Banco Bilbao Vizcaya Argentaria (BBVA) AI Stock Analysis

• Market Cap: €74.36B
• Dividend Yield: 6.34%
• Average Volume (3M): 7.23M
• Price to Earnings (P/E): 7.2
• Beta (1Y): 1.45
• Revenue Growth: 20.72%
• EPS Growth: 27.50%
• Country: ES
• Employees: 124,741
• Sector: Financial
• Sector Strength: 77
• Industry: Banks - Diversified
• EPS (TTM): 0.45
• Shares Outstanding: 5,763,285,600
• 10 Day Avg. Volume: 6,844,872
• 30 Day Avg. Volume: 7,234,205
• PEG Ratio: 1.38
• Price to Book (P/B): 1.42
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 15.69
• 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: €14.12
• Price Target Upside: 8.62% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5

• Rating: 75 Outperform
• Price Target: €14.50 ▲(11.54%Upside)

BBVA's strong financial performance and attractive valuation metrics are the primary drivers of its high score. The earnings call highlighted significant profit growth and customer acquisition, albeit with some regional challenges. Technical indicators suggest a neutral to slightly bearish short-term outlook.

Banco Bilbao Vizcaya Argentaria Business Overview & Revenue Model

Company Description

Banco Bilbao Vizcaya Argentaria, S.A., together with its subsidiaries, provides retail banking, wholesale banking, and asset management services. It offers current accounts; and demand, savings, overnight, time, term, and subordinated deposits. The company also provides loan products; deals in securities; and manages pension and investment funds. In addition, it offers credit cards; corporate and investment banking services; insurance products and services; and real estate services. The company provides its products through online and mobile channels. As of December 31, 2021, it operated through a network of 6,083 branches and 29,148 ATMs. It operates in Spain, Mexico, South America, the United States, Turkey, Asia, and rest of Europe. Banco Bilbao Vizcaya Argentaria, S.A. was founded in 1857 and is headquartered in Bilbao, Spain.

How the Company Makes Money

BBVA makes money primarily through interest income from loans and credit products, which constitutes a significant portion of its revenue. The company also generates revenue from non-interest income sources, including fees and commissions from services such as asset management, transaction banking, and insurance products. Additionally, BBVA benefits from trading and investment income derived from its capital markets activities. Strategic partnerships and technological innovations, particularly in digital banking, play a crucial role in expanding BBVA's customer base and enhancing its revenue streams.

Banco Bilbao Vizcaya Argentaria Financial Statement Overview

Summary

BBVA demonstrates strong income statement performance with consistent revenue and profit growth. The balance sheet reflects a sound equity position, despite a high reliance on liabilities typical for banks. Cash flow metrics show concerns regarding free cash flow growth, but overall stability is maintained.

Income Statement

Banco Bilbao Vizcaya Argentaria exhibits strong financial performance with a substantial increase in total revenue and net income over the years. The TTM gross profit margin stands at 82.64%, indicating efficient cost management. The net profit margin is healthy at 23.70%, showing profitability. The revenue growth rate from 2024 to TTM is 25.52%, reflecting robust growth. EBIT and EBITDA margins are solid at 36.59% and 40.06%, respectively, indicating strong operational efficiency.

Balance Sheet

The bank maintains a strong equity position with a debt-to-equity ratio of 1.96, indicating moderate leverage. The return on equity (ROE) is impressive at 19.15%, showcasing effective utilization of shareholder equity. However, the equity ratio of 7.12% suggests a high reliance on liabilities for funding, which is typical in banking but still a potential risk factor. Overall, the balance sheet shows stability with a focus on equity growth.

