Deutsche Bank AG (DB)
Valuation Overview•Is Deutsche Bank AG Overvalued or Undervalued?
Trading at a discount compared to peers, but the underlying intrinsic cash flows struggle to support the current price.
Fragile underlying quality score of 34/100; weak margins or elevated debt leverage warrant caution.
Analysts remain cautious, with consensus price targets indicating limited room for upside expansion.
Verdict: Mixed fundamental profile with offsetting strengths and weaknesses.
Wall Street is cautious, forecasting potential downside. The company currently retains all capital for reinvestment and growth rather than returning it to shareholders.
DB struggles with subpar profitability and pressured margins. However, this is severely offset by a highly leveraged balance sheet (Debt/EBITDA > 4.0x) and elevated financial risk.
The company maintains stable top-line performance paired with robust earnings compounding (9.2% EPS 3Y CAGR). The company maintains healthy operational efficiency with a 18.0% operating margin.
| Financial Metric | Trend (12Q) | Latest Qtr | 1Y Growth | 3Y CAGR | 5Y CAGR | 10Y CAGR |
|---|---|---|---|---|---|---|
| Revenue | $7.7B | -8.3% | — | — | +3.4% | |
| EBITDA | $2.0B | — | +20.2% | — | — | |
| Net Income | $1.5B | +105.9% | +7.9% | — | — | |
| EPS (Diluted) | $0.65 | +125.5% | +9.2% | +113.7% | — | |
| Free Cash Flow | $0.00 | +100.0% | — | — | — |
| Metric | TTM | 3Y Avg | 5Y Avg | 10Y Avg |
|---|---|---|---|---|
| Gross Margin | 56.1% | 46.2% | 57.5% | 63.1% |
| Operating Margin | 18.0% | 11.2% | 11.9% | 6.0% |
| Net Margin | 12.8% | 8.2% | 9.4% | 2.8% |
| FCF Margin | — | -17.6% | -13.3% | 6.4% |
| Quarter | EPS Est. | EPS Act. | Surprise | EPS | Rev |
|---|---|---|---|---|---|
| Q2'26Latest | $1.15 | $1.24 | +7.8% | ||
| Q1'26 | — | $0.76 | — | ||
| Q1'26 | $0.72 | $0.88 | +22.2% | ||
| Q4'25 | $0.85 | $0.97 | +14.5% | ||
| Q3'25 | $0.78 | $0.54 | -30.8% | ||
| Q2'25 | $0.92 | $1.04 | +13.2% | ||
| Q1'25 | $0.41 | $0.16 | -61.7% | ||
| Q1'25 | $0.41 | $0.16 | -61.0% |
Total return is +35.6% (1Y), outperforming the benchmark by +10.6%
| Period | Total Return | vs S&P 500 (Alpha) | Dividend Contribution |
|---|---|---|---|
| YTD | -5.0% | -14.3% | — |
| 1Y | +35.6% | +10.6% | +8.5% |
| 3YCAGR | +56.2% | +36.4% | +35.4% |
| 5YCAGR | +25.0% | +11.5% | +32.0% |
| 10YCAGR | +9.4% | -3.9% | — |
The S&P 500 is at 31.3x trailing P/E — Expensive relative to historical averages.
Quick answers to common questions about Deutsche Bank AG (DB) valuation, health, and returns.
Deutsche Bank AG is estimated to be overvalued under our discounted cash flow framework. relative multiples indicate the stock is Cheap versus peers compared to industry peers. overvalued (implying -40.6% downside from DCF intrinsic value of $20.96)
Deutsche Bank AG has multiple valuation anchors: DCF Intrinsic Value: $20.96 | Peer Relative Fair Value: $50.51 | Wall Street Analyst Target: $14.87 (implying -57.8% upside). A convergence of these signals offers higher conviction.
Deutsche Bank AG displays weak financial health with a composite quality score of 34/100, supported by a Piotroski F-Score of 5/9, Return on Invested Capital (ROIC) of 2.6%.
Deutsche Bank AG does not return material capital to shareholders via dividends or share repurchases, electing to retain earnings to fund internal growth.
Deutsche Bank AG's current growth trajectory is Decelerating. The company achieved -8.3% 1Y revenue growth and +125.5% 1Y EPS growth, compared to its 3Y revenue CAGR of N/A.
Wall Street consensus is Hold based on 33 analysts, beating EPS expectations in 67% of recent quarters with a 3-quarter streak. The consensus price target represents a -57.8% change from current levels.
Investment risks for Deutsche Bank AG include: -29.7% 1-year max drawdown, high beta (1.68x market volatility). Volatility risk is characterized by a beta of 1.68x.
No. These computations are purely quantitative model outputs for informational purposes. They do not account for qualitative management shifts or macro events. Always consult a licensed RIA before buying or selling shares.
Disclaimer: This page is for informational purposes only and does not constitute financial advice. All valuation models, scores, and target estimates are automated computations under stated assumptions and should not be relied upon as the sole basis for any investment decision.