Jefferies stays selective on Nordic banks with Nordea as its top pick

Skandinaviska Enskilda Banken AB (publ)

07/10/2026 09:58

** Jefferies stays selective on Nordic banks, saying Sweden's recovery supports higher earnings but not necessarily higher valuations, given the sector's roughly 20% premium to EU peers
** In its view, the recovery is becoming more broad based, and defence spending, AI-related investment and infrastructure projects are emerging as important growth drivers
** "While the Riksbank held rates in September, they signalled a more hawkish rate path with a November hike looking probable and potentially 1-2 hikes in H1 2027," it says
** The brokerage keeps Nordea NDAFI.HE as its only "buy" with a marginal TP hike to €20.60 as it continues to see scope for further re-rating in the bank due to its improving ROTE profile and greater leverage to the Swedish recovery
** It remains cautious on Handelsbanken SHBa.ST due to its lending exposure to commercial real estate companies, and on Swedbank SWEDa.ST and SEB SEBa.ST on valuation grounds 
 
COMPANY
NEW RATING
OLD RATING
NEW PT
OLD PT
Handelsbanken
underperform
unchanged
SEK 125
SEK 121
SEB
hold
unchanged
SEK 220
SEK 205
Swedbank
hold
unchanged
SEK 395
SEK 360
Nordea
buy
unchanged
€20.60
€20.10
DNB
hold
unchanged
NOK 320
NOK 319
     

(Reporting by Jagoda Darlak)