# Deutsche Bank (DB)

Sector: Banking: corporate, investment and private banking

| Field | Value |
|---|---|
| Price | $36.57 |
| Intrinsic value source | Analysts |
| Data as of | 2026-11-10 |
| Next earnings | 2027-01-28 (estimate) |

Analysts: Leaning bullish

Picks: Research only

Discount category: Far above intrinsic value

## In short

Investors pay a premium for the higher profits and payouts of Deutsche Bank, and only returns on tangible equity that reach its 2028 target can earn it.

## Themes and gap

- Themes: Interest rates (interest-rates), Regulation and courts (regulation-legal), High debt (leverage)
- Gap type: Slow (slow)
- Why: Only several years of returns on tangible equity above 13%, the target for 2028, can earn the premium.

## About

Deutsche Bank is a global bank based in Germany. It has four business segments. The Private Bank serves private clients and wealth management clients. The Corporate Bank gives cash management, trade finance, lending and business banking to companies. The Investment Bank trades fixed income and currencies and gives advice on mergers and on equity and debt offerings. Asset Management is the asset manager DWS. In the first nine months of 2026, net revenues were €9,476 million in the Investment Bank, €7,740 million in the Private Bank, €5,700 million in the Corporate Bank and €2,323 million in Asset Management. Deutsche Bank reports in euros under IFRS. Its ordinary shares trade in Frankfurt, and the same shares trade on the New York Stock Exchange as DB, not as ADRs. It had 89,868 full-time equivalent employees at September 30, 2026. The head office is in Frankfurt am Main. Christian Sewing is Chief Executive Officer.

## Thesis

Deutsche Bank trades above its intrinsic value because investors pay for its return to strong profits, its larger payouts to shareholders and its plan to raise returns further by 2028. In 2025, profit before tax rose 84% to €9.7 billion, and the post-tax return on tangible equity was 10.3%. The bank targets a return of more than 13% and a cost/income ratio below 60% by 2028, with a payout ratio of 60% from 2026. In Q3 2026, it reported a loss before tax of €405 million under IFRS as issued by the IASB, because of losses on portfolio hedges of interest rate risk, which the EU carve-out that the bank uses for its targets does not show. For the shares to keep this price, three things must be true. Revenues must reach more than €33 billion in 2026 and keep growing. Provisions for credit losses must fall from 40 basis points of loans toward 30 basis points. The CET1 ratio must stay near 14% while the bank pays out 60% of its profit. The FY 2026 results, expected in late January 2027, are the next test. If returns stall near 10%, the shares can fall back.

## Checkpoints

- Oct 28, 2026: Q3 2026 results: revenues and capital. Status: Passed. Watch: Revenues on track for about €33 billion in 2026 and a CET1 ratio of 13.5% or more pass; a cut of the revenue ambition fails. Outcome: The bank said that revenues are on track for more than €33 billion, and the CET1 ratio was 14.0%.
- Jan 28, 2027 (estimate): FY 2026 results and payouts. Status: Pending. Watch: Revenues above €33 billion, a payout of 60% and a CET1 ratio near 14% pass; lower payouts fail.
- Q1 2029 (estimate): FY 2028 results: 2028 targets. Status: Pending. Watch: A post-tax return on tangible equity above 13% and a cost/income ratio below 60% pass; a return below 11% fails.

## Balance sheet

As a bank, Deutsche Bank funds itself mainly with deposits, long-term debt and capital instruments. At September 30, 2026, total assets were €1,588 billion, and long-term debt was €110.8 billion, plus €33.9 billion of long-term debt at fair value through profit or loss. €52.0 billion of the debt was secured. Total shareholders' equity was €66.9 billion, and additional equity components, mainly Additional Tier 1 notes, were €12.2 billion. The CET1 capital ratio was 14.0%, with risk-weighted assets of €365.3 billion, and the leverage ratio was 4.4%. The liquidity coverage ratio was 143%, and the net stable funding ratio was 120.0%. Tangible book value was €31.67 per basic share outstanding. The dividend for 2025 was €1.00 per share, and the bank targets a payout ratio of 60% from 2026. There were 1,910.6 million shares issued and 56.5 million treasury shares at September 30, 2026.

As of 2026-09-30.

