BofA upgrades ABN Amro on profitability prospects, discounted valuation

ABN Amro Bank NV

23/02/2026 12:53

** BofA Global Research upgrades Dutch bank ABN AMRO ABNd.AS to "buy" from "neutral", citing improving profitability, a standout yield and a discounted valuation

** The brokerage raises its PT by 41% to EUR 36.3, expecting a better cost efficiency due to low-risk cost-cutting plans

** BofA's investment case rests on ABN's Return on Tangible Equity rising from single digits to around 13% by 2028

** The broker forecasts a total yield of 9-13% for 2026-28, noting 1.5 billion euros ($1.77 billion) in surplus capital above its Common Equity Tier 1 target for distribution

** The upgraded price target also reflects the consolidation of the NIBC acquisition from mid-2026, alongside lower expected operating costs and risk provisions

** Out of 19 analysts that cover ABN Amro, 11 rate the stock "strong buy" or "buy,"​ five rate "hold" and three​ rate the stock "strong sell" or "sell" - LSEG data

($1 = 0.8493 euros)

 (Reporting by Clement Martinot)

 ((Clement.Martinot@thomsonreuters.com;))