Intesa Sanpaolo: hit slightly by broker downgrade.
(CercleFinance.com) - Shares of Italian bank Intesa Sanpaolo are down slightly on Monday morning, after RBC Capital Markets downgraded its rating on the stock, saying that the bank was vulnerable to political risk.
The Canadian brokerage firm downgraded Intesa Sanpaolo from "outperform" to "sector perform" and cut its target price from 3.3 euros to 3.1 euros.
Although Intesa's attributes remain largely intact (strong capital, well managed/efficient bank with good dividend yield), RBC thinks that these details are now priced in.
The broker also cited an array of "gathering clouds", including the impact of the IFRS9 regulation and the forthcoming Italian general elections.
The shares were one of the few fallers in the FTSE MIB index this morning, down 0.2 percent at under 2.99 euros.
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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.
The Canadian brokerage firm downgraded Intesa Sanpaolo from "outperform" to "sector perform" and cut its target price from 3.3 euros to 3.1 euros.
Although Intesa's attributes remain largely intact (strong capital, well managed/efficient bank with good dividend yield), RBC thinks that these details are now priced in.
The broker also cited an array of "gathering clouds", including the impact of the IFRS9 regulation and the forthcoming Italian general elections.
The shares were one of the few fallers in the FTSE MIB index this morning, down 0.2 percent at under 2.99 euros.
Copyright (c) 2017 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.