0106 GMT - National Australia Bank's bull at Morgan Stanley tempers his buyback expectations for the lender due to weaker-than-expected capital position. Analyst Richard E. Wiles tells clients in a note that NAB's 11.6% CET1 capital ratio at the end of the December quarter was 35 bps below where he expects it to be. He attributes the miss primarily to higher risk-weighted assets from mortgages, derivative exposure and operational risk. As a result, Wiles now expects A$1.5 billion in new share buybacks, down from his previous expectation of A$3.0 billion. MS lowers its target price by 3.9% to A$37.40 but maintains overweight on the stock, which is down 3.6% at A$35.00. (stuart.condie@wsj.com)
(END) Dow Jones Newswires
February 19, 2025 20:06 ET (01:06 GMT)
Copyright (c) 2025 Dow Jones & Company, Inc.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.