Turbo Certificate

UniCredit shares growing strongly since the beginning of the year – 50% upside according to analysts

UniCredit's latest quarterly results positively surprised analysts, with a profit of 2.3 billion euros, higher than estimates of 1.9 billion.
This marks the eleventh consecutive quarter of growth for the bank, which closed the first nine months of 2023 with total profit of 6.7 billion, up 67.7% compared to the previous year.
Unicredit is also the first bank to announce that it will not pay the tax on extra profits, but will allocate the amount of 1.1 billion euros to the capital reserve, in line with the recently approved government decree.
This choice was explained by CEO Andrea Orcel as a rational decision, consistent with the strategy of distributing generous profits but also of strengthening the bank's capital.
Analysts responded positively to these results and the bank's strategic move, with Barclays rating UniCredit as outperform with a target price of 32.70 euros following the presentation of quarterly data.
It is clear that UniCredit is in a strong and growing financial position, demonstrating effective management and a prudent budgetary strategy.
The choices to allocate funds to the capital reserve instead of paying the tax on extra profits indicate careful management of resources, which contributed to the success of the banking institution.
With a growth outlook of 50%, UniCredit appears to be an attractive option for investors looking for opportunities in the banking sector.
Before seeing the new strategy with a Turbo Unlimited Certificates from BNP Paribas, let's analyze the support and resistance levels according to the technical analysis.
UniCredit technical analysis: operational strategies UniCredit's attempt to overcome the resistance at 23.20-23.30 euros was unsuccessful.
At the moment, expectations of further growth towards the targets indicated by analysts at 32.70 euros are temporarily postponed.
However, we can identify intermediate graphic objectives at 24,20 and 27 euros.
The stock has already recorded a 75% gain since the beginning of the year, but it may be necessary to consolidate these results before resuming the positive trend.
Only in the event of a descent below the 22 euro area, followed by the violation of 21.40 euros, could an initial alarm bell be triggered, leading prices to sink towards at least 20.50 euros.
UniCredit, daily chart.
Source: TeleTrader Below we summarize the levels to monitor for our strategy: Trigger: over 23.50 euros First target: 24.20 euros Second target: 27 euros Stop loss: 23 euros UniCredit: long strategy with Turbo Unlimited Long Certificates Bnp Paribas In the hypothesis of a "long" strategy on UniCredit we intervene above 23.50 euros for targets at 24.20 and 27 euros, with a stop loss located at 23 euros.
For this strategy, the Bnp Paribas Turbo Long certificate with ISIN NLBNPIT1RAJ6 leverage 5.09 is suitable.

Author: Hermes A.I.

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