AlphaMadera's AlphaVal page classifies International Bancshares Corporation as a Banks, Insurers & Asset Managers business and values it using P/Tangible Book × ROE Quality, then compares the result to the current market price to flag IBOC as undervalued, fairly valued, or overvalued.

What is International Bancshares Corporation's fair value?

Fair value for IBOC comes from a P/Tangible Book × ROE Quality model -- the approach AlphaVal selected for this company's Banks, Insurers & Asset Managers classification. The live AlphaVal page shows bear, base, and bull scenarios alongside the key assumption behind each.

How does AlphaMadera value IBOC?

AlphaVal routes each company to one of ten valuation archetypes based on its business model. IBOC was classified as Banks, Insurers & Asset Managers and is valued using P/Tangible Book × ROE Quality, built from IBOC's most recent reported fundamentals.

IBOC - International Bancshares Corporation

Price: -- -- | CONSENSUS: Buy DETAILS | PRICE TARGET: $85.00 DETAILS

AlphaVal

Deterministic, archetype-aware fair value

Banks, Insurers & Asset Managers 85% confidence

Primary model: P/Tangible Book × ROE Quality

Valuation Signal Undervalued Moderate

Trading 38.4% below fair value

Current Price $70.39

Bear Case $74.20 5.4% upside ($74.20 - $70.39) / $70.39 = 5.4% ROTCE 10.4% → 1.55x TBV

Fair Value $114.35 62.5% upside ($114.35 - $70.39) / $70.39 = 62.5% ROTCE 13.9% → 2.39x TBV

Bull Case $138.45 96.7% upside ($138.45 - $70.39) / $70.39 = 96.7% ROTCE 16.0% → 2.90x TBV

Adjust Assumptions

Return on Tangible Equity

13.9%

Cost of Equity

8.1%

Key Value Driver

ROTCE (13.9%) vs. cost of equity (8.1%)

Terminal Value % of EV

Implied Market Multiple 1.47x

Market is pricing in (growth)

Plain-Language Summary

With ROTCE of 13.9% vs. 8.1% cost of equity, fair P/TBV is 2.39x on $47.75 tangible book, implying $114.35 per share.

Warnings

⚠ Traditional cash flow models don't work well for banks — lending activity distorts how much cash the business actually generates.

⚠ Common valuation shortcuts don't apply here — for banks, interest payments are a core business cost, not overhead.

Key Risks

Book value quality matters as much as level — check loan loss reserves
Interest rate sensitivity creates non-linear earnings surprises
Insurance reserving is actuarial, not financial — errors emerge slowly