1145 GMT - Morgan Stanley raises its view on European banks to attractive from in-line in an update to its risk-reward summaries for the continent's lenders. "We gain conviction that yield steepening will hold and [net interest income] growth will resume in 2026," analysts write, noting that the de-escalation of U.S. and China tensions mean the risks to European growth have receded. Healthy deposit growth from European banks' high savings rate will be better monetized in the future, they estimate. They calculate that earnings per share will grow around 10% in 2026 and 2027 on average, and this isn't priced into current valuations. They upgrade ABN Amro, AIB Group and Bank of Ireland to equalweight from underweight and recently cut Julius Baer and Mediobanca's ratings due to uncertainty on fee income. (elena.vardon@wsj.com)
(END) Dow Jones Newswires
May 21, 2025 07:45 ET (11:45 GMT)
Copyright (c) 2025 Dow Jones & Company, Inc.
免責聲明：投資有風險，本文並非投資建議，以上內容不應被視為任何金融產品的購買或出售要約、建議或邀請，作者或其他用戶的任何相關討論、評論或帖子也不應被視為此類內容。本文僅供一般參考，不考慮您的個人投資目標、財務狀況或需求。TTM對信息的準確性和完整性不承擔任何責任或保證，投資者應自行研究並在投資前尋求專業建議。