Momentum investing revolves around the idea of following a stock's recent trend in either direction. In the 'long' context, investors will be essentially be "buying high, but hoping to sell even higher." With this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving that way. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.While many investors like to look for moment ...

Financial Performance - BBVA Group reported a net profit of €1.5 billion for Q1 2025, representing a 12% increase year-over-year[5]. - BBVA reported an attributable profit of €10,054 million for 2024, a 25.4% increase from 2023[18]. - The net profit attributable to the Group for the year was €5.013 billion, up from €2.491 billion in June 2024 and €4.759 billion in December 2023[167]. Customer Growth and Digital Transformation - The total customer base reached 80 million, with a 5% growth in digital customers, now totaling 30 million[5]. - BBVA plans to invest €500 million in technology and digital transformation initiatives over the next two years[5]. - BBVA is developing a new mobile banking app expected to launch in Q3 2025, enhancing user experience and functionality[5]. - Digital sales accounted for 78.5% of total sales, with mobile customers reaching 58 million[20]. Capital and Liquidity Ratios - The bank's CET1 capital ratio stood at 12.5%, exceeding the regulatory requirement by 2.5 percentage points[5]. - The CET1 fully loaded ratio stood at 12.88%, well above the regulatory requirement of 9.13%[46]. - BBVA's liquidity ratios included an LCR of 134% and an NSFR of 127%[19]. - The liquidity coverage ratio (LCR) averaged 146% throughout 2024, significantly above the minimum requirement of 100%[52]. - The net stable funding ratio (NSFR) was reported at 127% as of December 31, 2024, exceeding the required minimum of 100%[53]. - The leverage ratio remained strong at 6.81% as of December 31, 2024, well above the minimum requirement of 3.00%[54]. Risk Management and Capital Requirements - BBVA's risk-weighted assets (RWA) increased due to organic business growth, impacting the CET1 ratio by -155 basis points[47]. - The total risk exposure amount for the Group is €394,468 million[154]. - The minimum capital requirement as of December 31, 2024, is €52,427 million, corresponding to a total capital requirement ratio of 13.29%[183]. - The phased-in capital ratios and leverage ratio are calculated considering the transitional provisions defined by Article 473a of the CRR[191]. - The risk appetite framework aligns with the bank's business strategy and model, ensuring a sound governance and risk management framework[199]. Strategic Initiatives and Market Expansion - BBVA aims to expand its presence in Latin America, targeting a 15% increase in market share by 2026[5]. - The bank plans to enhance its presence in enterprise segments, targeting SMEs to large corporations[37]. - BBVA's strategic plan for 2025-2029 emphasizes customer-centric innovation and the use of artificial intelligence[32]. Regulatory Compliance and Reporting - The BBVA Group's Consolidated Financial Statements comply with IFRS-IASB and EU-IFRS applicable as of December 31, 2024[117]. - The Prudential Relevance Report (Pillar 3) reflects prudential information at the consolidated level for the year ended December 31, 2024[105]. - The report highlights the importance of the Capital Markets Union (CMU) revitalization as a major EU priority for 2024[102]. - The implementation of new regulations aims to unify public information with regulatory reporting, simplifying standard templates[107]. Operational Efficiency - The bank's cost-to-income ratio improved to 45%, reflecting operational efficiency gains[5]. - The Group's strategy focuses on promoting profitable growth, as evidenced by the organic growth of the loan portfolio contributing to the increase in RWA[169].

Group 1 - The article emphasizes a long-term, buy-and-hold investment strategy focused on stocks that can consistently deliver high-quality earnings, particularly in the dividend and income sectors [1] - The author shares insights on various US and Canadian stocks through 'The Compound Investor' and predominantly UK stocks on 'The UK Income Investor' [1] Group 2 - The article does not provide any specific company or industry analysis, nor does it include any financial data or performance metrics [2][3]

