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olivLaw · US equity research

HSBC Holdings plc HSBC

Savings Institution, Federally Chartered · SIC 6035 · Vertical: Savings Institution, Federally Chartered (SIC 6035)

89.37USD+5.78% · 1 dayClose 04 Nov 2026

HSBC Holdings plc is one of the largest international banks, active in retail, wealth, commercial banking and investment banking. It reported revenue of 68.3 bn USD in 2025, and its current context is shaped by organisational simplification and medium-term growth targets.

The AI analysis may be outdated: new filings came after its sources (see the «AI analysis» section).

At the close of 04 Nov 2026, HSBC Holdings plc (HSBC) stock was 89.37 USD (+5.78% on the day), with market capitalisation 1,535.0 bn USD, P/E 74.5 on diluted EPS of 1.20 USD over the last 12 months, dividend yield 0.88%, beta 0.91, 52-week range 67.56–107.86 USD.

Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.

Market cap
1,535.0 bn USD
shares as of 31 Dec 2025
P/E (TTM)
74.5
Diluted EPS TTM 1.20 · TTM to 31 Dec 2025
E/P (TTM)
1.34%
TTM to 31 Dec 2025
Dividend yield
0.88%
DPS 12m 0.78
Beta (2y)
0.91
Volatility (1y) 29%
52-week range
67.56107.86

Price history

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Technical reading

RSI (14)
43.1
weak (30–45)
Bollinger (20, 2)
83.71 – 97.82
in the lower half of the band · %B 0.40 · band width 15.5%
SMA 50 / 200
97.40 / 93.48
mixed trend
MACD (12, 26, 9)
-3.18 / -3.05
MACD below signal

Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).

Performance

CompanyS&P 500vs S&P 500Vertical median
1 month−7.6%−1.1%−6.5 pp—
3 months−13.0%−0.5%−12.5 pp—
6 months−2.2%+4.4%−6.6 pp—
Year to date+13.6%+12.3%+1.3 pp—
1 year+27.9%+13.5%+14.4 pp+26.3%
3 years+138.7%+76.4%+62.3 pp+71.9%
5 years+204.8%+63.7%+141.1 pp—
Max drawdown (1y)
−21.7%
03 Aug 2026 → 03 Nov 2026
Max drawdown (5y)
−34.6%
08 Feb 2022 → 12 Oct 2022
Compound annual growth (5y)
+25.0%
S&P 500 +10.4%

Price returns, dividends excluded.

Quarterly results

ESEF annual reports carry no quarters: the results are annual (below).

E/P over time

E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.

Today's P/E sits at the 60 percentile of its own 10-quarter history (min 35.6, median 65.4, max 574.0; quarters with earnings only).

Fiscal years

Fiscal year20182019202020212022202320242025
Revenueunavailableunavailableunavailableunavailableunavailableunavailableunavailableunavailable
Revenue YoYunavailableunavailableunavailableunavailableunavailableunavailableunavailableunavailable
Net income13.7 bn7.4 bn5.2 bn13.9 bn16.0 bn24.6 bn25.0 bn23.1 bn
Net income YoY+27.1%−46.2%−29.2%+166.2%+15.2%+53.2%+1.8%−7.5%
Diluted EPS0.630.300.190.620.721.141.241.20
Diluted EPS YoY+31.3%−52.4%−36.7%+226.3%+16.1%+58.3%+8.8%−3.2%
net %unavailableunavailableunavailableunavailableunavailableunavailableunavailableunavailable
Free cash flow31.3 bn28.4 bn180.8 bn103.2 bn18.1 bn38.0 bn64.0 bn28.3 bn

Reported results vs expectations

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Balance sheet & financial health

Fiscal year 2025 · 31 Dec 2025

Cash
432.9 bn USD
Financial debt
unavailable USD
Net debt
unavailable USD
Equity
205.7 bn USD
Total assets
3,233.0 bn USD
Debt / equity
unavailable
Current ratio
unavailable
ROE
11.6%
ROA
0.7%
FCF margin
unavailable

Financial statements (source on every figure)

Revenue and net income (USD)

