BBVA

BBVA

Fundamental data last updated:April 13, 2026

company profile

SECTOR

Financial Services

industry

Banks - Diversified

Exchange

NYSE

County of HQ

Spain

Next Earnings Date

04/29/26

Business Summary

BBVA is a diversified banking institution generating revenue primarily through net interest income, lending spreads, fee-based services, and cross-border financial operations. Its moat is built on scale, customer deposits, regulatory licenses, and entrenched relationships across retail and commercial banking. The bank converts deposits into earning assets, leveraging its balance sheet to produce spread income while layering in advisory, payments, and transaction fees. Cash generation ultimately depends on disciplined credit underwriting, efficient funding costs, and maintaining margin stability across economic cycles.

VALUATION

P/E

11.2

Market Cap ($M USD)

$131,445

Forward P/E

11.2

PEG

15.3

PRICE TO SALES

2.9

PRICE TO BOOK

1.9

EV / EBITDA

-

5-Year Average P/E

DIVIDEND

Yield

4.70%

Annual Payout

$1.08

Payout Ratio

41.00%

Consecutive Years of Dividend Growth

2

5-Year Dividend Growth Rate

-

Financial Health & Profitability

Earnings Per Share

$2.03

Next Year EPS Growth Estimate

$2.05

Next Year Revenue Growth Estimate

4.70%

Return on Equity (ROE)

17.60%

Operating Margin

59.10%

Debt-to-Equity

1.6

Piotroski F-Score

3

Altman Z-Score

-

Return on Invested Capital (ROIC)

28.80%%

Current Ratio

-

Quick Ratio

Gainseekers Quantitative Analysis

Summary

BBVA is trading at 11.2x earnings with a matching 11.2 forward P/E, which signals a market pricing in stagnation rather than expansion. A 15.3 forward PEG is rich relative to that multiple, implying the earnings growth outlook does not justify even this moderate valuation. Profitability is mixed: a 17.60% operating margin and 28.80% ROIC are strong, but a 4.70% return on equity is underwhelming for a diversified bank. With a $131,445M market cap and a 1.9 price-to-book, the stock is not distressed, yet it is not priced like a high-quality compounder either—this is a middling franchise valued as stable but uninspiring.

AI Exposure / Tech Reliance

As a diversified bank in Financial Services, BBVA’s AI leverage comes from data-rich lending, underwriting, and risk modeling. The ability to automate credit decisions and improve cost efficiency directly supports its 17.60% operating margin. However, technology is table stakes in modern banking, meaning AI is more defensive than transformational for this industry positioning.

The Bull Case

A value-oriented investor could argue the 11.2 P/E for a bank generating 28.80% ROIC is a disconnect, especially with a 17.60% operating margin that signals disciplined cost control. The 1.9 price-to-book is not excessive for a franchise of this scale, and institutional ownership at 28.56% leaves room for accumulation if fundamentals improve. While the Piotroski F-Score of 3 is weak, the balance between profitability and a manageable 59.10% debt-to-equity ratio suggests the core earnings engine is intact. With EPS next year estimated at $2.03 and sales growth next year at $2.05, the setup resembles a steady, income-generating bank trading at a market multiple rather than a premium financial compounder.

The Bear Case

The bear case centers on quality deterioration signals: a Piotroski F-Score of 3 is a red flag for weakening fundamentals. A 15.3 forward PEG ratio suggests investors are overpaying relative to growth expectations, and the 4.70% return on equity is simply not impressive for a leveraged financial institution. Debt-to-equity at 59.10% adds structural sensitivity to credit cycles, while a payout ratio listed at $1.08 paired with a 1.6 TTM yield and Dividend Per Share USD of 4.70% creates ambiguity around capital allocation efficiency. Consensus Rating at 0.00% and a Mean Consensus Target Price of 1.7 reflect a striking lack of bullish conviction.

Market Sentiment & Smart Money

Short Interest %

0.00%

Analyst Consensus

1.7

Average Analyst Price Target

$28.56

Institutional Ownership %

3.40%

1-Year Beta

1.15

Insider Buying % (6 Mo)

0.00%%

Distance to 52-Week High

88.00%%

Distance to 52-Week Low

183.20%%