Business · Markets · 4 hrs ago
Spanish banks lose €26.7bn in market value despite strong results
The six Spanish banks listed on the Ibex 35 reported results this week that point to another record year for profits.
Yet their combined market value fell by €26.7bn as investors sold shares.
Investors want evidence that banks can keep earning at this pace without taking on more risk.
They are watching for weaker business momentum, rising funding costs and possible loan losses.
Santander and BBVA suffered the biggest falls, with investors concerned about Santander's exposure to Brazil and BBVA's reliance on Turkey for part of its growth.
Investors are questioning how sustainable the banks' profits are, and the banks' next results will show whether earnings and costs support confidence in continued growth.
The six Spanish banks listed on the Ibex 35 lost €26.723 billion in market value during the week despite results pointing to another record year.
Santander shares fell 7.2%, while BBVA shares fell 5.5%.
Investors focused on whether the banks can sustain earnings growth without taking on more risk.
Analysts pointed to weaker momentum in some businesses, rising funding costs and concerns about credit losses.
Bank executives played down the immediate share-price declines, citing the banks’ recent gains and possible profit-taking.
- Who
- The six Spanish banks listed on the Ibex 35, including Santander and BBVA.
- What
- They lost €26.723 billion in market value during a week of strong results.
- When
- During the week covered by the article, published on 30 October 2026.
- Where
- Spain’s stock market.
- Why
- Investors questioned whether banks could sustain earnings growth amid rising funding costs and risks in some markets.
Investors and analysts
Bank executives
Interpretation of the share-price falls
Investors and analysts
Investors and analysts saw concerns about earnings quality, costs and risks in some markets.
Bank executives
Executives played down the immediate market reaction.
Reason for the falls
Investors and analysts
Analysts cited questions about whether strong results could be repeated without more risk.
Bank executives
Executives pointed to recent share-price gains and possible profit-taking.
The six banks presented results pointing to another record year.
The largest share-price falls for each bank occurred on the same day as its results announcement.
- Total market-value loss
- €26.723 billion
- Banks covered
- Six Ibex 35-listed Spanish banks
- Santander share-price fall
- 7.2%
- Santander market-value loss
- €20.262 billion
- BBVA share-price fall
- 5.5%
- BBVA market-value loss
- €6.530 billion
What people are saying
The stock market looks at how much they earn today, but also at how they achieve it and whether they will be able to repeat it.
Turkey accounts for approximately 43% of its year-on-year increase.
The risk is that all of this ends up affecting Santander's business in the country.