French banks: DB cautious as fiscal pressures persist despite calmer politics

Credit Agricole SA

17/02/2026 13:54

** Deutsche Bank says France’s fiscal fragility persists despite a stabilizing political landscape, after French banks reported good set of Q4 numbers

** It advises a selective exposure to the sector, maintaining a clear pecking order with Société Générale SOGN.PA as top pick, followed by BNP Paribas BNPP.PA and Crédit Agricole CAGR.PA

** DB says Crédit Agricole remains a quality franchise but, with limited earnings growth and no clear catalysts, downgrades it to "hold" from "buy"

** It maintains "buy" on Societe Generale, citing strong Q4 results that support higher forecasts, and raises its PT to EUR 78; improving ROTE and solid capital returns could be drivers of re‑rating, it adds

** It also maintains "hold" on BNP, lifting its PT to EUR 96, noting strong fundamentals but stressing that the upside remains dependent on resolving litigation uncertainty

(Reporting by Clement Martinot)

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