JPMorgan downgrades Poste Italiane stock rating to Neutral on valuation

Published 07/07/2025, 05:54
JPMorgan downgrades Poste Italiane stock rating to Neutral on valuation

Investing.com - JPMorgan has downgraded Poste Italiane SpA (BIT:PST) (OTC:PITAF) from Overweight to Neutral while setting a price target of EUR20.00.

The investment bank reduced its adjusted EBIT estimates for the Italian postal service and financial services provider by approximately 1.5% to 3.5%.

JPMorgan expects Poste Italiane to meet its net income targets and notes the company continues to offer an attractive dividend yield to investors.

The downgrade follows the stock’s recent re-rating and strong relative performance, which has brought it back to its historical price-to-earnings ratio relative to the European insurance sector.

JPMorgan indicated it sees better opportunities for positive earnings surprises in other stocks within the sector, specifically highlighting Generali (BIT:GASI) as an alternative with more upside potential.

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