Deutsche Bank initiates Swissquote with “buy” rating, sees 15% upside; stock up 4%

Published 07/08/2025, 12:54
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Investing.com -- Deutsche Bank (ETR:DBKGn) has initiated coverage on Swissquote Group Holding SA with a “buy” rating and a price target of CHF620, implying a potential upside of around 15% from its last close of CHF541.50, sennding shares up over 4% on Thursday. 

The brokerage said the fully digital wealth platform offers a compelling combination of structural growth, resilience and scalability.

Deutsche Bank said Swissquote is positioned between low-cost neobrokers and traditional private banks, catering to mass-affluent, self-directed investors. 

The analysts noted that the platform attracts clients with above-average assets and order sizes, supported by its full-service functionality and proprietary technology infrastructure.

The bank flagged several structural advantages, including Swissquote’s in-house tech stack, dual banking licenses in Switzerland and the European Union, and its diversified sources of revenue. 

These features, the note said, provide insulation against market volatility and support long-term growth.

While crypto remains a strategic lever for upside during active trading periods, Deutsche Bank said other income sources help offset volatility. 

The broker’s net profit estimates for Swissquote are on average 11% higher than consensus for the forecast period from 2025 to 2027, citing improved monetization, revenue diversity and operating scale.

Deutsche Bank also pointed to valuation, saying the stock trades at a 2.3x PEG ratio, below key peers, despite its capital-light model and long-term growth prospects.

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