Jefferies maintains selective view on Nordic banks, favors Nordea

Jefferies stays selective on Nordic banks, noting Sweden's recovery supports higher earnings but not necessarily higher valuations, as the sector trades at a premium to EU peers. The brokerage reiterates its 'buy' rating on Nordea with a price target of €20.60, citing its improving ROTE profile and leverage to the Swedish recovery. It remains cautious on Handelsbanken due to commercial real estate exposure, and on Swedbank and SEB on valuation grounds.