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olivLaw · European equity research

HSBC Holdings plc HSBA.L

United Kingdom · London Stock Exchange · ISIN GB0005405286 · Vertical: Listed companies from United Kingdom

13.07GBP−0.82% · 1 dayClose 05 Nov 2026

HSBC Holdings plc is one of the largest international banks, with commercial banking, investment banking, wealth management and insurance, and a strong presence in Asia. For fiscal 2025 it reported constant currency revenue of 68274 million USD, and the focus now is how it reorganises its segments and manages legal provisions and losses on strategic holdings.

At the close of 05 Nov 2026, HSBC Holdings plc (HSBA.L) stock was 13.07 GBP (−0.82% on the day), with beta 0.98, 52-week range 10.41–15.97 GBP.

Data as of · AI analysis dated · Source: ESEF annual reports and closing prices, computed by olivLaw.

Market cap
unavailable
shares as of 31 Dec 2025
P/E (TTM)
unavailable
Diluted EPS TTM 1.20 · TTM to 31 Dec 2025
E/P (TTM)
unavailable
TTM to 31 Dec 2025
Dividend yield
unavailable
Beta (2y)
0.98
Volatility (1y) 28%
52-week range
10.4115.97

Price history

Loading chart…

Technical reading

RSI (14)
38.5
weak (30–45)
Bollinger (20, 2)
12.40 – 14.72
in the lower half of the band · %B 0.29 · band width 17.1%
SMA 50 / 200
14.49 / 13.89
mixed trend
MACD (12, 26, 9)
-0.47 / -0.46
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

CompanyEURO STOXX 50vs EURO STOXX 50Vertical median
1 month−11.2%−0.6%−10.5 pp—
3 months−14.1%−4.2%−9.9 pp—
6 months−2.1%+4.3%−6.4 pp—
Year to date+11.4%+7.5%+3.9 pp—
1 year+20.4%+9.9%+10.5 pp+6.7%
3 years+114.6%+49.8%+64.7 pp+24.8%
5 years+199.0%+42.8%+156.2 pp—
Max drawdown (1y)
−21.2%
03 Aug 2026 → 03 Nov 2026
Max drawdown (5y)
−24.3%
03 Mar 2025 → 09 Apr 2025
Compound annual growth (5y)
+24.5%
EURO STOXX 50 +7.4%

Price returns, dividends excluded.

Quarterly results

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

E/P over time

the price (USD) and the reports are in different currencies

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.

Fiscal years

Fiscal year2022202320242025
Revenueunavailableunavailableunavailableunavailable
Revenue YoYunavailableunavailableunavailableunavailable
Net income16.2 bn24.6 bn25.0 bn23.1 bn
Net income YoYunavailable+51.1%+1.8%−7.5%
Diluted EPS0.721.141.241.20
Diluted EPS YoYunavailable+58.3%+8.8%−3.2%
net %unavailableunavailableunavailableunavailable
Free cash flow18.1 bn38.0 bn64.0 bn28.3 bn

