European Banks Daily

Research evidence excerpt

European Banks Daily

J P M O R G A N Europe Equity Research

27 July 2026

Daily Valuation Sheet | Banks Analyser & Global Banks and Fintech Valuation European Banks

ACWeekly sheet | *EMEA Banks 2Q Results Calendar: Jul-Aug 2026* Kian Abouhossein

(44-20) 7134-4575

Highlights kian.abouhossein@jpmorgan.com

UniCredit:Stronger earnings and capital outlook with avg. total yield of ~9% pa J.P. Morgan Securities plc

FY26-28e - remain OW

Specialist Sales contact details:Delphine Lee (44-20) 7134-3971

Post Q2, we upgrade our EPS by ~3.3% in 2027-28e, mostly driven by the Gigi Sparling - Specialist Sales -

European Financialsconsolidation of the Commerzbank stake, and to a lesser extent upgrades from better

(44-20) 7134-0355

fee trends. Whilst NII YoY progression was muted, the group delivered strong ghislaine.sparling@jpmorgan.com

commercial momentum with volumes and fees growing high single digits. Adjusted

for the temporary impact from the derivatives on CBK, CET1 at 14.5% was actually

better than expected and the solid capital generation enabled UCG to maintain ~13%

CET1 YE26 including CBK consolidation. What the market is missing is the strong

capital build with CET1 improving to ~14% YE28e and the higher than average total

yield of ~9% pa for FY26-28e, supported by the improved earnings capacity with

CBK and large RWA reductions. We remain OW UCG trading at an undemanding 8x

PE, 1.6x NAV for RoNAV 21% in 2028e with further upside to earnings and

distribution expectations.

HSBC Holdings plc:Singapore Life sale in line with the Group’s strategic

direction

Kian Abouhossein (44-20) 7134-4575

HSBC announced the sale of 100% of HSBC Life Singapore to Allianz for US$2.1bn,

implying a valuation of c.1.55x HSBC Life Singapore’s FY25 comprehensive equity,