Bank of America maintains a Buy rating for French major bank BNP Paribas with a price target of 130 euros, corresponding to upside of around 50 percent. This is according to an analysis.
Third-quarter underlying net profit exceeded consensus by 2 percent, driven by strong revenues in corporate and investment banking.
The bank also highlights BNP Paribas’ capital strength and a new share buyback programme of 1.3 billion euros. The stock is valued at 5.4x expected earnings and 0.72x tangible book value for 2028. Bank of America considers the discount excessive given that profitability is expected to improve.
