January 23, 2025
Top 10 Stock Banco Comercial Portugues Strong Buy Recommendation
How to read the ranks
For every stock, we judge its performance against its peers and rank it on a scale of 1 to 100. The higher the rank, the better the stock performs than its peers. And, we do this for six investment strategies:
Value - shows how good of a value the stock is. Green is "inexpensive"; red is "expensive".
Growth - shows a company's growth potential. Green is "high growth" expected; red is "tough times ahead".
Safety - relates to the amount of debt a company has. Green is low debt level; red is high debt level.
Combined Financial - this isn't an average of the first three ranks but rather a consolidated view across several financial indicators. Green = good; red = tread carefully.
(NEW) Sentiment - quantifies professional analyst ratings and holdings as well as market pulse. Green = positive sentiment; red = skepticism (Only available to Premium Subscribers).
(NEW) 360° View - the ultimate rating with all financial and non-financial indicators.
Snapshot: Banco Comercial Portugues – Top 10 Stock in PSI-20 Index
Banco Comercial Portugues is listed as a top 10 stock on January 23, 2025 in the market index PSI 20 because of its high performance in at least one of the Obermatt investment strategies. Three consolidated Obermatt Ranks are above-average. Only the Value Rank is below average. The investment rationale may be an investment in future growth, supported by professional market opinion. Based on the Obermatt 360° View of 79 (top 79% performer), Obermatt assesses an overall strong buy recommendation for Banco Comercial Portugues on January 23, 2025.
Snapshot: Obermatt Ranks
| Country | Portugal |
| Industry | Diversified Banks |
| Index | Employee Focus EU, Diversity Europe, Sound Pay Europe, PSI General, PSI 20 |
| Size class | Large |
When Obermatt identifies the Top 10 stocks in a market, it’s based on a certain investment strategy. The best performing stocks usually aren’t the ones that everyone is talking about (those are often "over-priced" and have low Value ranks).
For each investment strategy, we provide you with more detailed analysis and our recommendation. You see the ranks of the top 10 stocks ranked by that particular investment strategy (360° View, Sentiment, Value, Growth, Safety and Combined Financial Performance).
360° View: Obermatt 360° View Banco Comercial Portugues Strong Buy
| 360 METRICS | January 23, 2025 | |||||||
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| VALUE | ||||||||
| VALUE | 29 |
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| GROWTH | ||||||||
| GROWTH | 84 |
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| SAFETY | ||||||||
| SAFETY | 69 |
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| SENTIMENT | ||||||||
| SENTIMENT | 65 |
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| 360° VIEW | ||||||||
| 360° VIEW | 79 |
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ANALYSIS: With an Obermatt 360° View of 79 (better than 79% compared with alternatives) for 2025, overall professional sentiment and financial characteristics for the stock Banco Comercial Portugues are very positive. The 360° View is based on consolidating four consolidated indicators, with all but one indicator above average for Banco Comercial Portugues. The consolidated Growth Rank has a good rank of 84, which means that the company experiences above-average growth momentum when looking at financial metrics such as revenue, profit, and invested capital growth, as well as stock returns. This means that growth is higher than for 84% of competitors in the same industry. The consolidated Safety Rank at 69 means that the company has a financing structure that is safer than 69% comparable companies when looking at the amount of its debt, its refinancing requirements, and its ability to service debt. Finally, the consolidated Sentiment Rank has a good rank of 65, which means that professional investors are more optimistic about the stock than for 65% of alternative investment opportunities. But the consolidated Value Rank is less desirable at 29, meaning that the share price of Banco Comercial Portugues is on the higher side compared with indicators such as revenues, profits, and invested capital. This means the stock price is higher than for 71% of alternative stocks in the same industry. ...read more
RECOMMENDATION: With a consolidated 360° View of 79, Banco Comercial Portugues is better positioned than 79% of all alternative stock investment opportunities based on the Obermatt Method. As three out of four consolidated Obermatt Ranks exhibit excellent performance, such as above-average growth (Growth Rank of 84), a safe financing structure (Safety Rank of 69), and positive professional market sentiment (Sentiment Rank of 65), it is a solid stock investment where growth may be the strongest driver of the investment rationale, also reflected by institutional investors. It is typical for growth companies to have low value, as is the case here. Investors are willing to pay more for companies that outperform their competitors. So the question is, how much more do you pay for the stock of Banco Comercial Portugues compared with alternatives? You can use the following rule of thumb: The growth rank measures the growth momentum of the company (84% better than peers). The value rank could be the reverse reflection of that (16%). A Value Rank below that level may be assessed as expensive, a rank above that is still good value. Sometimes market sentiment just reflects the past, sometimes the reality. You pay more than the market average for this stock, but it may be worth it. ...read more
