3 Goldman Euro Bank Upgrades
1.Sarasin & Co. (BSAN.S)
Goldman's analysts added the Swiss bank to their conviction buy list Feb. 1, raising their target price on Sarasin by 20%, while lifting earnings expectations for 2010, 2011, and 2012 by 15% 11% and 14% respectively. The main driver of the estimate change is a view that Sarasin did a better job than peers at both gathering assets and earning returns for clients. Sarasin is set to report second half results for 2010 on Feb. 24.
They call Sarasin a "pure-play private banking story, with strong volume growth thanks to inflows from emerging markets," noting it has limited 'exposure "old money" from European offshore banking.' They argue Sarasin is "one of the five banks offering the highest volume growth in our European coverage."Goldman also believes Sarasin's profit margins should hold up well and possibly improve. "Sarasin's pretax profit margin has been resilient thanks to growing volumes, allowing the bank to contain the effect of falling top-line margins. As a result, continued volume expansion should result in strong profit growth. Net interest margins, as well as normalization of noninterest income (putting more of the recent net new money to work) should lend support to top-line margins," the report states. -- Written by Dan Freed in New York.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV