- Societe Generale’s shares fell through support on fears of the coronavirus Covid-19 pandemic environment
- France bank scrapped its dividend following the coronavirus crisis but despite this, Societe Generale could be a very good long-term investment
- Societe Generale is a stable bank and one of the most undervalued stocks in the banking industry
Shares of Societe Generale (OTCMKTS: SCGLF) weakened more than 15% in the last three months but despite this, I feel this stock could be a ‘buy” right now. Societe Generale is one of France’s major banks which is based on a diversified and integrated banking model. This bank was usually viewed as primarily a corporate and investment bank, but Societe Generale has important retail banking operations in Russia, North Africa and Europe. Societe Generale employs over 149,000 members of staff in 67 countries and has three complementary core businesses:
- International retail banking
- Insurance
- Financial services to corporates
Fundamental analysis
Societe Generale’s shares fell through support on fears of the coronavirus Covid-19 pandemic environment but the recent sell-off created an attractive opportunity to invest in this stock. At the current stock price, Societe Generale could be a very good long-term investment with a generous yield and solid growth prospects. The market capitalization of this stock is only 12.6 billion USD which makes Societe Generale one of the most undervalued stocks in the banking industry. Price/Book value is only 0.17 which also makes this stock very attractive for potential investors. Another useful information for the potential investors is that this bank has paid more than 7 billion USD dividends to its shareholders in the last three years. It is important to mention that the European Central Bank urged banks to pause dividends until January 2021 and Societe Generale will
