Credit Agricole (ACA) AI Stock Analysis

• Market Cap: €55.97B
• Dividend Yield: 6.26%
• Average Volume (3M): 4.12M
• Price to Earnings (P/E): 8.5
• Beta (1Y): 0.92
• Revenue Growth: -3.99%
• EPS Growth: 14.76%
• Country: FR
• Employees: 80,518
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 0.30
• Shares Outstanding: 3,025,902,300
• 10 Day Avg. Volume: 4,992,432
• 30 Day Avg. Volume: 4,119,195
• PEG Ratio: 2.26
• Price to Book (P/B): 0.76
• Price to Sales (P/S): 0.47
• P/FCF Ratio: 2.97
• 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: €19.82
• Price Target Upside: 4.21% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 5
• EPS Forecast (FY): 2.32
• Revenue Forecast (FY): €28.34B

• Rating: 60 Neutral
• Price Target: €18.50 ▼(-2.73% Downside)
• Action: Reiterated Date: 02/06/26
• Date: Action: Reiterated 02/06/26

The score is held back primarily by higher leverage and cash-flow volatility, despite continued profitability and strong revenue growth. Technicals are moderately supportive with a positive longer-term trend but neutral near-term momentum. Valuation is a key positive, with a low P/E and high dividend yield.

Positive Factors

Diversified business model & distribution

Credit Agricole's broad mix of retail banking, corporate finance, asset management and insurance provides stable, diversified fee and interest income. Its large cooperative regional network supports cross-selling, deposit stability and scale advantages that endure across cycles and reduce reliance on any single line.

Consistent return on equity

A sustained ~9–10% ROE indicates the bank consistently generates returns on shareholders' equity, reflecting underlying earning power and capital efficiency. This steady ROE supports capacity for reinvestment and dividends and suggests the franchise can absorb moderate shocks while maintaining core profitability.

Revenue growth momentum

Strong revenue expansion into 2025 demonstrates the group's ability to grow lending, fees and other product lines. Durable top-line momentum provides a foundation for restoring margins and earnings if cost discipline and asset quality are managed, underpinning long-term earnings potential.

Negative Factors

Rising leverage

A marked rise in leverage materially increases sensitivity to higher funding costs and market stress. Elevated debt-to-equity constrains capital flexibility, elevates regulatory and refinancing risk, and amplifies earnings volatility, making the bank more vulnerable during adverse macro or asset-quality shifts.

Volatile cash generation

Large swings in operating and free cash flow reduce predictability for funding, dividends and reinvestment. For a bank, inconsistent cash generation can force reliance on wholesale funding or balance-sheet adjustments, increasing execution risk and reducing confidence in sustainable internal liquidity over the medium term.

Margin compression and earnings pressure

Declining net margins and a YoY income drop despite top-line growth point to rising funding costs, credit charges or adverse mix shifts. Persistent margin pressure erodes long-term return potential and forces dependence on volume growth or higher-risk activities to meet profit targets, weakening structural profitability.

Credit Agricole Business Overview & Revenue Model

Company Description

Crédit Agricole S.A. provides retail, corporate, insurance, and investment banking products and services worldwide. It operates through Asset Gathering; Large Customers; Specialised Financial Services; French Retail Banking - LCL; and International Retail Banking. The company offers banking products and services, including savings and current accounts and deposits, finance, payments, and flow management services; consumer finance products; and banking and specialized financial services. It also provides wealth management services that allow individual customers to manage, protect, and transfer their assets, as well as other asset management services; and savings/retirement, death and disability/creditor/group, and property and casualty insurance products. In addition, the company offers financing solutions for property and equipment investment and renewal requirements; trade receivable financing and management solutions for corporates; and financing services for renewable energy and public infrastructure projects, as well as leasing services. Further, it provides investment banking, structured finance, international trade finance, commercial banking, capital market, and syndication services; and asset servicing solutions for investment products, as well as various asset classes, such as execution, clearing, forex, security lending and borrowing, custody, depositary bank, fund administration, middle-office outsourcing solutions, and fund distribution support and issuer services. The company serves retail customers, corporates, banks and financial institutions, government agencies, and local authorities. Crédit Agricole S.A. was founded in 1894 and is headquartered in Montrouge, France. Crédit Agricole S.A. operates as a subsidiary of SAS Rue La Boétie.

