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EFG International (EFGXY)
OTHER OTC:EFGXY
US Market
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EFG International (EFGXY) AI Stock Analysis

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EFGXY

EFG International

(OTC:EFGXY)

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Neutral 66 (OpenAI - 5.2)
Rating:66Neutral
Price Target:
$24.00
â–²(19.11% Upside)
Action:Reiterated
Date:07/22/26
The score is held back primarily by weak and deteriorating cash flow despite solid reported profitability. Offsetting this are strong earnings-call momentum and guidance (record AUM, above-target net new assets, high ROTE) plus supportive technical trend; valuation is acceptable but not cheap given the P/E, with the dividend providing some support.
Positive Factors
Scale / AUM milestone
Crossing CHF 200bn AUM via the Quilvest close meaningfully enlarges scale and client breadth. Sustained larger AUM supports recurring fee income, improves cross‑sell economics for relationship managers, and creates durable operating leverage that strengthens margins and competitive positioning over the medium term.
Negative Factors
Deteriorating cash generation
A shift to sharply negative operating and free cash flow is a durable red flag for earnings quality and funding flexibility. Persistent cash deficits constrain self‑funding for acquisitions, dividends and IT migration, may force external financing, and elevates balance‑sheet and execution risk over coming quarters.
Read all positive and negative factors
Positive Factors
Negative Factors
Scale / AUM milestone
Crossing CHF 200bn AUM via the Quilvest close meaningfully enlarges scale and client breadth. Sustained larger AUM supports recurring fee income, improves cross‑sell economics for relationship managers, and creates durable operating leverage that strengthens margins and competitive positioning over the medium term.
Read all positive factors

EFG International (EFGXY) vs. SPDR S&P 500 ETF (SPY)

EFG International Business Overview & Revenue Model

Company Description
EFG International AG, along with its subsidiaries, provides a comprehensive array of financial services, including private banking, wealth management, and asset management. Its offerings encompass a variety of investment solutions, such as persona...
How the Company Makes Money
EFG International primarily makes money by delivering private-banking and wealth-management services and earning a mix of recurring and transaction-based income. Key revenue streams typically include: (1) Net interest income: earnings from the spr...

EFG International Earnings Call Summary

Earnings Call Date:Jul 22, 2026
(Q2-2026)
|
% Change Since: |
Next Earnings Date:Feb 17, 2027
Earnings Call Sentiment Positive
The call presents a strongly positive operational and financial performance: record AUM (crossing CHF 200bn), robust NNA above target, best‑ever semester net profit and ROTE comfortably ahead of targets, healthy capital and liquidity, strong commission growth and CRO productivity. Challenges are manageable and largely transitional — notably margin pressure from lower interest income, temporary acquisition‑related cost drag until IT integrations and synergies are realized, regional outflows in UK/Americas, and an unresolved litigation item. Overall, the positive growth, profitability and capital strength materially outweigh the short‑term and execution risks.
Positive Updates
Record Assets under Management (AUM)
Closed Quilvest acquisition and for the first time crossed CHF 200 billion AUM; year‑on‑year AUM growth in excess of 23% and revenue‑generating assets up ~21% versus June 2025.
Negative Updates
Revenue Margin Decline and Pressure from Interest Income
Revenue margin fell from ~97 basis points to 91 bps; interest‑related revenue component declined to ~28 bps (from ~34-36 bps previously), creating pressure on overall margin despite commission gains.
Read all updates
Q2-2026 Updates
Negative
Record Assets under Management (AUM)
Closed Quilvest acquisition and for the first time crossed CHF 200 billion AUM; year‑on‑year AUM growth in excess of 23% and revenue‑generating assets up ~21% versus June 2025.
Read all positive updates
Company Guidance
Management reiterated confident guidance for the 2026–28 cycle, pointing to record scale (AUM now >CHF 200bn after the Quilvest close) and strong organic momentum — net new assets CHF 5.7bn (6.2% annualized, above the 4–6% target and the 15th consecutive semester of positive NNA) — and to translating that into profitability: H1 IFRS net profit CHF 185m, operating income >CHF 850m (+7% y/y), return on tangible equity 22.4% (ahead of the 20% 2028 target) and a target of ~15% p.a. bottom‑line growth/15% CAGR in IFRS profit to 2028. They expect a medium‑term revenue margin around 90–91bps (91bps reported H1; ~90bps excl. life insurance), with commission margin improving to 46bps and mandate penetration at 67% (net commission income +20% y/y) while the interest‑related component sits near 28bps and other income ~16bps. On costs, headline expenses were +8% y/y (driven by acquisitions) but excluding acquisitions costs were flat; cost‑to‑income improved to 71.5% (‑1.6pp vs H2 2025) and is expected to reach 68% by 2028 with annual reductions of ~1.5–2pp, supported by Simplicity 2.0 (CHF 70–80m run‑rate savings by 2028, ~CHF 15–20m expected in 2026, about half identified to date) and a full tech migration in H1 2027 to crystallize synergies. Capital and hiring guidance: organic capital generation ~230bps in H1, CET1 >15% (15% at 30 June), total capital 18.3%, LCR 267%, 2m shares bought for employee plans, and active CRO hiring (39 onboarded, 33 offers pending, ~72 total signings/offers and AuM per CRO at CHF 360m) to fuel further growth.

