UniCredit: BarCap upgrades to 'equal weight'
(CercleFinance.com) - BarCap on Tuesday upgraded its rating on UniCredit from "underweight" to "equal weight," increasing its target price to 13 euros versus 10 euros previously.
According to Barclays analysts, the Italian bank has addressed certain challenges and stands to benefit from a less dovish European Central Bank (ECB).
"A successful capital raise, the non-performing loans (NPL) securitization agreement, and the agreed disposals of Pekao and Pioneer represent a sound start for the Unicredit restructuring plan," the research firm writes in a note.
BarCap adds that the anticipated ECB rate hike cycle to 2018 from 2019 by its economists adds to UniCredit's margin and revenue outlook.
Copyright (c) 2017 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.