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DNB - DNB ASA News Story

NOK179.35 -0.2  -0.1%

Last Trade - 12/05/21

Large Cap
Market Cap £23.98bn
Enterprise Value £55.88bn
Revenue £5.01bn
Position in Universe 30th / 1832

BUZZ-Nordic banks: UBS cautious as 2020 approaches

Tue 29th October, 2019 12:15pm
** UBS downgrades Nordic bank SEB  SEBa.ST  to "neutral"
from "buy", DNB  DNB.OL  to "sell" from "neutral" and Svenska
Handelsbanken  SHBa.ST  to "sell" from "neutral"
    ** The brokerage says it sees absolute downside for
Handelsbanken shares from current levels versus peers 
    ** UBS adds that Handelsbanken has outperformed the European
banks sector by close to 10% in recent months, adding that it
thinks the relative re-rating of shares is unwarranted
    ** On SEB, the brokerage says it sees a more balanced
risk/reward as the bank tailwinds are gradually fading
    ** Adds that SEB has benefited from significant momentum the
last 12 months, and sees increased uncertainty around activity
levels as 2020 is approaching
    ** On DNB, UBS says it sees the risk/reward as skewed to the
downside, with valuation too high as earnings tailwinds fade
    ** "Over the past two years DNB has benefited from rising
interest rates, strong economic growth, benign asset quality and
 large valuation gains. We believe many of these should
fade/disappear in 2020," UBS adds 
    ** UBS says its takes a more cautious view on Nordic banks,
with Swedbank  SWEDa.ST  and Danske Bank  DANSKE.CO  as its only
"buy" rated stock in the region

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