ING: Oddo corrects target price - worried over MT

(CercleFinance.com) - This morning, an Oddo BHF analyst confirmed a "neutral" rating on the ING group share, while cutting the corresponding target price, regretting that the sound resistance in Q1 does not in any way offset its medium-term fragility.


The broker has therefore cut its target price from 7.70 euros to 7 euros.

Analysts reiterate their cautious stance on ING following its publication of Q1 results, saying that they were deceptive, distracting attention from an issue that the broker believes has remained broadly unchanged operationally (pressure on operating leverage vs. an accelerated increase in risk provisions), which has been reinforced by the Covid-19 crisis. (Trading) at 0.4x 2019 BV (vs. sector coverage of about 0.3x) for a 2021 RoE of just over 6% (i.e. very close to average of sector coverage), Oddo BHF says that the share's valuation is not interesting.



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