Credito Emiliano SPA Credem (CE) AI Stock Analysis

• Market Cap: €5.26B
• Dividend Yield: 6.23%
• Average Volume (3M): 135.84K
• Price to Earnings (P/E): 8.5
• Beta (1Y): 0.95
• Revenue Growth: -7.81%
• EPS Growth: 4.89%
• Country: IT
• Employees: 6,289
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 0.34
• Shares Outstanding: 341,320,070
• 10 Day Avg. Volume: 178,195
• 30 Day Avg. Volume: 135,843
• PEG Ratio: 0.00
• Price to Book (P/B): 1.12
• Price to Sales (P/S): 1.72
• P/FCF Ratio: 21.02
• 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: 73 Outperform
• Price Target: €17.50 ▲(13.49% Upside)

The score is primarily held back by volatile cash flow and leverage swings despite strong profitability. Offsetting this, technicals show an established uptrend and momentum, and valuation is compelling with a low P/E and a high dividend yield.

Positive Factors

High and Stable Profitability

Sustained net margins near 18%–22% and EBIT margins around 27%–30% indicate structural profitability. This margin profile supports durable internal capital generation, allows consistent shareholder returns and buffers cyclical loan losses, underpinning long-term earnings resilience.

Diversified Revenue Streams

Credem earns from lending interest, transaction and advisory fees, wealth-management fees and insurance partnerships. This mix reduces dependence on a single income source, smoothing revenue across rate and cycle shifts and supporting predictable fee income over the medium term.

Sizeable Balance Sheet & Solid ROE

A ~€68B asset base and mid‑teens return on equity provide scale and attractive capital efficiency for regional banking. Size enables diversified lending and fee opportunities; sustained ROE near 13%–14% supports capital returns and reinvestment capacity over multiple cycles.

Negative Factors

Highly Volatile Cash Flow

Large swings in operating cash flow—from strong inflows to a deep 2024 outflow and only modest recovery—signal inconsistent cash conversion. This reduces confidence in sustainable free cash generation, complicates dividend policy and constrains funding flexibility for strategic investments.

Leverage Swings and Rising Debt

Material swings in leverage and a rise in absolute debt in 2025 raise balance-sheet risk. Variable leverage increases sensitivity to funding costs and regulatory capital pressures, potentially limiting lending capacity or forcing costly capital actions during adverse cycles.

Uneven Revenue Growth

While multi-year revenue increased, the path is volatile—flat in 2024 and an unusually large 2025 change suggesting momentum inconsistency or data noise. Persistent top-line volatility complicates forecasting, investment planning and may reflect competitive or cyclical pressures on core franchises.

Credito Emiliano SPA Credem Business Overview & Revenue Model

Company Description

Credito Emiliano S.p.A., together with its subsidiaries, provides various banking services to retail and corporate customers primarily in Italy. It operates through Commercial Banking, Asset Management, Bancassurance, Trading, ALM Treasury, and Corporate Centre and Other segments. The company's deposit products include current and savings accounts, time deposits, certificates of deposit, bonds, and subordinated debts; and loan portfolio comprises mortgages, credit cards, personal loans, and salary-backed loans. It also offers wealth management services, including management of mutual investment funds, SICAV, portfolio management, and private equity and hedge funds; and asset management, bancassurance, fiduciary, remote banking, savings management, brokerage, financial leasing, factoring, insurance, and ALM treasury services. In addition, the company provides cheese warehousing, real estate management, and trading services, as well as develops software. As of December 31, 2021, it operated through 625 branches, business centers, and financial outlets in 20 regions. The company was founded in 1910 and is headquartered in Reggio Emilia, Italy. Credito Emiliano S.p.A. is a subsidiary of Credito Emiliano Holding S.p.A.

How the Company Makes Money

Credem generates revenue through several key streams, primarily from interest income on loans and credit facilities extended to individuals and businesses. Additionally, the company earns fees from various banking services, including transaction processing, account maintenance, and financial advisory services. Wealth management and investment services also contribute significantly to its earnings, as the company charges management fees for assets under administration. Furthermore, Credem has partnerships with insurance companies, enabling it to provide insurance products to its clients, which adds another layer to its revenue base. The bank's diversified portfolio and strong customer relationships are crucial in maintaining its profitability.

