Erste Group Bank

Erste Group is a financial services provider based in Austria. As of Dec 31 2015, Co.'s total assets amounted to Euro199,743 million and the number of customers was approximately 16.5 million. Co.'s key business is the retail business, covering the entire spectrum from lending, deposit and investment products to current accounts and credit cards. In addition to providing financial services to private individuals, Co.'s core activities also include advisory services and support for corporate clients in financing, investment and access to international capital markets, public sector funding and interbank market operations.
  • TickerEBS
  • ISINAT0000652011
  • ExchangeVienna Stock Exchange
  • SectorBanks
  • CountryAustria

Raiffeisen Centrobank Equity Daily 18.09.2020

ATX indices review - FFF changes in IMMOFINANZ, EVN; ATX five: add: Wienerberger; del BAWAG Group CECE index review - Add: BIF, Graphisoft Park, Play Communications; Del: Appeninn, PGE FTSE Index Sept review - AllWorld (ML) add: Banca Transilvania; del: mBank, Russneft; AllCap (SML) add: Mayr-Melnhof, Petropavlovsk; del: Kapsch TrafficCom; TotalCap (Micro+SML) add: Marinomed, Getin Noble Bank; M->L: InterRAO; L->M: OMV, Erste Group; STOXX Europe 600 Index review - Dino to be added WIG20/WIG30 indices review - No change in constituents AT: FACC - Informing employees today regarding layoffs, up ...

Raiffeisen Centrobank Equity Daily 24.08.2020

 FTSE Index Sept review - AllWorld (ML) add: Banca Transilvania; del: mBank, Russneft; AllCap (SML) add: Mayr-Melnhof, Petropavlovsk; del: Kapsch TrafficCom; TotalCap (Micro+SML) add: Marinomed, Getin Noble Bank; M->L: InterRAO; L->M: OMV, Erste Group;  AT: voestalpine - Restart of small BF at Linz plant in early September (neutral)  CH: Aluflexpack - 1H results live up to RCBe, FY 20 guidance of sales of EUR 220-230 mn and adj. EBITDA of EUR 32-35 mn confirmed (neutral)  PL: Lotos - Lotos wants to invest into maritime fuel and offshore wind power generation (neutral)  PL: PGNiG...

Stefan Maxian

Erste Group confirmed at BUY, TP EUR 26.00 - Capital ratios at a record level

The main positive in 2Q reporting clearly was the capital development with reported CET1 standing at 14.2% even still including dividend accruals for 2019 (56 bps) and for 1H 20 (12 bps). Without dividends and incorporating already communicated quick fixes by the regulator (software, sovereigns in IRB to become effective in 2H 20 and 1Q 21), the CET1 ratio would even exceed the 15% threshold. Thus we see limited reasonable arguments against Erste resuming dividend payments next year. While we expect Erste to deliver 8% ROE thereafter with normalising COR, which is not reflected at a P/B multi...

Michał Konarski ...
  • Mikołaj Lemańczyk

Banks – Free To Seize Rebound Opportunities

The Stoxx Europe 600 Banks index has tumbled 37% since the beginning of the year, with the drop from high to low measuring 46%. As the coronavirus pandemic continues to spread, economic forecasts for the euro area are getting increasingly bleak, with the European Commission currently guiding for an 8.8% contraction this year as compared with 8.3% predicted in March. The crisis has not spared the financial sector, with our aggregate net earnings expectations for the European coverage universe ex Poland slashed by 53% to reflect low interest rates and additional crisis provisions. At the revised...

Raiffeisen Centrobank Equity Daily 06.08.2020

â—¾AT: Austrian Banks - Deposit insurance contributions up 69% after Commerzialbank default (negative) â—¾AT: S&T - 2Q 20 slightly ahead of RCBe, guidance confirmed at sales of EUR 1,150 mn & EBITDA of 115 mn (positive) â—¾HU: Magyar Telekom - 2Q 20 figures in line but increase in planned fibre investments leads to increase in capex guidance (negative) â—¾PL: PKO BP, Bank Pekao - 2Q 20 conference calls summary (positive) â—¾RO: Banca Transilvania, BRD-GSG, Erste Group - National Bank of Romania reduced key interest rate by 25 bps to 150 bps (neutral) â—¾RU: Petropavlovsk - Further bond convers...

