Over the past three years, KBC Group has been the most profitable bank that we cover in the eurozone. Only the Scandinavian banks have been more profitable in Europe as a whole. We believe that KBC can consistently generate returns on tangible equity comfortably in excess of our cost of equity estimate of around 10%.
KBC has dominant market share in Belgium and the Czech Republic in banking, insurance, and investment products.
KBC has a mixed credit management track record.
|
Metric
|
KBC
|
ACA
|
ING
|
|---|---|---|---|
Price/Earnings (Normalized) | 7.74 | 7.08 | 15.52 |
Price/Book Value | 1.32 | 0.62 | 0.92 |
Price/Sales | 2.74 | 1.88 | 2.30 |
Price/Cash Flow | 7.48 | 1.79 | 7.82 |
|
Metric
|
KBC
|
ACA
|
ING
|
|---|---|---|---|
Quick Ratio | — | — | — |
Current Ratio | — | — | — |
Interest Coverage | — | — | — |
|
Metric
|
KBC
|
ACA
|
ING
|
|---|---|---|---|
Return on Assets (Normalized) | 0.92% | 0.24% | 0.77% |
Return on Equity (Normalized) | 15.27% | 6.45% | 15.08% |
Return on Invested Capital (Normalized) | — | — | — |
|
Ticker
|
Name
|
Morningstar Rating for Stocks
|
Capital Allocation
|
Economic Moat
|
Market Cap
|
|---|---|---|---|---|---|
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