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

Operating income
2023
30.5 bn
2024
29.4 bn
2025
28.0 bn

esef· 04 Mar 2026verified

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

esef· 04 Mar 2026verified

Income tax
2023
5.8 bn
2024
7.3 bn
2025
6.8 bn

esef· 04 Mar 2026verified

Net income
2023
24.6 bn
2024
25.0 bn
2025
23.1 bn

esef· 04 Mar 2026verified

Diluted EPS
2023
1.14
2024
1.24
2025
1.20

esef· 04 Mar 2026verified

Dividend per share
2023
0.57
2024
0.86
2025
0.71

esef· 04 Mar 2026derived

Balance sheet · USD

Cash
2023
490.9 bn
2024
434.9 bn
2025
432.9 bn

esef· 04 Mar 2026verified

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

esef· 04 Mar 2026verified

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

esef· 04 Mar 2026verified

Equity
2023
192.6 bn
2024
192.3 bn
2025
205.7 bn

esef· 04 Mar 2026verified

Shares outstanding at year end
2023
21.4 bn
2024
20.0 bn
2025
19.1 bn

esef· 04 Mar 2026derived

Cash flow · USD

Operating cash flow
2023
39.1 bn
2024
65.3 bn
2025
29.8 bn

esef· 04 Mar 2026verified

Capex
2023
1.1 bn
2024
1.3 bn
2025
1.4 bn

esef· 04 Mar 2026verified

Free cash flow
2023
38.0 bn ≈
2024
64.0 bn ≈
2025
28.3 bn ≈

esef· 04 Mar 2026derived

Investing cash flow
2023
-62.9 bn
2024
-76.6 bn
2025
-37.1 bn

esef· 04 Mar 2026verified

Financing cash flow
2023
-17.6 bn
2024
-26.5 bn
2025
-22.0 bn

esef· 04 Mar 2026verified

Dividends paid
2023
12.2 bn
2024
17.1 bn
2025
13.5 bn

esef· 04 Mar 2026verified

Share repurchases
2023
5.8 bn
2024
11.3 bn
2025
9.1 bn

esef· 04 Mar 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
EBIT growth (YoY)
-4.8%
computed by olivLawFY 2025
Net income growth (YoY)
-7.5%
computed by olivLawFY 2025
Net income CAGR 3Y
12.5%
computed by olivLawFY 2022 → FY 2025
Net income CAGR 5Y
unavailable
input data missing
EPS growth (YoY)
-3.2%
computed by olivLawFY 2025
EPS CAGR 3Y
18.6%
computed by olivLawFY 2022 → FY 2025
EPS CAGR 5Y
unavailable
input data missing
FCF growth (YoY)
-55.7%
computed by olivLawFY 2025

Profitability

Gross margin
unavailable
input data missing
EBITDA margin
unavailable
input data missing
EBIT margin
unavailable
input data missing
Net margin
unavailable
input data missing
FCF 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
ROIC
unavailable
input data missing
ROCE
unavailable
input data missing
Payout ratio (EPS)
58.8%
computed by olivLawFY 2025
Payout ratio (FCF)
47.6%
computed by olivLawFY 2025

Balance sheet

Net debt
unavailable
input data missing
Net debt / EBITDA
unavailable
input data missing
Debt / equity
unavailable
input data missing
Interest coverage
unavailable
input data missing

Liquidity

Current ratio
unavailable
input data missing
Quick ratio
unavailable
input data missing
Cash ratio
unavailable
input data missing

Cash

Operating cash flow
29.8 bn USD
computed by olivLawFY 2025
Capital expenditure
1.4 bn USD
computed by olivLawFY 2025
Free cash flow
28.3 bn USD
computed by olivLawFY 2025
FCF conversion
122.4%
computed by olivLawFY 2025
Cash conversion
unavailable
input data missing

Efficiency

Days sales outstanding
unavailable
input data missing
Days inventory outstanding
unavailable
input data missing
Days payables outstanding
unavailable
input data missing
Cash conversion cycle
unavailable
input data missing

Market and valuation

Market capitalisation
unavailable
input data missing
Enterprise value
unavailable
input data missing
Market cap / net income TTM
unavailable
input data missing
P/E (TTM)
unavailable
input data missing
Earnings yield
unavailable
input data missing
P/B
unavailable
input data missing
P/S
unavailable
input data missing
EV/EBITDA
unavailable
input data missing
EV/EBIT
unavailable
input data missing
EV/Sales
unavailable
input data missing
P/FCF
unavailable
input data missing
FCF yield
unavailable
input data missing
Dividend yield
unavailable
input data missing
Shareholder yield (distributions)
unavailable
input data missing

1 indicators that do not apply to the sector.

Valuation

olivLaw classification

Insufficient data
What is missing
  • indicators available: 3 of at least 6
  • score weight coverage: 18.8% of at least 60%

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

Closing price

13.07 GBP

05 Nov 2026Source: olivLaw, closing series

Market cap: unavailable

Price and reporting are in different currencies; market indicators are unavailable.

Key indicators

Market capitalisation
unavailable
input data missing
P/E (TTM)
unavailable
input data missing
P/B
unavailable
input data missing
EV/EBITDA
unavailable
input data missing
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
unavailable
input data missing

Coverage and freshness

18/37 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: esefpublished 04 Mar 2026
verified 70derived 8

Score by group

19% · Insufficient data

Estimated value range

Low
11.74
USD per share
Mid
14.52
USD per share
High
19.10
USD per share
Price: unavailable
Potential to the central value: unavailable (value / price − 1)
Margin of safety: unavailable (1 − price / value)
Agreement between methods: low · 2 methods used · 2 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: 9.27 – 25.73 USD.

