Banco di Desio e Della Brianza SPA (BDB) AI Stock Analysis

• Market Cap: €1.14B
• Dividend Yield: 5.06%
• Average Volume (3M): 141.20K
• Price to Earnings (P/E): 9.7
• Beta (1Y): 0.92
• Revenue Growth: -5.81%
• EPS Growth: -11.05%
• Country: IT
• Employees: 2,535
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 0.25
• Shares Outstanding: 134,363,050
• 10 Day Avg. Volume: 166,969
• 30 Day Avg. Volume: 141,203
• PEG Ratio: -0.15
• Price to Book (P/B): 0.62
• Price to Sales (P/S): 1.63
• P/FCF Ratio: -1.57
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 53 Neutral
• Price Target: €9.50 ▲(5.20% Upside)

The overall stock score of 53 reflects significant financial challenges, including declining revenue and high leverage, which are partially offset by a strong gross profit margin. Technical analysis indicates bullish momentum, but overbought signals suggest caution. The valuation is attractive with a low P/E ratio and high dividend yield, providing some support to the stock's potential.

Positive Factors

Strong Gross Profit Margin

A strong gross profit margin indicates effective cost management and pricing power, which can support profitability even in challenging revenue environments.

Strategic Partnerships

Strategic partnerships can drive revenue growth by expanding market reach and diversifying product offerings, strengthening the bank's competitive position.

Diverse Revenue Streams

Diverse revenue streams reduce dependency on any single source, providing stability and resilience against market fluctuations.

Negative Factors

Declining Revenue Growth

Declining revenue growth indicates challenges in maintaining market share and competitiveness, which could impact long-term financial health.

High Leverage

High leverage increases financial risk, limiting flexibility and potentially affecting the bank's ability to invest in growth opportunities.

Negative Cash Flow Trends

Negative cash flow trends suggest liquidity issues, which can constrain operations and investment capacity, impacting long-term sustainability.

Banco di Desio e Della Brianza SPA Business Overview & Revenue Model

Company Description

Banco di Desio e Della Brianza SPA (BDB) is an Italian banking institution that primarily operates in the retail and commercial banking sectors. Founded in 1909, the bank is headquartered in Desio, Lombardy, and offers a wide range of financial services including personal and business loans, mortgages, savings accounts, and investment services. With a strong focus on serving local communities, BDB caters to both individual and corporate clients, providing tailored financial products that meet diverse customer needs.

How the Company Makes Money

Banco di Desio e Della Brianza generates revenue primarily through interest income, which is earned from loans extended to customers, including personal, mortgage, and business loans. Additionally, the bank earns money from fees and commissions related to its various services, such as account maintenance, transaction fees, and wealth management services. Investment income from securities and other financial instruments also contributes to the bank's earnings. The establishment of strategic partnerships with other financial institutions and businesses enhances its product offerings and customer reach, further driving revenue growth.

Banco di Desio e Della Brianza SPA Financial Statement Overview

Summary

Banco di Desio e Della Brianza SPA faces significant challenges with declining revenue and profitability, high leverage, and cash flow issues. While the gross profit margin remains strong, the overall financial health is weakened by reduced net income and operational inefficiencies. The high debt levels and negative cash flow trends pose risks that need to be addressed to improve financial stability.

Income Statement

The income statement reveals a significant decline in revenue growth rate at -28.45% for the latest year, indicating a challenging environment. The gross profit margin remains strong at 100%, but net profit margin has decreased to 22.62% from 48.26% the previous year, reflecting reduced profitability. EBIT and EBITDA margins have also declined, suggesting operational inefficiencies.

Balance Sheet

The balance sheet shows a high debt-to-equity ratio of 3.45, indicating significant leverage, which could pose risks in a volatile market. Return on equity has decreased to 8.67% from 17.75%, reflecting reduced efficiency in generating returns for shareholders. The equity ratio stands at 7.77%, indicating a relatively low proportion of equity financing.

Cash Flow

The cash flow statement highlights a concerning negative free cash flow growth rate and negative operating cash flow, indicating potential liquidity issues. The free cash flow to net income ratio is slightly above 1, suggesting that free cash flow is just covering net income, but the negative operating cash flow to net income ratio indicates operational cash flow challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	875.76M	910.73M	735.15M	538.76M	516.30M	472.00M
Gross Profit	638.22M	644.63M	498.07M	486.61M	475.60M	434.38M
EBITDA	208.15M	211.54M	227.47M	129.60M	79.88M	51.59M
Net Income	117.84M	125.54M	240.36M	81.46M	54.90M	23.69M
Balance Sheet
Total Assets	18.60B	18.63B	18.56B	17.54B	17.80B	15.66B
Cash, Cash Equivalents and Short-Term Investments	846.68M	1.17B	1.76B	879.59M	2.04B	992.76M
Total Debt	3.90B	3.51B	2.83B	5.66B	1.69B	1.73B
Total Liabilities	17.15B	17.19B	17.20B	16.42B	16.72B	14.67B
Stockholders Equity	1.45B	1.45B	1.35B	1.12B	1.09B	995.07M
Cash Flow
Free Cash Flow	0.00	-576.34M	705.57M	814.51M	-30.82M	12.52M
Operating Cash Flow	0.00	-562.78M	747.13M	822.33M	-25.20M	17.41M
Investing Cash Flow	0.00	-35.22M	51.75M	-11.98M	-5.59M	-4.87M
Financing Cash Flow	0.00	-41.02M	-26.46M	-18.34M	-8.36M	0.00

