Deutsche Bank Aktiengesellschaft, a stock corporation, provides corporate and investment banking, and asset management products and services to private individuals, corporate entities, and institutional clients in Germany, the United Kingdom, rest of Europe, the Middle East, Africa, the Americas, and the Asia-Pacific. It operates through Corporate Bank, Investment Bank, Private Bank, and Asset Management segments. The Corporate Bank segment offers cash management, trade finance and lending, trust and agency, and securities services, as well as risk management solutions. The Investment Bank segment provides debt origination, merger and acquisitions, foreign exchange, and equity advisory and origination platform services. The Private Bank segment offers payment and account services, and credit and deposit products, as well as investment advice products, such as environmental, social, and governance products. This segment also provides banking, wealth management, other financial, and postal and parcel services; and supports in planning, managing and investing wealth, financing personal and business interests, and servicing institutional and corporate needs. The Asset Management segment offers investment solutions, such as alternative investments, which include real estate, infrastructure, liquid real assets, and sustainable investments; and various other services, including insurance and pension solutions, asset liability management, portfolio management solutions, and asset allocation advisory to individuals and institutions. Deutsche Bank Aktiengesellschaft was founded in 1870 and is headquartered in Frankfurt am Main, Germany.

Deutsche Bank looks inexpensive across a number of valuation multiples, but the quality of earnings has not yet confirmed a strong premium re-rating. P/E, P/S, P/B, and P/FCF are noticeably below the industry median, suggesting potential undervaluation; however, this is partly offset by weak returns on equity and assets. ROE, ROA, ROI, and return on tangible equity remain below industry benchmarks, and their trends over recent periods are more stable than improving, meaning there is no clear sign of an acceleration in efficiency. Net profit margin and operating margin are also below the median, although the levels themselves appear stable and without any sharp deterioration. Revenue, operating profit, and net income in absolute terms are high and broadly growing, which supports the fundamental resilience of the business. Shareholders’ equity is increasing, and assets are expanding, which is a positive for a large bank, but at the same time leverage remains high and above typical sector levels. The debt/equity ratio is significantly above the median, and the quick ratio is zero while the current ratio is below 1, reflecting the specifics of the banking model, but still warranting caution when assessing liquidity. The dividend yield has risen to 3.11%, adding appeal for income-oriented investors, although it does not fully offset the weakness in profitability. EPS and forward EPS look acceptable, with the forward figure better than the current one, supporting expectations of a moderate improvement in earnings. Overall, the fundamentals justify a cautiously positive view, but not a strong enough one to aggressively raise the target price. For an investor, this is a story of cheap valuation and a stable business scale, while efficiency metrics remain only average and balance-sheet risks are still notable. Therefore, the target should be revised moderately downward, taking into account that the market has already partly priced in the low multiples and dividend support.

Deutsche Bank AG

Сильный индекс, значительно упал. Оптимистичный взгляд на свои позиции резко сменился на неуверенность.

Strong index, significantly down. An optimistic view of his position suddenly changed to uncertainty.

Сильный индекс, значительно упал. Рынок не поддерживает быков.

Strong index, significantly down. The market does not support the bulls.

Средний индекс, незначительно вырос. Отток средств из лонгов на высоком уровне.

Medium index, slightly up. Outflow of funds from longs at a high level.

DB appears undervalued on multiples and dividends, but weak profitability and high leverage limit its re-rating potential.

