Update shared on 16 Nov 2025
Fair value Increased 1.12%Société Générale's analyst price target has been revised upward from €64.58 to €65.30. This adjustment reflects analysts' increased confidence based on improved profitability expectations and recent price target upgrades across several firms.
Analyst Commentary
Recent street research highlights a range of perspectives among market analysts regarding Société Générale's valuation, growth outlook, and execution capabilities. While the majority of commentary is positive, some notes of caution remain.
Bullish Takeaways
- Bullish analysts are raising their price targets, reflecting optimism around the bank’s profitability trajectory through 2027 and expectations of sustained earnings growth.
- Upgrades to Buy ratings emphasize improving operational performance and enhanced expectations for above-sector capital returns.
- Some analysts interpret recent share price declines as buying opportunities. They suggest current valuations may underestimate future growth and resilience, particularly in the face of short-term volatility.
- Analysts note increased confidence in management’s execution as a reason for positive outlooks. Several firms point to the bank’s ability to deliver on strategic targets despite market uncertainty.
Bearish Takeaways
- Bearish analysts express caution by slightly lowering price targets in response to ongoing geopolitical risks, which are seen as possible headwinds to sustained valuation growth.
- Some continue to maintain more neutral or sector-perform recommendations. They question whether the current pace of profitability improvement can be maintained in a challenging macro environment.
- Concerns linger over potential volatility in French financial markets, which could impact both capital returns and execution of growth plans.
- There is measured skepticism around whether recent positive momentum will translate into consistently superior performance relative to peers.
What's in the News
- Board meeting scheduled for October 29, 2025 to review financial results for the third quarter and first nine months of 2025 (Key Developments)
- Completed share buyback program, repurchasing 18,285,541 shares. This represents 2.35% of total shares, purchased for €1,000 million between July 31 and October 14, 2025 (Key Developments)
Valuation Changes
- Fair Value has risen slightly from €64.58 to €65.30, reflecting an upward adjustment in projected company worth.
- Discount Rate has decreased marginally from 7.58% to 7.56%, indicating a modest improvement in perceived risk or cost of capital.
- Revenue Growth expectations have fallen, with projected growth reduced from 5.05% to 4.65%.
- Net Profit Margin has declined slightly, moving from 21.18% to 21.13%.
- Future P/E has increased from 8.84x to 9.06x. This suggests higher market expectations for earnings relative to price.
Disclaimer
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