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Barclays PLC (BCS) Q4 2025 Earnings Call Transcript
Shore Capital raised its target price on Barclays PLC (LSE:BARC) to 535p from 450p following full-year results that beat expectations and extended guidance promising return on tangible equity above 14% by 2028. The broker's revised forecast reflects increased confidence in the bank's ability to deliver sustainable double-digit returns.
I upgrade Barclays PLC to Strong Buy, citing a deterministic balance sheet advantage and Wall Street undervaluation. BCS is set for net interest income expansion as £236bn of structural hedge assets reprice from 1.5%-2.7% yields to ~3.5%. Strategic capital rotation—American Airlines exit and Best Egg acquisition—supports a path to >14% RoTE by FY2028.
BCS' Q4 net income jumps 24% as credit impairment charges fall and revenues rise despite higher expenses.
Barclays PLC (LSE:BARC) shares rose 1.9% on Tuesday as investors digested its upgraded financial guidance for 2026 and a resilient set of results that beat revenue expectations. However, scrutiny continues over the bank's position in UK wealth management following recent competitive moves in the sector.
Barclays hiked CEO C.S. Venkatakrishnan's pay package to 15 million pounds ($20.5 million) in 2025, it said on Tuesday, up from 11.6 million pounds the year before after the bank in common with other British lenders increased bonus payouts for top staff.
Barclays PLC (LSE:BARC) has surpassed market expectations with a robust fourth-quarter performance and confirmed it achieved all financial guidance for 2025, including a return on tangible equity of 11.3% as every division delivered double-digit returns. Profit before tax rose 13% year on year to £9.1 billion and earnings per share increased 22% to 43.8p.
The bank is guiding for income growth of more than 5% each year through to 2028.
Last week's meltdown in risk assets doesn't represent an inflection point for the stock market overall — or for the artificial-intelligence sector that led it down — and investors should be more positive, Barclays says.
Jack Meaning, U.K. chief economist at Barclays discusses the market implications of political pressure on Prime Minister Keir Starmer, and the economic outlook after the latest Bank of England decision.