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
|
ING
|
ACA
|
|---|---|---|---|
Price/Earnings (Normalized) | 5.76 | 4.69 | 5.82 |
Price/Book Value | 1.02 | 0.92 | 0.28 |
Price/Sales | 2.16 | 2.33 | 1.57 |
Price/Cash Flow | 5.45 | 5.97 | 1.65 |
|
Metric
|
KBC
|
ING
|
ACA
|
|---|---|---|---|
Quick Ratio | — | — | — |
Current Ratio | — | — | — |
Interest Coverage | — | — | — |
|
Metric
|
KBC
|
ING
|
ACA
|
|---|---|---|---|
Return on Assets (Normalized) | 0.92% | 0.59% | 0.24% |
Return on Equity (Normalized) | 16.12% | 11.80% | 5.67% |
Return on Invested Capital (Normalized) | — | — | — |
|
Ticker
|
Name
|
Morningstar Rating for Stocks
|
Economic Moat
|
Market Cap
|
|---|---|---|---|---|
BNPQY
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PNC
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TFC
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MFG
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LYG
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BBD
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DB
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