[ad_1]
BPI / CaixaBank have reduced the price target of BCP by three cents, but have improved the recommendation on stocks based on the reduction of unprofitable assets, which should improve the bank's results in the years to come.
Focusing on the outlook for 2019, BPI analysts have lowered the target price of the bank, led by Miguel Maya, from 37 to 34 cents, which implies a potential appreciation of 40%, given the price current (24). , 28 cents). The recommendation has already moved from "neutral" to "buy".
In the analysis note, BPI notes that the third quarter results "exceeded expectations", supported by higher credit, lower financing costs and bond portfolio returns.
On the other hand, with a reduction of 1.4 billion euros in unprofitable assets in the first nine months of the year, analysts expect BCP to exceed its target of 1.5 billion euros for the whole of the year. In the same vein, it should reach the goal of $ 3 billion by 2021 and a "big sale that would speed up the process would be a catalyst".
Thus, a higher upside potential for the PCA could result from an "increased interest and / or a large sale of real estate assets," analysts said.
BPI also improved its earnings per share estimates in 2018 and 2019 by 1% and 5%, respectively, mainly due to lower financing costs in Portugal.
BCP shares rose 0.79% to 24.28 cents.
Note: The news does not dispense with consulting the "search" note issued by the investment company, which may be requested. The Business warns against the possibility of conflicts of interest between certain investment banks and the listed company, as a holding in its capital. To make investment decisions, you must consult the full research note and contact your financial intermediary.
[ad_2]
Source link