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

Method ranges (USD per share)

— — Mid · ▏ Price

Valuation methods

  • DCF (discounted cash flow)unavailable · input data missing
  • Peers: EV/EBITDAunavailable · net debt missing: EV cannot be bridged to equity (missing debt is not zero)
  • Peers: P/E14.21 – 25.73 (Mid 18.41)
    18 companies used · median multiple 15.3x · quartiles 11.8x – 21.4x
    0EV1.L, ABDN.L, ABF.L, AIRE.L, AJB.L, ALFA.L, AMIF.L, APN.L, APTD.L, ASHM.L, AUTO.L, BAB.L, BAG.L, BATS.L, BBY.L, BCG.L, BKG.L, BME.L
  • Dividend discount (DDM)9.27 – 12.46 (Mid 10.63)

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: indicators available: 3 of at least 6; score weight coverage: 18.8% of at least 60%

FactorValueScoreWeight used
ROIC · Qualityunavailableunavailable—
Net margin · Qualityunavailableunavailable—
FCF conversion · Quality122.4%100 (on a fixed band)33%
Revenue CAGR 3Y · Growthunavailableunavailable—
EPS CAGR 3Y · Growth18.6%100 (on a fixed band)44%
Net debt / EBITDA · Balance sheetunavailableunavailable—
Interest coverage · Balance sheetunavailableunavailable—
Current ratio · Balance sheetunavailableunavailable—
P/E (TTM) · Valuationunavailableunavailable—
EV/EBITDA · Valuationunavailableunavailable—
FCF yield · Valuationunavailableunavailable—
Shareholder yield (distributions) · Returnsunavailableunavailable—
Payout ratio (FCF) · Returns47.6%100 (on a fixed band)22%

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
  • Quality· partial100/100 · 1/3 factors with a value
  • Returns· partial100/100 · 1/2 factors with a value
  • Valuation· partialunavailable · 0/3 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 (HSBA.L). 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 11.74–19.10 USD per share (median of 2 methods, agreement: low); assumptions are illustrative. The range is the median of the methods' low, central and high values, not a probability interval.

Insufficient data for a verdict (indicators available: 3 of at least 6; score weight coverage: 18.8% of at least 60%).

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

What supports the thesis

  • FCF conversion: 122.4%
  • EPS CAGR 3Y: 18.6%
  • Payout ratio (FCF): 47.6%

What contradicts it

  • The valuation methods diverge

Not assessed (insufficient data or a ratio without meaning): ROIC, Net margin, Revenue CAGR 3Y, Net debt / EBITDA, Interest coverage, Current ratio, P/E (TTM), EV/EBITDA, FCF yield, Shareholder yield (distributions).

Versus the vertical median

Listed companies from United Kingdom · same country · compared with 40 companies

Multiples and returns vs the median

P/E
—
vertical median 16.3x
EV/EBITDA
—
vertical median —
P/S
—
vertical median 1.5x
P/B
—
vertical median 2.1x
ROE
12.1%
vertical median 13.9%
below median (−13.1%)
Net margin
—
vertical median 10.7%
EBIT margin
—
vertical median 21.1%
Revenue YoY
—
vertical median 7.5%
Net debt/EBITDA
—
vertical median —
Dividend yield
—
vertical median 2.8%

