Invest and make money with Intesa Sanpaolo

Economic scenario analysis

The European banks right now are in the middle of their recovery journey. From the 2008 economic crisis to the present, the banks have succeeded in restoring the balance sheet by reducing non-performing loans and strengthening capital. At this moment, "only" the profitability that the banks had in the period before the crisis is lacking. The difference is that once to increase profitability a cost cut was made, now instead we need to increase the investment especially in digitization.

The profits of the sector

The first quarterly data of banks published at the end of October hit the European banking sector. The stock index Europe STOXX Banks EUR Price fell 3% due mainly to Deutsche Bank and Santander. However, since Monday the bank trend has definitely reversed. Santander recovers 5% in just two days and brings along with Intesa Sanpaolo a wave of positivity. Right now analysts' forecasts are positive for the entire European banking sector. All this because most banks are implementing a financial policy to eliminate non-performing loans in order to improve their balance sheet.

Intesa Sanpaolo: the shares to buy

Investing and earning with Intesa Sanpaolo (ISP)? The bank is a stock to buy and certainly to keep in the future. This could be a good idea for trading. The Italian bank closed the first nine months of the year with a net profit of 3,310 million euros, up 9.9% compared to the same period of 2018. The net profit for the first 3 quarters of the year is equal to 3.31 billion euros and is the best result from the economic crisis of 2008. Among the most significant data, the improvement of the "Credit quality" and the reduction of 5 billion in impaired loans. The incredible figure is that they have already reached 80% of the target set for the end of 2021 on non-performing loans. The European economy, even if with some chiaroscuro is growing, this can bring a strong push to banking stocks.