BofA Expects Unchanged 'Conservative' FY26 Outlook from ABN Amro Bank at Upcoming Q3 Results

02:39 AM EDT, 10/26/2026 (MT Newswires) -- BofA Global Research believes it is "unlikely" for ABN Amro Bank (ABN.AS) to raise its "conservative" full-year 2026 guidance, as analysts see "broadly similar" third-quarter net interest income trends with fellow Dutch lender ING Groep (INGA.AS). "Unlike ING, we see clear upside to NII targets over the next three years. In our view, the investment case hinges on a potentially significant upgrade to the currently cautious 12% ROTE target, likely driven by M&A and the corporate banking overhaul, notably substantial deleveraging of lower-return global banking exposures. We expect upgraded 2028 targets at some point in 2027, but investors are paid to wait, with a >10% annual shareholder yield that could be further enhanced by excess capital distributions," according to an earnings preview note focused on banks from Belgium, the Netherlands, and Luxembourg. Ahead of the earnings report scheduled for Nov. 11, the research firm expects the bank to deliver a 19% year-over-year increase in third-quarter net profit to 732 million euros, citing expectations of 13% revenue growth and a 1% reduction in costs partly offset by "normalized" cost of risk. Against this backdrop, analysts raised their 2026 to 2028 net profit estimates by 10%, 6% and 6%, respectively, while lowering their cost and loan loss provision expectations for the three years. BofA also raised the buy-rated stock's price objective to 48.1 euros from 44.5 euros, noting the company is its "top pick" among Benelux banks.