- Swedbank’s net interest income for the first quarter landed at SEK12.60 billion, falling short of the estimate of SEK12.81 billion.
- The bank achieved a higher-than-predicted net fee & commission income, recording SEK3.98 billion as against the estimated SEK3.8 billion.
- Total income matched the estimated SEK18.09 billion.
- Impairments on credit loans were significantly less than expected – SEK144 million compared to an estimate of SEK517.2 million.
- Total expenses for the period stood at SEK6.19 billion, coming in below the estimated SEK6.24 billion.
- Swedbank’s profit before impairments, Swedish bank tax, and resolution fees outperformed expectations, totaling SEK11.90 billion against the SEK11.88 billion estimate.
- The bank’s common equity Tier 1 ratio was 19.3%, slightly below the estimated 19.4%.
- Gross stage 3 ratio, which measures the quality of a bank’s credit portfolio, increased to 0.52%, going over the 0.43% estimate based on two estimates.
- Earnings per share (EPS) amounted to SEK7.47, exceeding the SEK7.24 estimation.
- The financial condition of Swedbank drew mixed appraisals, resulting in 13 buys, 9 holds, and 3 sells.
A look at Swedbank AB Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 4 | |
| Dividend | 5 | |
| Growth | 5 | |
| Resilience | 2 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 4.0 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Swedbank AB, a financial institution offering a range of services including retail banking, asset management, and more, has received positive Smart Scores across the board. With strong ratings in Dividend and Growth, the company is positioned well for long-term success. Its high Value score indicates solid financial health and attractive investment potential, while the Momentum score suggests a positive trend in the company’s performance.
Despite a lower score in Resilience, Swedbank AB‘s overall outlook appears promising. Investors may find the combination of strong dividends, robust growth prospects, and solid value metrics appealing. With a diverse range of financial services on offer, the company seems well-positioned to navigate market challenges and capitalize on future opportunities.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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