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Mar 25 2020, 15:10 GMT
Banks
Priorities in unprecedented times
- Sectors : Banks
- Companies : Bank of Ireland | Virgin Money UK | permanent tsb Group | RBS | Lloyds Banking Group | AIB Group
Ratings
Ratings and price correct at time of issue
| Company | Rating | Date | Previous Rating | Date | Closing Price |
|---|---|---|---|---|---|
| AIB Group | OUTPERFORM | 23/01/19 | Neutral | 14/08/18 | 99.7c |
| Bank of Ireland | OUTPERFORM | 11/03/13 | Neutral | 14/08/12 | 176c |
| Lloyds Banking Group | OUTPERFORM | 28/05/19 | Neutral | 14/02/18 | 33.6p |
| permanent tsb Group | NEUTRAL | 06/03/19 | Outperform | 01/08/18 | 48.0c |
| RBS | NEUTRAL | 11/02/19 | N/A | N/A | 120p |
| Virgin Money UK | NEUTRAL | 17/12/19 | Underperform | 15/11/19 | 58.3p |
DAVY VIEW
COVID-19 presents material uncertainties and challenges which, from a banking perspective, will take some time to become meaningfully apparent. Priorities have changed and continue to evolve for both banks and regulators. Banks are in strong capital positions and buffers are being released – assisting banks to support their customers. Globally, the payment of dividends and buybacks are now being reconsidered and suspended. This should be regarded as a pragmatic move while the picture becomes clearer. Regulators have acted quickly and decisively, but other initiatives should be considered to provide further support.