Income statement · USD

Pre-tax income
2023
30.3 bn
2024
32.3 bn
2025
29.9 bn

SEC (XBRL)· 26 Feb 2026verified

Net income
2023
24.6 bn
2024
25.0 bn
2025
23.1 bn

SEC (XBRL)· 26 Feb 2026verified

Diluted EPS
2023
1.14
2024
1.24
2025
1.20

SEC (XBRL)· 26 Feb 2026verified

Dividend per share
2023
0.63
2024
0.95
2025
0.78

SEC (XBRL)· 26 Feb 2026derived

Balance sheet · USD

Cash
2023
490.9 bn
2024
434.9 bn
2025
432.9 bn

SEC (XBRL)· 26 Feb 2026verified

Total assets
2023
3,038.7 bn
2024
3,017.0 bn
2025
3,233.0 bn

SEC (XBRL)· 26 Feb 2026verified

Total liabilities
2023
2,846.1 bn
2024
2,824.8 bn
2025
3,027.4 bn

SEC (XBRL)· 26 Feb 2026verified

Equity
2023
192.6 bn
2024
192.3 bn
2025
205.7 bn

SEC (XBRL)· 26 Feb 2026verified

Shares outstanding at year end
2023
19.3 bn
2024
17.9 bn
2025
17.2 bn

SEC (XBRL)· 26 Feb 2026verified

Cash flow · USD

Dividends paid
2023
12.2 bn
2024
17.1 bn
2025
13.5 bn

SEC (XBRL)· 26 Feb 2026verified

Share repurchases
2023
5.8 bn
2024
11.3 bn
2025
9.1 bn

SEC (XBRL)· 26 Feb 2026verified

Computed indicators

Growth

Revenue growth (YoY)
unavailable
input data missing
Revenue CAGR 3Y
unavailable
input data missing
Revenue CAGR 5Y
unavailable
input data missing
Net income growth (YoY)
-7.5%
computed by olivLawFY 2025
Net income CAGR 3Y
13.0%
computed by olivLawFY 2022 → FY 2025
Net income CAGR 5Y
34.6%
computed by olivLawFY 2020 → FY 2025
EPS growth (YoY)
-3.2%
computed by olivLawFY 2025
EPS CAGR 3Y
18.6%
computed by olivLawFY 2022 → FY 2025
EPS CAGR 5Y
44.6%
computed by olivLawFY 2020 → FY 2025

Profitability

Net margin
unavailable
input data missing

Returns

ROE
12.1%
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
ROA
0.7%
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
Payout ratio (EPS)
65.4%
computed by olivLawFY 2025

Market and valuation

Market capitalisation
1,535.0 bn USD
computed by olivLawbalance sheet at 31 Dec 2025
Market cap / net income TTM
66.4x
computed by olivLawFY 2025
P/E (TTM)
74.5x
computed by olivLawFY 2025
Earnings yield
1.3%
computed by olivLawFY 2025
P/B
7.7x
computed by olivLawbalance sheet at 31 Dec 2025
P/S
unavailable
input data missing
Dividend yield
0.9%
computed by olivLawFY 2025
Shareholder yield (distributions)
1.5%
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025

Banking

Net interest margin
unavailable
input data missing
Cost-to-income
unavailable
input data missing
Loan-to-deposit
unavailable
input data missing
NPL ratio
unavailable
input data missing
CET1 ratio
unavailable
input data missing
Cost of risk
unavailable
input data missing

32 indicators that do not apply to the sector.

Valuation

olivLaw classification

Insufficient data
What is missing
  • score weight coverage: 58.0% of at least 60%

A scoring methodology on indicators and valuation, not investment advice.

Closing price

89.37 USD

04 Nov 2026Source: olivLaw, closing series

Market cap: 1,535.0 bn USD

Key indicators

Market capitalisation
1,535.0 bn USD
computed by olivLawbalance sheet at 31 Dec 2025
P/E (TTM)
74.5x
computed by olivLawFY 2025
P/B
7.7x
computed by olivLawbalance sheet at 31 Dec 2025
ROE
12.1%
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
Net margin
unavailable
input data missing
Revenue growth (YoY)
unavailable
input data missing
Dividend yield
0.9%
computed by olivLawFY 2025

Coverage and freshness

11/20 reporting lines present
Latest full fiscal year: 2025
Latest reported period: 31 Dec 2025
Latest balance sheet date: 31 Dec 2025
Share count (cover of the latest filing), as of: 31 Dec 2025
Source: SEC (XBRL)published 26 Feb 2026
verified 231derived 9

Score by group

58% · Insufficient data

Estimated value range

Low
11.98
USD per share
Mid
13.20
USD per share
High
15.87
USD per share
Price: 89.37 USD
The price is above the range
Potential to the central value: -85.2% (value / price − 1)
Margin of safety: -577.1% (1 − price / value)
Agreement between methods: high · 5 methods used · 4 independent bases

The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 10.32 – 19.05 USD.

