Citi says Santander valuation misses resilient, rate-linked earnings
Citi analysts said Banco Santander’s valuation does not reflect its earnings growth and resilience. They note earnings are positively geared to higher rates globally, though the Brazilian business offsets some of that effect, citing changes in forward curves since February.
Citi analysts said Banco Santander's earnings growth and resilience are not reflected in its valuation. The Spanish lender's earnings are positively geared to higher rates globally, Citi said, although that is offset by its Brazilian business. Citi based that view on the change since February in forward curves.