Dave Nicoski ...
  • Ross LaDuke

Vermilion Int'l Compass: Global Equity Strategy

EU and UK Financials remain actionable Our outlook on global equities (both the MSCI ACWI and ACWI ex-US) remains positive and we continue to expect higher equity prices going forward. Below we highlight several new developments which give us additional confidence in our outlook, including but not limited to continued price and RS improvements for UK/European Financials. • Actionable Sector: Financials. Today's stock recommendations go beyond UK and European Financials, however these regions are the primary focus due to a plethora of attractive setups. In today's report we reiterate our 3/...

Dave Nicoski ...
  • Ross LaDuke

Vermilion Int'l Compass: Global Equity Strategy

As support levels continue to hold for the MSCI ACWI and S&P 500, our neutral but constructive outlook remains. Additionally, we reiterate our expectation for more consolidation and volatility. In today's report we highlight actionable stocks within countries that are displaying bullish price and relative strength trends. • Asia/Pacific. In Japan, the TOPIX continues to exhibit leadership characteristics. Stay overweight. Broadly speaking, global Consumer Staples stocks are lagging, but Japan is the exception. Hong Kong's Hang Seng Index also remains on bullish footing... see pages 2 and 5-...

David Nikoski

Int'l Insights: Bullish Stocks

• European banks present a pullback opportunity. The industry's two-month decline is testing support, and individual names are beginning to inflect higher, ranging from UBS Group (UBS) and Commerzbank (CBK-DE) to Intesa Sanpaolo (ISP-IT) and Deutsche Bank (DB). • French banks are particularly attractive. Both BNP Paribas (BNP-FR) and Societe Generale (GLE-FR) retraced to the 9-year base patterns they broke out from earlier this year. Credit Agricole (ACA-FR) is just beginning to break out from a similar pattern. Buy. • This is a reiteration of our original recommendation on Oct. 18, 20...

Erste Group Bank Ag: 2 directors bought

Two Directors at Erste Group Bank Ag bought 700 shares at between 29.969EUR and 30.490EUR. The significance rating of the trade was 50/100. Is that information sufficient for you to make an investment decision? This report gives details of those trades and adds context and analysis to them such that you can judge whether these trading decisions are ones worth following. Included in the report is a detailed share price chart which plots discretionary trades by all the company's directors over the last two years clearly showing Close periods where trading activity is restricted under listing r...

Raiffeisen Centrobank Equity Daily 18.09.2020

ATX indices review - FFF changes in IMMOFINANZ, EVN; ATX five: add: Wienerberger; del BAWAG Group CECE index review - Add: BIF, Graphisoft Park, Play Communications; Del: Appeninn, PGE FTSE Index Sept review - AllWorld (ML) add: Banca Transilvania; del: mBank, Russneft; AllCap (SML) add: Mayr-Melnhof, Petropavlovsk; del: Kapsch TrafficCom; TotalCap (Micro+SML) add: Marinomed, Getin Noble Bank; M->L: InterRAO; L->M: OMV, Erste Group; STOXX Europe 600 Index review - Dino to be added WIG20/WIG30 indices review - No change in constituents AT: FACC - Informing employees today regarding layoffs, up ...

Raiffeisen Centrobank Equity Daily 24.08.2020

 FTSE Index Sept review - AllWorld (ML) add: Banca Transilvania; del: mBank, Russneft; AllCap (SML) add: Mayr-Melnhof, Petropavlovsk; del: Kapsch TrafficCom; TotalCap (Micro+SML) add: Marinomed, Getin Noble Bank; M->L: InterRAO; L->M: OMV, Erste Group;  AT: voestalpine - Restart of small BF at Linz plant in early September (neutral)  CH: Aluflexpack - 1H results live up to RCBe, FY 20 guidance of sales of EUR 220-230 mn and adj. EBITDA of EUR 32-35 mn confirmed (neutral)  PL: Lotos - Lotos wants to invest into maritime fuel and offshore wind power generation (neutral)  PL: PGNiG...

