BBVA raises annual profitability target, plans 2 billion-euro buyback

Spain’s Banco Bilbao Vizcaya Argentaria now expects return on tangible equity of around 21% this year, up from a prior forecast of more than 20%, and outlined a €2 billion share repurchase.

Summary

BBVA raised its profitability guidance for the year and said it plans to launch a new 2 billion-euro ($2.29 billion) stock-buyback program. The Spanish lender, formally called Banco Bilbao Vizcaya Argentaria, now expects return on tangible equity (a bank profitability measure based on tangible net worth) of around 21% this year, compared with its previous forecast of more than 20%.

Terms & Concepts
  • return on tangible equity: A bank profitability measure using tangible net worth.
  • stock-buyback program: A plan for a company to repurchase its own shares.