Shore Capital ups HSBC targets after strong Q3, but stays neutral.


Shore Capital has raised its fair value target price for HSBC from 985p to 1,070p following the bank's better-than-expected third-quarter profits, but retained a neutral stance on the stock.

  • HSBC Holdings
  • 31 October 2025 15:08:13
HSBC

Source: Sharecast

Third-quarter adjusted pre-tax profit was up 3% year-on-year at $9.1bn, HSBC announced on Tuesday, coming in some 9% ahead of consensus forecasts due to a stronger-than-forecast top line.

Total income excluding notable items was also 3% higher at $17.9bn, 5% ahead of estimates due to a solid banking net interest income and a "very strong" performance in the wealth management division, Shore Capital highlighted.

As a result, the bank lifted its guidance for full-year return on tangible equity and banking net interest income, leading to a big uplift in the stock price over recent days.

However, following strong share price gains – having gained more than 10% over the past two weeks alone – Shore Capital kept a 'hold' rating on the shares.

"Following a strong run, we note that HSBC’s shares are currently trading around a 20-year high," Shore Capital said.

The stock was down 1% at 1,059p by 1506 GMT.


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