Stefan Maxian

Erste Group confirmed at BUY, TP EUR 26.00 - Capital ratios at a record level

The main positive in 2Q reporting clearly was the capital development with reported CET1 standing at 14.2% even still including dividend accruals for 2019 (56 bps) and for 1H 20 (12 bps). Without dividends and incorporating already communicated quick fixes by the regulator (software, sovereigns in IRB to become effective in 2H 20 and 1Q 21), the CET1 ratio would even exceed the 15% threshold. Thus we see limited reasonable arguments against Erste resuming dividend payments next year. While we expect Erste to deliver 8% ROE thereafter with normalising COR, which is not reflected at a P/B multi...

Michał Konarski ...
  • Mikołaj Lemańczyk

Banks – Free To Seize Rebound Opportunities

The Stoxx Europe 600 Banks index has tumbled 37% since the beginning of the year, with the drop from high to low measuring 46%. As the coronavirus pandemic continues to spread, economic forecasts for the euro area are getting increasingly bleak, with the European Commission currently guiding for an 8.8% contraction this year as compared with 8.3% predicted in March. The crisis has not spared the financial sector, with our aggregate net earnings expectations for the European coverage universe ex Poland slashed by 53% to reflect low interest rates and additional crisis provisions. At the revised...

Raiffeisen Centrobank Equity Daily 06.08.2020

â—¾AT: Austrian Banks - Deposit insurance contributions up 69% after Commerzialbank default (negative) â—¾AT: S&T - 2Q 20 slightly ahead of RCBe, guidance confirmed at sales of EUR 1,150 mn & EBITDA of 115 mn (positive) â—¾HU: Magyar Telekom - 2Q 20 figures in line but increase in planned fibre investments leads to increase in capex guidance (negative) â—¾PL: PKO BP, Bank Pekao - 2Q 20 conference calls summary (positive) â—¾RO: Banca Transilvania, BRD-GSG, Erste Group - National Bank of Romania reduced key interest rate by 25 bps to 150 bps (neutral) â—¾RU: Petropavlovsk - Further bond convers...

Marnik Hinnekens

TP ICAP - Europe - Morning CreditUpdate 19/11/2019 - Aroundtown - EN

Aroundtown (O/P Vs M/P): Agrees On All Share Merger With TLG Immobilien (O/P) Erste Group Bank (O/P): Issued A New Tier 2 At Mid-Swap+130bps Accor (O/P): Sale of 5.2% of Its Subsidiary AccorInvest For €204m Casino (O/P on short term bonds, M/P on long term bonds): New €2bn Syndicated Credit Line ArcelorMittal (O/P): Completes The Acquisition of Essar Steel For $5.8bn Coty (O/P): Acquisition of 51% of The Kylie Jenner Group For $600m Volkswagen (O/P): Cuts Its 2016-2020 Forecast Orange (O/P Hybrid): Considers An IPO of Its Africa B...

Erste Group Bank AG: Geographical diversification and lower credit risk insulate Erste against low interest rates

Erste Bank's key credit metrics have improved thanks to the bank's efforts to de-risk its balance sheet, particularly by reducing non-performing loans in Central and Eastern Europe (CEE).

Erste Group Bank AG: Update to credit analysis

Our credit view of Erste Group Bank AG, reflecting the bank's improved asset quality, solid capitalisation and sound funding profile.

