DNB ASA (DNBBY)
OTHER OTC:DNBBY
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DNB ASA
(OTC:DNBBY)
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Rating:72Outperform
Price Target:
$33.00
▲(20.26% Upside)
Action:ReiteratedDate:02/08/26
Overall score reflects solid financial performance but weighed down by inconsistent cash flow conversion and leverage typical of banks. Technicals are supportive (uptrend across moving averages with positive MACD), valuation is attractive (low‑teens P/E and ~5%+ yield), and the earnings call was broadly constructive on profitability/capital returns while flagging near‑term NII/margin, regulatory, tax and integration/credit-cost headwinds.
Positive Factors
High profitability / ROE
Sustained ROE near mid-teens and solid EPS demonstrate a high-return banking franchise that converts lending and fee activities into earnings. This level of profitability supports recurring dividends and buybacks, funds investments, and provides a durable earnings cushion versus peers over medium term.
Negative Factors
Elevated balance-sheet leverage
A relatively high debt-to-equity profile amplifies sensitivity to credit-cycle shocks and funding stresses. Even with improving equity and strong ROE, elevated leverage can constrain strategic flexibility, increase capital demands during downturns, and raise loss-amplification risk over the medium term.
Read all positive and negative factors
Positive Factors
Negative Factors
High profitability / ROE
Sustained ROE near mid-teens and solid EPS demonstrate a high-return banking franchise that converts lending and fee activities into earnings. This level of profitability supports recurring dividends and buybacks, funds investments, and provides a durable earnings cushion versus peers over medium term.
Read all positive factors
DNB ASA (DNBBY) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$46.94B
Dividend Yield5.74%
Average Volume (3M)5.17K
Price to Earnings (P/E)9.5
Beta (1Y)0.50
Revenue Growth-0.15%
EPS Growth7.97%
CountryUS
Employees11,188
SectorFinancial
Sector Strength70
IndustryBanks - Regional
Share Statistics
EPS (TTM)0.78
Shares Outstanding1,477,605,000
10 Day Avg. Volume10,867
30 Day Avg. Volume5,166
Financial Highlights & Ratios
PEG Ratio-3.70
Price to Book (P/B)1.40
Price to Sales (P/S)2.04
P/FCF Ratio5.89
Enterprise Value/Market Cap26.06
Enterprise Value/Revenue6.07
Enterprise Value/Gross Profit18.23
Enterprise Value/Ebitda21.97
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)2.78
Revenue Forecast (FY)$9.39B
DNB ASA Business Overview & Revenue Model
Company Description
DNB Bank ASA provides financial services for retail and corporate customers in Norway and internationally. The company offers personal banking products and services, including savings and investment products; loans, such as home mortgages, and car...
How the Company Makes Money
DNB ASA primarily generates revenue through interest income from loans and mortgages, which constitute a significant portion of its earnings. The company charges interest on personal and corporate loans, while also earning fees from various bankin...
DNB ASA Earnings Call Summary
Earnings Call Date:Feb 04, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:Apr 23, 2026
Earnings Call Sentiment Positive
The call showed a strong operating performance with high profitability (ROE 16.6%), substantial fee and wealth-management revenue growth, market-leading investment banking results after the Carnegie integration, solid capital ratios and disciplined underlying cost control. Offsetting risks include margin pressure from rate cuts and competition, notable quarterly impairments and specific credit losses, higher reported operating costs and integration one-offs, and an expected regulatory NII headwind (~NOK 300m) plus higher long-term tax guidance. Overall, the positive operational and financial momentum and capital strength outweigh the headwinds highlighted.Positive Updates
Strong profitability and shareholder returns
Return on equity of 16.6% in the quarter; earnings per share NOK 7.65 in Q4 (up ~9.6% vs Q3) and full-year EPS NOK 28.45. Board proposes cash dividend NOK 18/share (up 7.5% YoY); completed 2% buyback and announced additional 0.5% buyback, total payout for 2025 of 86.3%.
Negative Updates
Margin pressure and NII headwinds
Combined spreads down 6 basis points; personal customer lending margin down 18 bps in the quarter. Net interest income only up 1.2% in Q4 and there is downward pressure from recent rate cuts. Regulatory change to tax accounts in Norway estimated to have a negative annual NII effect of ~NOK 300 million.
Read all updates
Q4-2025 Updates
Positive
Negative
Strong profitability and shareholder returns
Return on equity of 16.6% in the quarter; earnings per share NOK 7.65 in Q4 (up ~9.6% vs Q3) and full-year EPS NOK 28.45. Board proposes cash dividend NOK 18/share (up 7.5% YoY); completed 2% buyback and announced additional 0.5% buyback, total payout for 2025 of 86.3%.
