Since its stock market debut in 2023, CFG Bank has cemented its position as a standout player in Morocco’s banking landscape. According to a recent analysis by Attijari Global Research (AGR), the bank’s exceptional financial growth trajectory through 2026 solidifies its unique status in a rapidly evolving market.
CFG Bank is on track to achieve a +20.9% compound annual growth rate (CAGR) in net banking income (NBI) between 2023 and 2026, far surpassing the sector average of 7.7%. This impressive performance stems from significant growth potential in Morocco’s credit market and a targeted development strategy focused on high-growth segments.
Even more remarkable is the projected growth of its net income group share (RNPG), which is expected to reach 314 million dirhams by 2026, representing a +23.6% CAGR, well above the sector’s average of 13.5%. These results highlight CFG Bank’s inherent growth potential amid Morocco’s economic recovery.
CFG Bank’s operational efficiency has seen steady improvements, with its cost-to-income ratio expected to drop from 66% in 2023 to 52.9% in 2026. This reflects the benefits of economies of scale driven by sustained growth.
On the risk front, CFG Bank stands out with an exceptionally low cost of risk (CoR), projected at just 29 basis points (bps) in 2026, compared to the sector average of 119 bps. This resilience is attributed to a low-risk client portfolio and robust guarantee mechanisms, positioning the bank as a reliable performer in uncertain economic conditions.
CFG Bank’s stock commands a price-to-earnings (P/E) ratio of 24.6x for 2026. While this valuation is above the market average, it underscores the bank’s “growth stock” profile, characterized by robust operational performance and bold strategic ambitions.
The bank’s earnings per share (EPS) is forecasted to climb from 4.7 dirhams in 2023 to 9 dirhams in 2026, reflecting its accelerating financial strength. Additionally, its price-to-book (P/B) ratio of 3.8x, significantly higher than the sector average of 1.5x, signals strong market confidence in its equity value.
However, CFG Bank’s dividend yield (D/Y), averaging 1.6%, trails other listed banks, positioning it as a growth-focused stock rather than an income-generating one.
AGR recommends holding CFG Bank shares with a target price of 246 dirhams, representing a +6.7% upside potential from its current price. This endorsement reflects analysts’ confidence in the bank’s ability to sustain its growth momentum and strengthen its competitive edge.
CFG Bank exemplifies a new era in Moroccan banking, blending innovation, operational efficiency, and prudent risk management. With its strong fundamentals and ambitious strategy, it emerges as a key player for investors seeking sustainable growth and solid returns.
