Business · Markets · 9 hrs ago
Bank of America raises price targets for Spanish banks
Bank of America raised its price targets for four listed Spanish banks: Santander, BBVA, Sabadell and Bankinter.
It kept its targets for CaixaBank and Unicaja unchanged, although the opening summary says five targets rose.
The bank expects interest income to rise 3% from the previous quarter across the sector, despite higher Euribor rates.
Spanish banks are due to publish most of their third-quarter results next week; Bankinter has already reported.
CaixaBank is the only bank with a buy recommendation, as analysts point to its customer business, fees and wealth management as sources of income beyond loans.
Bank of America also sees room for CaixaBank to increase shareholder payments.
The analysts see a cautious outlook for the results season, warning that the market may punish results below expectations but give little reward for better-than-expected earnings.
Bank of America raised its price targets for Spanish banks, though the article’s detailed list names four banks with increases while its opening says five of six.
The increases listed were for Santander, BBVA, Sabadell and Bankinter.
The firm kept its targets for Unicaja at €3 and CaixaBank at €14.20.
Bank of America expects Spanish banks’ net interest income to be resilient in the third quarter, rising 3% from the previous quarter.
It described the overall risk-reward outlook for the third quarter as unfavorable, while naming CaixaBank as its only buy-rated bank.
- Who
- Bank of America analysts.
- What
- They raised price targets for Santander, BBVA, Sabadell and Bankinter, and kept targets unchanged for Unicaja and CaixaBank.
- When
- The article was published on 23 October 2026, ahead of Spanish banks’ third-quarter results.
- Where
- Spain.
- Why
- Bank of America expects resilient net interest income and commissions, but said the third-quarter risk-reward outlook was unfavorable.
This story does not have two clearly opposing sides.
Bankinter had already reported its results, according to the article.
The second round of Brazil’s elections was due to take place.
The other Spanish banks were expected to present their results.
- Santander target
- Raised from €13.80 to €14
- BBVA target
- Raised from €25 to €25.50
- Sabadell target
- Raised from €3.60 to €3.80
- Bankinter target
- Raised from €14.20 to €14.40
- Unicaja and CaixaBank targets
- Unchanged at €3 and €14.20, respectively
- Expected net interest income
- 3% increase from the previous quarter in the third quarter
What people are saying
resilient in the third quarter, with an increase of 3% compared with the previous quarter
We expect a resilient third quarter, although with some short-term caution on net interest income compared with consensus
We expect a solid quarter for BBVA. Otherwise, we believe the market will not tolerate negative deviations from forecasts and will barely reward positive earnings-per-share surprises during this third-quarter results season