Valuation assumptions are editorial choices, not measured; beta is not measured.

Method ranges (USD per share)

— — Mid · ▏ Price

Valuation methods

  • Residual income11.98 – 12.51 (Mid 12.24)
  • Justified P/B14.16 – 19.05 (Mid 16.25)
  • Dividend discount (DDM)10.32 – 13.87 (Mid 11.83)
  • Peers: P/E13.45 – 16.06 (Mid 14.90)
    10 companies used · median multiple 12.4x · quartiles 11.2x – 13.4x
    AX, BKU, CFFN, EBC, FCAP, HFBL, HTB, KRNY, NRIM, WNEB
  • Peers: P/B11.81 – 15.87 (Mid 13.20)
    12 companies used · median multiple 1.1x · quartiles 1.0x – 1.4x
    AX, BKU, CFFN, EBC, FCAP, FDSB, HFBL, HTB, KFFB, KRNY, NRIM, WNEB
Multiple comparisons use the SIC vertical: Savings Institution, Federally Chartered (SIC 6035)

Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.

Assumptions (illustrative, editorial)

Risk-free rate
4.3%
Equity risk premium
5.0%
Beta (default)
1.00
Cost of equity
9.3%
Terminal growth
2.5%

Factor scorecard

Insufficient data

Minimum-evidence gate: score weight coverage: 58.0% of at least 60%

FactorValueScoreWeight used
ROE · Quality12.1%79 (vs peers)28%
ROA · Quality0.7%24 (on a fixed band)10%
Cost-to-income · Qualityunavailableunavailable—
Net interest margin · Qualityunavailableunavailable—
EPS CAGR 3Y · Growth18.6%100 (on a fixed band)14%
Revenue CAGR 3Y · Growthunavailableunavailable—
NPL ratio · Balance sheetunavailableunavailable—
Cost of risk · Balance sheetunavailableunavailable—
Loan-to-deposit · Balance sheetunavailableunavailable—
P/B · Valuation7.7x0 (vs peers)17%
P/E (TTM) · Valuation74.5x0 (vs peers)17%
Dividend yield · Returns0.9%9 (vs peers)14%

Factors without a value were dropped; the remaining weights were renormalised.

Score groups

  • Balance sheet· partialunavailable · 0/3 factors with a value
  • Growth· partial100/100 · 1/2 factors with a value
  • Quality64/100 · 2/4 factors with a value
  • Returns9/100 · 1/1 factors with a value
  • Valuation0/100 · 2/2 factors with a value

A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.

Memo

HSBC HOLDINGS PLC (HSBC). Latest full fiscal year: 2025; data up to 2025-12-31.

Figures computed from the financial statements: ROE 12.1%.

The estimated value range is 11.98–15.87 USD per share (median of 5 methods, agreement: high); assumptions are illustrative. Against the central value of 13.20 USD, the price of 89.37 USD leaves a potential of -85.2% (value / price − 1) and a margin of safety of -577.1% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.

Insufficient data for a verdict (score weight coverage: 58.0% of at least 60%).

Text generated deterministically from the figures shown; no language model. Not investment advice.

What supports the thesis

  • ROE: 12.1%
  • EPS CAGR 3Y: 18.6%

What contradicts it

  • ROA: 0.7%
  • P/B: 7.7x
  • P/E (TTM): 74.5x
  • Dividend yield: 0.9%
  • The price is above the estimated value range

Not assessed (insufficient data or a ratio without meaning): Cost-to-income, Net interest margin, Revenue CAGR 3Y, NPL ratio, Cost of risk, Loan-to-deposit.

