Grupo Aval Posts Solid Q1 2026 Growth Despite One-Time Equity Tax Hit

Claim 55% Off TipRanksUnlock hedge fund-level data and powerful investing tools for smarter, sharper decisions Discover top-performing stock ideas and upgrade to a portfolio of market leaders with Smart Investor Picks Grupo Aval Acciones y Valores SA Pfd ( (AVAL) ) has issued an update. On May 15, 2026, Grupo Aval reported consolidated attributable net income of Ps 336.6 billion, or Ps 14.2 per share, for the first quarter of 2026, with a return on average equity of 7.4% and return on average assets of 0.9%. Net income declined 2.3% from the fourth quarter of 2025 and 6.9% from the first quarter of 2025, as results were materially affected by a new one-time Colombian equity tax that reduced attributable net income by Ps 210.1 billion and lifted operating expenses by Ps 311.7 billion, though ROAE would have reached 12.0% without this tax. Operationally, Grupo Aval showed solid balance-sheet expansion, with its consolidated loan portfolio rising 1.5% in the quarter and 6.0% year-on-year, supported by growth in commercial, consumer and mortgage loans, and total deposits increasing 4.5% in the quarter and 11.7% over the year. Profitability metrics improved in key areas, as the net interest margin on loans reached 4.40% (4.98% in the banking segment), total NIM climbed to 3.34%, cost of risk net stood at 1.8% with improved credit quality indicators, and loans more than 90 days past due declined to 3.13% as of March 31, 2026, underscoring resilient asset quality despite the tax-driven drag on earnings. Spark’s Take on AVAL Stock According to Spark, TipRanks’ AI Analyst, AVAL is a Neutral. The score is held back primarily by mixed financial quality (high leverage and historically volatile cash flows) despite a 2025 improvement. Technicals are moderately supportive with price above major moving averages, and valuation is reasonable (P/E ~11.3 with a ~2.9% yield). Earnings-call commentary adds balanced support: strong recovery signals but meaningful guidance pressure and macro/tax risks. To see Spark’s full report on AVAL stock, click here. More about Grupo Aval Acciones y Valores SA Pfd Grupo Aval Acciones y Valores S.A. is a leading Colombian financial conglomerate operating through four commercial banks, the country’s largest private pension and severance fund manager Porvenir, the largest merchant bank Corficolombiana, and several financial services entities. Its securities, including common and preferred stock, trade on the Colombian Stock Exchange, and it also issues local and international bonds, positioning it as a major regional player in banking and capital markets. Average Trading Volume: 209,813 Technical Sentiment Signal: Buy Current Market Cap: $4.85B Learn more about AVAL stock on TipRanks’ Stock Analysis page.