Erste Group Bank stock: fair value
EBS.VIThe fair value of Erste Group Bank under our model is $179.60, the price is 28% below.
The fair value is an estimate from our model, not a price target.
Daily figure as of 13 Nov 2026
Valuation signal
Significantly undervaluedIn our model the price counts as cheap below $138.16 and expensive above $256.58 (uncertainty medium, based on the price swings of the past year).
The two parts of the fair value come to $226.65 (excess return model) and $132.56 (industry comparison), and the gap between them shows how uncertain the estimate is. The price is below both.
Calculated with a cost of equity of 7.6%. At 8.6% the fair value would be $160.72, at 6.6% it would be $207.93.
Where the number comes from
Half from the excess return model, half from earnings times the industry P/E (12.2).
Excess return model for banks and insurers: book value plus the value of returns above the cost of equity of 7.6% (floor: government bond yield 2.6% plus 5 percentage points, since beta 0.8 times the risk premium would give less).
Calculate with your own assumptionsThe calculation step by step
With these figures the excess return model arrives at $226.65 per share: book value plus the value of what the company earns above its cost of equity over time. The table explains the calculation; it is not a recommendation.
Calculation as a table
| Step | Value |
|---|---|
| Book value per share | $76.43 |
| Stable earnings per share (analyst estimates) | $13.29 |
| Return on equity in the model (stable earnings divided by book value) | 17.4% |
| Cost of equity | 7.6% |
| Excess return per share: (return − cost) × book value | $7.51 |
| Terminal value of excess returns: excess return / (7.6% − 2.6%) | $150.22 |
| Value per share (book value plus terminal value) | $226.65 |
| Earnings per share, last twelve months | $10.84 |
| × 12.2 (industry P/E) | $132.56 |
| Fair value (average of both parts) | $179.60 |
Data status and sources
- Score
- Daily value of 13 Nov 2026, recalculated nightly
- Price
- Closing price of 12 Nov 2026
- Latest annual report
- Fiscal year 2025, period end 31 Dec 2025
- Currency
- Amounts in US dollars, converted at the ECB reference rate of 12 Nov 2026 ($1 = €0.9024)
- Source
- Financial statements, ratios and prices from Financial Modeling Prep (FMP), based on the company's reports. MEQIRI calculates the score and fair value from them.
Mandatory disclosures for this rating
- ; time horizon around 12 months
- Rated Strong, published since 7 Nov 2026 (in the score history since 18 Oct 2026)
- Valuation signal Undervalued since 7 Nov 2026
- End-of-day prices, metrics cached for up to 24 hours
- Score and fair value are estimates from a disclosed model. They are not facts and not a price target.
- Produced by SSM Ventures UG (haftungsbeschränkt), responsible person Sven Brostmeyer, Managing Director, automatically according to the disclosed model.
- Not investment advice. Losses up to and including a total loss are possible. Personal circumstances are not considered.