HSBC (LSE:HSBA) Valuation: Does the Recent Momentum Accurately Represent the Share Price's True Potential?
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Oct 11 2025
0mins
Source: Yahoo Finance
Current Share Performance: HSBC Holdings has seen a 26.9% gain year-to-date and a 9.2% rise over the past three months, reflecting growing investor optimism, with a total shareholder return of 56.3% over the last year.
Valuation Insights: Analysts suggest HSBC is fairly valued at £9.94, close to its estimated fair value of £9.85, while a discounted cash flow model indicates it may be undervalued by about 35%, suggesting potential long-term growth overlooked by the market.
Analyst Views on HSBC
About HSBC
HSBC Holdings plc (HSBC) is a banking and financial services company. Its business segments include Hong Kong, UK, Corporate and Institutional Banking (CIB), and International Wealth and Premier Banking (IWPB). Its Hong Kong business comprises retail banking and wealth and commercial banking of HSBC Hong Kong and Hang Seng Bank. Its UK business comprises UK retail banking and wealth (including first direct and M&S Bank) and UK commercial banking, including HSBC Innovation Bank. The CIB segment is formed from the integration of its commercial banking business (outside the UK and Hong Kong) with its global banking and markets business. The IWPB segment comprises premier banking outside of Hong Kong and the UK, its global private bank, and its asset management, insurance and investment distribution businesses. Its customers worldwide through a network covering 58 countries and territories. Its customers range from individual savers and investors to companies, governments and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
