UniCredit: Berenberg cuts target price slightly

(CercleFinance.com) - Berenberg has cut its target price for Italy's UniCredit, citing Turkey currency woes, while maintaining its "buy" rating on the stock.


Analysts at the German broker wrote in a note to clients that political factors in Italy and Turkey are likely to drive UniCredit's fortunes in the short term, prompting them to trim their price target from 19 euros to 18 euros.

However, the long-term direction remains clear for the banking giant, Berenberg said, citing a de-risked balance sheet with a strong focus on risk and costs.

"This should help improve returns and drive a re-rating of the shares," the broker said.

The Milan-listed shares were down 0.4% at 13.4 euros after these comments.

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