Key Points
Company performance metrics and football could become massive prediction categories.
Robinhood is well placed to profit from both.
Shares of Robinhood Markets (NASDAQ: HOOD) popped on Thursday after analysts highlighted the potential of new prediction markets to drive the trading app's expansion.
Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »
Betting on a company's performance
Investors already view prediction markets as a key growth opportunity for Robinhood. But Deutsche Bank analyst Brian Bedell has a new take.
Bedell predicts that contracts for businesses' financial key performance indicators (KPIs) will become the largest event-contract category within prediction markets.
"For the U.S., we believe company KPI contract volume could surpass 1 trillion in 2028 from virtually nothing today, exceeding sports volumes, even in any positive SCOTUS [Supreme Court of the United States] ruling in favor of national regulation," Bedell said.
Bedell believes Robinhood is one of the companies best positioned to profit from this high-potential new trading market.
Profiting from America's favorite sport
Bedell isn't the only one who's getting more positive on Robinhood's prospects. Piper Sandler analyst Patrick Moley thinks football will be another powerful growth driver for Robinhood's prediction market revenue.
Moley points to the "explosive" gains driven by the World Cup as a sign of what's to come in the U.S. during the NFL and NCAA football seasons. He expects the impact to be visible in Robinhood's upcoming third- and fourth-quarter results.
In turn, Moley sees Robinhood's share price rising roughly 16% to $145.
Should you buy stock in Robinhood Markets right now?
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Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
Founded in 1993 in Alexandria, VA., by brothers David and Tom Gardner, The Motley Fool is a multimedia financial-services company dedicated to building the world's greatest investment community. Reaching millions of people each month through its website, books, newspaper column, radio show, television appearances, and subscription newsletter services, The Motley Fool champions shareholder values and advocates tirelessly for the individual investor. The company's name was taken from Shakespeare, whose wise fools both instructed and amused, and could speak the truth to the king -- without getting their heads lopped off.

Why Robinhood Stock Rocketed Higher Today

Key Points
SiriusXM received an analyst upgrade today.
The analyst believes the impact from Sirius' YouTube partnership is being underrated.
Net subscribers were positive last quarter, suggesting a stabilization in the declining trends since the end of Covid.
Shares of Sirius XM Holdings (NASDAQ: SIRI) were rallying on Wednesday, up as much as 7.9% before retreating to a 7.5% gain on the day.
Sirius received a bullish sell-side analyst note on the company's digital advertising opportunity, and the stock responded accordingly.
Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »
Is a turnaround taking shape?
Today, Deutsche Bank analyst Bryan Kraft upgraded Sirius shares from "Hold" to "Buy" and raised his price target to $45, up from $31. Kraft believes that investors aren't appreciating Sirius' digital advertising opportunity,
Sirius is on track to become YouTube's exclusive digital audio advertising partner this Fall for audio-focused YouTube content, following the two companies' April agreement. Under the terms of the partnership, YouTube is opening its audio-focused inventory to SiriusXM Media, Sirius' "sell-side" digital advertising solutions platform, enabling ad buyers of SiriusXM inventory to seamlessly buy YouTube ads on YouTube's audio-oriented content, such as podcasts.
This may seem like YouTube is bailing out SiriusXM, as SiriusXM's subscriber count has declined in recent years while YouTube has posted healthy growth. However, SiriusXM's subscriber base may also skew toward higher-income households, and that cohort of devoted listeners is likely to be coveted by advertisers. So, it's no surprise to see YouTube partnering with Sirius on the initiative.
Sirius' ad revenue grew 5.1% last quarter, well above the flattish subscriber growth, marking an acceleration relative to prior quarters. Keep in mind, this is really before the YouTube partnership has even begun to show up meaningfully in financial results. That's why Kraft believes consensus estimates appear to be "completely disregarding" that likely growth in the quarters ahead.
Sirius still looks like a cheap stock today
At roughly $29.70 as of this writing, Sirius' market cap is about $10 billion. Meanwhile, the company just raised its free cash flow guidance for this year by $25 million to $1.375 billion. That means the stock still trades at roughly 7.3 times this year's free cash flow guidance.
That's a pretty low valuation for a subscription-based company with a smaller yet accelerating ad business, even with another $9.4 billion in debt on the balance sheet.
In other words, Kraft's new price target, as big an increase as it is, doesn't seem implausible. Investors are understandably skeptical about the sustainability of growth, given that Sirius subscribers have been in decline since the end of COVID. But if the new growth can be sustained with the YouTube partnership kicking in soon, Sirius still looks cheap, even after an impressive 49% year-to-date gain.
Should you buy stock in Sirius XM right now?
Before you buy stock in Sirius XM, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Sirius XM wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $435,803!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,334,577!*
Now, it’s worth noting Stock Advisor’s total average return is 966% — a market-crushing outperformance compared to 211% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
Billy Duberstein and/or his clients have no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
Founded in 1993 in Alexandria, VA., by brothers David and Tom Gardner, The Motley Fool is a multimedia financial-services company dedicated to building the world's greatest investment community. Reaching millions of people each month through its website, books, newspaper column, radio show, television appearances, and subscription newsletter services, The Motley Fool champions shareholder values and advocates tirelessly for the individual investor. The company's name was taken from Shakespeare, whose wise fools both instructed and amused, and could speak the truth to the king -- without getting their heads lopped off.

