HSBC Holdings plc (HSBC) AI Stock Analysis

HSBC Holdings plc provides banking and financial services across three primary segments: Wealth and Personal Banking, Commercial Banking, and Global Banking and Markets. Wealth and Personal Banking offers retail accounts, mortgages, personal loans, credit and debit cards, payment services, insurance, asset management, and private wealth solutions. Commercial Banking provides credit and lending facilities, treasury and cash management, commercial insurance, international trade and receivables finance, and advisory services to small and medium enterprises, mid-market businesses, and corporate clients. Global Banking and Markets delivers financing, advisory, and transactional services to government entities, corporate clients, institutional clients, and private investors.

Annual revenue increased from $73.95B in FY2021 to $143.29B in FY2024 before declining 6.4% to $134.10B in FY2025. Between FY2020 and FY2025, revenue grew at a 5-year compound annual growth rate of 11.6%. Net income rose from $13.92B in FY2021 to $22.29B in FY2025, while diluted EPS reached $6.51 with a net margin of 16.6%. In the trailing twelve months, revenue was $67.43B with an operating margin of 58.8% and EPS of $7.00. For the latest quarter ended June 30, 2026, quarterly revenue rose 25.4% year-over-year, while quarterly earnings grew 2.6%.

As of June 30, 2026, HSBC held $632.76B in cash and short-term investments against total debt of $132.90B, resulting in net cash of $499.87B. Total assets stood at $3.44T and shareholders' equity was $196.68B, with a debt-to-equity ratio of 0.68 and a current ratio of 0.32. In FY2025, the company generated $29.77B in operating cash flow and $25.11B in free cash flow. Capital expenditures totaled $4.66B, while capital returns included $12.66B in share buybacks and $11.58B in dividends paid.

At its last close of $94.57 on October 16, 2026, HSBC traded at a trailing P/E of 13.5x and a forward P/E of 10.7x, compared to medians of 12.1x and 10.8x for its US-listed Financial Services peers. Its price-to-sales ratio was 4.8x against the peer median of 3.2x, and enterprise value was $916.88B with an EV-to-revenue multiple of 2.0x. Over the past year, HSBC gained 49.7% compared to 16.8% for the S&P 500, and its 5-year return of 316.4% outpaced the index return of 83.0%.

HSBC pays a quarterly dividend with a forward annual payout of $3.75 per share, representing a dividend yield of 3.97%. The payout ratio is 48.6%, and the company has maintained dividend payments for 6 consecutive years. The most recent ex-dividend date was August 14, 2026.

Wall Street analysts cover HSBC with 1 Strong Buy, 0 Buy, 1 Hold, 1 Sell, and 0 Strong Sell ratings. The mean price target is $106.08, which is 12.2% above the last close of $94.57. For the fiscal year ending December 31, 2026, consensus estimates project revenue of $75.88B and EPS of $8.53, reflecting 13.0% EPS growth. The company beat EPS estimates in 3 of the last 4 quarters, and its next earnings date is October 27, 2026.

This page is an AI-written research summary of HSBC Holdings plc (HSBC). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

Related: HSBC income statement, HSBC balance sheet, HSBC key metrics, HSBC analyst forecast, HSBC chart. See the HSBC stock overview for the latest quote and news.