Erste Group Bank AG AI Stock Analysis
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Erste Group Bank AG (EBKDY) AI Stock Analysis
Erste Group Bank AG
(Other OTC:EBKDY)
The score is led by a strong and upgraded outlook from the latest earnings call, supported by reasonable valuation. Offsetting this, financial quality is held back by highly volatile and recently weak cash-flow metrics, and technical signals are mixed with negative MACD and price below key intermediate moving averages.
Erste Group Bank AG (EBKDY) vs. SPDR S&P 500 ETF (SPY)
- Market Cap
- $101.45B
- Dividend Yield
- 0.67%
- Average Volume (3M)
- 53.56K
- Price to Earnings (P/E)
- 11.8
- Beta (1Y)
- 0.87
- Revenue Growth
- 19.99%
- EPS Growth
- 33.97%
- Country
- US
- Employees
- 49,024
- Sector
- Financial
- Sector Strength
- 68
- Industry
- Banks - Regional
Erste Group Bank AG Business Overview & Revenue Model
Company Description
Erste Group Bank AG, a venerable financial institution established in 1819 and headquartered in Vienna, Austria, delivers a broad spectrum of banking and financial solutions. The company serves a diverse clientele that includes individual consumers,...
How the Company Makes Money
Erste Group Bank AG makes money primarily by earning spread-based and fee-based income from a diversified banking model: 1) Net interest income (lending and deposits): The largest driver for most universal banks is typically net interest income—the d...
Erste Group Bank AG Earnings Call Summary
The call was strongly positive overall. Erste Group reported record quarterly revenue, operating profit, net profit, returns, fee income, and cost efficiency, while upgrading several 2026 targets and confirming net profit above EUR 4 billion. Risk costs and asset quality remained favorable, loan growth was robust, and management expressed confidence in continued business momentum. The main challenges were lower trading and fair value income, deposit and competitive pressures, the temporary CET1 and RWA effects, Polish campaign and integration-related items, the upcoming Czech pension-fee impact, and continued macroeconomic uncertainty. These lowlights were explicitly acknowledged but did not outweigh the breadth of the reported achievements and upgraded outlook.
Q3-2026 Updates
Positive Updates
Negative Updates
Company Guidance
For 2026, Erste expects organic loan growth of 6%-8%, “towards the upper end” of that range excluding Erste Bank Polska, with year-end net loan stock “north of EUR 290 billion”; net interest income should increase “above 6%” excluding Erste Bank Polska and exceed the enlarged-group target of EUR 11 billion “by a comfortable margin”; fees ex-Polska should grow “by about 10%,” while fees including Polska remain “about EUR 4 billion”; the cost-income ratio should be “below 46%” ex-Polska and “lower than 45%” including Polska; costs remain “about EUR 7 billion” on a fixed adjusted basis, with roughly a 3% cost uplift ex-Polska, and Polish integration costs were forecasted at up to EUR 180 million; risk costs including Polska are targeted at “the lower end” of the 25 basis points-30 basis points range; group NPL ratio is expected to stay “more or less at current levels” and NPL coverage is projected “somewhere around 70%”; return on tangible equity should be higher than 20%, earnings per share uplift higher than 20%, and reported net profit higher than EUR 4 billion, while the 14.25% CET1 management target remains unchanged as a base case; detailed 2027 guidance will be provided with fourth quarter results at the end of February.
Erste Group Bank AG Financial Statement Overview
Summary
Profitability is solid (income statement score 74) with healthy margins and returns, and the balance sheet is adequately capitalized (score 66) though meaningfully leveraged. The main drag is cash-flow quality (score 38): operating/free cash flow has been highly volatile with a sharp TTM deterioration, which lowers confidence in consistency despite steady reported earnings.
Income Statement
74PositiveBalance Sheet
66PositiveCash Flow
38Negative| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 23.80B | 20.58B | 22.48B | 22.58B | 13.69B | 9.21B |
| Gross Profit | 14.88B | 11.76B | 10.89B | 10.32B | 8.40B | 7.60B |
| EBITDA | 7.61B | 5.95B | 5.55B | 5.43B | 3.82B | 3.54B |
| Net Income | 4.05B | 3.37B | 3.13B | 3.00B | 2.17B | 1.92B |
Balance Sheet | ||||||
| Total Assets | 462.47B | 368.42B | 353.74B | 337.15B | 323.87B | 307.43B |
| Cash, Cash Equivalents and Short-Term Investments | 47.77B | 36.93B | 42.75B | 51.43B | 35.68B | 61.92B |
| Total Debt | 62.18B | 55.59B | 52.58B | 44.43B | 36.57B | 32.72B |
| Total Liabilities | 420.60B | 333.91B | 322.97B | 308.65B | 298.56B | 283.91B |
| Stockholders Equity | 28.48B | 22.81B | 23.14B | 21.65B | 19.35B | 18.00B |
Cash Flow | ||||||
| Free Cash Flow | 95.67M | 3.29B | -9.78B | 2.06B | -9.29B | 10.86B |
| Operating Cash Flow | 988.78M | 4.04B | -9.03B | 2.59B | -8.81B | 11.40B |
| Investing Cash Flow | -4.27B | -1.00B | -850.00M | -599.00M | -233.00M | -483.40M |
| Financing Cash Flow | 3.02B | -630.00M | -1.55B | -1.02B | -756.00M | -1.31B |
Erste Group Bank AG Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For EBKDY, the sentiment is Positive. The current price of 65.47 is above the 20-day moving average (MA) of 61.39, above the 50-day MA of 65.13, and above the 200-day MA of 62.62, indicating a bullish trend. The MACD of -0.01 indicates Negative momentum. The RSI at 59.61 is Neutral, neither overbought nor oversold. The STOCH value of 98.78 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for EBKDY.
Erste Group Bank AG Peers Comparison
Overall Rating
IBN73Outperform
KB70Outperform
NWG70Outperform
SHG63Neutral
EBKDY62Neutral
LYG59Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| 73Outperform | $121.43B | 19.06 | 15.93% | 0.72% | 0.06% | 1.65% | |
| 70Outperform | $38.63B | 8.35 | 11.06% | 2.88% | 27.58% | 13.76% | |
| 70Outperform | $62.01B | 8.11 | 15.79% | 5.92% | 6.17% | 16.21% | |
| Sector * | 68Neutral | $18.00B | 11.42 | 9.92% | 3.81% | 9.73% | 1.22% |
| 63Neutral | $29.36B | 7.32 | 9.51% | 3.10% | 27.85% | 15.08% | |
| 62Neutral | $52.25B | 11.81 | 15.66% | 0.67% | 19.99% | 33.97% | |
| 59Neutral | $73.27B | 10.02 | 13.09% | 4.13% | 1.06% | 75.52% |
* Financial Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| EBKDY | Erste Group Bank AG | 65.47 | 12.17 | 22.83% | |
| IBN | Icici Bank | 34.74 | 3.99 | 12.97% | |
| KB | Kb Financial Group Inc. | 114.75 | 25.34 | 28.34% | |
| LYG | Lloyds Banking Group | 5.21 | 0.50 | 10.71% | |
| NWG | Natwest Group Plc | 15.93 | 0.62 | 4.02% | |
| SHG | Shinhan Financial | 64.52 | 10.11 | 18.58% |
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.
Date of analysis: Nov 06, 2026