Sentiment Strategy: Professional Market Sentiment for Banco Comercial Portugues positive
ANALYSIS: With an Obermatt Sentiment Rank of 65 (better than 65% compared with alternatives), overall professional sentiment and engagement for the stock Banco Comercial Portugues is above average. The Sentiment Rank is based on consolidating four sentiment indicators, with all but one indicator above average for Banco Comercial Portugues. Analyst Opinions are at a rank of 80 (better than 80% of alternative investments), which means that, currently, stock research analysts tend to recommend a stock investment in the company. In addition, Analyst Opinions Change has a rank of 50, which means that stock research experts are changing their opinions for the better in recommending investing in the company. In other words, they are getting even more optimistic about investments in Banco Comercial Portugues. Finally, the Professional Investors rank is 91, which means that currently, professional investors hold more stock in this company than in 91% of alternative investment opportunities. ...read more
RECOMMENDATION: With a consolidated Sentiment Rank of 65 (more positive than 65% compared with investment alternatives), Banco Comercial Portugues has a reputation among professional investors that is above-average compared with that of its competitors. Pros tend to favor investing in this company. But there is also a signal for caution. Market Pulse has a rank of 11, which means that the current professional news and professional social networks tend to be negative when discussing this company (more negative news than for 89% of competitors). This could mean future risks and should make investors careful. Attention to negative news for Banco Comercial Portugues is worthwhile because they may be early warning signals. Without those, all other professional signals are encouraging, especially since analysts are getting more optimistic. ...read more
Value Strategy: Banco Comercial Portugues Stock Price Value below-average critical
ANALYSIS: With an Obermatt Value Rank of 29 (worse than 71% compared with alternatives), Banco Comercial Portugues shares are more expensive than the average comparable stock. The Value Rank is based on consolidating four value indicators, where the majority of metrics are below, and only one is above average for Banco Comercial Portugues. Price-to-Sales (P/S) is 51, which means that the stock price compared with what market professionals expect for future sales is lower than 51% of comparable companies, indicating a good value concerning to Banco Comercial Portugues's revenue size. But all other performance indicators point in a different direction. Dividend yields have a Dividend Yield rank of 46, meaning that dividends are expected to be lower than for 54% of comparable investments. Furthermore, Price-to-Book Capital (also referred to as market-to-book ratio) is less favorable than 75% of alternatives (only 25% of peers have an even higher ratio). The same is valid for Price-to-Profit (or Price / Earnings, P/E), which is higher than for 77% of comparable companies, making the stock more expensive compared with the company's expected profit levels. ...read more
RECOMMENDATION: The overall picture with a consolidated Value Rank of 29, is a hold recommendation based on Banco Comercial Portugues's stock price compared with the company's operational size and dividend yields. Since Price-to-Sales is a stable value indicator even in challenging times, investing in Banco Comercial Portugues could be seen as a value investment. However, there must be a good reason for the low market-to-book rank. If the company has a typical capital investment practice, the stock may be overvalued because the profit and dividend-related performance indicators are also low. The stock is only good value if investors can expect profits and dividends to pick up in the future. Else, Banco Comercial Portugues looks like an expensive investment today. ...read more
Growth Strategy: Banco Comercial Portugues Growth Momentum high
ANALYSIS: With an Obermatt Growth Rank of 84 (better than 84% compared with alternatives) for 2025, Banco Comercial Portugues shows one of the highest growth dynamics in its industry. Investors also speak of high momentum. The Growth Rank is based on consolidating four value indicators, with all but one indicator above average for Banco Comercial Portugues. Sales Growth has a rank of 58 which means that currently, professionals expect the company to grow more than 58% of its competitors. Capital Growth is also above 45% of competitors with a rank of 84, and Stock Returns with the rank of 90 is also an outperformance. Only Profit Growth is low with a rank of 45 which means that currently, professionals expect the company to grow its profits less than 55% of its competitors. ...read more