Sources:

- https://www.sec.gov/Archives/edgar/data/1159508/000115950826000044/db20261028991.htm
- https://www.sec.gov/Archives/edgar/data/1159508/000115950826000044/db20261028992.htm
- https://www.sec.gov/Archives/edgar/data/1159508/000115950826000025/db20260408991.htm

## Dividends

- Dividend yield: 3.2% (last 12 months, at the current price)
- Paid per share, last 12 months: $1.165 (1 payment)
- Current annual rate: $1.165 ($1.165 x 1 a year)
- Latest ex-dividend date: 2026-05-29, $1.165 per share

Dividends per share by year: 2016: $0.00, 2017: $0.211, 2018: $0.129, 2019: $0.123, 2020: $0.00, 2021: $0.00, 2022: $0.212, 2023: $0.325, 2024: $0.489, 2025: $0.767.

Source: company filings and market data, read on 2026-11-10.

## Recent events

- 2026-10-28: Deutsche Bank reported Q3 2026 results under IFRS as issued by the IASB. Net revenues fell 31% to €5.3 billion, and the bank had a loss before tax of €405 million, because of losses on portfolio hedges of interest rate risk. The bank said that the EU carve-out, which it uses for its targets, added €3.0 billion to profit before tax in the quarter. Provision for credit losses was €501 million, or 40 basis points of average loans. The CET1 ratio was 14.0%, and share buybacks in 2026 reached €1.5 billion.
- 2026-06-30: Deutsche Bank agreed to sell its retail banking, private banking and wealth management business in India to Kotak Mahindra Bank.
- 2026-04-29: Deutsche Bank reported Q1 2026 results under IFRS as issued by the IASB. Profit before tax fell 11% to €2.2 billion, and post-tax profit was €1.6 billion. Net revenues were €7.8 billion.
- 2026-04-08: Deutsche Bank proposed a dividend of €1.00 per share for 2025, about 50% more than the €0.68 for 2024, to the Annual General Meeting of May 28, 2026. A share buyback of €1.0 billion started in February 2026.
- 2026-01-29: Deutsche Bank reported record results for 2025. Profit before tax rose 84% to €9.7 billion, and net profit doubled to €7.1 billion. Net revenues rose 7% to €32.1 billion. The post-tax return on tangible equity was 10.3%, and the cost/income ratio was 64%.

## Latest news and filings

- Next earnings: 2027-01-28 (expected; the company has not confirmed it)

| Filed | Form | Headline | Period end | XBRL document | Link |
| --- | --- | --- | --- | --- | --- |
| 2026-07-29 | 6-K | Interim report for the period ended Jun 30, 2026 | 2026-06-30 | db-20260630 | https://www.sec.gov/Archives/edgar/data/1159508/000115950826000038/db-20260630.htm |
| 2026-03-12 | 20-F | Annual report for the period ended Dec 31, 2025 | 2025-12-31 | db-20251231 | https://www.sec.gov/Archives/edgar/data/1159508/000115950826000017/db-20251231.htm |
| 2025-07-24 | 6-K | Interim report for the period ended Jun 30, 2025 | 2025-06-30 |  | https://www.sec.gov/Archives/edgar/data/1159508/000115950825000043/db202507246k.htm |
| 2025-04-29 | 6-K | Interim report for the period ended Apr 29, 2025 | 2025-04-29 |  | https://www.sec.gov/Archives/edgar/data/1159508/000115950825000028/db202504296k.htm |

Every filing on SEC EDGAR (CIK 1159508): https://www.sec.gov/cgi-bin/browse-edgar?action=getcompany&CIK=0001159508&type=&dateb=&owner=include&count=40

## Risks

- High: Under IFRS as issued by the IASB, which the SEC filings use, portfolio hedges of interest rate risk can cause large losses in one quarter, such as the loss before tax of €405 million in Q3 2026. Investors can lose trust in the reported profit.
- Medium: Commercial real estate loans and single large borrowers can cause more credit losses. Provision for credit losses rose 13% to €1.5 billion in the first nine months of 2026.
- Medium: Investment Bank revenues, 42% of net revenues in the first nine months of 2026, move with markets and trading activity, and they can fall fast.
- Medium: Higher capital rules or a lower CET1 ratio can reduce share buybacks and dividends. The CET1 ratio was 14.0% at September 30, 2026, at the top of the operating range of 13.5% to 14.0%.
- Low: Large banks face lawsuits and fines from regulators. Litigation costs were very high in 2024, and new cases can lower profit again.
- Low: Deutsche Bank reports in euros. A stronger U.S. dollar lowers the value of the NYSE shares in U.S. dollars, because their price follows the price in Frankfurt.

## Links

- Page: https://picks.utilarium.app/company/DB/
- History of changes: https://picks.utilarium.app/company/DB/history/
- JSON with full history: https://picks.utilarium.app/data/company/DB.json

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