12:45 AM EDT, 06/11/2025 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:
We raise our 12-month target price for UBS to USD38 (from USD36), reflecting a P/B of 1.38x, above the peer average P/B of 0.94x. The premium is justified in our view by UBS's stronger capital position and asset quality. We leave our EPS forecasts unchanged. Despite the Swiss government's latest proposal to increase UBS's capital requirements by up to USD26 billion to reduce the risk of another Credit Suisse-style collapse, we believe our positive investment thesis for UBS remains intact. We believe the recent share price reaction has already priced in the worst-case scenario, leaving upside from any improvement in the final rule. UBS should be able to manage the extra capital demand without significantly affecting future buybacks and dividends, in our view. In addition, UBS will have six to eight years to prepare, a time in which the rules may change.