Update shared on28 Sep 2025
Fair value Increased 1.75%Analysts have raised their price targets for UBS Group to CHF32.69, citing improving long-term earnings prospects and the view that integration risks and macro headwinds are already reflected in the share price, with the stock expected to remain range-bound ahead of Q4 results.
Analyst Commentary
- Bullish analysts cite expanding earnings potential for UBS through 2028 as a driver for higher price targets.
- Improved outlook is supported by expectations that integration risks and macro headwinds are already priced into the shares.
- Despite being one of the worst-performing European bank stocks year-to-date, analysts see limited downside risk at current valuation levels.
- Multiple price target increases reflect a positive reassessment of UBS’s growth and profitability prospects.
- Stock is expected to remain range-bound until Q4 results and updated targets are announced, with further re-rating potential thereafter.
What's in the News
- FINMA reports UBS has made progress on crisis situation plans but emphasizes that more work is needed and emergency planning is not yet fully executable or integrated (Bloomberg).
- Activist investor Cevian Capital warns that stricter Swiss regulatory proposals may leave UBS with no realistic option but to relocate outside of Switzerland (Financial Times).
- UBS is projected to miss its target to reduce headcount by 85,000 by end-2026 during the Credit Suisse integration, with layoffs progressing slower than planned (Financial Times).
- UBS instructed bankers to stop pitching structured foreign exchange products after client losses tied to Trump’s tariff announcements, and is reviewing client risk assessment practices internally (Financial Times).
Valuation Changes
Summary of Valuation Changes for UBS Group
- The Consensus Analyst Price Target remained effectively unchanged, moving only marginally from CHF32.13 to CHF32.69.
- The Future P/E for UBS Group has significantly fallen from 12.56x to 10.23x.
- The Consensus Revenue Growth forecasts for UBS Group has risen slightly from 4.0% per annum to 4.1% per annum.
Disclaimer
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