate structural changes.

Robust capital ratios and high ROE

Very strong capital buffers provide regulatory resilience and optionality for measured loan growth, dividends, or buybacks. High ROE reflects efficient capital deployment and franchise returns, supporting sustainable shareholder returns and growth initiatives over a multi-quarter horizon.

Healthy loan and deposit franchise

Rapid loan growth and improving low‑cost deposit mix (higher CASA) strengthen net interest margins and funding stability. A growing, sticky deposit base and strong loan origination indicate durable franchise expansion and earnings visibility over coming quarters.

Negative Factors

Declining revenue growth

A sustained contraction in top-line growth undermines the sustainability of earnings and pressures reinvestment capacity. Even with strong margins, persistent revenue declines can erode market share, limit scalability of fixed-cost absorption, and constrain medium-term growth options.

Weak cash conversion

Very poor conversion of accounting profits to cash impairs financial flexibility. Low operating cash relative to net income and collapsing free cash flow raise risks for dividend sustainability, capex funding, and debt servicing, forcing reliance on external financing if trends persist.

Rising costs and NIM pressure

Material administrative cost increases combined with margin compression from falling rates can squeeze profitability over time. Unless cost rises are one‑off, this mix reduces operating leverage, forcing either slower growth, margin tradeoffs, or further efficiency measures over the next several quarters.

Grupo Cibest Business Overview & Revenue Model

Company Description

Grupo Cibest SA operates as an investment holding company. The company is headquartered in Medellin, Columbia.

How the Company Makes Money

Grupo Cibest generates revenue through multiple streams, primarily from its core offerings in software development and IT services, which include custom software solutions, cloud computing, and managed IT services. Additionally, the company earns revenue by providing telecommunication infrastructure solutions, including network design and implementation. Strategic partnerships with technology providers and telecommunications companies further enhance its service portfolio and open new markets. Recurring revenue is also a significant factor, coming from maintenance contracts and subscription-based services that ensure a steady income stream.

Grupo Cibest Financial Statement Overview

Summary

Mixed fundamentals: strong profitability (net margin 17.3%, EBITDA margin 26.9%) and a stable balance sheet (debt-to-equity 0.66, ROE 17.5%), but pressured by declining revenue growth (-6.7%) and weak cash conversion (operating cash flow to net income 0.008) with sharply lower free cash flow growth.

Income Statement

Grupo Cibest's income statement shows a mixed performance. The TTM data indicates a decline in revenue growth rate by 6.7%, which is concerning. However, the company maintains a healthy gross profit margin of 58.6% and a net profit margin of 17.3%. The EBIT and EBITDA margins are also strong at 24.5% and 26.9%, respectively, suggesting operational efficiency. Despite the revenue decline, profitability metrics remain robust, indicating effective cost management.

Balance Sheet

The balance sheet reflects a stable financial position with a debt-to-equity ratio of 0.66, indicating moderate leverage. The return on equity is strong at 17.5%, showcasing effective use of equity to generate profits. The equity ratio stands at 11.3%, suggesting a solid equity base relative to total assets. Overall, the balance sheet demonstrates financial stability with manageable debt levels.

Cash Flow

Cash flow analysis reveals challenges, with a significant decline in free cash flow growth by 104.6% in the TTM period. The operating cash flow to net income ratio is low at 0.008, indicating potential issues in converting income to cash. The free cash flow to net income ratio is also low at 5.8%. These metrics suggest cash flow constraints, which could impact future financial flexibility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	42.48T	42.91T	45.18T	32.69T	21.69T	21.58T
Gross Profit	24.89T	22.43T	21.05T	20.45T	14.92T	8.19T
EBITDA	11.41T	9.77T	9.23T	10.69T	6.84T	1.05T
Net Income	7.34T	6.27T	6.12T	6.78T	4.09T	275.99B
Balance Sheet
Total Assets	10.00T>	10.00T>	10.00T>	10.00T>	10.00T>	10.00T>
Cash, Cash Equivalents and Short-Term Investments	33.34T	30.06T	36.13T	28.77T	24.54T	23.38T
Total Debt	27.87T	29.91T	32.56T	41.17T	31.46T	34.36T
Total Liabilities	10.00T>	10.00T>	10.00T>	10.00T>	10.00T>	10.00T>
Stockholders Equity	42.38T	43.54T	38.09T	39.09T	32.23T	26.55T
Cash Flow
Free Cash Flow	14.29T	-1.61T	16.74T	2.80T	4.42T	9.70T
Operating Cash Flow	16.48T	435.89B	19.15T	6.34T	6.60T	11.23T
Investing Cash Flow	-2.28T	-559.20B	-159.69B	-4.65T	-650.49B	-7.52T
Financing Cash Flow	-9.06T	-9.24T	-5.43T	853.44B	-6.81T	-4.92T

Grupo Cibest Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 82.89
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CIB, the sentiment is Positive. The current price of 82.89 is above the 20-day moving average (MA) of 72.47, above the 50-day MA of 66.72, and above the 200-day MA of 52.35, indicating a bullish trend. The MACD of 4.83 indicates Negative momentum. The RSI at 83.31 is Negative, neither overbought nor oversold. The STOCH value of 90.12 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CIB.

Grupo Cibest Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SSB	82 Outperform	$10.09B	12.75	10.68%	2.38%	33.87%	12.26%
BAP	74 Outperform	$27.76B	15.65	18.12%	4.82%	8.72%	27.70%
BCH	71 Outperform	$22.42B	17.46	21.29%	5.56%	-11.64%	-8.75%
CIB	70 Outperform	$21.55B	21.42	17.06%	10.29%	-6.79%	16.13%
BSAC	69 Neutral	$17.15B	15.34	24.13%	4.29%	12.43%	56.30%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
BSBR	64 Neutral	$25.68B	24.20	9.34%	4.98%	1.13%	-11.93%