(Tiper Stock Exchange) – Intesa Sanpaolo confirmed the target price (4.6 euros per share) and the recommendation (Buy) on the title Equity, independent investment bank listed on Euronext STAR Milan. The review of the opinion came after the company communicated its results for the first quarter of 2023, judged in line with expectations and without any surprises.
Analysts therefore confirmed their forecasts for the period 2023-2025. The estimates on revenues for the 2023 (93.3 million euros in total from 86.9 million in 2022) include: 39.6 million euros of Global Markets (+5% on an annual basis), 43.4 million euros of Investment Banking (+5% on an annual basis, considering a lower contribution from M&A, offset by a more favorable environment for ECM) and €10.4 million from AAM (from €7.6 million in 2022).
The projections to 2024 (based only on organic growth) are in line with the objectives of Equita’s industrial plan as regards cumulative dividends exceeding 50 million euro and a cost/income ratio of less than 70%, while they remain more cautious both on revenues (105.4 million euro compared to over 110 million) and net profit (23.4 million euro compared to over 25 million).
“We maintain our positive vision, which is based on: 1) a solid growth profile (+5% y/y of Q1 total revenues); and 2) a solid balance sheetwhich allows both a profitable dividend policy (an average 2023-24 yield of 10.6% at the current share price, 9.7% 2023) and the possibility of accelerating the growth trajectory by deploying excess capital through potential acquisitions,” the research reads.