Why Sirius XM Holdings Rallied Today

KKR & Co. Inc.’s KKR planned $17-billion sale of USI Insurance Services (“USI”) to Aon plc offers investors a clear example of how the alternative asset manager can turn long-held private investments into sizable realized gains. Beyond the headline transaction value, the deal highlights KKR’s ability to identify scalable businesses, compound their value over several years and ultimately recycle the proceeds into new opportunities.
KKR entered USI in 2017, when the insurance brokerage was valued at $4.3 billion. Since then, USI has transformed into a significantly larger platform. Revenues have nearly tripled, while more than 90 acquisitions have broadened its geographic reach and capabilities. The company now employs more than 10,500 people across nearly 200 offices. Adjusted revenues and EBITDA saw compound annual rates of approximately 12% and 13%, respectively, underscoring the combination of organic expansion and acquisition-led growth achieved under KKR’s ownership.
The financial payoff is substantial. KKR expects the transaction to generate $3.3 billion of after-tax proceeds and $2 billion of adjusted net income, equivalent to more than $2 per share. The sale represents roughly six times KKR’s original equity investment and 3.4 times the total balance-sheet capital invested over USI’s holding period. The transaction is expected to close in the fourth quarter of 2026, subject to regulatory approvals and customary closing conditions.
The deal also provides an important read-through for KKR’s broader Strategic Holdings strategy. USI was KKR’s first core private-equity investment and became part of a portfolio designed to hold high-quality businesses for longer periods. Unlike traditional private-equity funds, where KKR primarily earns management fees and carried interest, Strategic Holdings allows the company to participate directly in the appreciation of investments through its own balance sheet.
The sizable cash proceeds enhance KKR’s ability to recycle capital into new investments and pursue opportunities with potentially higher prospective returns. This is particularly important for an alternative asset manager like KKR, as consistent realizations demonstrate that gains embedded in private investments can ultimately be converted into cash and earnings for shareholders.
Overall, the USI transaction strengthens the investment case for KKR by showcasing successful capital deployment, operational value creation and disciplined monetization. While the roughly $2-billion ANI contribution provides a meaningful near-term earnings boost, the bigger takeaway for investors is the repeatability of KKR’s model. Continued successful exits, alongside growth in fee-generating assets, could support earnings expansion and shareholder value over the long run.
Similar Steps Taken by Other Financial Firms
In June, Deutsche Bank AG DB entered a definitive agreement to sell its retail banking, affluent private banking and wealth management business in India to Kotak Mahindra Bank.
The divestiture aligns with DB's broader Global Hausbank strategy, announced in November 2025, which emphasizes simplifying operations, enabling disciplined capital allocation and concentrating investments in businesses with stronger scale and competitive advantages.
In July, Northern Trust Corporation NTRS agreed to sell its guardianship services business to Wintrust Financial Corporation's subsidiary, Wintrust Private Trust Company.
The divestiture aligns with NTRS's broader strategy of strengthening its core wealth management, asset servicing and asset management businesses while streamlining its portfolio and focusing investments on areas with stronger long-term growth potential.
KKR’s Price Performance & Zacks Rank
The company’s shares have gained 16.2% in the past three months compared with the industry’s 9.7% rise.
Currently, KKR carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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KKR's $17B USI Sale Unlocks Value: What Does it Mean for Investors?

