HSBC: Jefferies upgrades stock

(CercleFinance.com) - Jefferies has upgraded its rating on HSBC shares to "buy" (from "hold"), increasing its target price for them to 770 pence (from 574 pence), with its new target price suggesting that upside potential of 42% for the British bank's stock.


"We believe the China/HK re-opening and capital return prospects of HSBC are underappreciated attributes which create positive return/risk asymmetry," the broker says.

Specifically, Jefferies now estimates that the sale of the bank's Canadian business can unlock 14 billion dollars of buybacks and special dividends across FY 2023 and 2024.


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