Summary:
- Banco Bilbao Vizcaya Argentaria (BBVA, Financial) offers a compelling dividend yield of 5.9%.
- Analysts predict an average price target of $13.85, indicating a potential upside of 10.44%.
- GuruFocus estimates suggest a downside of 35.01% with a GF Value of $8.15.
Banco Bilbao Vizcaya Argentaria (BBVA), a prominent Spanish bank, presents an enticing dividend yield of 5.9%, underpinned by a sustainable payout ratio of 41.9%. Though the bank's dividend history has been unpredictable, its impressive earnings growth projected to reach EUR 10.05 billion by 2024 significantly boosts its attractiveness. A proposed cash distribution of EUR 0.41 per share is awaiting approval.
Wall Street Analysts' Projections
According to projections from two analysts, Banco Bilbao Vizcaya Argentaria SA (BBVA, Financial) is expected to reach an average price target of $13.85 within the next year. The forecasts range from a high of $15.65 to a low of $12.05. This suggests a potential upside of 10.44% from the current share price of $12.54. For a comprehensive view of these estimates, visit the Banco Bilbao Vizcaya Argentaria SA (BBVA) Forecast page.
Furthermore, the bank holds an "Outperform" status, with an average brokerage recommendation of 2.0 based on insights from two brokerage firms. This rating, on a scale of 1 to 5, where 1 denotes a "Strong Buy" and 5 signals a "Sell," reflects positive sentiment towards the stock.
GuruFocus Value Estimates
However, GuruFocus presents a cautionary note with its estimation of BBVA's GF Value at $8.15 for the upcoming year. This projection indicates a substantial downside of 35.01% from the current price of $12.54. The GF Value is derived from the historical trading multiples, previous business growth, and future performance forecasts of the company. For further insights, refer to the Banco Bilbao Vizcaya Argentaria SA (BBVA, Financial) Summary page.
Investors should weigh these analytic insights alongside other financial metrics when considering an investment in BBVA, balancing the potential dividend benefits against the variances in projected stock valuations.
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