Companies in the vertical

Market capP/EROENet marginRevenue YoY1A / 3A
BATS.LBritish American Tobacco P.L.C.104.3 bn13.516.5%30.3%−1.0%+7% / +88%
ABF.LAssociated British Foods PLC14.7 bn14.39.2%5.3%−3.1%−5% / −15%
0EV1.LCarnival PLC5.5 bn4.146.7%13.4%+6.4%unavailable / unavailable
BAB.LBabcock International Group PLC5.1 bn24.734.7%4.1%+7.2%−10% / +158%
AUTO.LAutotrader Group PLC4.8 bn16.460.2%47.1%+3.9%−13% / −23%
BBY.LBalfour Beatty PLC4.2 bn16.323.2%2.8%+15.2%+20% / +160%
ABDN.LAberdeen Group PLC4.1 bn10.88.0%28.9%−2.1%+11% / +41%
BKG.LThe Berkeley Group Holdings PLC3.6 bn11.38.8%13.4%−4.2%−0% / −22%
BME.LB&M European Value Retail PLC2.9 bn17.421.2%2.8%+3.7%+68% / −51%
AJB.LAj Bell PLC2.4 bn22.849.9%33.1%+18.0%+8% / +128%
ASHM.LAshmore Group PLC1.4 bn13.913.1%71.6%−0.1%+28% / +18%
BCG.LBaltic Classifieds Group PLC1.2 bn23.215.8%57.6%+6.9%−99% / −99%
APN.LApplied Nutrition PLC763.6 m36.241.2%19.7%+24.2%+71% / unavailable
BAG.LA.G. Barr P.L.C.671.9 m14.414.4%10.8%+4.0%−7% / +26%
ASC.LAsos PLC494.5 m—-81.3%-12.0%−14.7%+71% / +8%
ALFA.LAlfa Financial Software Holdings PLC486.8 m16.361.5%23.8%+15.3%−28% / +10%
AML.LAston Martin Lagonda Global Holdings PLC344.3 m—-93.4%-39.2%−20.6%−45% / −85%
APTD.LAptitude Software Group PLC111.3 m28.57.2%6.2%−7.3%−30% / −23%
BMS.LBraemar PLC78.3 m39.22.7%1.7%−4.4%+13% / −11%
AMGO.LAmigo Holdings PLC9.9 m———−81.9%+325% / +844%
ASBE.LAssociated British Engineering PLC605.3 k—-19.1%—unavailableunavailable / unavailable
AMIF.LAmicorp Fs (uk) PLC221.6 k0.127.5%9.1%+8.1%unavailable / unavailable
AAF.LAirtel Africa PLC——24.1%10.6%+29.5%−7% / +164%
AAL.LAnglo American PLC——-19.3%-20.2%+4.5%+30% / +76%
ACG.LAcg Metals Limited——-80.3%-32.0%+134.8%+60% / +63%

1- and 3-year price returns: for HSBA.L 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.

In brief

HSBC Holdings plc is one of the largest international banks, with commercial banking, investment banking, wealth management and insurance, and a strong presence in Asia. For fiscal 2025 it reported constant currency revenue of 68274 million USD 1, and the focus now is how it reorganises its segments and manages legal provisions and losses on strategic holdings 1.

SWOT

Strengths

  • The group has an extensive international network and a strong position in Asia, supported by diversified segments from corporate banking to wealth management 1.
  • Fee income and trading services represent an important part of revenue, supporting diversification of income sources 1.
  • Detailed reporting at constant currency gives transparency on operating performance, separated from exchange rate effects and notable items 1.

Weaknesses

  • Reported profit was affected by losses from disposals and significant legal provisions, which reduce net results in a given year 1.
  • Stakes in associates such as BoCom generated losses and impairment, showing exposure to strategic investments with uncertain outcomes 1.
  • The complexity of the segment and legal entity structure makes it difficult to assess the performance of each activity directly, a point the report itself acknowledges through its internal allocations 1.

Opportunities

  • Moving clients to CIB could bring synergies and better service to corporate clients with complex needs 1.
  • Growth in insurance and wealth management in Asia could support long-term revenue, given the new business reported 1.
  • The sustainable finance and climate transition targets could open new business opportunities in green sectors 1.

Threats

  • Litigation and claims linked to historical fraud could lead to additional provisions and affect the group's reputation 1.
  • Geopolitical tensions and changes in Asian economies could affect activity and the value of holdings in the region 1.
  • Changes in interest rates and exchange rates could significantly influence insurance and financial asset results 1.

Risks

  • Litigation and legal provisionshigh

    Legal claims linked to historical fraud and trading activity could lead to additional provisions that reduce profit.

  • Impairment of strategic holdingsmedium

    Investments in associates in Asia could require further impairments if their performance falls below expectations.

  • Climate riskmedium

    Client exposure to transition and physical risks could affect the credit quality of the banking portfolio.

  • Currency riskmedium

    Exchange rate changes can alter reported results, although the group also publishes constant currency figures.

  • Regulatory risklow

    Regulatory changes or bank levies, such as the UK bank levy, could increase operating costs.

Investment thesis

What would need to be true (bull case)

  • If revenue in the CIB and IWPB segments keeps growing, the group could strengthen profitability on the basis of a solid international network.
  • If the notable items of 2025 do not recur, the underlying performance of the group could look better than the reported figures.
  • If the climate transition strategy attracts clients and investors, the group could be well positioned in sustainable finance.

