Spanish stock alert

SPAIN

CLOSING UPDATE: Bankia down 2.9% in 2 days 18 January 2018 18:21 CET

NEWS BITES - EUROPE

This is an end of day Alert, produced after today's Spanish market close. It concludes the BSS News Bites intra-day Alert series (summaries below).

Bankia, Spain's 4th largest bank by market capitalisation, extended its slide on Thursday, shedding an additional 2.90c (or 0.7%) to trade at EUR4.20. Trading volume was 58% of average at the end of the day. The shares have fallen 12.40c (or 2.9%) over the past two trading days vs. the IBEX 35 Index which has fallen 0.8% in the same period.

Technical indicators complementing today's significant downtrend:

+ The stock has underperformed 71% of the Spanish market over the past 6 months.

+ The price dropped 2.9% in the last week.

Fundamental measures by comparison with the sector average [in brackets] indicate:

Overvaluation:

+ Price/Earnings/Growth of 7.42 [1.3]

+ Dividend yield of 2.6% [3.3%]

+ Return on Equity 6.3% [7.1%]

+ Return on Assets 0.4% [0.5%]

Other Bearish Signals include:

+ As per the Du Pont analysis, Return on Equity is less than stellar at 6.3%. Also, this has deteriorated from 8.2% last year.

Note

Bankia today is at a discount of 10.2% to the 12-month high of EUR4.68 on 08 May, 2017. It is at a premium of 18.9% to the 12-month low of EUR3.53 on 24 Feb, 2017.

Bullish Signals:

The positive 0.08 MACD (Moving Average Convergence Divergence) indicator suggests a bullish signal.

The company is cash rich with Cash to Market Capitalisation at 22.0%.

Net profit margin has averaged 26.9% in the last 3 years. This is considered superior and suggests a high margin of safety.

Fundamental measures by comparison with the sector average [in brackets] indicate:

Undervaluation:

Price to Book of 1 [1.5]

TODAY'S ALERT

Afternoon Alert: Bankia down 2.4% in 2 days

18 January 2018 13:40 CET

Bankia (MA:BKIA) extended its slide on Thursday, shedding an additional 0.90c (or 0.2%) to trade at EUR4.22. Trading volume was 83% of average so far today. The shares have fallen 10.40c (or 2.4%) over the past two trading days vs. the IBEX 35 Index which has fallen 0.7% in the same period.

Bankia (MA:BKIA; MCE:BKIA; MC:BKIA; SM:BKIA)

ISIN: ES0113307062

PermID: 5000072598

Source: www.BuySellSignals.com