Banco Santander, S.A. (SAN) AI Stock Analysis

Banco Santander, S.A., established in 1856 and based in Madrid, Spain, operates an extensive network of 9,879 branches globally. It offers retail and commercial banking services to individuals, small and medium-sized enterprises, and corporations. Key offerings include deposits, savings accounts, mortgages, consumer finance, and syndicated corporate loans. The bank also provides structured financing, cash management, trade solutions, and corporate finance. In addition, Banco Santander delivers insurance, asset and wealth management, private banking, treasury, risk hedging, custody, and investment banking services.

Between FY2020 and FY2025, Banco Santander posted a 5-year revenue compound annual growth rate of 14.7%. Revenue expanded from $61.50B in FY2021 to $129.91B in FY2024 before falling 7.7% to $119.89B in FY2025. Despite the revenue decline in FY2025, net income rose to $14.10B with a net margin of 11.8% and EPS of $1.05. Over the trailing twelve months ending June 30, 2026, revenue stood at $48.53B with a profit margin of 33.5%. For the latest quarter ended June 30, 2026, quarterly revenue grew 10.2% year-over-year, while quarterly earnings grew 8.7%.

As of June 30, 2026, Banco Santander held $137.95B in cash and short-term investments against total debt of $450.66B, resulting in net debt of $312.71B. Shareholders' equity was $109.30B, translating to a debt-to-equity ratio of 4.12. In FY2025, operating cash flow was -$14.84B and free cash flow was -$22.49B, with capital expenditures of $7.66B. Capital return in FY2025 included $4.08B in share buybacks and $3.34B in dividends paid, contributing to a 5-year share count change of -22.4%.

At a last close of $13.30, Banco Santander had a market capitalization of $192.28B and an enterprise value of $286.51B. Its trailing P/E ratio of 12.9x sits above the 12.1x median of its US-listed Financial Services peers, while its forward P/E of 10.3x is below the peer median of 10.8x. The stock trades at a price-to-book ratio of 1.7x and a price-to-sales multiple of 4.0x. Over the past year, the stock returned 37.3%, outperforming the S&P 500 (SPY) return of 16.8%, and its 5-year return of 307.5% outpaced SPY's 83.0%.

Banco Santander pays a semiannual dividend with an annualized forward rate of $0.28 per share, yielding 2.09%. Its payout ratio is 35.2%, and it has paid dividends for 40 consecutive years. The dividend grew at a 5-year annualized rate of 13.9%, and its last ex-dividend date was October 30, 2026.

Wall Street coverage consists of 1 Buy rating and 2 Hold ratings. The mean price target is $14.79, representing an 11.2% upside compared to the last close of $13.30. For the fiscal year ending December 31, 2026, analysts estimate EPS of $1.28 and revenue of $63.82B. For the following fiscal year, 2 analysts project EPS of $1.43 and revenue of $69.26B. The company beat EPS estimates in 1 of the last 4 quarters, with next earnings scheduled for November 4, 2026.

This page is an AI-written research summary of Banco Santander, S.A. (SAN). 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: SAN income statement, SAN balance sheet, SAN key metrics, SAN analyst forecast, SAN chart. See the SAN stock overview for the latest quote and news.