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BNP, SocGen, Intesa Are Key European Bank Stocks, BofAML Says 2014-01-06 08:13:02.374 GMT
By Chris Malpass Jan. 6 (Bloomberg) -- PE ratios of 7x-9x make BNP Paribas, SocGen and Intesa key buy-rated stocks in European bank sector, BofAML says in note today. * BNP Paribas 2014 revenue seen rising 3%, pretax seen rising 12% as balance sheet revamp now completed * SocGen to return to growth after restructuring, sees positive operating leverage * Intesa earnings seen rising almost 50%, revenue stabilizing as costs, charges drop * Deutsche Bank’s non-IB business to benefit from German growth, rising stock markets * Commerzbank non-core portfolio to improve on tigher credit spreads, peripheral spreads, will also benefit from better growth in Germany, Poland * Erste 2014 pretax seen doubling amid expansion of Romania, Czech Republic economies * Unicredit revenue seen stabilizing, earnings to rise over time * Stocks seen underperforming are mostly in Italy and Spain and include Banco Popolare, Banco Popular, Banco Sabadell, Bankia, Bankinter, BBVA, BCP, Caixabank, Monte Dei Paschi NOTE: SX7P gained 19% last year after rising 23% in 2012 and falling 32% in 2011
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--Editor: James Cone
To contact the reporter on this story: Chris Malpass in Berlin at +49-30-70010-6234 or cmalpass@bloomberg.net
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