Moody's corrects rating and rating history for ISINs AT0000A14PZ1 and AT000B119680 issued by Erste Group Bank AG

Announcement: Moody's corrects rating and rating history for ISINs AT0000A14PZ1 and AT000B119680 issued by Erste Group Bank AG. Global Credit Research- 16 Aug 2017. Frankfurt am Main, August 16, 2017-- Moody's Investors Service has corrected the current rating and rating history for the Series 1257 subordinated fix-to-variable rate note due 2022 and the Series 1172 subordinated fix-to-variable rate note due 2023.

Erste Group Bank AG: Update following rating upgrade to A3/P-2

FINANCIAL INSTITUTIONS CREDIT OPINION 1 August 2017 Update RATINGS Erste Group Bank AG Domicile Vienna, Austria Long Term Debt A3 Type Senior Unsecured - Fgn Curr Outlook Positive Long Term Deposit A3 Type LT Bank Deposits - Fgn Curr Outlook Positive Please see the 

Research Team

WOOD Daily: MONET CP; EBS AV; VESBE TI; SBER RX; MGNT LI; EME Macro/Strategy – ESI; OPL PW; NVTK LI; KCEL KZ; KRKG SV; OPAP GA; OMV AV; BRD RO; RICHT HB; TPEIR GA; ETE GA; OTP HB; TLV RO; NLBR SV

HEADLINES: • MONETA Money Bank: 2Q20 miss on provisions frontloading; bank restores medium-term guidance • Erste Bank: posts lower-than-expected 2Q20, but due to frontloading of risk charges NEUTRAL • Vestel Beyaz: 2Q20 - in line with expectations, but bullish expectations could support share price NEUTRAL • Sberbank: 2Q20 highlights NEGATIVE • Magnit: 2Q20 slightly ahead of expectations POSITIVE • EME Macro/Strategy: July ESI • Orange Polska: key takeaways from the 2Q20 earnings call POSITIVE • Novatek: takeaways from the 2Q20 conference call • Kcell: key takeaways from ...

Research Team

WOOD Daily: KER PW; LPP PW; PLY PW; CEE Banks

HEADLINES: • Kernel: 4Q20 trading update - broadly in line with company's targets NEUTRAL • LPP: completes negotiations with 98% of shopping malls POSITIVE • Play Communications: increases prices in mobile pre-paid segment POSITIVE • CEE banks: 2Q20E - in the eye of the cyclone (Komercni Banka, MONETA Money Bank, Erste Bank, PKO BP, Bank Pekao, Santander BP, mBank, ING BSK, Bank Handlowy, Bank Millennium, Alior Bank) • Play Communications: 2Q20E preview - 1% yoy adjusted EBITDA drop expected (due on 10 August) • Short News (KGH)

Research Team

WOOD Daily: EME Macro/Strategy – ESI; MBK PW; EBS AV; GARAN TI; MGNT LI; EREGL TI; TOASO TI; MMK LI; NVTK LI; OGZD LI; TLV RO; BOCH LN; SNG RO; LPP PW; CCC PW; PL Retail; PGN PW; 11B PW; BFT PW; BVB RO; OPL PW; KCEL KZ; YKBNK TI; FMF PW

HEADLINES: • EME Macro/Strategy: ESI - its big • mBank: posts PLN 91m of net profit, a 27% miss vs. market consensus NEGATIVE • Erste Bank: posts EUR 235m of net profit in 1Q20, 6% beat vs. expectations NEUTRAL • Garanti: 1Q20 highlights (litmus test part 1; 12% ROE, with c.5% COR) • Magnit: 1Q20 numbers below expectations on gross margin POSITIVE • Erdemir: 1Q20 financial results - small beat on EBITDA, much stronger than expected FCF • Tofas: 1Q20 results - largely neutral, market likely to focus on 2Q20E, guidance revised down NEUTRAL • MMK: 1Q20 - solid results, but no ...

