BofA Revises Poste Italiane Price Objective, Forecasts Amid Telecom Italia Takeover Bid

01:22 PM EDT, 10/26/2026 (MT Newswires) -- BofA Global Research revised its price objective and forecasts for Poste Italiane (PST.MI) after the Italian postal services company secured an 87% stake in Telecom Italia (TIT.MI). "The Italian legal framework offers several possible routes to buyout the remaining minorities; incl. further market purchases but we think this is less likely as use of cash is capped by the requirement for the Italian State to remain [greater than] 50%. A new voluntary offer to squeeze-out minorities remains an option, though a statutory merger to be settled in newly issued Poste shares is also a credible route. But we estimate this scenario would not affect Poste's ability to achieve the c.25% EPS accretion," the research firm wrote in a Monday note. "We increase our PO to EUR35.0 up from EUR32.0, as we recognise the merged Poste-TIM as the new base case (c.87% ownership)." BofA raised its EPS projections by between 18% and 25% over the 2028 to 2030 period. The buy rating on the stock was reaffirmed, with analysts viewing the shares as "mispriced." Meanwhile, Poste Italiane's expected potential synergies of 700 million euros for its takeover proposal for the telecommunications company are still seen as "conservative."