Banco Bilbao Price To Book vs. Profit Margin

BBVA Stock  USD 10.07  0.11  1.10%   
Considering Banco Bilbao's profitability and operating efficiency indicators, Banco Bilbao Viscaya may not be well positioned to generate adequate gross income at this time. It has a very high probability of underperforming in January. Profitability indicators assess Banco Bilbao's ability to earn profits and add value for shareholders. At present, Banco Bilbao's Days Sales Outstanding is projected to increase significantly based on the last few years of reporting. The current year's Days Of Sales Outstanding is expected to grow to 492.57, whereas Price To Sales Ratio is forecasted to decline to 1.71. At present, Banco Bilbao's Income Tax Expense is projected to increase significantly based on the last few years of reporting. The current year's Income Before Tax is expected to grow to about 13 B, whereas Accumulated Other Comprehensive Income is projected to grow to (13.5 B).
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin1.211.25
Sufficiently Down
Slightly volatile
Net Profit Margin0.140.27
Way Down
Slightly volatile
Operating Profit Margin0.540.5635
Sufficiently Down
Slightly volatile
Pretax Profit Margin0.430.4572
Notably Down
Slightly volatile
Return On Assets0.00790.0103
Way Down
Slightly volatile
Return On Equity0.140.1551
Moderately Down
Pretty Stable
For Banco Bilbao profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Banco Bilbao to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Banco Bilbao Viscaya utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Banco Bilbao's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Banco Bilbao Viscaya over time as well as its relative position and ranking within its peers.
  
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Is Diversified Banks space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Banco Bilbao. If investors know Banco will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Banco Bilbao listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
0.293
Dividend Share
0.68
Earnings Share
1.69
Revenue Per Share
5.146
Quarterly Revenue Growth
(0.02)
The market value of Banco Bilbao Viscaya is measured differently than its book value, which is the value of Banco that is recorded on the company's balance sheet. Investors also form their own opinion of Banco Bilbao's value that differs from its market value or its book value, called intrinsic value, which is Banco Bilbao's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Banco Bilbao's market value can be influenced by many factors that don't directly affect Banco Bilbao's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Banco Bilbao's value and its price as these two are different measures arrived at by different means. Investors typically determine if Banco Bilbao is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Banco Bilbao's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

Banco Bilbao Viscaya Profit Margin vs. Price To Book Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Banco Bilbao's current stock value. Our valuation model uses many indicators to compare Banco Bilbao value to that of its competitors to determine the firm's financial worth.
Banco Bilbao Viscaya is rated fourth in price to book category among its peers. It is rated third in profit margin category among its peers fabricating about  0.32  of Profit Margin per Price To Book. The ratio of Price To Book to Profit Margin for Banco Bilbao Viscaya is roughly  3.17 . At present, Banco Bilbao's Net Profit Margin is projected to increase slightly based on the last few years of reporting. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Banco Bilbao's earnings, one of the primary drivers of an investment's value.

Banco Profit Margin vs. Price To Book

Price to Book (P/B) ratio is used to relate a company book value to its current market price. A high P/B ratio indicates that investors expect executives to generate more returns on their investments from a given set of assets. Book value is the accounting value of assets minus liabilities.

Banco Bilbao

P/B

 = 

MV Per Share

BV Per Share

 = 
1.03 X
Price to Book ratio is mostly used in financial services industries where assets and liabilities are typically represented by dollars. Although low Price to Book ratio generally implies that the firm is undervalued, it is often a good indicator that the company may be in financial or managerial distress and should be investigated more carefully.
Profit Margin measures overall efficiency of a company and shows its ability to withstand competition as well as defend against adverse conditions such as rising costs, falling prices, decline in sales or management distress. Profit margin tells investors how well the company executes on its overall pricing strategies as well as how effective the company in controlling its costs.

Banco Bilbao

Profit Margin

 = 

Net Income

Revenue

X

100

 = 
0.32 %
In a nutshell, Profit Margin indicator shows the amount of money the company makes from total sales or revenue. It can provide a good insight into companies in the same sector, as well as help to identify trends of a company from year to year.

Banco Profit Margin Comparison

Banco Bilbao is currently under evaluation in profit margin category among its peers.

Banco Bilbao Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Banco Bilbao, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Banco Bilbao will eventually generate negative long term returns. The profitability progress is the general direction of Banco Bilbao's change in net profit over the period of time. It can combine multiple indicators of Banco Bilbao, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Last ReportedProjected for Next Year
Accumulated Other Comprehensive Income-14.2 B-13.5 B
Operating Income15.3 B8.5 B
Net Income7.7 B7.3 B
Income Tax ExpenseB4.2 B
Income Before Tax12.4 B13 B
Total Other Income Expense Net-2.9 B-3 B
Net Income Applicable To Common Shares7.4 B4.2 B
Net Income From Continuing Ops8.4 B5.3 B
Net Interest Income23.1 B19.6 B
Interest Income23.1 B19.2 B
Change To Netincome6.9 B6.4 B
Net Income Per Share 1.35  1.41 
Income Quality 10.06  10.56 
Net Income Per E B T 0.65  0.78 

Banco Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Banco Bilbao. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Banco Bilbao position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Banco Bilbao's important profitability drivers and their relationship over time.

Use Banco Bilbao in pair-trading

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Banco Bilbao position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Banco Bilbao will appreciate offsetting losses from the drop in the long position's value.

Banco Bilbao Pair Trading

Banco Bilbao Viscaya Pair Trading Analysis

The ability to find closely correlated positions to Banco Bilbao could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Banco Bilbao when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Banco Bilbao - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Banco Bilbao Viscaya to buy it.
The correlation of Banco Bilbao is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Banco Bilbao moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Banco Bilbao Viscaya moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Banco Bilbao can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your Banco Bilbao position

In addition to having Banco Bilbao in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

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You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Aggressive Funds Theme or any other thematic opportunities.
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When determining whether Banco Bilbao Viscaya offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Banco Bilbao's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Banco Bilbao Viscaya Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Banco Bilbao Viscaya Stock:
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You can also try the Technical Analysis module to check basic technical indicators and analysis based on most latest market data.
To fully project Banco Bilbao's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Banco Bilbao Viscaya at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Banco Bilbao's income statement, its balance sheet, and the statement of cash flows.
Potential Banco Bilbao investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Banco Bilbao investors may work on each financial statement separately, they are all related. The changes in Banco Bilbao's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Banco Bilbao's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.