Financials & FinTech research, Galliano’s Financials Research

Victor Galliano

Victor Galliano is an experienced equity banks analyst, having covered Latin America banks and non-bank financials for over 12 years, as well as more recently covering the Italian banks. He has worked in sell side equity research for 30 years in a career spanning Barclays, HSBC, BBVA LatInvest, Barings and NatWest.
Galliano's Financials Research provides fundamental research in Emerging Markets financials, including FinTech, as well as financials in select Developed Markets.
The investment style applied is generally value oriented, although Growth At Reasonable Price (GARP) strategies can also be used where appropriate. Our investment research approach aim is often contrarian, looking to capitalise on overly sceptical or optimistic consensus views. In terms of valuation techniques, the focus is on PBV ratio to ROE, PE multiples and dividend yield, as well as the application of PEG ratios and, where appropriate, Sum of the Parts (SOTP) valuations.

Financials & FinTech research

Unicredit (UCG IM) – Orcel’s Balancing Act

European Bank Screens 4Q20 – Our Picks in the Rotation to Value

Turkey – Erdogan Creates More Market Turbulence, Again

European Banks: 2Q20 Capital & Credit Quality Screens

Italian Banks M&A Scenarios: The Italian Job in 2021

Caixabank-Bankia: ROE Boosting Digital Opportunity

Caixabank-Bankia: Share Exchange Tug-Of-War, in a Merger of Unequals

Financials & FinTech, EM & Developed Markets

Galliano’s Financials Research

Galliano's Financials Research provides fundamental research in Emerging Markets financials, including FinTech, as well as financials in select Developed Markets.

The investment style applied is generally value oriented, although Growth At Reasonable Price (GARP) strategies can also be used where appropriate. 

Our investment research approach aim is often contrarian, looking to capitalise on overly sceptical or optimistic consensus views. In terms of valuation techniques, the focus is on PBV ratio to ROE, PE multiples and dividend yield, as well as the application of PEG ratios and, where appropriate, Sum of the Parts (SOTP) valuations.

Equity Bottom-Up

<ul>
<li>In our Southern Europe bank screens, we look for attractive valuations, core capital strength and constructive signals on credit quality</li>
<li>In Italy, we are positive on <a href="https://www.smartkarma.com/entities/unicredit-spa" target="_blank" data-smartkarma-citation="entities:21234:1" rel="noopener">UniCredit SpA (UCG IM)</a> , which is attractive on valuations, credit quality and capital as well as <a href="https://www.smartkarma.com/entities/bper-banca-s-p-a" target="_blank" data-smartkarma-citation="entities:21165:1" rel="noopener">BPER Banca S.p.A (BPE IM)</a> on valuations and NPL coverage</li>
<li>In Spain, <a href="https://www.smartkarma.com/entities/banco-bilbao-vizcaya-argentari" target="_blank" data-smartkarma-citation="entities:21251:1" rel="noopener">Banco Bilbao Vizcaya Argentari (BBVA SM)</a> screens well on valuation, NPL coverage and the capital ratio will get a boost post US Bancshares disposal; we are also positive on the Caixabank-Bankia merger</li>
<li>
<a href="https://www.smartkarma.com/entities/banco-comercial-portugues-sa" target="_blank" data-smartkarma-citation="entities:21358:1" rel="noopener">Banco Comercial Portugues Sa (BCP PL)</a> is one to watch in Portugal, while we believe that the Greek banks still have a way to go on balance sheet de-risking</li>
<li>Risks to our positive views on the recommended Italian and Spanish banks include a reversal of investor sentiment into a more “risk off” mode, including investors shunning value shares</li>
</ul>


In our Southern Europe bank screens, we look for attractive valuations, core capital strength and constructive signals on credit quality
In Italy, we are positive on UniCredit SpA (UCG IM) , which is attractive on valuations, credit quality and capital as well as BPER Banca S.p.A (BPE IM) on valuations and NPL coverage
In Spain, Banco Bilbao Vizcaya Argentari (BBVA SM) screens well on valuation, NPL coverage and the capital ratio will get a boost post US Bancshares disposal; we are also positive on the Caixabank-Bankia merger

Banco Comercial Portugues Sa (BCP PL) is one to watch in Portugal, while we believe that the Greek banks still have a way to go on balance sheet de-risking
Risks to our positive views on the recommended Italian and Spanish banks include a reversal of investor sentiment into a more “risk off” mode, including investors shunning value shares


Southern Europe Bank Screens; Picks for 2021