How the Company Makes Money

Credit Agricole generates revenue primarily through interest income from loans, fees from banking services, and investment returns. Key revenue streams include retail banking activities, where it earns interest from personal loans, mortgages, and credit products, as well as fees from account maintenance, transaction services, and financial advisory services. Additionally, the bank earns income from its asset management and insurance divisions, where it manages investments and provides insurance products to clients. Strategic partnerships with other financial institutions and businesses also enhance its service offerings and contribute to its profitability, allowing Credit Agricole to leverage synergies and expand its client base.

Credit Agricole Financial Statement Overview

Summary

Profitability remains positive with steady ~9–10% ROE and strong revenue growth into 2025, but net margin compressed to ~6.6% and net income declined year over year in 2025. Balance-sheet risk increased materially as leverage rose (debt-to-equity ~7.47x in 2025), and cash flows have been highly volatile despite a strong 2025 rebound.

Income Statement

Revenue expanded strongly over the period, culminating in a sharp jump in 2025 (annual report), while profitability remained positive throughout. That said, profit margins have generally compressed versus 2021–2022 levels (net margin down to ~6.6% in 2025 from mid-teens earlier), and net income declined year over year in 2025 despite higher revenue—suggesting a less favorable mix and/or higher costs/credit charges. Operating profitability in 2025 is still healthy (EBIT margin ~10.7%), but below prior years’ peaks.

Balance Sheet

The balance sheet shows rising leverage: total debt increased materially and the debt-to-equity ratio moved higher over time, reaching ~7.47x in 2025 versus ~2.9–4.2x in 2020–2024. Equity is broadly stable and returns on equity are steady around ~9–10%, which supports the earnings quality. However, the higher leverage level increases sensitivity to funding costs and asset-quality volatility, tempering the overall balance-sheet score.

Cash Flow

Cash flow is volatile. Operating and free cash flow were deeply negative in 2023–2024, then rebounded strongly positive in 2025, indicating meaningful swings in working-capital and/or balance-sheet movements typical for banks. While 2025 free cash flow is substantial and roughly in line with net income (~0.98x), the inconsistent pattern across years reduces confidence in cash generation stability.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	112.32B	104.97B	97.73B	45.58B	63.21B
Gross Profit	70.33B	54.25B	51.26B	26.71B	49.91B
EBITDA	11.68B	11.15B	10.05B	8.22B	8.42B
Net Income	7.07B	7.09B	6.35B	5.31B	5.84B
Balance Sheet
Total Assets	2.37T	2.31T	2.19T	2.14T	2.07T
Cash, Cash Equivalents and Short-Term Investments	563.87B	560.73B	499.82B	480.82B	487.28B
Total Debt	519.23B	644.05B	606.71B	615.40B	562.55B
Total Liabilities	2.30T	2.23T	2.12T	2.07T	2.00T
Stockholders Equity	69.52B	67.49B	63.87B	60.53B	63.33B
Cash Flow
Free Cash Flow	17.90B	-28.99B	-56.56B	421.00M	10.05B
Operating Cash Flow	19.01B	-27.15B	-54.83B	1.46B	10.93B
Investing Cash Flow	-4.40B	-2.76B	8.66B	-5.04B	-838.00M
Financing Cash Flow	-4.49B	11.62B	17.19B	598.00M	-1.70B

Credit Agricole Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 19.02
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FR:ACA, the sentiment is Positive. The current price of 19.02 is above the 20-day moving average (MA) of 18.28, above the 50-day MA of 17.87, and above the 200-day MA of 16.68, indicating a bullish trend. The MACD of 0.28 indicates Negative momentum. The RSI at 66.68 is Neutral, neither overbought nor oversold. The STOCH value of 86.55 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FR:ACA.

Credit Agricole Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BNP	68 Neutral	€104.37B	9.18	9.50%	9.16%	-6.55%	14.18%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
ACA	60 Neutral	€55.97B	8.49	10.82%	6.26%	-3.99%	14.76%
GLE	54 Neutral	€47.84B	10.56	7.47%	2.49%	-14.11%	180.83%