HSBC Shares Could Pause Until Revenue Growth Accelerates
Dow Jones
Aug 05
0732 GMT - HSBC Holdings' stock rally could pause while faster top-line growth takes time to arrive, Citi analysts say. Citi cuts its recommendation on the stock to neutral from buy, saying planned investments will hit earnings in the near term and support revenue growth only in the long term. HSBC's asset sales could weigh slightly on revenue growth in the near term, the analysts say. Citi cuts the London-based bank's underlying EPS forecasts for 2026 through 2028 by up to 3%, due to higher costs combined with lower 2026 buybacks than expected. HSBC's focus on volume growth might limit near-term buybacks, the analysts add. HSBC shares in London are down 1.9% at 15.54 pounds and have rallied 35% since the start of 2026.
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