With the difficult time that the stock market has been having recently, suffice it to say that the Stoxx 600 rising was a sight for sore eyes for investors. Rising by 2.5% since the start of the week, it inspired considerable confidence among various investors.
Of course, Stoxx 600 wasn’t the only stock option that bounced back significantly, with various tech stocks managing to jump a considerable amount, rising by 4.1%. In fact, with the market managing to rebound to such an extent, it was able to instill faith in the community.
Other European stock options that saw an improvement
The global stock market saw a considerable rise recently, with most stock options jumping considerably. Along with the Stoxx 600 stock option rising considerably, various other European stocks rose as well., One of the most considerable ones was Credit Suisse, which managed to make a rebound from a particularly bad last session.
During the last session, Credit Suisse was valued at just 3.63 Swiss Francs, which was still 53% lower than their yearly evaluation. Since it also has a weaker profile for its return on equity compared to other investment banks. Therefore, the CFRA dropped the price target of the stock from 4.50 to 3.50 Swiss Francs.
So, although many European stocks did see a rise this current week, it is still far from their glory before the market went bust. However, it is still making a steady rise for the most part.
CFRA analyst’s take on the fall Credit Suisse price drop
The CFRA put out official word when they dropped the price for Credit Suisse. Firdaus Ibrahim, an Equity Analyst at CFRA spoke at length about the reasons why they valued Credit Suisse and what they did. According to their statement, they considered many options and factors when valuing the firm.
Some of the factors they considered included capital raise and bad banks coming into the picture and will likely hold risky assets. Considering all of these factors, the CFRA made the decision to value the stock price at a low of 3.50 Swiss Francs.
The negative impression of the brand will likely not change any time soon
Despite seeing its prices rise drastically, many are having trouble believing that the negative sentiment around this doc will not change any time soon. The CFRA is leaning heavily in the former direction, as they believe that they are not going to overcome their reputation.
Therefore, it is likely that their rise in prices will be very short lived, and they will likely not be able to capitalize off this short burst. However, many analysts are still hoping that the market at large will see a major improvement.