Versus the vertical median

Savings Institution, Federally Chartered (SIC 6035) · same industry (4-digit SIC) · compared with 14 companies

Multiples and returns vs the median

P/E
74.5x
vertical median 13.3x
above median (+459.9%)
EV/EBITDA
—
vertical median —
P/S
—
vertical median 53.0x
P/B
7.7x
vertical median 1.2x
above median (+571.7%)
ROE
12.1%
vertical median 8.6%
above median (+40.4%)
Net margin
—
vertical median 273.6%
EBIT margin
—
vertical median —
Revenue YoY
—
vertical median 7.4%
Net debt/EBITDA
—
vertical median —
Dividend yield
0.9%
vertical median 2.5%
below median (−64.2%)

Price rebased to 100 (monthly, 5 years)

Companies in the vertical

Market capP/EROENet marginRevenue YoY1A / 3A
HSBCHsbc Holdings PLC1,535.0 bn74.512.1%—unavailable+28% / +139%
AXAxos Financial, Inc.5.4 bn10.716.7%624.8%+23.5%+15% / +147%
EBCEastern Bankshares, Inc.5.3 bn13.39.4%257.2%+19.1%+24% / +95%
TFSLTfs Financial Corporation4.7 bn46.05.3%—unavailable+17% / +26%
BKUBankUnited, Inc.3.2 bn12.39.2%1,154.5%+7.4%+4% / +63%
CFFNCapitol Federal Financial, Inc.1.1 bn13.48.0%508.2%+6.5%+33% / +63%
HTBHomeTrust Bancshares, Inc.798.6 m12.511.0%—−1.9%+17% / +107%
KRNYKearny Financial Corp.605.1 m16.44.8%—+36.0%+36% / +18%
NRIMNorthrim Bancorp, Inc.545.0 m9.916.6%21.8%+30.4%−0% / +99%
WNEBWestern New England Bancorp, Inc.281.6 m16.76.9%—−34.3%+15% / +79%
FCAPFirst Capital, Inc.215.3 m11.613.9%252.8%+1.6%+29% / +145%
FDSBFifth District Bancorp, Inc.92.5 m52.41.3%273.6%−2.3%+29% / unavailable
HFBLHome Federal Bancorp, Inc. of Louisiana67.7 m11.110.8%364.5%+30.0%+40% / +72%
KFFBKentucky First Federal Bancorp44.4 m32.02.9%—−11.8%+31% / +18%
BYFCBroadway Financial Corporation——-7.6%-11,027.1%+18.7%+86% / +54%

1- and 3-year price returns: for HSBC from daily closes (the same as the performance table), for the other companies from month-end closes.

olivLaw engine forecast

The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.

The engine has no published run for this company yet.

Valuation scenarios (editable assumptions)

Illustrative scenarios

Scenarios are not available. input data missing

AI analysis

AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.

Possibly outdated: the newest document it read is from 26 Feb 2026; since then the company filed 6-K (04 Nov 2026), 6-K (03 Nov 2026), 6-K (02 Nov 2026), 6-K (30 Oct 2026).

In brief

HSBC Holdings plc is one of the largest international banks, active in retail, wealth, commercial banking and investment banking. It reported revenue of 68.3 bn USD in 2025 1, and its current context is shaped by organisational simplification and medium-term growth targets 1.

SWOT

Strengths

  • Strong capital position, with CET1 above the target range 1.
  • Market leader in cross-border transaction banking and in Hong Kong 1.
  • Capital generative business model that supports dividends 1.

Weaknesses

  • Reported profit fell because of adverse notable items, including disposal losses and legal provisions 1.
  • Growth in customer lending has been muted in recent years 1.
  • Exposure to the Hong Kong commercial real estate sector required additional provisions 1.

Opportunities

  • Growth in wealth and insurance income, if client demand holds 1.
  • Cost reduction through simplification could improve return on equity 1.
  • Higher transaction volumes in Global Foreign Exchange and trade finance 1.

Threats

  • Falling interest rates could compress deposit margins 1.
  • Deterioration in commercial real estate markets in Hong Kong or mainland China 1.
  • Risk of further legal provisions or disposal losses affecting reported profit 1.

Risks

  • Notable itemshigh

    Disposal losses, the BoCom dilution and legal provisions reduced reported profit 1.

