Natixis: Oddo confirms buy rating
(CercleFinance.com) - Natixis has reported 2018 net banking income of 9,616 million euros, up 3% at constant exchange rates y-o-y.
Net income group share, excluding extraordinary items amounted to 1,607 million euros in 2018.
The group published Q4 2018 net profit that is 29.5% above Oddo's expectations. Following this publication, the broker confirms its buy rating on the stock, saying that it meets two key criteria inthe sector: i) an ability to improve its cost/income ratio and the generation of excess capital.
Natixis' Q4 2018 results confirm leeway in terms of solvency, with a pro-forma CET1 ratio of 11.1% from the deal with BPCE and the exceptional dividend, analysts say. They believe that Natixis will be able to generate capital of approximately 1.4 billion euros over the next two years, based on a P/O of 60%, excluding any exceptional dividend. This would represent excess capital of approximately 2.4 billion euros, i.e. 0.75 euro per share.
Copyright (c) 2019 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
Net income group share, excluding extraordinary items amounted to 1,607 million euros in 2018.
The group published Q4 2018 net profit that is 29.5% above Oddo's expectations. Following this publication, the broker confirms its buy rating on the stock, saying that it meets two key criteria inthe sector: i) an ability to improve its cost/income ratio and the generation of excess capital.
Natixis' Q4 2018 results confirm leeway in terms of solvency, with a pro-forma CET1 ratio of 11.1% from the deal with BPCE and the exceptional dividend, analysts say. They believe that Natixis will be able to generate capital of approximately 1.4 billion euros over the next two years, based on a P/O of 60%, excluding any exceptional dividend. This would represent excess capital of approximately 2.4 billion euros, i.e. 0.75 euro per share.
Copyright (c) 2019 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.