Core Viewpoint - Momentum investing focuses on following a stock's recent price trends, aiming to buy high and sell higher, with the expectation that established trends will continue [1] Company Overview: Banco Bilbao (BBVA) - BBVA currently holds a Momentum Style Score of B, indicating a positive momentum characteristic [2] - The bank has a Zacks Rank of 1 (Strong Buy), suggesting strong potential for outperformance in the market [3] Performance Metrics - Over the past week, BBVA shares increased by 0.48%, outperforming the Zacks Banks - Foreign industry, which rose by 0.17% [5] - In a longer timeframe, BBVA's monthly price change is 16.67%, significantly higher than the industry's 4.9% [5] - Over the last quarter, BBVA shares have risen by 31.9%, and by 30.99% over the past year, while the S&P 500 has seen a decline of -0.97% and an increase of 18.46%, respectively [6] Trading Volume - BBVA's average 20-day trading volume is 1,938,345 shares, which serves as a bullish indicator when combined with rising stock prices [7] Earnings Outlook - In the past two months, two earnings estimates for BBVA have been revised upwards, while none have been lowered, leading to an increase in the consensus estimate from $1.60 to $1.75 [9] - For the next fiscal year, one estimate has moved upwards with no downward revisions during the same period [9] Conclusion - Considering the positive momentum indicators and earnings outlook, BBVA is positioned as a 1 (Strong Buy) stock with a Momentum Score of B, making it a strong candidate for near-term investment [11]

Core Viewpoint - Banco Bilbao (BBVA) has received an upgrade to a Zacks Rank 1 (Strong Buy), indicating a positive outlook for its earnings estimates, which is a significant factor influencing stock prices [1][4]. Earnings Estimates and Revisions - The Zacks rating system is based solely on a company's changing earnings picture, tracking the Zacks Consensus Estimate for EPS from sell-side analysts [2]. - The Zacks Consensus Estimate for Banco Bilbao for the fiscal year ending December 2025 is projected at $1.75 per share, reflecting a -3.9% change from the previous year, but has seen a 9.7% increase in estimates over the past three months [9]. Impact of Institutional Investors - Changes in earnings estimates are strongly correlated with near-term stock price movements, influenced by institutional investors who adjust their valuations based on these estimates [5]. - The upgrade for Banco Bilbao suggests an improvement in its underlying business, which is expected to attract buying pressure and increase its stock price [6]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with Zacks Rank 1 stocks historically generating an average annual return of +25% since 1988 [8]. - Only the top 5% of Zacks-covered stocks receive a 'Strong Buy' rating, indicating superior earnings estimate revisions, positioning Banco Bilbao for potential market-beating returns [10][11].