Key Points
CEO Lip-Bu Tan Bought $12 million of Intel's $23 billion equity offering at $95 per share in early August.
CFO David Zinsner just gave a glimpse into what that money will be used for.
The news is massively bullish, and public investors can buy the stock even below that offering price today.
In early August, Intel (NASDAQ: INTC) raised $23 billion in equity at $95 per share, up from an initial target of $15 billion. In conjunction, CEO Lip-Bu Tan personally bought $12 million worth of stock as part of the offering.
Just one month before, on Intel's Julyearnings call CFO David Zinsner said Intel wouldn't raise more money unless it did "extremely well" in attracting demand for its foundry. After the capital raise at the recent Deutsche Bank Technology Conference on Aug. 26, Zinsner shed more light on how the new billions will be used.
Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »
The answers were tremendously bullish, making Intel's current stock price, which sits even below the recent offering price, look like a bargain.
Intel is filling its fabs as fast as it can
While there is a possibility that Intel will use $15 billion of the offering to buy out Brookfield Infrastructure Partners, which owns 49% of Intel's existing Arizona fabs, Zinsner hinted that the new funds will probably go toward new fabs. Zinsner pointed out that Intel must commit to buying a large amount of chipmaking equipment over the next few years, which will require a stronger financial backstop.
The details point to a massive amount of new capacity coming online. Intel will be expanding capacity at its existing Fab 34 in Ireland, which produces the Intel 3 node, along with Fab 52 in Arizona, which produces Intel's new 18A node. Intel is also finishing tooling up Fab 62, another massive Arizona fab next to 52 that will produce 18A variants and possibly 14A, Intel's next node.
But that's not all. At the conference, Zinsner also described how Intel will convert some of its Oregon facilities, which are typically research "pilot" lines, into higher-volume manufacturing lines to support 14A as soon as possible. In addition, Zinsner said Intel was moving as "fast as it could" to build out its Ohio fabs:
There is the ability to have eight mods, or there is two mods per fab, so four fabs in Ohio. Mod one is the one obviously we are working on right now. If we could make it go faster, we would. We are going as fast as we can to get that one ready.
It should be noted that before the agentic AI revolution took off, Intel had slowed the build-out of the Ohio fab system. In early 2025, Intel said it was delaying the opening of that fab until at least 2030, pushed back from an initial target of 2026. Well, today Intel is looking to bring that on "as fast as possible," probably in 2028 or 2029. That's quite a change in the span of a year.
Mods one and two will cost a reported $28 billion, which is roughly the same amount invested in Fabs 52 and 62 in Arizona. In other words, this is a massive amount of capacity in addition to Intel's near-term build.
Finally, Zinsner didn't mention Intel's Fab 38 in Israel, where construction was suspended in mid-2025. However, that Fab "shell" is already complete, and would probably be the fastest to market for producing chips outside of Fab 62. Some commentators have recently pointed to increased activity at the Israel fab and to a new site facility operator position that has been posted. That suggests Intel is also likely looking to equip Fab 38 with tools.
Keep in mind that Fab 34 in Ireland, where Intel makes Intel 3, and Fab 52, where 18A production is ongoing, aren't even at full capacity yet. So when you factor in Fab 62, the first two Ohio fabs, Israel Fab 38, and an expansion of its Oregon facility, Intel's internal capacity should increase severalfold over the next few years.
Given that last quarter's revenue was already over $16 billion, indicating a $65 billion annualized run rate, Intel's revenue could theoretically approach $200 billion over a few years if it fills all these fabs it is now accelerating.
Why is Intel so confident? 14A looks massive
It should be noted that when he took on the role of CEO in early 2025, Lip-Bu Tan said he would slow down prior CEO Pat Gelsinger's aggressive capacity build-out and would only build capacity against committed demand. Intel even said in its Q2 2025 quarterly report that development of the upcoming 14A node wasn't guaranteed unless there was significant external demand.
While Intel hasn't officially announced it has landed external customer commitments for 14A, and likely won't due to customer confidentiality concerns, Zinsner basically admitted as much, noting:
Lip-Bu and the team are now meeting on a weekly basis with customers. They are moving away from just looking at data to thinking about, "Well, how much capacity can I get? What does that supply look like?" We are now at a point where we have conviction around customers on 14A externally...
