1429 GMT - There is clearly embedded scepticism in Barclays's valuation, Deutsche Bank writes in a research note. This is due to two factors: the plan to take market share in the investment bank without expanding its capital base; and growth in the U.S. consumer business stemming from much wider margins, analyst Robert Noble writes. The British lender has already made progress on the former while on the latter, it needs to buck the underlying trend to hit its plan, he notes. Another large lever of revenue growth to 2026 is underpinned domestically by the structural hedge role, thanks to which Barclays will keep growing its income from interest and from fees at a better pace than its European peers, Noble adds. Shares trade at 291.3 pence and have risen 9% since the start of 2025. (elena.vardon@wsj.com)
(END) Dow Jones Newswires
January 20, 2025 09:30 ET (14:30 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.