Read all positive updates
Company Guidance
The call’s guidance highlighted a proposed cash dividend of NOK 18 per share (up 7.5% y/y) and an announced additional 0.5 percentage‑point buyback (bringing 2025 buybacks to 2.5% and total payout to 86.3%), leaving a pro‑forma CET1 of 17.9% with ~160 bps headroom to regulatory expectations; management signalled the Board will seek further buyback authorization at the AGM. Key forward items: long‑term tax guidance raised to 23% (from 20%), expected integration costs of NOK 250m in 2025 and up to NOK 200m in 2026, an estimated ~NOK 300m annual negative NII effect from a regulatory change to tax accounts, and an anticipated additional policy‑rate cut (from 4.0% to 3.75%) in June then stable. Macro and capital metrics reiterated included GDP +1.5% (this year) / +1.6% (next year), unemployment ~2.2%, leverage ratio 6.6% (vs 3% requirement), a cost‑income target below 40% (current 39.7%), and strong portfolio metrics (99.4% Stage 1–2, cost of risk 15 bps). The guidance was framed against recent results (ROE 16.6% Q4; EPS NOK 7.65 Q4 / NOK 28.45 FY; NII +1.2% Q4; net commission +40.3% Q4; lending growth +4.9% FY; deposits +2.8% FY; underlying cost growth ~2.6% FY).DNB ASA Financial Statement Overview
Summary
Income Statement
78
Positive
Balance Sheet
64
Positive
Cash Flow
52
Neutral
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 201.48B | 214.18B | 180.35B | 97.09B | 63.59B |
| Gross Profit | 89.44B | 84.82B | 78.60B | 65.66B | 56.26B |
| EBITDA | 57.15B | 58.50B | 54.05B | 44.03B | 36.03B |
| Net Income | 43.55B | 45.77B | 39.48B | 33.36B | 25.33B |
Balance Sheet | |||||
| Total Assets | 3.70T | 3.61T | 3.44T | 3.23T | 2.92T |
| Cash, Cash Equivalents and Short-Term Investments | 162.78B | 179.96B | 525.95B | 455.16B | 400.72B |
| Total Debt | 935.67B | 1.01T | 952.37B | 838.67B | 778.50B |
| Total Liabilities | 3.40T | 3.33T | 3.17T | 2.98T | 2.68T |
| Stockholders Equity | 295.15B | 283.11B | 269.13B | 249.61B | 243.65B |
Cash Flow | |||||
| Free Cash Flow | 69.93B | -159.12B | 43.00M | 5.44B | 37.10B |
| Operating Cash Flow | 72.59B | -156.44B | 4.12B | 8.95B | 41.59B |
| Investing Cash Flow | -15.50B | -880.00M | -1.76B | -7.65B | -4.39B |
| Financing Cash Flow | -33.87B | -29.57B | 14.18B | 5.48B | -15.74B |
DNB ASA Technical Analysis
Positive
27.44
Price Trends
30.54
Positive
28.89
Positive
27.68
Positive
Market Momentum
0.29
Negative
64.16
Neutral
97.32
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DNBBY, the sentiment is Positive. The current price of 27.44 is below the 20-day moving average (MA) of 30.54, below the 50-day MA of 30.54, and below the 200-day MA of 27.68, indicating a bullish trend. The MACD of 0.29 indicates Negative momentum. The RSI at 64.16 is Neutral, neither overbought nor oversold. The STOCH value of 97.32 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DNBBY.
DNB ASA Peers Comparison
UnderperformOutperform
Sector (68)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
72 Outperform | $46.94B | 9.46 | 15.35% | 5.74% | -0.15% | 7.97% | |
72 Outperform | $23.72B | 11.00 | 11.45% | 3.74% | 4.00% | 28.54% | |
69 Neutral | $37.49B | 8.02 | 9.81% | 2.79% | -4.64% | 24.98% | |
69 Neutral | $32.64B | 11.54 | 9.88% | 2.76% | -0.81% | 20.34% | |
68 Neutral | $44.50B | 12.33 | 11.96% | 3.14% | 0.15% | 11.62% | |
68 Neutral | $18.00B | 11.42 | 9.92% | 3.81% | 9.73% | 1.22% | |
62 Neutral | $61.57B | 11.75 | 8.15% | 4.12% | 22.02% | ― |
* Financial Sector Average
DNBBY
DNB ASA
31.87
8.84
38.41%
TFC
Truist Financial
49.29
15.29
44.96%
FITB
Fifth Third Bancorp
49.34
16.68
51.08%
KB
Kb Financial Group
106.97
56.03
109.99%
MTB
M&T Bank
219.04
65.82
42.95%
RF
Regions Financial
27.47
9.24
50.71%
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.