Banco Bilbao Vizcaya Argentaria S.A. [NYSE: BBVA] price surged by 12.57 percent to reach at $0.47. The company report on November 16, 2020 that BBVA sells U.S. subsidiary to PNC for $11.6 billion.
BBVA has agreed to sell to PNC its subsidiary in the U.S. for $11.6 billion (€9.7 billion1) in cash, an amount that represents 19.7 times the unit’s 2019 earnings2, and that is almost 50% of BBVA’s current market capitalization, creating significant value for shareholders. The transaction will have a positive impact on BBVA’s fully loaded CET1 ratio of c.300 basis points, or €8.5 billion of CET1 generation.
“This is a very positive transaction for all sides. PNC has recognized the great value of our unique client franchise and of our great team in the US, who will be part of a leading financial services group in the country,” said BBVA Group executive chairman Carlos Torres Vila. “The deal enhances our already strong financial position. We will have ample flexibility to profitably deploy capital in our markets strengthening our long-term growth profile and supporting economies in the recovery phase, and to increase distributions to shareholders.”.
A sum of 16970091 shares traded at recent session while its average daily volume was at 3.65M shares. Banco Bilbao Vizcaya Argentaria S.A. shares reached a high of $4.4487 and dropped to a low of $4.14 until finishing in the latest session at $4.21.
The one-year BBVA stock forecast points to a potential downside of -43.2.
Guru’s Opinion on Banco Bilbao Vizcaya Argentaria S.A. [BBVA]:
Societe Generale have made an estimate for Banco Bilbao Vizcaya Argentaria S.A. shares, keeping their opinion on the stock as Hold, with their previous recommendation back on November 03, 2020. The new note on the price target was released on May 13, 2020, representing the official price target for Banco Bilbao Vizcaya Argentaria S.A. stock.
The Average True Range (ATR) for Banco Bilbao Vizcaya Argentaria S.A. is set at 0.18, with the Price to Sales ratio for BBVA stock in the period of the last 12 months amounting to 1.04. The Price to Book ratio for the last quarter was 0.55, with the Price to Cash per share for the same quarter was set at 50.81.
BBVA Stock Performance Analysis:
Banco Bilbao Vizcaya Argentaria S.A. [BBVA] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 22.74. With this latest performance, BBVA shares gained by 54.78% in over the last four-week period, additionally plugging by 50.90% over the last 6 months – not to mention a drop of -20.42% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for BBVA stock in for the last two-week period is set at 79.44, with the RSI for the last a single of trading hit 83.54, and the three-weeks RSI is set at 75.07 for Banco Bilbao Vizcaya Argentaria S.A. [BBVA]. The present Moving Average for the last 50 days of trading for this stock 2.90, while it was recorded at 3.76 for the last single week of trading, and 3.37 for the last 200 days.
Insight into Banco Bilbao Vizcaya Argentaria S.A. Fundamentals:
Operating Margin for any stock indicates how profitable investing would be, and Banco Bilbao Vizcaya Argentaria S.A. [BBVA] shares currently have an operating margin of +27.60. Banco Bilbao Vizcaya Argentaria S.A.’s Net Margin is presently recorded at +7.11.
Return on Total Capital for BBVA is now 5.58, given the latest momentum, and Return on Invested Capital for the company is 1.72. Return on Equity for this stock inclined to 6.45, with Return on Assets sitting at 0.45. When it comes to the capital structure of this company, Banco Bilbao Vizcaya Argentaria S.A. [BBVA] has a Total Debt to Total Equity ratio set at 327.96. Additionally, BBVA Total Debt to Total Capital is recorded at 76.63, with Total Debt to Total Assets ending up at 22.87. Long-Term Debt to Equity for the company is recorded at 304.34, with the Long-Term Debt to Total Capital now at 71.11.
Reflecting on the efficiency of the workforce at the company, Banco Bilbao Vizcaya Argentaria S.A. [BBVA] managed to generate an average of $24,360 per employee.
BBVA Stock EPS
The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for BBVA. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for Banco Bilbao Vizcaya Argentaria S.A. go to 7.20%.
Banco Bilbao Vizcaya Argentaria S.A. [BBVA] Insider Position Details
There are presently around $590 million, or 2.50% of BBVA stock, in the hands of institutional investors. The top three institutional holders of BBVA stocks are: FISHER ASSET MANAGEMENT, LLC with ownership of 36,088,072, which is approximately -10.608% of the company’s market cap and around 7.90% of the total institutional ownership; HARDING LOEVNER LP, holding 31,481,729 shares of the stock with an approximate value of $132.54 million in BBVA stocks shares; and NORTHERN TRUST CORP, currently with $45.19 million in BBVA stock with ownership of nearly 1.743% of the company’s market capitalization.
Positions in Banco Bilbao Vizcaya Argentaria S.A. stocks held by institutional investors increased at the end of October and at the time of the October reporting period, where 95 institutional holders increased their position in Banco Bilbao Vizcaya Argentaria S.A. [NYSE:BBVA] by around 10,455,820 shares. Additionally, 93 investors decreased positions by around 19,138,631 shares, while 46 investors held positions by with 110,482,051 shares. The mentioned changes placed institutional holdings at 140,076,502 shares, according to the latest SEC report filing. BBVA stock had 28 new institutional investments in for a total of 1,726,156 shares, while 29 institutional investors sold positions of 7,708,072 shares during the same period.