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Nov 24 2022, 15:35 GMT
Banks
Financial Stability Review – no surprises
- Sectors : Banks
- Companies : permanent tsb Group | AIB Group | Bank of Ireland
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 | 290c |
| Bank of Ireland | OUTPERFORM | 11/03/13 | Neutral | 14/08/12 | 744c |
| permanent tsb Group | OUTPERFORM | 04/02/21 | Neutral | 06/03/19 | 171c |
DAVY VIEW
The increase in the countercyclical capital buffer (CCyB) to 1ppt is in line with the Central Bank of Ireland’s (CBI) guidance and it remains its view that a 1.5ppt rate is the neutral Irish rate. Consolidation in the domestic market may impact the other significantly important institutions buffer (O-SII) – it will be at least another year (and perhaps two) before we understand how this will play out – which is unfortunate given that clarity on capital buffers remains an important facet of investment cases.
