1103 GMT - Societe Generale's better visibility on capital and improved messaging on returns, along with the CFO change, surprised positively and lifted shares over the past four months, J.P. Morgan says in a research note. Yet, the French lender's stock is trading at a discount. The market underestimates the positive trends in SocGen's corporate and investment bank and BoursoBank's profitability pick-up, analysts write. "There is still some perception of risk with SG, keeping [cost of equity] high, which is no longer justified in our view given the stronger capital, liquidity and asset quality," they say. The stock has further potential to rerate and JPM raises its rating to overweight from neutral and its price target to 46 euros from 29 euros. Shares rise 2.8% to 38.90 euros. (elena.vardon@wsj.com)
(END) Dow Jones Newswires
February 25, 2025 06:03 ET (11:03 GMT)
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