Later on, Zinsner discussed Intel's innovative EMIB-T packaging, which may offer cost and performance advantages over Taiwan Semiconductor Manufacturing's (NYSE: TSM) CoWoS technology. Zinser noted Intel's packaging technology is leading to new opportunities to cross-sell customers to Intel's front-end foundry capabilities:
[Packaging] is a great on-ramp vehicle to show how we can perform not only from an innovation perspective, but also just the blocking and tackling of operationally, how we provide the parts, when we provide them, what our yields look like in high volume. All of those things get tested in advanced packaging, and we win customers there, and I think there is a great opportunity to cross-sell them on the front end as well. Quite honestly, we've already seen that show up even now.
Not only is Intel apparently winning significant external customer volume for its foundry, but its product team is also apparently bullish on 14A. Zinsner noted that under Tan, management let Intel's internal product team choose its foundry, whether Intel's processes or TSMC's. Zinsner said that even though Intel's internal team is "probably the most cynical bunch out of anybody," it has also committed to designing high-volume products on 14A.
Pat Gelsinger's vision is proving out
It should be noted that former CEO Pat Gelsinger had committed to a massive number of cutting-edge fabs back in 2021 when demand for computing was super-high during the COVID-19 pandemic. The subsequent post-COVID downturn made those bets look ill-timed, as Intel lacked the internal financial resources to complete the ambitious plan.
However, with the agentic AI revolution sweeping the tech industry, Gelsinger's vision now looks prescient. Meanwhile, under Tan, Intel appears to have proven out its manufacturing capabilities and positioned itself as a worthy manufacturing vendor to chipmakers.
The 14A node, now set for high-volume manufacturing in 2028, could mark a pivotal moment. Keep in mind that Gelsinger initially envisioned meeting TSMC competitively on the 18A node, then surpassing it on 14A. 14A will make heavier use of high-NA EUV lithography, in which Intel is a first mover, and it will use Intel's second-generation backside power technology. TSMC hasn't yet introduced those chipmaking innovations into its processes.
At the Deutsche Bank conference, Zinsner also noted that 14A development is "doing better than any of the previous nodes in terms of how quickly we're bringing down the defects." He later added, "We haven't seen this performance since 22 nanometer, which is arguably one of the best nodes Intel's ever put out."
Of note, the 22nm process node came out in 2012, back when Intel was the dominant semiconductor manufacturer and multiple generations ahead of competitors in process technology, before it lost its lead to TSMC during the extreme ultraviolet lithography (EUV) transition around 2019.
Many investors currently chalk up Intel's recent gains to "getting lucky" because traditional server CPUs are in such high demand to serve agentic AI, and that its products aren't really competitive with rivals. However, if Intel meets or exceeds TSMC in process technology with 14A, it should be perceived in an entirely new light. From the looks of the recent capital raise, Tan's insider buy, and Zinsner's commentary, it appears management believes that change is imminent.
Should you buy stock in Intel right now?
Before you buy stock in Intel, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Intel wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $440,710!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,335,252!*
Now, it’s worth noting Stock Advisor’s total average return is 978% — a market-crushing outperformance compared to 213% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of August 31, 2026.
Billy Duberstein and/or his clients have positions in Intel and Taiwan Semiconductor Manufacturing. The Motley Fool has positions in and recommends Intel and Taiwan Semiconductor Manufacturing. The Motley Fool recommends Brookfield Infrastructure Partners. The Motley Fool has a disclosure policy.
Founded in 1993 in Alexandria, VA., by brothers David and Tom Gardner, The Motley Fool is a multimedia financial-services company dedicated to building the world's greatest investment community. Reaching millions of people each month through its website, books, newspaper column, radio show, television appearances, and subscription newsletter services, The Motley Fool champions shareholder values and advocates tirelessly for the individual investor. The company's name was taken from Shakespeare, whose wise fools both instructed and amused, and could speak the truth to the king -- without getting their heads lopped off.

