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Popular
(NASDAQ:BPOP)
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Rating:70Outperform
Price Target:
$173.00
â–²(2.03% Upside)
Action:Reiterated
Date:10/23/26
The score is driven primarily by solid underlying financial performance (profitability, improving ROE, manageable leverage, and strong recent cash generation) and supportive valuation (low P/E plus dividend). These positives are tempered by weaker technical momentum (negative MACD and below key moving averages) and earnings-call risks tied to deposits and credit (higher NPLs and elevated charge-off guidance), despite constructive net interest income and capital return outlook.
Positive Factors
Strong profitability and cash generation
Popular combines strong current profitability with substantial cash generation, giving it internal capacity to support lending, technology investment, dividends, and repurchases. Improving returns on equity and manageable leverage also indicate a resilient balance sheet that can support execution over the next several quarters.
Negative Factors
Deposit contraction and slower loan growth
Lower deposits reduce the funding base available for asset growth, while slower loan expansion limits the ability to compound interest income. The combination suggests greater competition for customer balances and a more selective lending environment, potentially constraining revenue growth over coming quarters.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong profitability and cash generation
Popular combines strong current profitability with substantial cash generation, giving it internal capacity to support lending, technology investment, dividends, and repurchases. Improving returns on equity and manageable leverage also indicate a resilient balance sheet that can support execution over the next several quarters.
Read all positive factors
Popular (BPOP) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$10.16B
Dividend Yield1.98%
Average Volume (3M)524.57K
Price to Earnings (P/E)10.0
Beta (1Y)0.87
Revenue Growth3.94%
EPS Growth40.61%
CountryUS
Employees9,112
SectorFinancial
Sector Strength70
IndustryBanks - Regional
Share Statistics
EPS (TTM)14.82
Shares Outstanding63,778,500
10 Day Avg. Volume471,988
30 Day Avg. Volume524,568
Financial Highlights & Ratios
PEG Ratio0.23
Price to Book (P/B)1.35
Price to Sales (P/S)1.90
P/FCF Ratio12.36
Enterprise Value/Market Cap1.06
Enterprise Value/Revenue2.40
Enterprise Value/Gross Profit3.47
Enterprise Value/Ebitda9.10
Forecast
1Y Price Target
$195.29Price Target Upside15.18% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering7
EPS Forecast (FY)15.92
Revenue Forecast (FY)$3.59B
Popular Business Overview & Revenue Model
Company Description
Popular, Inc., along with its subsidiaries, offers a broad spectrum of financial products and services encompassing retail, mortgage, and commercial banking. These operations extend across Puerto Rico, the United States, and the British Virgin Isl...
How the Company Makes Money
Popular, Inc. generates revenue primarily through traditional banking and related financial services activities. A key source of earnings is net interest income: the company collects interest on loans (e.g., consumer, mortgage, and commercial cred...
Popular Earnings Call Summary
Earnings Call Date:Oct 22, 2026
(Q3-2026)
| % Change Since: |
Next Earnings Date:Jan 28, 2027
Earnings Call Sentiment Positive
The call was broadly positive, with strong year-over-year earnings growth, solid core credit performance, stable Puerto Rico economic conditions, recurring efficiency gains, continued capital returns, and ongoing net interest income growth. These positives were partly offset by sequentially lower earnings and ROTCE, deposit declines, moderating loan growth, higher expenses, lower NIM, increased nonperforming loans, and higher full-year charge-off guidance.Positive Updates
Strong Quarterly Earnings Growth
Popular reported third-quarter net income of $266 million and earnings per share of $4.21. Compared with the third quarter of 2025, earnings per share increased by 34%.
Negative Updates
Quarterly Earnings and ROTCE Declined Sequentially
Earnings per share decreased by $0.14 from the second quarter, while ROTCE declined from 17% in the second quarter to 15.8%.
Read all updates
Q3-2026 Updates
Positive
Negative
Strong Quarterly Earnings Growth
Popular reported third-quarter net income of $266 million and earnings per share of $4.21. Compared with the third quarter of 2025, earnings per share increased by 34%.