EFG International Financial Statement Overview

Summary
Income statement and balance sheet are solid (strong revenue growth, healthy ROE, moderate leverage), but cash flow is a major red flag: operating and free cash flow turned sharply negative in 2024–2025, raising earnings-quality and funding-flexibility risk.
Income Statement
71
Positive
Balance Sheet
74
Positive
Cash Flow
32
Negative
BreakdownDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue2.48B1.50B1.43B1.56B1.26B
Gross Profit1.66B1.50B1.44B1.27B1.25B
EBITDA477.30M470.70M411.80M319.80M327.70M
Net Income325.20M321.60M303.20M202.40M205.80M
Balance Sheet
Total Assets39.44B40.60B38.59B43.54B42.14B
Cash, Cash Equivalents and Short-Term Investments5.09B8.01B6.66B11.23B12.08B
Total Debt3.41B440.00M239.00M243.70M475.20M
Total Liabilities37.05B38.22B36.37B41.47B39.85B
Stockholders Equity2.39B2.38B2.22B2.06B2.25B
Cash Flow
Free Cash Flow-1.43B-445.50M479.50M3.06B-597.90M
Operating Cash Flow-1.39B-397.10M480.00M3.10B-590.10M
Investing Cash Flow746.20M484.00M-1.22B-1.93B-659.80M
Financing Cash Flow42.40M41.10M-3.39B-432.70M1.95B

EFG International Technical Analysis

Technical Analysis Sentiment
Negative
Last Price20.15
Price Trends
50DMA
20.56
Negative
100DMA
20.94
Negative
200DMA
21.89
Negative
Market Momentum
MACD
-0.33
Positive
RSI
38.45
Neutral
STOCH
9.06
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For EFGXY, the sentiment is Negative. The current price of 20.15 is below the 20-day moving average (MA) of 20.33, below the 50-day MA of 20.56, and below the 200-day MA of 21.89, indicating a bearish trend. The MACD of -0.33 indicates Positive momentum. The RSI at 38.45 is Neutral, neither overbought nor oversold. The STOCH value of 9.06 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for EFGXY.

EFG International Peers Comparison

Overall Rating
UnderperformOutperform
Sector (68)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
81
Outperform
$2.42B10.6120.68%3.25%-1.41%14.61%
74
Outperform
$17.92B12.4516.19%2.29%3.74%21.62%
72
Outperform
$75.08B7.3716.16%4.98%6.60%29.61%
71
Outperform
$103.61B13.9213.38%4.09%12.60%24.01%
68
Neutral
$18.00B11.429.92%3.81%9.73%1.22%
67
Neutral
$90.06B10.2210.11%2.26%12.33%22.63%
66
Neutral
$5.92B17.0312.14%3.04%8.38%-18.15%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
EFGXY
EFG International
19.55
0.27
1.38%
BCS
Barclays
27.00
7.49
38.40%
EWBC
East West Bancorp
130.77
23.91
22.38%
ING
ING Groep
37.18
13.58
57.56%
NWG
NatWest Group
18.94
5.63
42.27%
NTB
Bank of NT Butterfield & Son
61.53
18.31
42.38%
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.Date of analysis: Jul 22, 2026