FinecoBank SpA (FBK) AI Stock Analysis

• Market Cap: €11.47B
• Dividend Yield: 3.95%
• Average Volume (3M): 1.48M
• Price to Earnings (P/E): 17.6
• Beta (1Y): 1.04
• Revenue Growth: 2.97%
• EPS Growth: 4.64%
• Country: IT
• Employees: 1,474
• Sector: Financial
• Sector Strength: 78
• Industry: Banks - Regional
• EPS (TTM): 0.52
• Shares Outstanding: 611,575,300
• 10 Day Avg. Volume: 1,381,617
• 30 Day Avg. Volume: 1,480,717
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: €20.75
• Price Target Upside: 10.49% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 6

• Rating: 71 Outperform
• Price Target: ―

FinecoBank SpA demonstrates strong financial performance with robust revenue growth and profitability. The company's balance sheet strength and reduced leverage are favorable, but challenges in cash flow efficiency need attention. Technical indicators suggest mixed momentum, while the valuation is attractive with a reasonable P/E ratio and a solid dividend yield. These factors contribute to a moderately positive outlook for the stock.

FinecoBank SpA Business Overview & Revenue Model

Company Description

FinecoBank SpA (FBK) is an Italian bank that offers a wide range of financial services including banking, investment, and trading solutions. Established in 1999, the bank operates primarily in the retail banking sector, providing customers with multi-channel access to banking services through its online platform and physical branches. FinecoBank is known for its innovative approach to financial services, offering products such as current accounts, credit cards, investment accounts, and brokerage services, catering to both individual and institutional clients.

How the Company Makes Money

FinecoBank generates revenue through several key streams. Primarily, it earns money from banking services, including fees from account maintenance and transaction charges. The bank also generates significant income from its investment and brokerage services, charging commissions on trades and management fees on investment products. Additionally, FinecoBank benefits from interest income on loans and advances provided to customers. The company has established partnerships with various financial institutions to enhance its service offerings, contributing to its earnings through referral fees and shared revenue agreements. Overall, FinecoBank's diverse revenue model, encompassing both transactional and interest-based income, positions it well within the competitive banking landscape.

FinecoBank SpA Financial Statement Overview

Summary

FinecoBank SpA exhibits strong revenue growth and profitability, with efficient cost management. However, increasing operational expenses and declining cash flow efficiency pose potential risks. The balance sheet shows a robust equity position and reduced leverage, contributing to financial stability. The company should focus on enhancing cash flow management to sustain growth.

Income Statement

FinecoBank SpA has shown strong revenue growth, with a revenue increase of 6.93% from 2023 to 2024. Gross profit margins remained at 100%, indicative of effective cost management. However, the EBIT margin decreased from 73.76% in 2023 to 59.45% in 2024, suggesting increased operational expenses. Net profit margin improved slightly from 49.48% in 2023 to 49.56% in 2024, reflecting stable profitability.

Balance Sheet

The company maintains a strong equity base with an equity ratio of 6.89% in 2024, although this is a decrease from 6.59% in 2023. The debt-to-equity ratio improved, decreasing from 0.76 in 2023 to 0.34 in 2024, indicating reduced leverage. Return on equity increased to 27.29% in 2024 from 27.76% in 2023, highlighting efficient use of equity to generate profits.

Cash Flow

Cash flow from operations significantly declined from 2023 to 2024. The operating cash flow to net income ratio dropped sharply from 1.87 in 2023 to 0.24 in 2024, reflecting weaker operational efficiency. Free cash flow decreased by 87.87% over the same period, indicating potential risks in cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.32B	1.32B	1.23B	938.24M	799.69M	761.23M
Gross Profit	1.32B	1.32B	1.23B	1.09B	947.64M	761.23M
EBITDA	952.46M	965.07M	899.38M	631.22M	520.61M	486.47M
Net Income	669.47M	652.28M	609.10M	428.50M	380.71M	323.57M
Balance Sheet
Total Assets	34.42B	34.69B	33.32B	36.27B	33.87B	31.76B
Cash, Cash Equivalents and Short-Term Investments	0.00	1.96B	2.55B	1.79B	1.77B	2.03B
Total Debt	800.62M	810.23M	1.68B	561.28M	562.60M	1.23B
Total Liabilities	31.88B	32.30B	31.12B	34.36B	32.14B	30.07B
Stockholders Equity	2.54B	2.39B	2.19B	1.91B	1.73B	1.69B
Cash Flow
Free Cash Flow	882.96M	136.29M	1.12B	255.72M	-229.79M	1.07B
Operating Cash Flow	897.49M	154.93M	1.14B	269.10M	-215.26M	1.10B
Investing Cash Flow	-1.95B	-18.64M	-15.72M	-12.40M	-15.86M	-29.38M
Financing Cash Flow	740.96M	-451.82M	-321.30M	-258.52M	-343.78M	-20.18M

FinecoBank SpA Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 18.78
• 50DMA: Negative
• 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:FBK, the sentiment is Neutral. The current price of 18.78 is below the 20-day moving average (MA) of 18.83, above the 50-day MA of 18.76, and above the 200-day MA of 17.48, indicating a neutral trend. The MACD of 0.11 indicates Positive momentum. The RSI at 46.99 is Neutral, neither overbought nor oversold. The STOCH value of 20.14 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IT:FBK.

FinecoBank SpA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FBK	71 Outperform	€11.47B	17.63	32.83%	3.95%	2.97%	4.64%
Sector *	68 Neutral	$17.88B	11.68	10.28%	3.72%	9.78%	1.27%
0DQZ	―	€5.67B	14.43	32.52%	―	―	―
0RLA	―	€17.72B	7.39	16.45%	―	―	―
0MU6	―	€17.26B	7.96	14.64%	―	―	―
0HBF	―	€16.28B	12.62	11.90%	―	―	―
BNMDF	―	$14.90B	12.18	28.26%	7.36%	―	―