BANCA SISTEMA SPA (BST.MI) Stock Fundamental Analysis
BIT:BST - Euronext Milan - IT0003173629 - Common Stock - Currency: EUR
Taking everything into account, BST scores 5 out of 10 in our fundamental rating. BST was compared to 95 industry peers in the Banks industry. There are concerns on the financial health of BST while its profitability can be described as average. BST may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
BST had positive earnings in the past year.
BST had a negative operating cash flow in the past year.
In the past 5 years BST has always been profitable.
The reported operating cash flow has been mixed in the past 5 years: BST reported negative operating cash flow in multiple years.
1.2 Ratios
With a Return On Assets value of 0.54%, BST perfoms like the industry average, outperforming 45.26% of the companies in the same industry.
BST has a Return On Equity (8.40%) which is in line with its industry peers.
BST has a Return On Invested Capital of 0.59%. This is amongst the best in the industry. BST outperforms 100.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for BST is in line with the industry average of 0.59%.
The 3 year average ROIC (0.48%) for BST is below the current ROIC(0.59%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.54% | ||
| ROE | 8.4% | ||
| ROIC | 0.59% |
ROA(3y)0.47%
ROA(5y)0.55%
ROE(3y)7.85%
ROE(5y)9.17%
ROIC(3y)0.48%
ROIC(5y)0.55%
1.3 Margins
With a Profit Margin value of 17.86%, BST is not doing good in the industry: 61.05% of the companies in the same industry are doing better.
BST's Profit Margin has declined in the last couple of years.
BST's Operating Margin of 29.78% is amongst the best of the industry. BST outperforms 100.00% of its industry peers.
In the last couple of years the Operating Margin of BST has declined.
With an excellent Gross Margin value of 85.94%, BST belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
In the last couple of years the Gross Margin of BST has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.78% | ||
| PM (TTM) | 17.86% | ||
| GM | 85.94% |
OM growth 3Y0.62%
OM growth 5Y-5.25%
PM growth 3Y-3.25%
PM growth 5Y-8.39%
GM growth 3Y-2.09%
GM growth 5Y-1.78%
2. Health
2.1 Basic Checks
BST has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for BST remains at a similar level compared to 1 year ago.
Compared to 5 years ago, BST has about the same amount of shares outstanding.
Compared to 1 year ago, BST has an improved debt to assets ratio.
2.2 Solvency
BST has an Altman-Z score of -0.83. This is a bad value and indicates that BST is not financially healthy and even has some risk of bankruptcy.
BST has a Altman-Z score of -0.83. This is amongst the best in the industry. BST outperforms 100.00% of its industry peers.
A Debt/Equity ratio of 13.71 is on the high side and indicates that BST has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 13.71, BST is doing worse than 90.53% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 13.71 | ||
| Debt/FCF | N/A | ||
| Altman-Z | -0.83 |
ROIC/WACC0.16
WACC3.64%
2.3 Liquidity
BST has a Current Ratio of 0.03. This is a bad value and indicates that BST is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.03, BST belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
A Quick Ratio of 0.03 indicates that BST may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.03, BST belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.03 | ||
| Quick Ratio | 0.03 |
3. Growth
3.1 Past
BST shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 52.41%, which is quite impressive.
BST shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -2.89% yearly.
The Revenue has grown by 17.14% in the past year. This is quite good.
The Revenue has been growing slightly by 5.61% on average over the past years.
EPS 1Y (TTM)52.41%
EPS 3Y2.71%
EPS 5Y-2.89%
EPS Q2Q%149.92%
Revenue 1Y (TTM)17.14%
Revenue growth 3Y6.16%
Revenue growth 5Y5.61%
Sales Q2Q%8.81%
3.2 Future
Based on estimates for the next years, BST will show a very strong growth in Earnings Per Share. The EPS will grow by 33.09% on average per year.
BST is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.42% yearly.
EPS Next Y35.97%
EPS Next 2Y28.95%
EPS Next 3Y33.09%
EPS Next 5YN/A
Revenue Next Year9.74%
Revenue Next 2Y8.54%
Revenue Next 3Y9.42%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
BST is valuated cheaply with a Price/Earnings ratio of 5.27.
91.58% of the companies in the same industry are more expensive than BST, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 28.10, BST is valued rather cheaply.
The Price/Forward Earnings ratio is 5.38, which indicates a rather cheap valuation of BST.
