A New Development in Banco Santander (Mexico), S.A., Institucion de Banca Multiple, Grupo Financiero Santander (BSMX)

Wall Street’s most bullish Banco Santander (Mexico), S.A., Institucion de Banca Multiple, Grupo Financiero Santander (NYSE:BSMX) analysts are predicting the share price to blow past $9.63 per share during the next 12 months. The current median share price forecast by them is $7.97, suggesting that the stock could increase 28.55% in that time frame. The average price target of $7.87 calls for a nearly 26.94% increase in the stock price.

Banco Santander (Mexico), S.A., Institucion de Banca Multiple, Grupo Financiero Santander (BSMX) trading activity significantly improved as the volume at ready counter increased to 3,283,350 shares versus 2,101,680 in average daily trading volume over the past 20 days. So far this year, the volume has averaged about 1,513,335 shares. The share price dropped -0.16% in recent trade and currently has a stock-market value of $0. The shares finished at $6.2, after trading as low as $5.945 earlier in the session. It hit an intraday high Thursday at $6.21. The stock is now 9.15% above against its bear-market low of $5.68 on November 26, 2018. It has retreated -42.1% since it’s 52-week high of $8.81 reached in July. Now the market price is down -20% on the year and down -15.18% YTD.

BSMX’s 50 day simple moving average (SMA 50) price is $6.96 and its 200-day simple moving average (SMA 200) price is $7.24. The company’s stock currently has a total float of 0 shares. Its weekly volatility is hovering around 2.82% and felt 4.78% volatility in price over a month. On the upside, the share price will test short term resistance at around $6.29. On a downside, the stock is likely to find some support, which begins at $6.03. The failure to get near-term support could push it to $5.85.

It had seen a negative analyst call from Citigroup, which downgraded the stock from Buy to Neutral on November 30. Analysts at JP Morgan, shed their negative views on June 07 by lifting it fromNeutral to Overweight. The stock lost favor of JP Morgan analysts who expressed their lack of confidence in it using a downgrade from Overweight to Neutral on November 01. Credit Suisse analysts came out with bearish views on September 19 when the call was made. They think the stock is now Neutral compared to to their prior call for Outperform.

When looking at valuations, Banco Santander (Mexico), S.A., Institucion de Banca Multiple, Grupo Financiero Santander (BSMX) has a pricey P/E of 31.79x as compared to industry average of 18.6x. Moreover, it trades for 7.56 times the next 12 months of expected earnings. Also, it is trading at rather expensive levels at just over 1.31x price/book and 0x price/sales.

Shares of Banco Santander (Mexico), S.A., Institucion de Banca Multiple, Grupo Financiero Santander (BSMX) have dropped -4.8% since the company’s last earnings report. Over the past 12 fiscal quarters, Banco Santander (Mexico), S.A., Institucion de Banca Multiple, Grupo Financiero Santander (NYSE:BSMX) has topped consensus earnings estimates in 5 quarters (41%), missed earnings in 6 quarters (50%), whereas at 1 occasion EPS met analyst expectations. BSMX last reported earnings on October 31, 2018 when it released Sep-18 results that exceeded expectations. The company raked in $4.07 per share, -72.54% change on the same period last year. That was better than consensus for $3.54. Revenue for the recent quarter stood at $21.54 billion, up 3% on last year and above the $21.07 billion predicted by analysts. For this quarter, Wall Street analysts forecast revenue in a range of $20.76 billion to $24.48 billion, which should be compared with $0 generated last year. EPS is seen in a range of $3.52 to $3.8, against the 0 reported a year ago.