Sparebanken Vest (SVEG) reported its Q3 result after close yesterday and we found the result in line, with soft NII mitigated by lower impairments. The NIM was flat q/q and we suspect the hefty growth in Bulder Bank (now NOK 6.7bn) is challenging margins. We have lowered NII to account for the lower run-rate. Our estimates for ‘20 are unchanged, whilst ‘21e/’22e EPS is reduced 5%. We lower our TP to 68 (72) but reiterate our Buy recommendation.
29 Oct 2020
Lower run-rate NII, lower TP
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Lower run-rate NII, lower TP
Sparebanken Vest (SVEG:OSL) | 0 0 0.0%
- Published:
29 Oct 2020 -
Author:
Joakim Svingen | Roy Tilley -
Pages:
14
Sparebanken Vest (SVEG) reported its Q3 result after close yesterday and we found the result in line, with soft NII mitigated by lower impairments. The NIM was flat q/q and we suspect the hefty growth in Bulder Bank (now NOK 6.7bn) is challenging margins. We have lowered NII to account for the lower run-rate. Our estimates for ‘20 are unchanged, whilst ‘21e/’22e EPS is reduced 5%. We lower our TP to 68 (72) but reiterate our Buy recommendation.