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BAMI Banco BPM SpA News Story

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FinancialsBalancedLarge CapTurnaround

Goldman Sachs ups Intesa Sanpaolo, cuts Banco BPM in sector note

** Goldman Sachs upgrades Intesa Sanpaolo ISP.MI to "buy" from "hold" in a sector note on Italian banks, saying recent underperformance creates an attractive entry point for investors

** It cites Intesa's continued net interest income (NII) and fee income increase, its "improved efficiency", and capital distribution yield of 11% as key reasons behind the upgrade

** The brokerage initiates Monte dei Paschi BMPS.MI at "buy", highlighting strong financial fundamentals not completely reflected in the current valuation, with a strong upside potential coming from revenue diversification and synergies off Mediobanca's MDBI.MI acquisition

** It also initiates BPER Banca EMII.MI to "neutral", seeing limited upside to consensus estimates albeit solid profitability and capital distribution prospects

** It cuts Banco BPM BAMI.MI to "neutral" from "buy", deeming its consensus "fair" with strong fundamentals priced in

CompanyRatingOld rating
Intesa Sanpaolo ISP.MIBuyNeutral
Monte dei Paschi BMPS.MIBuy/
BPER Banca EMII.MINeutral/
Banco BPM BAMI.MINeutralBuy
(Reporting by Mirko Miorelli) ((Mirko.Miorelli@thomsonreuters.com))

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