-4.16%
4.07%
6.84%
8.74%
34.45%
120.23%
101.16%
AI Spotlight on AIBG
Company Description
AIB Group plc provides banking and financial products and services to retail, business, and corporate customers.It operates through Retail Banking, Corporate Institutional & Business Banking, AIB UK, and Group segments.The company offers current and savings accounts, demand deposits, notice deposits, fixed term deposits, junior/student saver deposits, and currency deposits.
AIB Group plc also provides personal, car, home improvement, education, business, farm development, startup, farm investment, future growth, and brexit loans; graduate, corporate, asset, energy efficiency, forestry, invoice, prompt pay and insurance premium, debt, real estate, and trade finance; business and farmer credit line, government credit guarantees, and overdrafts; and venture capital funds, as well as mortgages.In addition, the company offers credit and debit cards; investment funds; life, home, car, travel, and business succession insurance products; and pension products.Further, it provides payment, merchant, cash management, FX rates, foreign currency and interest rate risk management, exporting, international cash flow management, foreign exchange, and interest rate fluctuation management services; and trade finance products, such as documentary collections, import and export letter of credit, standby letter of credit, and bank guarantees.
AIB Group plc operates through a network of 296 locations in the Republic of Ireland and 29 locations in the United Kingdom.The company was formerly known as Allied Irish Banks, p.l.c. and changed its name to AIB Group plc in December 2017.AIB Group plc was founded in 1825 and is headquartered in Dublin, Ireland.
Market Data
| Last Price | 460.5 |
| Change Percentage | -4.16% |
| Open | 466.5 |
| Previous Close | 480.5 |
| Market Cap ( Millions) | 10722 |
| Volume | 36278 |
| Year High | 488.5 |
| Year Low | 330 |
| M A 50 | 451.03 |
| M A 200 | 438.2 |
Financial Ratios
| FCF Yield | -12.01% |
| Dividend Yield | 4.79% |
| ROE | 15.43% |
| Debt / Equity | 65.93% |
| Net Debt / EBIDTA | 7745.77% |
| Price To Book | 1.03 |
| Price Earnings Ratio | 6.47 |
| Price To FCF | -8.33 |
| Price To sales | 2.67 |
| EV / EBITDA | 39.82 |
News
- Jan -28 - Ireland reduces stake in AIB Group to 12.5%
- Sep -04 - German Government to Begin Exit From Commerzbank
- Jul -25 - Four major banks breached rules to help keep customers informed
- Jul -25 - Four UK high street banks broke retail competition rules, watchdog says
- May -10 - Stocks to watch this week: Burberry, Vodafone, BT and Walmart
- Apr -26 - Stocks to watch this week: Amazon, Apple, Anglo American and Novo Nordisk
Business Breakdown
Expected Mid-Term Growth
Segment n°1 -> Retail Banking
Expected Growth : 5.07 %
What the company do ?
AIB Retail Banking provides personal and business banking services, including current and savings accounts, credit cards, loans, and mortgages to individuals and small businesses in Ireland.
Why we expect these perspectives ?
AIB Group plc's 5.07% growth in Retail Banking is driven by increasing demand for digital banking services, expansion of mortgage lending, and growth in current accounts. Additionally, the bank's focus on customer acquisition and retention, coupled with a favorable interest rate environment, have contributed to this growth.
Segment n°2 -> Capital Markets
Expected Growth : 9.27 %
What the company do ?
Capital Markets from AIB Group plc provides corporate and institutional clients with a range of debt and equity capital markets products and services.
Why we expect these perspectives ?
AIB Group plc's 9.27% growth in Capital Markets is driven by increasing demand for debt capital markets, growth in corporate lending, and expansion in treasury services. Additionally, the group's strategic focus on digital transformation, cost reduction initiatives, and strong risk management practices have contributed to this growth.
Segment n°3 -> Allied Irish Bank United Kingdom
Expected Growth : 4.55 %
What the company do ?
Allied Irish Bank (GB) is a subsidiary of AIB Group plc, providing personal and business banking services in the United Kingdom.
Why we expect these perspectives ?
AIB UK's 4.55% growth driven by strong lending growth in mortgages and commercial loans, supported by a robust UK economy. Additionally, the bank's digital transformation efforts and investments in customer experience have improved customer acquisition and retention. Furthermore, AIB UK's focus on SMEs and corporate banking has led to increased market share and revenue growth.
Segment n°4 -> Group
Expected Growth : 4.77 %
What the company do ?