Credito Emiliano SPA Credem Financial Statement Overview

Summary

Profitability is consistently solid (net margins ~18%–22%, EBIT margin ~27%–30%) with resilient net income (~€562M–€621M in 2023–2025). However, leverage has been volatile (debt-to-equity improved sharply in 2024 then rose in 2025), and cash flow is highly inconsistent (strong in 2022–2023, sharply negative in 2024, modestly positive in 2025), reducing confidence in earnings quality and balance-sheet stability.

Income Statement

Revenue has grown meaningfully since 2020 (from ~€1.38B to ~€3.03B in 2025), and profitability is consistently solid with net margins around ~18%–22% and EBIT margin holding near ~27%–30% in recent years. Net income has been resilient (~€562M–€621M from 2023–2025). The main weakness is growth volatility—2024 was essentially flat on revenue and the 2025 reported revenue growth figure appears unusually high versus the absolute revenue change, suggesting uneven momentum or data noise.

Balance Sheet

The balance sheet is sizable (total assets ~€68B in 2023–2025) with improving leverage versus the elevated 2022–2023 period: debt-to-equity moved down from ~4.55x (2022) and ~4.02x (2023) to ~1.20x (2024). However, leverage rose again in 2025 (~1.64x) as total debt increased. Shareholder returns are healthy for a bank, with return on equity in the ~13%–14% range recently, but the swing in leverage is the key risk to monitor.

Cash Flow

Cash generation is inconsistent year to year. Operating cash flow was strong in 2022–2023 (~€3.3B and ~€3.2B) but turned sharply negative in 2024 (~-€1.79B) before recovering to a modest positive level in 2025 (~€0.30B). Free cash flow shows the same pattern (strongly positive in 2022–2023, deeply negative in 2024, then positive again in 2025). While 2025 free cash flow covers a large portion of net income (about ~83%), the volatility—especially the 2024 outflow—reduces confidence in cash-flow stability.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	2.91B	3.03B	3.06B	2.79B	1.76B	1.58B
Gross Profit	2.22B	2.42B	2.20B	2.06B	1.61B	1.48B
EBITDA	1.05B	906.74M	1.02B	934.53M	577.15M	563.41M
Net Income	668.05M	621.47M	620.05M	562.12M	326.12M	352.43M
Balance Sheet
Total Assets	65.05B	68.13B	67.97B	68.02B	65.04B	67.58B
Cash, Cash Equivalents and Short-Term Investments	2.05B	0.00	4.68B	6.78B	3.36B	8.04B
Total Debt	5.34B	7.64B	5.13B	5.30B	15.39B	3.17B
Total Liabilities	60.61B	63.46B	63.68B	64.15B	61.46B	64.12B
Stockholders Equity	4.44B	4.66B	4.29B	3.87B	3.36B	3.46B
Cash Flow
Free Cash Flow	-2.30B	248.13M	-1.91B	3.14B	3.23B	-5.02M
Operating Cash Flow	-2.27B	299.13M	-1.79B	3.19B	3.34B	135.81M
Investing Cash Flow	-30.05M	-1.97B	-106.97M	-110.05M	-101.39M	-126.43M
Financing Cash Flow	-258.20M	-1.13B	-218.56M	-108.84M	-108.34M	-15.18M

Credito Emiliano SPA Credem Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 15.42
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IT:CE, the sentiment is Positive. The current price of 15.42 is below the 20-day moving average (MA) of 15.54, above the 50-day MA of 15.37, and above the 200-day MA of 13.75, indicating a bullish trend. The MACD of 0.06 indicates Positive momentum. The RSI at 58.02 is Neutral, neither overbought nor oversold. The STOCH value of 61.22 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IT:CE.

Credito Emiliano SPA Credem Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CE	73 Outperform	€5.26B	8.50	14.69%	6.23%	-7.81%	4.89%
BPSO	72 Outperform	€7.81B	12.06	15.43%	4.87%	-10.80%	20.43%
IF	71 Outperform	€1.49B	4.63	8.85%	8.44%	-3.63%	-5.12%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
PRO	64 Neutral	€109.89M	11.35	7.01%	7.69%	-12.26%	31.82%
BDB	53 Neutral	€1.18B	9.25	7.87%	4.86%	-5.81%	-11.05%

Credito Emiliano SPA Credem Corporate Events

Credem Posts Solid 2025 Profit, Boosts Lending and Funding While Advancing ESG and Digital Strategy