What would break the thesis

  • If legal provisions recur or grow, profit could remain under pressure in the coming years.
  • Impairments linked to strategic holdings in Asia could reduce results and point to problems in past investments.
  • Dependence on Asia and on geopolitical conditions in the region could expose the group to unexpected shocks in revenue and loan quality.

What to watch

  • Revenue trend in CIB after the transfer of clients from Hong Kong and the UKQ1 2026
  • Development of legal provisions and ongoing litigation2026
  • Progress on interim sustainable finance and emissions reduction targets2030
  • Results of the IWPB segment and the evolution of the insurance service resultnext 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.

The business

According to the 2025 annual report, HSBC organises its activity into four reportable segments: Hong Kong, UK, Corporate and Institutional Banking (CIB) and International Wealth and Premier Banking (IWPB), plus Corporate Centre 1. The group serves corporate, institutional and retail clients, and in 2025 it had net loans and advances to customers of 988399 million USD and customer accounts of 1786828 million USD 1. From 1 January 2026, certain clients from Hong Kong and the UK moved to the CIB segment, without changing the reportable segments 1.

The report also describes a sustainability strategy, with the ambition of becoming a net zero bank by 2050 and interim financed emissions targets for seven sectors by 2030 1. The company also has an insurance activity, managed through IWPB, which generated insurance revenue of 2.6 billion USD in 2025 1.

Profit before tax in 2025 was affected by notable items, including the disposal and wind-down of activities in Argentina and Canada, a loss linked to the dilution of the BoCom stake and legal provisions 1. These items are reported separately from the constant currency operating result 1.

Segments

Corporate and Institutional Banking

The CIB segment reported constant currency revenue of 27637 million USD and profit before tax of 11386 million USD in 2025 1. The segment covers financing, trading and services for corporate and institutional clients 1.

International Wealth and Premier Banking

The IWPB segment, which includes wealth management and insurance, had constant currency revenue of 14520 million USD in 2025 1. Insurance revenue rose compared with 2024, mainly because of a better insurance service result 1.

Hong Kong

The Hong Kong segment reported constant currency revenue of 15878 million USD in 2025 and profit before tax of 9576 million USD 1. Insurance activity in Hong Kong also contributes to the segment's results 1.

Market context

The report describes a global banking market in which HSBC competes for large corporate clients, trade finance, wealth management and markets services, with significant exposure to Asia 1. Fee income and income from financial instruments were major components of group revenue in 2025 1.

The market environment was also shaped by interest rate movements and capital market conditions, which affected insurance and investment results 1. The company notes that rate and exchange rate changes can alter reported results, which is why it also publishes constant currency figures 1.

Trends

  • Client reorganisation between segmentsmixed

    The transfer of certain clients from Hong Kong and the UK to CIB from 2026 could improve service for corporate clients without changing the structure of reportable segments 1.

  • Climate transition strategytailwind

    The target of becoming a net zero bank by 2050 and the cumulative sustainable finance figures show a strong focus on sustainability, which could attract investors interested in ESG criteria 1.

  • Legal provisions and notable itemsheadwind

    Provisions for legal claims and disposal losses significantly affected reported profit in 2025, and if such items recur they could limit net results 1.

  • Insurance resultsmixed

    The insurance service result rose in 2025 thanks to new business and favourable experience, although insurance finance expense was nearly equal to investment income 1.

Competitive position

The report does not name specific competitors, but describes the competition in the markets where the group operates: commercial and investment banks, wealth management firms and insurers in Asia, Europe and North America 1. The group's position depends on its international scale and its ability to serve multinational clients 1.

HSBC's differentiation appears to rest on its global network and on its trade, foreign exchange and custody services, segments where the company reports substantial fee income 1.

  • Global international banks

    Competition in corporate and investment services on a global scale, similar to that described in the report.

  • Regional commercial banks in Asia

    Competition for retail and corporate clients in Hong Kong and the wider Asia-Pacific region.

  • Wealth management firms

    Competition in wealth management and investment services for clients with large assets.

  • Life insurance providers

    Competition in insurance and savings products linked to the IWPB activity.

News & filings

In the press

Annual reports (ESEF)

Sources

  1. [1] Annual report, fiscal year ended 2025-12-31 (ESEF) · SEC / HSBC Holdings plc · 31 Dec 2025

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

HSBC Holdings plc (HSBA.L): stock, results, valuation and forecast · olivLaw