HSBC HOLDINGS PLC (HBC1.DE) Stock Fundamental Analysis
Europe - FRA:HBC1 - GB0005405286 - Common Stock
11.8 EUR
+0.02 (+0.17%)
We assign a fundamental rating of 4 out of 10 to HBC1. HBC1 was compared to 95 industry peers in the Banks industry. There are concerns on the financial health of HBC1 while its profitability can be described as average. HBC1 has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
HBC1 had positive earnings in the past year.
In the past year HBC1 had a positive cash flow from operations.
HBC1 had positive earnings in each of the past 5 years.
Each year in the past 5 years HBC1 had a positive operating cash flow.
1.2 Ratios
The Return On Assets of HBC1 (0.96%) is better than 66.32% of its industry peers.
Looking at the Return On Equity, with a value of 16.05%, HBC1 belongs to the top of the industry, outperforming 87.37% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.96% | ||
| ROE | 16.05% | ||
| ROIC | N/A |
ROA(3y)0.66%
ROA(5y)0.51%
ROE(3y)10.85%
ROE(5y)8.24%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
HBC1's Profit Margin of 24.34% is fine compared to the rest of the industry. HBC1 outperforms 63.16% of its industry peers.
HBC1's Profit Margin has improved in the last couple of years.
HBC1 does not have Operating Margin and Gross Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 24.34% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y16.29%
PM growth 5Y29.2%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
HBC1 does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for HBC1 has been reduced compared to 1 year ago.
HBC1 has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, HBC1 has a worse debt to assets ratio.
2.2 Solvency
The Debt to FCF ratio of HBC1 is 7.73, which is on the high side as it means it would take HBC1, 7.73 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 7.73, HBC1 belongs to the top of the industry, outperforming 85.26% of the companies in the same industry.
A Debt/Equity ratio of 1.91 is on the high side and indicates that HBC1 has dependencies on debt financing.
The Debt to Equity ratio of HBC1 (1.91) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.91 | ||
| Debt/FCF | 7.73 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC4.94%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 17.65% over the past year.
Measured over the past years, HBC1 shows a very strong growth in Earnings Per Share. The EPS has been growing by 32.82% on average per year.
HBC1 shows a small growth in Revenue. In the last year, the Revenue has grown by 3.05%.
The Revenue has been growing slightly by 1.30% on average over the past years.
EPS 1Y (TTM)17.65%
EPS 3Y25.99%
EPS 5Y32.82%
EPS Q2Q%14.71%
Revenue 1Y (TTM)3.05%
Revenue growth 3Y4.95%
Revenue growth 5Y1.3%
Sales Q2Q%1.74%
3.2 Future
The Earnings Per Share is expected to grow by 3.11% on average over the next years.
The Revenue is expected to grow by 1.96% on average over the next years.
EPS Next Y6.07%
EPS Next 2Y5.23%
EPS Next 3Y6.67%
EPS Next 5Y3.11%
Revenue Next Year1.44%
Revenue Next 2Y1.24%
Revenue Next 3Y2.01%
Revenue Next 5Y1.96%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
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
Based on the Price/Earnings ratio of 10.00, the valuation of HBC1 can be described as reasonable.
HBC1's Price/Earnings ratio is in line with the industry average.
HBC1 is valuated cheaply when we compare the Price/Earnings ratio to 27.41, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 9.69 indicates a reasonable valuation of HBC1.
Compared to the rest of the industry, the Price/Forward Earnings ratio of HBC1 is on the same level as its industry peers.
HBC1's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.88.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10 | ||
| Fwd PE | 9.69 |
4.2 Price Multiples
Compared to the rest of the industry, the Price/Free Cash Flow ratio of HBC1 indicates a rather cheap valuation: HBC1 is cheaper than 97.89% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 1.02 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.65
PEG (5Y)0.3
EPS Next 2Y5.23%
EPS Next 3Y6.67%
5. Dividend
5.1 Amount
HBC1 has a Yearly Dividend Yield of 4.05%, which is a nice return.
HBC1's Dividend Yield is comparable with the industry average which is at 4.93.