Banco di Desio e Della Brianza SPA Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 9.03
• 50DMA: Positive
• 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 IT:BDB, the sentiment is Positive. The current price of 9.03 is above the 20-day moving average (MA) of 8.71, above the 50-day MA of 8.16, and above the 200-day MA of 7.61, indicating a bullish trend. The MACD of 0.30 indicates Negative momentum. The RSI at 65.35 is Neutral, neither overbought nor oversold. The STOCH value of 53.76 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IT:BDB.

Banco di Desio e Della Brianza SPA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CE	73 Outperform	€4.67B	7.00	14.69%	6.46%	-7.81%	4.89%
IF	71 Outperform	€1.34B	7.57	8.85%	8.59%	-3.63%	-5.12%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
PRO	64 Neutral	€104.01M	22.08	7.01%	8.18%	-19.12%	29.55%
ILTY	59 Neutral	―	―	―	―	―	―
BDB	53 Neutral	€1.14B	9.74	7.87%	5.06%	-5.81%	-11.05%
DOV	47 Neutral	€509.98M	-14.85	-12.79%	―	22.48%	69.78%

Banco di Desio e Della Brianza SPA Corporate Events

Banco Desio Announces Public Purchase Offer for SCM Shares

Banco di Desio e della Brianza S.p.A. has announced a voluntary total public purchase offer for the ordinary shares of Solutions Capital Management SIM S.p.A. (SCM), aiming to delist SCM from Euronext Growth Milan. The offer includes a cash consideration of Euro 4.61 per share, with HPS Holding Partecipazioni Societarie S.r.l., the controlling shareholder of SCM, committing to adhere to the offer with its 80.28% shareholding. This strategic move is expected to impact SCM’s market presence and shareholder structure, while reinforcing Banco Desio’s position in the financial market.

Banco di Desio Announces Extraordinary Meeting Details

Banco di Desio e della Brianza S.p.A. has announced the availability of the notice of call for its Extraordinary Meeting scheduled for December 18, 2025. The meeting will be conducted exclusively through a Designated Representative, and relevant documents are accessible on the bank’s website and the 1Info storage platform.

Banco di Desio e della Brianza S.p.A. Announces Extraordinary Meeting for Share Cancellation

Banco di Desio e della Brianza S.p.A. has announced an Extraordinary Meeting scheduled for December 18, 2025, to discuss the cancellation of 2,888,242 own shares without reducing the share capital. This move indicates a strategic decision to optimize the company’s share structure, potentially impacting shareholder value and market perception.

Banco di Desio Reports Strong Capital and Sustainability Progress Despite Profit Dip

Banco di Desio e della Brianza S.p.A. reported a consolidated net profit of 105.9 million Euros for the first nine months of 2025, a decrease from the previous year, but achieved an annualized ROE of 10.1% and strong commission growth. The bank demonstrated robust capital strength with CET 1 and TCR ratios significantly above regulatory requirements and completed its funding plan ahead of schedule, indicating a solid financial position. The bank also made strides in sustainability, improving its ESG score and successfully placing green bonds, reflecting its commitment to sustainable growth.

Banco Desio’s Fides Completes €300 Million Securitization

Fides S.p.A., a subsidiary of Banco Desio, has successfully completed a securitization operation worth over 300 million euros, primarily involving loans against the transfer of one-fifth. This operation, structured under Italian law, aligns with Banco Desio’s growth strategy in personal finance and supports Fides’ objectives in its 2024-2026 industrial plan. The issuance of asset-backed securities, divided into senior and junior tranches, reflects the market’s confidence in Banco Desio’s credit quality and business model.

Banco Desio’s Successful 300 Million Euro Bond Issuance

Banco di Desio e della Brianza S.p.A. has successfully completed its first Senior Preferred Bond issuance, raising 300 million euros with significant demand from institutional investors, particularly from foreign markets. The bond, part of a 3 billion euro program listed on the Dublin Stock Exchange, received orders totaling 1.8 billion euros, demonstrating strong investor confidence and enhancing Banco Desio’s international market presence.

Banco Desio Receives Updated MREL Requirements from Banca d’Italia

Banco di Desio e della Brianza S.p.A. has received a notification from Banca d’Italia regarding its MREL requirements, which are slightly adjusted to 17.81% for TREA and 5.34% for LRE. Despite the adjustments, Banco Desio’s current MREL coefficients significantly exceed the minimum requirements, indicating a strong capital position that will be integrated into its strategic and funding plans.