Shares of Bankinter SA (OTCMKTS:BKNIY) have received a consensus recommendation of “Reduce” from six analysts currently covering the stock, according to MarketBeat Ratings. Among these analysts, one has rated the stock as a sell, while five others have assigned a hold recommendation.
Recent reports from several research firms have prompted this cautious outlook. On October 21, 2023, Barclays upgraded Bankinter from a “strong sell” rating to a “hold” rating. This change reflects a shift in sentiment towards the financial institution. In contrast, Zacks Research downgraded the bank from a “strong-buy” to a “hold” on September 23, 2023. Moreover, the Goldman Sachs Group lowered its rating from hold to sell on October 24, 2023, while Deutsche Bank Aktiengesellschaft downgraded Bankinter from a “buy” to a “hold” rating on August 8, 2023.
Bankinter’s stock experienced a slight decline of 0.8%, reflecting investor caution following these ratings adjustments. The bank’s latest earnings report, released on October 23, 2023, revealed an earnings per share (EPS) of $0.35, surpassing the consensus estimate of $0.34 by $0.01. The bank reported a return on equity of 16.76% and a net margin of 21.53%. Revenue for the quarter reached $879.05 million, though this figure fell short of the consensus estimate of $887.38 million.
Analysts project that Bankinter will achieve an EPS of 1 for the current year, indicating a cautious outlook for future performance.
In addition to its earnings report, Bankinter has announced a dividend to be paid on December 12, 2023. Shareholders of record as of December 2, 2023 will receive a dividend of $0.231 per share, representing a substantial dividend yield of 279.0%. The ex-dividend date is set for December 1, 2023, and the bank’s current dividend payout ratio stands at 37.30%.
Bankinter SA provides a range of banking products and services to individuals, corporate clients, and small- and medium-sized enterprises in Spain. Its offerings include various types of accounts, deposit products, mortgages, and loan services.
This cautious sentiment from analysts and the bank’s recent performance highlight the challenges Bankinter faces in a competitive financial landscape. As investors consider their options, the bank’s stock performance and upcoming dividend may play a significant role in shaping market perceptions.