HBC1's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.05% |
5.2 History
On average, the dividend of HBC1 grows each year by 13.67%, which is quite nice.
Dividend Growth(5Y)13.67%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
43.96% of the earnings are spent on dividend by HBC1. This is a bit on the high side, but may be sustainable.
The dividend of HBC1 is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP43.96%
EPS Next 2Y5.23%
EPS Next 3Y6.67%
FRA:HBC1 (9/18/2025, 7:00:00 PM)
11.8
+0.02 (+0.17%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)
Earnings (Next)
Inst Owners38.09%
Inst Owner ChangeN/A
Ins Owners0.08%
Ins Owner ChangeN/A
Market Cap40.94B
Analysts70.48
Price Target11.85 (0.42%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.05% |
Yearly Dividend0.78
Dividend Growth(5Y)13.67%
DP43.96%
Div Incr Years4
Div Non Decr Years4
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)17.91%
Min EPS beat(2)17.01%
Max EPS beat(2)18.81%
EPS beat(4)4
Avg EPS beat(4)13.97%
Min EPS beat(4)3.96%
Max EPS beat(4)18.81%
EPS beat(8)6
Avg EPS beat(8)4.44%
EPS beat(12)10
Avg EPS beat(12)10.42%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)0.83%
Min Revenue beat(2)-1.5%
Max Revenue beat(2)3.16%
Revenue beat(4)3
Avg Revenue beat(4)2.63%
Min Revenue beat(4)-1.5%
Max Revenue beat(4)5.06%
Revenue beat(8)5
Avg Revenue beat(8)1.36%
Revenue beat(12)9
Avg Revenue beat(12)18.25%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)3.33%
PT rev (3m)3.32%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-7.35%
EPS NY rev (1m)3.17%
EPS NY rev (3m)3.17%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.5%
Revenue NY rev (1m)0.78%
Revenue NY rev (3m)1.47%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10 | ||
| Fwd PE | 9.69 | ||
| P/S | 0.38 | ||
| P/FCF | 1.02 | ||
| P/OCF | 0.93 | ||
| P/B | 0.25 | ||
| P/tB | 0.27 | ||
| EV/EBITDA | N/A |
EPS(TTM)1.18
EY10%
EPS(NY)1.22
Fwd EY10.32%
FCF(TTM)11.61
FCFY98.4%
OCF(TTM)12.63
OCFY107.05%
SpS30.98
BVpS46.97
TBVpS43.79
PEG (NY)1.65
PEG (5Y)0.3
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.96% | ||
| ROE | 16.05% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | 24.34% | ||
| GM | N/A | ||
| FCFM | 37.48% |
ROA(3y)0.66%
ROA(5y)0.51%
ROE(3y)10.85%
ROE(5y)8.24%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y16.29%
PM growth 5Y29.2%
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.04
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.91 | ||
| Debt/FCF | 7.73 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 96.49% | ||
| Cap/Sales | 3.29% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | 154.02% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score5
WACC4.94%
ROIC/WACCN/A
Cap/Depr(3y)105.46%
Cap/Depr(5y)93.3%
Cap/Sales(3y)5.5%
Cap/Sales(5y)5.34%
Profit Quality(3y)176.69%
Profit Quality(5y)1182.77%
High Growth Momentum
Growth
EPS 1Y (TTM)17.65%
EPS 3Y25.99%
EPS 5Y32.82%
EPS Q2Q%14.71%
EPS Next Y6.07%
EPS Next 2Y5.23%
EPS Next 3Y6.67%
EPS Next 5Y3.11%
Revenue 1Y (TTM)3.05%
Revenue growth 3Y4.95%
Revenue growth 5Y1.3%
Sales Q2Q%1.74%
Revenue Next Year1.44%
Revenue Next 2Y1.24%
Revenue Next 3Y2.01%
Revenue Next 5Y1.96%
EBIT growth 1YN/A
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year-13.1%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y1575.61%
FCF growth 3Y-15.21%
FCF growth 5Y18.66%
OCF growth 1Y653.5%
OCF growth 3Y-14.45%
OCF growth 5Y17.03%