Morgan Stanley upgrades Nexi, cuts price target

Nexi

09/03/2026 08:01

** Morgan Stanley upgrades Nexi NEXII.MI to "Equal-weight" from "Underweight" and cut its price target to 3 euros ($3,47) from 3.85 euros after publishing its industrial plan on Thursday

** Italian payments group's equity story has shifted from a growth-led to an income-driven focus, with management now prioritising cash generation and capital returns, MS says

** MS flags Nexi is guiding to low single-digit growth and limited margin expansion over the next few years, but a proposed FY26 dividend yield of 10% and growing 5% per year provides valuation support at current levels.

** "Given the broader market context of rising complexity and intensifying competition in European payments, our fundamental view on growth remains cautious," it adds

** Nexi's stock dropped by 34% YTD

** Out of 18 analysts that cover the payment firm, six rate the stock "strong buy" or "buy,"​ 11 "hold" and one rates the stock "sell"

($1 = 0.8654 euros)

(Reporting by Romolo Tosiani)

((Romolo.Tosiani@tr.com))