Intel stock spikes after report of possible US government stake
Investing.com - JPMorgan has downgraded SBI Holdings, Inc (TYO:8473) (OTC:SBHGF) from Overweight to Neutral while slightly raising its price target to JPY6,710.00 from JPY6,610.00.
The rating change comes as SBI Holdings’ share price has nearly reached JPMorgan’s price target, according to the firm’s analysis. The new price target is based on JPMorgan’s fiscal year 2027 diluted EPS estimate of JPY671.1 and an unchanged price-to-earnings ratio of 10.0x.
JPMorgan expects SBI Holdings’ share price to be influenced by the expected corporate value at SBI Shinsei Bank and US-based Ripple Labs, along with expectations regarding potential IPOs for these entities.
The firm maintained its projection that SBI Holdings will recoup approximately JPY700 billion from these investments in fiscal years 2025-26, citing high uncertainty around expectations for Ripple Labs’ corporate value.
JPMorgan made almost no changes to its estimate for potential future returns from these recouped investments, indicating a cautious outlook on near-term growth catalysts for the financial services company.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.