Banco Santander

SAN

Market cap $181B

Banco Santander, S.A. (SAN) Analyst/Investor Day Transcript

Banco Santander now trades at a decade-high 1.63x P/BV, following a strong share price rally and sector-wide re-rating. 2025 operating performance was flat, with revenue and profit growth driven mainly by non-recurring 'other results' rather than core business expansion. Strategic acquisitions, notably Webster Financial, are expected to improve SAN's U.S. risk profile, generate €800 million in annual synergies, and support EPS accretion by 2028.

Banco Santander is leveraging artificial intelligence (AI) as it works to boost its profit and its customer base over the next 24 months. The bank plans to achieve a profit of over 20 billion euros (about $23.6 billion) by 2028, up from the record attributable profit of 14.1 billion euros (about $16.

Santander's executive chair Ana Botin was paid 18.54 million euros ($21.88 million) in 2025, up 34.6% from 13.77 million euros in 2024, the lender said in its annual report on Wednesday.

The bank said it is betting on customer growth and the integration of acquisitions in the U.S. and U.K. to lift profitability and shareholder returns over the next three years.

Spain's Santander on Wednesday said it aimed to book a profit above 20 billion euros ($23.61 billion) by 2028 after lifting its profitability ratio by almost four percentage points to above 20%, helped by synergies from recent deals in the U.S. and Britain.

Santander boss Ana Botin will promise a leaner lender with higher cost savings from the bank's digital drive as she seeks to convince investors on Wednesday that her bet on expanding in core developed markets is the best growth path, people familiar with the plans said.

Invesco International Growth Fund underperformed most in industrials, consumer discretionary and communication services, all due to stock selection. We initiated five positions during the quarter, four of which we can discuss now. We eliminated seven positions. Relative to its index, the fund outperformed most in financials, health care and energy, all due to stock selection.

Santander Brasil has completed its operational turnaround now operating with improved efficiency, cost control, and normalized profitability. BSBR's outlook is for stable, gradual earnings growth and predictable dividends but lacks clear catalysts for accelerated value creation or re-rating. The stock trades at a projected P/E of ~7.7x and a 6–6.5% dividend yield, reflecting fair but not compelling valuation after a 65% price rally.

Banco Santander (Brasil) is maintained at Hold due to the deteriorating credit cycle and less compelling risk/reward after recent appreciation. BSBR's loan book growth lags nominal GDP, but riskier segments like SMEs, vehicles, and credit cards are expanding rapidly despite rising NPLs. Net interest income from lending rose 6.6% YoY, but overall NII fell 4% due to market securities losses; expense control partially offset margin pressures.