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UBS has reduced its price target for Nestlé from 91 to 83 francs while maintaining a "Neutral" rating. Analyst Guillaume Delmas noted management's hesitance to confirm an organic growth target of 4 to 6 percent, indicating a shift towards outperforming the market rather than adhering to fixed goals. Ongoing challenges in certain sectors, particularly frozen food in the US, may lead to further divestments.
UBS's acquisition of Credit Suisse has raised concerns about its dominance in the Swiss banking market, prompting discussions among regulatory authorities, including the Price Supervisor and the Competition Commission. Complaints from the public and businesses regarding potential negative impacts on competition were addressed, although no formal agreements were reached. The authorities emphasized the need for ongoing communication, particularly regarding credit interest rates, while deciding to postpone a proposed Memorandum of Understanding.
A year ago, an investment of CHF 10,000 in Banque Cantonale du Jura SA shares would have yielded 203,252 shares, now valued at CHF 11,483.74, reflecting a 14.84% increase. The share price rose from CHF 49.20 to CHF 56.50, with the company's market value at CHF 169.26 million.
UBS shares rose by 0.5% to CHF 28.31 in morning trading, with a peak of CHF 28.35. The stock is currently 26.25% above its 52-week low of CHF 20.88 and 1.66% away from its 52-week high of CHF 28.78. The dividend forecast for this year is USD 0.823, up from CHF 0.640 last year, with Q3 2024 earnings expected on October 30, 2024.
In September, rental prices in Switzerland saw a slight increase, with the overall index rising by 0.2 points to 128.1. The canton of Schwyz experienced the highest monthly rise at 3.1%, while year-on-year, it also led with an 11.4% increase. Notably, cities like Basel and Lucerne reported significant annual rent hikes of 1.1% and 8.2%, respectively, while Lausanne saw a decrease of 0.5%.
Investors are increasingly divesting from the UBS ETF - MSCI World Socially Responsible ETF A, which recently slipped 0.01% to EUR 0.02. The fund reached a low of EUR 154.50 during the STU session and has seen a 52-week low of EUR 115.00 on October 28, 2023, with 46,992 shares traded.
Credit Suisse AT1 bondholders are facing a prolonged wait for a decision on their claims, with a ruling on the legality of the CHF 80 million damages lawsuit against Switzerland not expected until February 2025. The case stems from the Swiss Financial Market Supervisory Authority's controversial write-off of the bonds after the bank's collapse. Legal representation for Switzerland is led by prominent litigator William Savitt in a New York Federal Court.
A legal dispute in New York regarding the worthless AT1 bonds issued by Credit Suisse will see its first decision postponed until February 2024. Eight former creditors are suing Switzerland for approximately CHF 80 million, claiming that the write-off of the bonds was unlawful and violated property rights. The case, which involves a small portion of the total CHF 16 billion in worthless bonds, is being handled by the law firm Quinn Emanuel Urquhart & Sullivan.
Christian Schöttli will assume the role of Chairman of the Executive Board at Raiffeisenbank Mittelthurgau on March 1, 2025. With extensive experience in the financial sector, including leadership roles at Thurgauer Kantonalbank, he is expected to guide the bank into the future alongside the Board of Directors and management. Katja Meier, the interim Chairwoman, expressed confidence in Schöttli's capabilities and alignment with the bank's values.
Rental prices in Switzerland saw a slight overall increase of 0.2% in September, with notable rises in Schwyz (3.1%), Uri (1.3%), and Fribourg and Basel-Stadt (1.0%). Year-on-year, Schwyz and Zug led with increases of 11.4% and 11.1%, respectively, while larger cities like Lucerne and Zurich also reported significant growth.
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