Cash Flow

The TTM cash flow analysis indicates a free cash flow growth rate of -85.44%, primarily due to a significant reduction in operating cash flow compared to the previous year. Despite this, the operating cash flow to net income ratio is 0.57, suggesting moderate cash generation efficiency relative to net income. The free cash flow to net income ratio stands at 0.45, reflecting moderate cash generation capabilities. The reduction in free cash flow growth is a concern but is partially offset by positive cash flow metrics.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	34.36B	35.48B	29.54B	28.07B	23.00B	22.27B
Gross Profit	31.45B	31.57B	27.16B	22.98B	18.60B	22.27B
EBITDA	17.83B	16.94B	13.82B	11.60B	8.48B	6.54B
Net Income	10.55B	10.05B	8.02B	6.36B	4.65B	1.30B
Balance Sheet
Total Assets	772.86B	772.40B	775.56B	712.09B	662.88B	733.80B
Cash, Cash Equivalents and Short-Term Investments	151.20B	199.57B	256.84B	225.41B	228.87B	208.37B
Total Debt	107.72B	144.43B	179.11B	114.64B	116.09B	110.80B
Total Liabilities	713.60B	712.39B	720.29B	661.57B	614.13B	683.78B
Stockholders Equity	55.08B	55.65B	51.70B	46.90B	43.91B	44.55B
Cash Flow
Free Cash Flow	4.77B	32.74B	75.34B	21.28B	-2.19B	38.23B
Operating Cash Flow	5.99B	33.94B	77.16B	23.72B	-1.24B	39.35B
Investing Cash Flow	-25.15B	-53.55B	-79.30B	-3.91B	-1.63B	-37.00M
Financing Cash Flow	-3.21B	-2.57B	-1.84B	-7.56B	-4.35B	-2.07B

Banco Bilbao Vizcaya Argentaria Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 13.00
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ES:BBVA, the sentiment is Negative. The current price of 13 is below the 20-day moving average (MA) of 13.05, below the 50-day MA of 13.14, and above the 200-day MA of 11.08, indicating a neutral trend. The MACD of 0.05 indicates Negative momentum. The RSI at 47.02 is Neutral, neither overbought nor oversold. The STOCH value of 58.91 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ES:BBVA.

Banco Bilbao Vizcaya Argentaria Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BBVA	75 Outperform	€74.36B	7.19	19.33%	6.34%	20.72%	27.50%
Sector *	73 Outperform	14.92B	17.37	16.30%	3.96%	8.25%	25.93%
0H00	―	€15.34B	7.38	15.03%	8.50%	―	―
BNC	―	£93.08B	8.54	13.26%	2.20%	―	―
0H7O	―	€10.18B	9.92	17.81%	5.30%	―	―
0ILK	―	€52.90B	8.66	17.33%	7.66%	―	―
UNJCF	―	$6.14B	9.22	9.23%	2.63%	―	―

Banco Bilbao Vizcaya Argentaria Corporate Events

BBVA’s Acquisition of Banco Sabadell Approved with Conditions

BBVA has received authorization from the National Commission of Markets and Competition (CNMC) for its acquisition of Banco de Sabadell, forming the second largest financial entity in Spain by credit volume. This merger is contingent upon commitments to maintain financial inclusion, territorial cohesion, and credit access for SMEs and freelancers, including maintaining office operations in underserved areas and offering favorable commercial conditions.

BBVA Announces Early Redemption of 2020 Mortgage Bonds

BBVA has announced the early redemption of its ‘Mortgage Bonds – October 2020’ issuance, with a total value of 2 billion euros, set to occur on April 29, 2025. This move reflects BBVA’s strategic financial management, potentially impacting its liquidity and market positioning positively while ensuring compliance with regulatory requirements.

BBVA Announces Early Redemption of 1.5 Billion Euro Territorial Bonds

BBVA has announced the early redemption of its ‘Territorial Bonds – September 2020,’ with a total issuance amount of 1.5 billion euros. This strategic move, set for completion by April 29, 2025, reflects BBVA’s proactive financial management and could impact its liquidity and financial strategy positively.

BBVA to Present Q1 2025 Financial Results

BBVA announced it will present its first quarter 2025 financial results on April 29, 2025. The presentation will be accessible online via BBVA’s corporate website, and a recording will be available for one month, indicating the company’s commitment to transparency with its stakeholders.