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BAMI - Banco BPM SpA News Story

€1.44 0.0  3.6%

Last Trade - 13/08/20

Sector
Financials
Size
Mid Cap
Market Cap £1.89bn
Enterprise Value £5.07bn
Revenue £4.62bn
Position in Universe 97th / 719

BUZZ-Italian banks: Gross NPE ratio could rise to 18.5% at worst - JPM

Tue 26th May, 2020 9:35am
** JP Morgan says Italian banks will have to cut all
dividends and/or buybacks between 2020 and 2022 to meet capital
requirements in a worst-case scenario which sees an increase in
gross non performing exposures (NPE) ratio to 18.5% from 9.5%
    ** The broker adds Italian banks could not withstand this
scenario, which would see a rise in loan losses to 65 billion
euros ($70.98 billion), in terms of return on tangible equity
(ROTE)
    ** UniCredit's  CRDI.MI  ROTE would drop below 2% while
Banco BPM  BAMI.MI  would be loss-making for three years
    ** JPM cuts UniCredit to "neutral" on uncertainties on asset
quality, profitability challenges and concerns about long-term
debt sustainability in Italy 
    ** It resumes coverage of Banco BPM with "underweight"
citing low profitability levels which make the bank more
vulnerable to deterioration in asset quality
    ** JPM also says that Banco BPM can nevertheless potentially
avoid a rights issue in the worst-case scenario



($1 = 0.9158 euros)

 ((silvia.recchimuzzi@tr.com))
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