AIB Group plc's Group refers to Allied Irish Banks, a financial services company operating in Ireland and the UK, providing personal, business, and corporate banking services.
Why we expect these perspectives ?
AIB Group plc's 4.77% growth is driven by strong loan growth, improved net interest margin, and robust fee income. Additionally, the group's focus on digital transformation, cost reduction initiatives, and strategic investments in technology have contributed to its growth momentum.
Segment n°5 -> Exceptional Items
Expected Growth : 6.5 %
What the company do ?
Exceptional Items from AIB Group plc refer to one-time, unusual transactions or events that significantly impact the company's financial performance, such as restructuring costs or asset disposals.
Why we expect these perspectives ?
AIB Group plc's exceptional items growth of 6.5% is driven by improved cost management, reduced impairment charges, and a significant decrease in restructuring costs. Additionally, the bank's focus on digital transformation and investment in technology have enhanced operational efficiency, contributing to the exceptional growth.
Aib Group Plc Products
| Product Range | What is it ? |
|---|---|
| Personal Banking | AIB offers a range of personal banking services including current accounts, savings accounts, credit cards, personal loans, and mortgages. |
| Business Banking | AIB provides business banking services including business current accounts, loans, overdrafts, and credit cards, as well as cash management and trade finance solutions. |
| Corporate and Institutional Banking | AIB offers corporate and institutional banking services including cash management, trade finance, and risk management solutions for large corporations and institutions. |
| Wealth Management | AIB's wealth management services include investment advice, portfolio management, and pension planning for individuals and businesses. |
| Insurance | AIB offers a range of insurance products including life insurance, home insurance, and car insurance. |
| Mortgages | AIB provides a range of mortgage products including fixed and variable rate mortgages, tracker mortgages, and buy-to-let mortgages. |
AIB Group plc's Porter Forces
Threat Of Substitutes
AIB Group plc operates in a highly competitive market with many substitutes available to customers, however, the switching costs for customers are relatively high, which reduces the threat of substitutes.
Bargaining Power Of Customers
AIB Group plc has a large customer base, but the customers have a high bargaining power due to the availability of alternative banking services, which can lead to a loss of customers if the bank does not meet their demands.
Bargaining Power Of Suppliers
AIB Group plc has a diverse supplier base, and the suppliers have a low bargaining power due to the bank's large scale of operations and its ability to negotiate better prices.
Threat Of New Entrants
The threat of new entrants is low due to the high barriers to entry in the banking industry, including regulatory requirements and high capital requirements.
Intensity Of Rivalry
The banking industry in Ireland is highly competitive, with many established players, which leads to a high intensity of rivalry among the banks, including AIB Group plc.
Strength
Weaknesses
Opportunities
Threats
Capital Structure
| Value | |
|---|---|
| Debt Weight | 42.67% |
| Debt Cost | 8.34% |
| Equity Weight | 57.33% |
| Equity Cost | 12.41% |
| WACC | 10.67% |
| Leverage | 74.41% |
AIB Group plc : Quality Control
AIB Group plc passed 4 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
| Company | Rational |
|---|---|
| RILBA.CO | Ringkjøbing Landbobank A/S provides various banking products and services in Denmark. It offers various deposit products; loans and guarantees; mortgage credit commission; securities trading; asset management; custody accounts; foreign exchange; … |
| BMPS.MI | Banca Monte dei Paschi di Siena S.p.A. provides retail and commercial banking services primarily in Italy. The company operates through Retail Banking, Corporate Banking, and Wealth Management segments. It offers … |
| AZA.ST | Avanza Bank Holding AB (publ) provides online stock trading services in Sweden. The company offers share and fund, investment savings, endowment insurance, endowment child insurance, external deposit, and pension insurance … |
| BMED.MI | Banca Mediolanum S.p.A. provides various banking products and services in Italy. The company offers current accounts and mortgages and loans. It also provides debit, credit, and prepaid cards; savings and … |
| JYSK.CO | Jyske Bank A/S provides various financial solutions in Denmark and Germany. It operates through Banking Activities, Mortgage Activities, and Leasing Activities segments. The Banking Activities segment provides advisory services relating … |
Peers Metrics
DCF BETA
Expected Cash-Flows
Scoring Insights
Peers Group Analysis
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Banca Mediolanum
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1-Year Total Return ->
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Avanza Bank
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Monte dei Paschi
A-Score
1-Year Total Return ->
4
AIB
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1-Year Total Return ->
5
Ringkjøbing Landbobank
A-Score
1-Year Total Return ->
6
