Deutsche Bank: First Take 2Q26: Fixed Income outperforming US peers, should support EPS upgrades and revaluation: OW

Research evidence excerpt

Deutsche Bank: First Take 2Q26: Fixed Income outperforming US peers, should support EPS upgrades and revaluation: OW

J P M O R G A N Europe Equity Research

29 July 2026

Deutsche Bank

First Take 2Q 26: Fixed Income outperforming US Overweight

peers, should support EPS upgrades and revaluation: DBKGn.DE, DBK GR

OW Price (28 Jul 26):€31.05

Price Target (Dec-27):€41.00

Our Take: Strong. DB results are strong across the board and above consensus European Banks

ACexcept in AM. The strong result was mainly driven by the IB performance related Kian Abouhossein

to FIC which outperformed US and European peers so far. DB also announced its (44-20) 7134-4575

anticipated €500mn buyback approval. DB also reiterated FY2026 revenues of kian.abouhossein@jpmorgan.com

€33bn being “firmly” on track (consensus €33.1bn), and expects growth in NII in Amit Ranjan

key banking segments to exceed the prior guidance of €14bn with higher rates (44-20) 7134-4576

positively impacting structural hedges in FY27/28. With the stock being one of the amit.x.ranjan@jpmorgan.com

J.P. Morgan Securities plc

worst performing banks YTD as well as one of the cheapest banks in Europe, these

results should support share price performance due to i) EPS upgrades of low to Specialist Sales contact details:

mid-single digits, but also ii) PE expansion as it illustrates DBK delivery on Private

Gigi Sparling - Specialist Sales -

Bank restructuring, and FICC being top 5 globally and the only FIC player in European Financials

Europe able to compete with US peers. DBK 2Q stated PBT of €2,680mn is 18% (44-20) 7134-0355

ahead of company consensus stated PBT €2,272mn. CET1 ratio at 13.9% is 10bps ghislaine.sparling@jpmorgan.com

better than consensus 13.8% and improved from 13.8% at 1Q26-end, with RWAs