Research Team

WOOD Daily: CZ Macro; CZ Banks; PKO PW; PKN PW; FMF PW; CCOLA TI; JMT PL; BFT PW; PLY PW; BFT PW; LVC PW; SFG RO; MGNT LI; RTKM RX; FROTO TI; MAVI TI; TOASO TI; ULKER TI; KER PW; MAIL LI; YNDX US; FIVE LI; KCEL KZ; EBS AV; KOMB CP

HEADLINES: • Czech Republic macro: 2020 budget deficit increased to CZK 300bn • Czech banks: big drop in demand for lending in Czech Republic NEGATIVE • PKO BP: issues update on profit warning • PKN Orlen: reaches 66% threshold to take over Energa NEUTRAL • Famur: 4Q19 results broadly in line with preliminary figures NEUTRAL • Coca-Cola Icecek: cuts dividend due to government regulation NEUTRAL • Jeronimo Martins: intends to renegotiate rents POSITIVE • Benefit Systems: fitness industry wants to open gyms earlier than in phase 4 • Play Communications: launches fixed-broad...

Research Team

WOOD Daily: EME Macro/Strategy – coronavirus impact; ALR PW; EBS AV; AEFES TI; GSPARK HB; SBER RX; ELPE GA; EL RO; WINE RO; BIZIM TI; KER PW: EVR LN; PL Banks; PLY PW; FP RO; CETV US; ENA PW; RICHT HB

HEADLINES: • EME Macro/Strategy: coronavirus impact - best guess • Alior Bank: publishes 2022E strategy, higher than expectations, but difference is cost POSITIVE • Alior Bank: posts ugly 4Q19 - not on headline numbers, but on quality mix NEGATIVE • Erste Bank: 4Q19 net profit largely in line with our forecasts NEUTRAL • Anadolu Efes: 4Q19 results in line, dividend a positive surprise POSITIVE • Graphisoft Park: 4Q19 in line; focus on buyback; valuation attractive • Sberbank: 4Q19 highlights - results broadly in line • Hellenic Petroleum: 4Q19 results, dividend proposal of...

Thanks to a better fundamental star rating, ERSTE GROUP BANK AG sees an upgrade to Neutral

The independent financial analyst theScreener just awarded an improved star rating to ERSTE GROUP BANK AG (AT), active in the Money Center Banks industry. As regards its fundamental valuation, the title receives an improved star rating and now shows 3 out of 4 possible stars. With regard to its market behaviour, it remains unchanged and can be qualified as risky. theScreener considers that these elements allow slightly upgrading its rating to Neutral. As of the analysis date June 5, 2020, the closing price was EUR 24.83 and its expected value was estimated at EUR 19.41.

Ford Equity International Rating and Forecast Report

Ford Equity International Research Reports cover 60 countries with over 30,000 stocks traded on international exchanges. A proprietary quantitative system compares each company to its peers on proven measures of business value, growth characteristics, and investor behavior. Ford's three recommendation ratings buy, hold and sell, represent each stock’s return potential relative to its own country market.. The rating reports which are generated each week, include the fundamental details behind each recommendation and reflect the fundamental and price data as of the last trading day of the we...

Expert Corporate Governance Service (ECGS)

Erste Group Bank - AGM 15 May 2019

Item 4: Since there is no vote on Management Board members' remuneration in Austria, we take the opportunity to voice our concerns regarding the remuneration system currently in place at Erste Group Bank which we consider has several shortcomings: The target amounts for the performance-linked remuneration have not been disclosed and the performance criteria and their weighting are insufficiently disclosed. Furthermore, there is no separate long-term incentive (LTI) in place for Management Board members. Although we consider the absolute amounts paid to the Management Board members as acceptabl...

Erste Group – Proxinvest Corporate Governance Rating ® : C

Proxinvest Corporate Governance Rating ® helps investors integrate governance into their investment decision and identify governance risks and opportunities within their portfolio. Proxinvest Corporate Governance Rating ® Service rates European issuers through the analysis of four main themes : Ownership & Shareholder rights, Board & Committees, Audit & Process, Remuneration. Each theme is rated taking into account several comprehensive sub-categories. Our unique two-step process to achieve each rating includes a first step quantitative valuation and a second step qualitative filter...

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