Mps, with Moody’s and the accounts, makes +20% in three sittings
Continue for the third consecutive session the Monte dei Paschi rally, which started after the publication of the institute’s accounts on Wednesday 15 February. Mps, which since the beginning of the year already has earned 40%, is starting to close the session up by 8%, exceeding the threshold of 2.8 euros per share against the 2 euros of the capital increase in November. Since last Wednesday the gain has been over 20%.
Moody’s promotion
A further push came from Moody’s valuations, with the market capitalization now exceeding 3.5 billion euros. Moody’s improved by two notches the rating of the Sienese institute raising it to “B1” from “B3”, emphasizing the benefit arrived with the capital increase in terms of consolidating the bank’s solvency and conditions for generating profitability. MPS’ fourth quarter 2022 results, according to Moody’s, already reflect “a structural improvement of the profitability to which the redundancy incentive plan contributed in addition to the benefits generated by the increase in interest rates“.
Mps’ 2022 accounts
In the fourth quarter the bank’s interest margin increased by 31.4%, supporting the overall growth of revenues, against a contraction in commissions. The gross operating result for the period was positive for 333 million “an increase of 131 million euros compared to the previous quarter” and with “a growth of over 60% both compared to the previous quarter and compared to the fourth quarter of 2021 “, the bank note reports.
The judgments of the analysts
The profit pertaining to the parent company was, in the last quarter of the year, equal to 156 million against a loss of 388 million in the previous quarter. In the report released last Friday, Kbw analysts they raised the price target on Mps to 2.66 euros, while maintaining the recommendation “marketperform” and improved their forecasts for 2023-25 earnings per share.