Credem reported preliminary 2025 results with consolidated net profit of €621.5 million, supported by strong capitalization (CET1 ratio of 16.99% at banking group level) and a low cost of risk at 13 basis points, while approving a dividend of €0.75 per share. The bank accelerated commercial growth, adding over 181,000 new customers, expanding customer loans to €37.7 billion—growing more than three times the Italian banking system—and lifting total customer funding to €114 billion on the back of rising indirect and insurance funding, as well as solid performances in leasing, factoring, consumer credit, private banking and wealth management. Credem also reinforced its sustainability and human capital strategy by approving a long-term climate transition plan to 2050, integrating ESG goals into industrial planning, allocating over €1.5 billion to support clients’ ecological transition, expanding agile work and training for employees, and enhancing digital services with heavy use of remote channels, moves that collectively strengthen its competitive positioning and long-term resilience.

The most recent analyst rating on (IT:CE) stock is a Buy with a EUR17.50 price target. To see the full list of analyst forecasts on Credito Emiliano SPA Credem stock, see the IT:CE Stock Forecast page.

Credem Reports Insider-Related Disposal of 90,000 Ordinary Shares

Credem disclosed a transaction by a person closely associated with standing auditor Giulio Morandi, involving the disposal of 90,000 ordinary Credem shares on the MTAA market at a price of €15.2662 per share on 22 December 2025. The notification, made under EU Market Abuse Regulation requirements for managers’ transactions, provides transparency on insider-related dealings but does not indicate any link to share option programmes or broader changes in the bank’s strategy or governance.

The most recent analyst rating on (IT:CE) stock is a Buy with a EUR16.00 price target. To see the full list of analyst forecasts on Credito Emiliano SPA Credem stock, see the IT:CE Stock Forecast page.

Credito Emiliano Completes Partial Demerger of Euromobiliare Advisory SIM

Credito Emiliano SPA has announced the completion of the partial demerger of Euromobiliare Advisory SIM, transferring operations to Euromobiliare Asset Management SGR and itself. This strategic restructuring highlights Credem’s goal of optimizing asset management and advisory services, potentially enhancing its market positioning in the Italian financial sector while benefiting its clients and stakeholders.

The most recent analyst rating on (IT:CE) stock is a Buy with a EUR16.00 price target. To see the full list of analyst forecasts on Credito Emiliano SPA Credem stock, see the IT:CE Stock Forecast page.

Moody’s Upgrades Credem’s Ratings Following Italian Sovereign Upgrade

Credito Emiliano SPA (Credem) is a financial institution in Italy that has seen its ratings improved by Moody’s Investors Services following an upgrade in the Italian government’s debt rating. The ratings improvement reflects Credem’s robust capital position, excellent loan portfolio quality, and solid liquidity position, which is supported by a large and diversified deposit base. This upgrade is expected to enhance Credem’s industry positioning and reassure stakeholders of its financial stability.

The most recent analyst rating on (IT:CE) stock is a Buy with a EUR16.00 price target. To see the full list of analyst forecasts on Credito Emiliano SPA Credem stock, see the IT:CE Stock Forecast page.

Credem: Leading in Capital Solidity Among European Banks

Credem has been recognized as the most solid bank in Italy and among the top three in Europe, according to the European Central Bank’s capital requirements data. With a CET1 ratio of 16.23% as of September 2025, Credem significantly exceeds the minimum requirement of 8.55% for 2026, showcasing its robust business model and effective risk management strategies, ensuring security for its stakeholders.

The most recent analyst rating on (IT:CE) stock is a Hold with a EUR11.50 price target. To see the full list of analyst forecasts on Credito Emiliano SPA Credem stock, see the IT:CE Stock Forecast page.

Credito Emiliano Approves Partial Demerger of Euromobiliare Advisory SIM

Credito Emiliano S.p.A. has approved a partial demerger of Euromobiliare Advisory SIM, redistributing its assets between Euromobiliare Asset Management SGR and Credem itself. This strategic move, filed for registration, aims to streamline operations and enhance the company’s focus on its core banking and asset management services.

The most recent analyst rating on (IT:CE) stock is a Hold with a EUR11.50 price target. To see the full list of analyst forecasts on Credito Emiliano SPA Credem stock, see the IT:CE Stock Forecast page.