KeyCorp (KEY) is set to benefit from a regional banking sector rebound amid fading worst-case economic scenarios on the economy from US tariff policy, UBS said in a Tuesday report.
"We think regionals are ripe for a catch up," the report said. "We
upgrade KEY to Buy as we think it will be an outsized beneficiary of this bounce."
KeyCorp's capital strength, robust loan growth, potential for capital market recovery in H2, and scope for net interest income upsides could position the company for earnings upgrades and multiple expansions, according to the note.
UBS also raised its price target for the stock to $22 from $16.
Price: 18.45, Change: +0.16, Percent Change: +0.87
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.