BNP Paribas First take: Strong performance in Global Markets, France and Belgium with CET1 already at 13%

Research evidence excerpt

BNP Paribas First take: Strong performance in Global Markets, France and Belgium with CET1 already at 13%

J P M O R G A N Europe Equity Research

23 July 2026

BNP Paribas Overweight

BNPP.PA, BNP FP

First take: Strong performance in Global Markets, Price (22 Jul 26):€106.78

France and Belgium with CET1 already at 13% Price Target (Dec-27):€110.00

Our Take: Solid. BNP reported clean operating profit of €5.3bn, 4% above European Banks

ACcompany consensus of €5.11bn (ex restructuring charges and Ageas gain), Delphine Lee

primarily driven by higher revenues more than offsetting higher costs. Revenues (44-20) 7134-3971

were 4% higher and costs were 3% higher resulting in PPOP 5% stronger. The delphine.x.lee@jpmorgan.com

higher revenues were driven mainly by Global Markets and Corporate Center, but Kian Abouhossein

also Eurozone retail (ex BNL). As expected, the main disappointment came from (44-20) 7134-4575

Arval. The cost of risk was 1% higher at 39bp, or €949m including €95m forward- kian.abouhossein@jpmorgan.com

J.P. Morgan Securities plc

looking provisions. Basel 4 CET1 at 13% was 10bp above expectations of 12.9%.

BNP reiterated its ROTE target of 12% in 2026 with net income growth of > 7% Specialist Sales contact details:

CAGR 24-26. Overall, we would expect limited EPS upgrades with the stronger

Gigi Sparling - Specialist Sales -

Global Markets offset by the weaker Arval revenues. Shares do not discount >13% European Financials

ROTE in 2028e and capital is progressing with CET1 already at 13%. We remain (44-20) 7134-0355

OW BNP trading at an undemanding 7.3x PE, 1x P/NAV for RoNAV 13.8% in ghislaine.sparling@jpmorgan.com

2028e, with significant re-rating potential as the bank delivers higher capital and

distribution, and improves profitability over time.