  • Capital risk in 2026medium

    The Hang Seng Bank privatisation could push CET1 below the target range, with buy-backs paused until it recovers 1.

  • Commercial real estate creditmedium

    Provisions for the Hong Kong CRE sector increased in 2025 1.

  • Interest ratesmedium

    Lower rates could reduce interest income on deposits 1.

  • Restructuring costslow

    Restructuring added costs in 2025 and could add more 1.

Investment thesis

What would need to be true (bull case)

  • If the reorganisation delivers its planned savings, operating margin could rise in the coming years 1.
  • The capital position and dividend policy could support shareholder returns 1.
  • Growth in wealth and transaction banking income could continue if markets stay active 1.

What would break the thesis

  • If provisions for Hong Kong property rise, profit could stay below expectations 1.
  • Notable items reduced reported profit and could recur in future figures 1.
  • The Hang Seng Bank privatisation could limit share buy-back capacity in 2026 1.

What to watch

  • CET1 return to the target range after the Hang Seng Bank privatisation2026
  • Completion of the 1.5 bn USD annualised cost reductionJune 2026
  • RoTE excluding notable items against the 17% or better target2026-2028
  • Credit loss charges for Hong Kong CREnext 10-K

Products, market & competition

AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.

Possibly outdated: the newest document it read is from 26 Feb 2026; since then the company filed 6-K (04 Nov 2026), 6-K (03 Nov 2026), 6-K (02 Nov 2026), 6-K (30 Oct 2026).

The business

HSBC organises its activity into four businesses: Hong Kong, UK, Corporate and Institutional Banking, and Wealth and Commercial Banking, each contributing distinctly to group profit 1. The bank describes its model as highly capital generative, with a CET1 ratio of 14.9% at 31 December 2025 1. Total assets reached 3.2 tn USD 1.

Segments

Hong Kong

The Hong Kong business, covering Retail Banking and Wealth and Commercial Banking for HSBC Hong Kong and Hang Seng Bank, contributed 9.6 bn USD to group profit before tax 1. Wealth fee income grew significantly in 2025 1.

UK

The UK business, covering UK Retail Banking and Wealth and UK Commercial Banking, contributed 6.7 bn USD 1. Banking net interest income grew 7% on a constant currency basis 1.

Corporate and Institutional Banking

CIB is a market leader in cross-border transaction banking and capital markets, contributing 11.4 bn USD to group profit 1. RoTE excluding notable items rose 2.0 percentage points 1.

Market context

HSBC operates in markets across Asia, Europe and the Middle East, with strong positions in Hong Kong and the UK 1. Revenue rose to 68.3 bn USD in 2025 1.

Client demand for wealth products and trading in volatile markets supported fee income in 2025 1. Growth in deposit balances and mortgages contributed to interest income 1.

Trends

  • Organisational simplificationtailwind

    The reorganisation has generated cost savings and could support margins if the cost reduction target is confirmed 1.

  • Privatisation of Hang Seng Bankheadwind

    The privatisation could temporarily push capital below the target range in the first half of 2026 1.

  • Hong Kong commercial property marketheadwind

    Oversupply of non-residential property continues to pressure values, raising credit loss charges 1.

  • Market volatilitymixed

    Elevated volatility supported revenue in Global Foreign Exchange and Debt and Equity Markets, but this could reverse 1.

Competitive position

HSBC competes with other large international banks in transaction banking, investment banking and wealth management, as well as with local banks in retail markets 1. The sources provided do not detail competitors' relative positions.

Competitive strengths cited include the leading position in Hong Kong and the cross-border transaction banking network 1. Pressure on deposit margins in a lower rate environment remains a concern 1.

  • International investment and transaction banks

    Compete in the CIB division, where HSBC leads in cross-border transaction banking 1.

  • Local banks in Hong Kong

    Compete in retail and commercial banking, especially on deposits and lending 1.

  • UK retail and digital banks

    Compete on mortgages, deposits and retail products in the UK division 1.

  • Asset managers and wealth managers

    Compete in the Wealth division, where HSBC grew fee income 1.

News & filings

In the press

Sources

  1. [1] Form 20-F, fiscal year ended 2025-12-31 · SEC / HSBC Holdings plc · 26 Feb 2026

Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.