SELL rating6 Feb 2017 10:21
Standard Chartered PLC (LON:STAN) remains a sell for the analysts at Deutsche Bank, even though they have upped their target price on the Asia-focused bank.
Indeed, even with the share price upgrade, the broker still sees 24% potential downside following the substantial share price outperformance this year against the major share indices.
This is unjustified, reckons Deutsche Bank. Standard Chartered may be geared to higher US rates, but higher revenues are already in the price and the market’s view on cost reductions is too bullish.
Deutsche has nudged up its target price by 45p to 600p, but the rating remains ‘sell' even with the outside chance of a bid.