UBS Group Rating, Price Target Up as BofA Notes Potential Record EPS Growth, Swiss Regulatory 'Compromises'

01:07 AM EST, 12/17/2025 (MT Newswires) -- BofA Global Research upgraded its rating and price target for UBS Group (UBSG.SW), citing anticipated record EPS growth and potential "compromises" related to Swiss capital requirements. "UBS is one of our '25 stocks for 2026' and we add it to our Europe 1 list of top ideas. The end-result UBS is a highly attractive proposition, and the equity story combines the potential for more lenient capital requirements with areas of strong growth in wealth management and capital markets. EPS is set to grow sequentially at the fastest pace of any bank globally: +30% p.a. 2025-28e," analysts said Tuesday. As such, the stock's rating was adjusted to buy from neutral, while its price objective was raised to 48 francs from 35 francs. The research firm also increased its adjusted EPS projections for full-year 2025 to 2027, respectively, to $3, $3.57 and $4.32 from $2.66, $3.07 and $3.66. BofA also noted the "structural" strength of UBS Group's Asian wealth and capital markets, particularly in China. Analysts project a net flow of $210 billion starting in 2027, placing their pretax profit estimates in wealth management 30% higher than market expectations.