Julius Baer: Credit Suisse raises target price

(CercleFinance.com) - Credit Suisse reaffirms its "outperform" rating on the Julius Baer share, having increased its target price from 55 to 60 Swiss francs, after the group increased its forecasts by around 5%-6% for the Swiss private bank over the period 2020-22.


"BAER's brief 9m20 IMS showed better AUM, net new money, gross margin and cost/income than expected, partly offset by a cCHF190m goodwill impairment on Kairos," the broker says.

" Given that gross margin looks to be stabilising at a higher level in 2H20 than consensus, and cost/ income is considerably outperforming helped by the bank's cost savings initiatives, we expect positive earnings revisions to continue to support the shares," it adds.


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