RECOMMENDATION: The overall picture with a consolidated Growth Rank of 84, is a buy recommendation for growth and momentum investors. All three operating growth indicators, namely revenue, profit, and capital growth, are showing improvements. This is a good indication of a company with a positive future. That might, at the same time, be the simple reason why profit growth is low. A growing company needs money and thus can't yet show high profit growth. Look out for signs in corporate communication about extra growth efforts costing time and money. If that is the case, Banco Comercial Portugues is a good growth stock. ...read more
Safety Strategy: Banco Comercial Portugues Debt Financing Safety above-average
| SAFETY METRICS | January 23, 2025 | |||||||
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| LEVERAGE | ||||||||
| LEVERAGE | 52 |
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| REFINANCING | ||||||||
| REFINANCING | 57 |
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| LIQUIDITY | ||||||||
| LIQUIDITY | 66 |
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| CONSOLIDATED RANK: SAFETY | ||||||||
| CONSOLIDATED RANK: SAFETY | 69 |
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ANALYSIS: With an Obermatt Safety Rank of 69 (better than 69% compared with alternatives), the company Banco Comercial Portugues has financing practices on the safer side, which mean that their overall debt burden is lower than average. This doesn't mean that the business of Banco Comercial Portugues is safe, it only means that the company is on the safer side regarding possible bankruptcy, assuming that public reporting is correct. The Safety Rank is based on consolidating three financing indicators, where all three are above average for Banco Comercial Portugues. Leverage is at 52, meaning the company has a below-average debt-to-equity ratio. It has less debt than 52% of its competitors. Refinancing is at a rank of 57, meaning that the portion of the debt about to be refinanced is below average. It has less debt in the refinancing stage than 57% of its competitors. Finally, Liquidity is also good at a rank of 66, which means that the company generates more profit to service its debt than 66% of its competitors. ...read more
RECOMMENDATION: With a consolidated Safety Rank of 69 (better than 69% compared with alternatives), Banco Comercial Portugues has a financing structure that is safer than that of its competitors. These three positive financing indicators signal that the company is less likely to default on its debt obligations. However, it also means that its shareholder returns will be more modest if things go well. A low safety means fewer troubles in downtimes and less upside in good times. ...read more
Combined financial peformance: Banco Comercial Portugues Top Financial Performance
| COMBINED PERFORMANCE | January 23, 2025 | |||||||
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| VALUE | ||||||||
| VALUE | 29 |
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| GROWTH | ||||||||
| GROWTH | 84 |
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| SAFETY | ||||||||
| SAFETY | 66 |
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| COMBINED | ||||||||
| COMBINED | 78 |
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ANALYSIS: With an Obermatt Combined Rank of 78 (better than 78% compared with investment alternatives), Banco Comercial Portugues (Diversified Banks, Portugal) shares have much better financial characteristics than comparable stocks. Shares of Banco Comercial Portugues are low in value (priced high) with a consolidated Value Rank of 29 (worse than 71% of alternatives). But they show above-average growth (Growth Rank of 84) and are safely financed (Safety Rank of 69, which means below-average debt burdens). ...read more
RECOMMENDATION: A Combined Rank of 78, is a strong buy recommendation based on Banco Comercial Portugues's financial characteristics. Investors looking for growth and low financial risk may find this stock attractive. While the company Banco Comercial Portugues exhibits low value (Obermatt Value Rank of 29), which means that the stock price is rather high, it also demonstrates above-average growth (Obermatt Growth Rank of 84). This is a typical case, as high-growth companies are often expensive. Good financing practices (Obermatt Safety Rank of 69) are a double-edged sword: if the company continues growing, low debt limits shareholder returns. But if the company increases its debt, it will also increase risk. In other words, this is an investment on the safer side, despite the above-average price (low value). ...read more
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