Read all positive updates
Company Guidance
Management expects full year loan growth for 2026 of approximately 2%, Puerto Rico public deposits to remain between $20 billion and $22 billion for the rest of the year, net interest income to increase by approximately 8.5%, fourth quarter non interest income of $170 million, full year operational expenses to increase by approximately 2% including the maximum profit sharing contribution, and a full-year effective tax rate of 14%; net charge-offs are expected to be in the range of 80-90 basis points for the full year and, looking ahead to 2027, in the range of roughly 60 to 75 basis points, fourth quarter common-stock repurchases are expected to be between $150 million and $200 million, quarterly repurchases are expected to remain within a similar range during 2027, and the company continues to target a 14% to 17% annual RoTCE.Popular Financial Statement Overview
Summary
Income Statement
78
Positive
Balance Sheet
74
Positive
Cash Flow
71
Positive
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 4.50B | 4.43B | 4.19B | 3.76B | 3.24B | 2.64B |
| Gross Profit | 3.11B | 2.93B | 2.54B | 2.44B | 2.85B | 2.67B |
| EBITDA | 1.19B | 1.06B | 856.63M | 737.23M | 1.29B | 1.31B |
| Net Income | 969.11M | 833.16M | 614.21M | 541.34M | 1.10B | 934.89M |
Balance Sheet | ||||||
| Total Assets | 78.97B | 75.35B | 73.05B | 70.76B | 67.64B | 75.10B |
| Cash, Cash Equivalents and Short-Term Investments | 25.08B | 25.61B | 25.02B | 24.08B | 23.76B | 42.84B |
| Total Debt | 1.60B | 1.59B | 1.31B | 1.24B | 1.58B | 1.34B |
| Total Liabilities | 72.54B | 69.10B | 67.43B | 65.61B | 63.54B | 69.13B |
| Stockholders Equity | 6.43B | 6.25B | 5.61B | 5.15B | 4.09B | 5.97B |
Cash Flow | ||||||
| Free Cash Flow | 807.17M | 680.99M | 461.31M | 478.57M | 910.75M | 931.47M |
| Operating Cash Flow | 1.00B | 878.45M | 674.72M | 686.61M | 1.01B | 1.01B |
| Investing Cash Flow | -3.34B | -1.76B | -1.63B | -2.61B | 5.35B | -10.52B |
| Financing Cash Flow | 2.30B | 864.58M | 959.58M | 1.88B | -6.32B | 9.45B |
Popular Technical Analysis
Neutral
169.55
Price Trends
162.93
Negative
164.75
Negative
151.40
Positive
Market Momentum
-0.81
Negative
49.12
Neutral
68.91
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BPOP, the sentiment is Neutral. The current price of 169.55 is above the 20-day moving average (MA) of 157.64, above the 50-day MA of 162.93, and above the 200-day MA of 151.40, indicating a neutral trend. The MACD of -0.81 indicates Negative momentum. The RSI at 49.12 is Neutral, neither overbought nor oversold. The STOCH value of 68.91 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for BPOP.
Popular Risk Analysis
Popular disclosed 64 risk factors in its most recent earnings report. Popular reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Popular Peers Comparison
UnderperformOutperform
Sector (68)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
78 Outperform | $2.17B | 9.88 | 16.38% | 2.63% | 2.09% | 19.22% | |
75 Outperform | $4.19B | 11.43 | 18.91% | 2.84% | 3.06% | 15.68% | |
70 Outperform | $10.16B | 10.03 | 16.24% | 1.98% | 3.94% | 40.61% | |
70 Outperform | $7.77B | 10.90 | 9.37% | 3.13% | 3.40% | 44.33% | |
68 Neutral | $18.00B | 11.42 | 9.92% | 3.81% | 9.73% | 1.22% | |
65 Neutral | $1.18B | 17.62 | 8.03% | 1.20% | -8.09% | 6.96% | |
64 Neutral | $11.11B | 16.62 | 7.91% | 2.82% | -7.92% | -15.84% |
* Financial Sector Average
BPOP
Popular
159.24
49.23
44.75%
FBP
First Bancorp Puerto Rico
27.42
8.26
43.13%
FHN
First Horizon
23.44
3.02
14.81%
OFG
OFG Bancorp
51.27
13.37
35.29%
VLY
Valley National Bancorp
14.06
3.32
30.95%
AMTB
Amerant Bancorp
30.06
12.81
74.28%
Popular Corporate Events
Business Operations and StrategyDividends
Popular announces quarterly cash dividend to shareholders
Positive
Oct 23, 2026
On October 23, 2026, Popular, Inc. announced that its Board of Directors approved a quarterly cash dividend of $0.90 per share on its outstanding common stock. The dividend is scheduled to be paid on January 4, 2027 to shareholders of record as of...
Stock BuybackDividendsFinancial Disclosures
Popular reports solid Q3 results and boosts shareholder returns
Positive
Oct 22, 2026
Popular, Inc. reported unaudited financial results for the quarter ended September 30, 2026, highlighting net income of $266 million and earnings per share of $4.21, down 3% from the prior quarter but 34% above the year-earlier period. Return on t...
DividendsFinancial Disclosures
Popular Declares Quarterly Cash Dividend, Signals Ongoing Strength
Positive
Aug 20, 2026
On August 20, 2026, Popular, Inc. announced that its board of directors approved a quarterly cash dividend of $0.90 per share on its outstanding common stock. The dividend will be paid on October 1, 2026 to shareholders of record as of the close o...
Executive/Board Changes
Popular Announces New CEO and CFO Leadership Transition
Neutral
Aug 20, 2026
On July 23, 2026, Popular, Inc. announced that Jorge J. García will become President and Chief Executive Officer and Lidio V. Soriano will become Executive Vice President and Chief Financial Officer, with both appointments effective September...
Business Operations and StrategyExecutive/Board ChangesStock BuybackDividendsFinancial Disclosures
Popular unveils capital plan and leadership transition
Positive
Jul 23, 2026
Popular, Inc. reported unaudited second-quarter 2026 net income of $278 million, up 13% from the prior quarter and 32% year over year, with basic and diluted EPS of $4.35 and return on tangible common equity rising to 17%. Results were driven by h...
Business Operations and StrategyExecutive/Board ChangesFinancial Disclosures
Popular Announces CEO Retirement and Leadership Transition
Positive
Jul 23, 2026
Popular announced on July 23, 2026 that President and CEO Javier D. Ferrer will retire effective August 31, 2026, ending a tenure that began in 2014 in various leadership roles and as CEO in July 2025. In recognition of his 2026 service, the board...
Business Operations and StrategyStock BuybackDividends
Popular Boosts Dividend and Launches New Buyback Program
Positive
Jul 23, 2026
On July 23, 2026, Popular, Inc. announced plans to raise its quarterly common stock dividend from $0.75 to $0.90 per share starting with the fourth-quarter 2026 payout, subject to board approval. The move signals management’s confidence in t...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.