WEBULL

Banco Comercial Português' (ELI:BCP) 51% CAGR outpaced the company's earnings growth over the same five-year period

Simply Wall St · 2d ago

We think all investors should try to buy and hold high quality multi-year winners. And highest quality companies can see their share prices grow by huge amounts. To wit, the Banco Comercial Português, S.A. (ELI:BCP) share price has soared 620% over five years. This just goes to show the value creation that some businesses can achieve. It's also good to see the share price up 21% over the last quarter. The company reported its financial results recently; you can catch up on the latest numbers by reading our company report. It really delights us to see such great share price performance for investors.

Since it's been a strong week for Banco Comercial Português shareholders, let's have a look at trend of the longer term fundamentals.

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While the efficient markets hypothesis continues to be taught by some, it has been proven that markets are over-reactive dynamic systems, and investors are not always rational. One flawed but reasonable way to assess how sentiment around a company has changed is to compare the earnings per share (EPS) with the share price.

Over half a decade, Banco Comercial Português managed to grow its earnings per share at 44% a year. This EPS growth is reasonably close to the 48% average annual increase in the share price. That suggests that the market sentiment around the company hasn't changed much over that time. In fact, the share price seems to largely reflect the EPS growth.

The graphic below depicts how EPS has changed over time (unveil the exact values by clicking on the image).

earnings-per-share-growth
ENXTLS:BCP Earnings Per Share Growth December 23rd 2025

It is of course excellent to see how Banco Comercial Português has grown profits over the years, but the future is more important for shareholders. If you are thinking of buying or selling Banco Comercial Português stock, you should check out this FREE detailed report on its balance sheet.

What About Dividends?

It is important to consider the total shareholder return, as well as the share price return, for any given stock. The TSR incorporates the value of any spin-offs or discounted capital raisings, along with any dividends, based on the assumption that the dividends are reinvested. So for companies that pay a generous dividend, the TSR is often a lot higher than the share price return. In the case of Banco Comercial Português, it has a TSR of 698% for the last 5 years. That exceeds its share price return that we previously mentioned. This is largely a result of its dividend payments!

A Different Perspective

It's nice to see that Banco Comercial Português shareholders have received a total shareholder return of 107% over the last year. That's including the dividend. Since the one-year TSR is better than the five-year TSR (the latter coming in at 51% per year), it would seem that the stock's performance has improved in recent times. Given the share price momentum remains strong, it might be worth taking a closer look at the stock, lest you miss an opportunity. It's always interesting to track share price performance over the longer term. But to understand Banco Comercial Português better, we need to consider many other factors. To that end, you should be aware of the 2 warning signs we've spotted with Banco Comercial Português .

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Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on Portuguese exchanges.