Financial Performance - The company reported a significant increase in net income for the year ended December 31, 2023, reaching €5.2 billion, a 15% increase compared to €4.5 billion in 2022[39]. - The company anticipates a continued positive trend, projecting a net income of approximately €5.5 billion for the year ending December 31, 2024, reflecting a growth rate of about 6%[39]. - Profit attributable to the parent company for 2024 reached €10,054 million, a 25.4% increase from €8,019 million in 2023[190]. - The operating profit before tax for 2024 was €15,405 million, a significant increase from €12,419 million in 2023, representing a rise of 24.8%[192]. - The gross income for 2024 was €35,481 million, an increase from €29,542 million in 2023, showing a growth of 20.0%[192]. - Net interest income for 2024 was €25,267 million, up from €23,089 million in 2023, reflecting an increase of 9.5%[192]. - Total assets as of December 31, 2024, amounted to €809,536 million, compared to €762,120 million in 2023, indicating a growth of 6.2%[194]. - Total equity as of December 31, 2024, was €47,416 million, up from €43,033 million in 2023, reflecting a growth of 10.9%[194]. Customer Growth and Engagement - User data showed a growth in active customers, with a total of 35 million users, representing a 10% increase year-over-year[39]. - New product launches in digital banking services contributed to a 20% increase in transaction volumes, indicating strong customer engagement[39]. - Approximately 66% of new clients initiated their relationship with BBVA through digital channels, highlighting the significant shift towards digital banking[168]. - The number of digital and mobile phone customers and the volume of online transactions continued to increase in 2024, reflecting the company's focus on digital transformation[183]. Market Expansion and Investments - The company is expanding its market presence in Latin America, with a targeted investment of €1 billion over the next three years to enhance service offerings[39]. - The company successfully completed the acquisition of a fintech startup, which is expected to enhance its technological capabilities and customer service[39]. - BBVA announced a voluntary Exchange Offer for the acquisition of the Target Company, intending to promote a merger unless market conditions change[101]. Risk Management and Compliance - The company is focusing on improving its risk management framework to address potential credit rating downgrades, particularly in Spain and Mexico[26]. - The Group's ability to manage credit risk and assess counterparties' creditworthiness is crucial for its financial condition, especially in the current economic uncertainty[80]. - The Group is subject to ongoing legal investigations, including a criminal investigation related to possible bribery and corruption[138]. - Regulatory changes have significantly impacted the financial services sector, increasing compliance costs and operational complexity[141]. Credit and Loan Portfolio - The company reported a 5% increase in its loan portfolio, driven by higher demand for consumer loans and mortgages[39]. - Loans and advances to customers totaled €413,930 million in 2024, compared to €379,231 million in 2023, marking an increase of 9.1%[194]. - The gross non-performing loan (NPL) ratio improved to 3.0% as of December 31, 2024, down from 3.4% in both 2023 and 2022, driven by increased lending activity and lower net entries of non-performing loans[78]. - Non-performing loan ratio decreased to 3.7% from 4.1% as of December 31, 2023, positively impacted by the sale of non-performing loan portfolios[213]. Geopolitical and Economic Risks - The geopolitical and economic risks, including inflation and currency depreciation, could adversely affect the Group's financial condition and results of operations[69]. - Inflation in Turkey was reported at 44.4% for the year ended December 2024, with the Turkish lira depreciating 11.1% against the euro[89]. - The Group's significant presence in emerging markets exposes it to heightened political risks and economic volatility, particularly in Mexico and Turkey[88]. Regulatory and Compliance Challenges - The Group's credit ratings are significantly influenced by the sovereign credit ratings of Spain and Mexico, which could affect access to capital markets[120]. - The introduction of a minimum effective tax rate of 18% for credit institutions in Spain since 2022 may increase the Group's tax burden[158]. - The Group's compliance with liquidity coverage ratio (LCR) and net stable financing ratio (NSFR) has led to additional expenses and affected profitability[156]. - The imposition of additional capital requirements could adversely affect the return on equity and other financial indicators[155]. Shareholder Actions - BBVA announced a share buyback program to repurchase own shares for a maximum monetary amount of €781 million, authorized by the ECB[47]. - The share buyback program was completed on April 9, 2024, with BBVA acquiring 74,654,915 shares, representing approximately 1.28% of its share capital[48]. - BBVA reduced its share capital by €36,580,908.35, redeeming the shares acquired in the buyback program[49].

2024 Earnings January 30, 2025 2024 Earnings 2 Disclaimer This document is only provided for information purposes and is not intended to provide financial advice and, therefore, does not constitute, nor should it be interpreted as, an offer to sell, exchange or acquire, or an invitation for offers to acquire securities issued by any of the aforementioned companies, or to contract any financial product. Any decision to purchase or invest in securities or contract any financial product must be made solely and ...

Group 1 - BBVA Argentina is one of the largest banks in Argentina and is expected to see significant capital appreciation due to the recovery of Argentinian public finances [1] - The recovery in public finances is anticipated to positively impact the bank's stock performance [1] Group 2 - The analysis emphasizes the importance of deep research and understanding business model trends for long-term investment opportunities [1] - The focus is on avoiding dangerous financial instruments while identifying growth investments in financials, consumer, and technology sectors [1]

Group 1 - Banco BBVA Argentina S.A. is expected to benefit from economic and social reforms in Argentina [1] - The bank has worse fundamentals compared to its peers [1] - It may not be the best investment option to capitalize on the macroeconomic theme in Argentina [1]

3Q24 Earnings October 31, 2024 3Q24 Earnings 2 Disclaimer This document is only provided for information purposes and is not intended to provide financial advice and, therefore, does not constitute, nor should it be interpreted as, an offer to sell, exchange or acquire, or an invitation for offers to acquire securities issued by any of the aforementioned companies, or to contract any financial product. Any decision to purchase or invest in securities or contract any financial product must be made solely and ...