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Is the HSBC share price good value at 499p?

Jack Brumby

HSBC (LON:HSBA) is a large cap in the Banking Services industry. It operates across various geographical regions, which include Europe, Asia, Middle East and North Africa, North America and Latin America .

Right now the HSBC share price appears to represent solid value, as shown in the group's Value Rank of 68. Let's explore this in more detail.


Digging into HSBC Holdings's Value Rank

Looking at HSBC StockReport, we can see that the group has a:

  • Rolling price to book value of 0.75,
  • Trailing twelve month price to earnings ratio of 10.4
  • Trailing twelve month price to free cashflow of 4.71
  • Rolling dividend yield of 8.40%
  • Trailing twelve-month price to sales ratio of 1.60

This combination of financial traits suggests that, while HSBC stock is not the cheapest, it is far from expensive at these levels and is worth considering - especially if it is exposed to other positive stock market factors as well.

Studies indicate that combining factors such as Value, Quality and Momentum is a more effective way of outperforming the market over longer time frames. That's why we have constructed our StockReports to give an instant impression of how well exposed Hsbc Holdings (LON:HSBA) is to these three factors. We go into greater detail on factor investing in this video

Stockopedia helps you to identify return-enhancing factors such as Quality, Value and Momentum by analysing thousands of data points every day. To find out more about you find investment opportunities and analyse your portfolios then take one of our two-week free trials and have a look around.