BofA: Deutsche Bank to Log 'Soft' Q3 as FY26 'Transition Year' Nears End

07:43 AM EDT, 10/20/2026 (MT Newswires) -- BofA Global Research expects Deutsche Bank (DBK.F) to report a "soft" third quarter when it releases its results on Oct. 28 as the German lender nears the end of its 2026 "transition year." "We expect a soft quarter, largely reflecting elevated CoR from ongoing capital-accretive CRE portfolio de-risking and a one-off charge tied to a single-name exposure in the Corporate Bank in Asia. Underlying loan-book quality nevertheless remains sound," analysts said Monday. "We do not expect management to upgrade profitability or capital return targets at 3Q, but expect greater clarity on key messages, including a higher NII trajectory, resilient Investment Bank momentum, recovering Corporate Bank trends and continued delivery on structural cost savings. Capital generation remains on plan, underpinning healthy distributions." The research firm forecasts a revenue of 8.28 billion euros, up 2.9% year over year and 0.5% ahead of consensus, while reported profit is anticipated to decline 0.7% to 1.81 billion euros. Against this backdrop, BofA trimmed its revenue, net income and EPS estimates for 2026 through 2028. The stock's buy rating was maintained, with a price objective of 39 euros.