-- CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:
UBS delivered exceptional Q1 2026 results with net profit of USD3.0B (+80% Y/Y) and underlying PBT of USD4.0B (+54% Y/Y), beating consensus estimates. The strong performance reflected broad-based momentum, with underlying revenues advancing 18% and the fourth consecutive quarter of positive operating leverage. UBS achieved a pivotal milestone in the Credit Suisse integration, completing Swiss client account transfers and delivering USD0.8B in additional gross cost savings. Management expressed confidence in substantially completing the integration by year-end 2026 and achieving exit rate targets of an underlying return on CET1 capital of approximately 15% and a cost-to-income ratio below 70%. However, two significant overhangs temper the outlook: proposed Swiss capital framework changes requiring an additional USD22B in CET1 capital represent a material headwind, while elevated geopolitical risks could shift client sentiment given management's guidance for flat net interest income sequentially in Q2 2026.