Compared to the rest of the industry, the Price/Forward Earnings ratio of BST indicates a rather cheap valuation: BST is cheaper than 98.95% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 20.74, BST is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.27 | ||
| Fwd PE | 5.38 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of BST indicates a rather cheap valuation: BST is cheaper than 100.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 5.27 |
4.3 Compensation for Growth
BST's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as BST's earnings are expected to grow with 33.09% in the coming years.
PEG (NY)0.15
PEG (5Y)N/A
EPS Next 2Y28.95%
EPS Next 3Y33.09%
5. Dividend
5.1 Amount
BST has a Yearly Dividend Yield of 3.96%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 5.30, BST is paying slightly less dividend.
BST's Dividend Yield is rather good when compared to the S&P500 average which is at 2.43.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.96% |
5.2 History
The dividend of BST decreases each year by -5.71%.
Dividend Growth(5Y)-5.71%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
BST pays out 20.73% of its income as dividend. This is a sustainable payout ratio.
DP20.73%
EPS Next 2Y28.95%
EPS Next 3Y33.09%
BIT:BST (5/6/2025, 5:29:52 PM)
1.634
+0.01 (+0.62%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)
Earnings (Next)
Inst Owners8.98%
Inst Owner ChangeN/A
Ins Owners23.61%
Ins Owner ChangeN/A
Market Cap131.41M
Analysts82.86
Price Target2.2 (34.64%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.96% |
Yearly Dividend0.07
Dividend Growth(5Y)-5.71%
DP20.73%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)10.6%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-4.75%
EPS NY rev (3m)-4.75%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.41%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.27 | ||
| Fwd PE | 5.38 | ||
| P/S | 0.93 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 0.44 | ||
| P/tB | 0.52 | ||
| EV/EBITDA | 5.27 |
EPS(TTM)0.31
EY18.97%
EPS(NY)0.3
Fwd EY18.57%
FCF(TTM)-1.76
FCFYN/A
OCF(TTM)-1.7
OCFYN/A
SpS1.75
BVpS3.73
TBVpS3.14
PEG (NY)0.15
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.54% | ||
| ROE | 8.4% | ||
| ROCE | 5.42% | ||
| ROIC | 0.59% | ||
| ROICexc | 0.6% | ||
| ROICexgc | 0.68% | ||
| OM | 29.78% | ||
| PM (TTM) | 17.86% | ||
| GM | 85.94% | ||
| FCFM | N/A |
ROA(3y)0.47%
ROA(5y)0.55%
ROE(3y)7.85%
ROE(5y)9.17%
ROIC(3y)0.48%
ROIC(5y)0.55%
ROICexc(3y)0.5%
ROICexc(5y)0.57%
ROICexgc(3y)0.54%
ROICexgc(5y)0.59%
ROCE(3y)4.74%
ROCE(5y)5.2%
ROICexcg growth 3Y1.01%
ROICexcg growth 5Y-2.17%
ROICexc growth 3Y-2.27%
ROICexc growth 5Y-4.36%
OM growth 3Y0.62%
OM growth 5Y-5.25%
PM growth 3Y-3.25%
PM growth 5Y-8.39%
GM growth 3Y-2.09%
GM growth 5Y-1.78%
F-Score3
Asset Turnover0.03
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 13.71 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 90.78 | ||
| Cap/Depr | 151.98% | ||
| Cap/Sales | 3.56% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.03 | ||
| Quick Ratio | 0.03 | ||
| Altman-Z | -0.83 |
F-Score3
WACC3.64%
ROIC/WACC0.16
Cap/Depr(3y)105.28%
Cap/Depr(5y)497.24%
Cap/Sales(3y)2.58%
Cap/Sales(5y)9.76%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)52.41%
EPS 3Y2.71%
EPS 5Y-2.89%
EPS Q2Q%149.92%
EPS Next Y35.97%
EPS Next 2Y28.95%
EPS Next 3Y33.09%
EPS Next 5YN/A
Revenue 1Y (TTM)17.14%
Revenue growth 3Y6.16%
Revenue growth 5Y5.61%
Sales Q2Q%8.81%
Revenue Next Year9.74%
Revenue Next 2Y8.54%
Revenue Next 3Y9.42%
Revenue Next 5YN/A
EBIT growth 1Y63.43%
EBIT growth 3Y6.82%
EBIT growth 5Y0.07%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-209.77%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-204.45%
OCF growth 3YN/A
OCF growth 5YN/A