RBC sees BBVA's valuation largely reflected in consensus, cuts to "sector-perform"

Banco Bilbao Vizcaya Argentaria SA

28/01/2026 08:54

** RBC believes further increases in BBVA's BBVA.MC share price could be much harder to come by as it sees the bank's attractive valuation creation now largely reflected in consensus

** The broker thus cuts BBVA BBVA to "sector perform" from "outperform"

** According to RBC broker, BBVA's FY 25-28 guidance is one of the reasons that justify the bank's relative valuation premium, but it believes this dynamic looks well-reflected in consensus

** The bank sees c.22% average ROTE and c.36 billion euros of total distributions vs consensus of over 21% and 37 billion euros respectively

** Going into 2026, the broker's prefers Santander SAN.MC, where it thinks there is "lower hanging fruit" and expects the bank to close some of its ROTE/valuation gap with BBVA over the next couple of years

** Out of 23 analysts that cover BBVA, 14 rate the stock "strong buy" or "buy"​, six rate "hold" and three rate the stock "strong sell" or "sell" - LSEG data

** BBVA shares are down 2%, at the bottom of Spanish blue-chip index IBEX35 .IBEX

 (Reporting by Joao Manuel Mauricio)