Research Alert: CFRA Keeps Hold Opinion On Adss Of Ubs Group Ag
CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:We raise our 12-month target price to USD47 from USD41, reflecting an expansion in our applied P/E multiple to 14.8x from 12.6x on unchanged 2026 EPS estimates. This multiple expansion is justified by (1) the compression in the equity risk premium since our March 20 report, due to easing geopolitical tensions and improving market sentiment, (2) U.S. investment banking peers' strong Q1 2026 results validating the return of the M&A and wealth management cycles, and (3) incremental positive signals regarding Swiss regulatory capital framework compromises. The ~15% share price appreciation since March 20 aligns with similar moves across the European banking peer group, confirming this as largely a sector-wide re-rating. While we maintain our Hold rating given limited near-term upside from current levels, the regulatory capital framework decision expected this month (April 22-23) represents a potential catalyst that could swing our view. UBS will release its Q1 2026 results on April 29.