CEO Lip-Bu Tan Just Gave 12 Million Reasons to Buy Intel Stock

HSBC Holdings HSBC is accelerating the simplification of its global operations and recently announced two major transactions involving its retail banking businesses in Egypt and Australia. The moves reflect the lender’s strategy of withdrawing capital from operations where it lacks sufficient scale while retaining businesses that benefit from its international network and competitive strengths.
HSBC has agreed to sell its entire Egyptian retail banking business to Emirates NBD Egypt. The transaction includes retail loans, deposits and customer accounts, along with employees supporting the business. Subject to regulatory approvals, the deal is expected to close in the second half of 2027 and generate an estimated pre-tax gain of approximately $300 million. The impact on HSBC’s common equity tier 1 capital ratio is expected to be immaterial.
Despite the retail exit, HSBC will maintain its corporate and institutional banking operations in Egypt. The bank sees growth opportunities in supporting multinational companies, facilitating trade and investment flows and helping domestic wholesale clients expand internationally. The disposal followed a strategic review and is intended to concentrate resources on areas where HSBC possesses a stronger competitive advantage.
Separately, HSBC Australia agreed to sell an approximately A$36-billion, or $25-billion, portfolio of home and personal loans to an entity owned by Blackstone-managed funds. Pepper Money will service the loans after completion, which is expected in the first half of 2027, subject to regulatory and competition approvals. The portfolio disposal is expected to result in an immaterial loss of less than $100 million.
HSBC will also wind down the remainder of its Australian retail operation over 18 months. Its corporate and institutional banking, private banking and asset-management businesses will subsequently be consolidated into the HSBC Sydney Branch, simplifying the group’s legal-entity footprint. The process is expected to entail around $300 million of restructuring costs and write-offs.
Our Take on HSBC’s Streamlining Initiatives
These two transactions extend HSBC’s broader portfolio reshaping. This year, the company completed the privatization of Hang Seng Bank and divested its U.K. life insurance business, as well as its retail banking operations in South Africa and Sri Lanka. HSBC also reclassified its Malta business as held for sale and agreed to sell its Indonesian retail banking business and Singapore life and health insurance business.
HSBC is undertaking these steps to reduce complexity, improve cost efficiency and redirect capital and spending toward higher-return franchises, particularly Hong Kong, the U.K., globally connected corporate banking and international wealth. The company had actioned roughly $1.4 billion of its targeted $1.5 billion in annualized simplification savings by the first quarter of 2026 and plans to redeploy about $1.8 billion from non-strategic activities into priority growth areas.
These efforts should strengthen operating leverage, sharpen management accountability and support HSBC’s target of delivering a return on tangible equity of at least 17% through 2028.
This year, HSBC shares have gained 35.3%, outperforming the industry's growth of 18.3%.
YTD Price Performance
Image Source: Zacks Investment Research
At present, HSBC carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Similar Steps Taken by Other Banks
In July, Northern Trust Corporation NTRS agreed to sell its guardianship services business to Wintrust Financial Corporation's subsidiary, Wintrust Private Trust Company.
The divestiture aligns with NTRS' broader strategy of strengthening its core wealth management, asset servicing, and asset management businesses while streamlining its portfolio and focusing investments on areas with stronger long-term growth potential.
In June, Deutsche Bank AG DB entered into a definitive agreement to sell its retail banking, affluent private banking and wealth management business in India to Kotak Mahindra Bank.
The divestiture aligns with DB's broader Global Hausbank strategy, announced in November 2025, which emphasizes simplifying operations, enabling disciplined capital allocation and concentrating investments in businesses with stronger scale and competitive advantages.
Beyond Nvidia: AI's Second Wave Is Here
The AI revolution has already minted millionaires. But the stocks everyone knows about aren't likely to keep delivering the biggest profits. AI’s second wave is moving from infrastructure to implementation and these companies are at the forefront of this transition, positioned to become what Amazon and Google were to the internet era.
See Stocks Now >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Why HSBC is Scaling Back Retail Banking in Egypt and Australia

Shares of HSBC Holdings HSBC have gained 2.2% since the announcement of the deal to divest its Singapore life and health insurance business to Germany-based Allianz SE for $2.09 billion last week. This marks another step in the bank’s ongoing strategy to streamline operations and sharpen its focus on its core wealth management and wholesale banking businesses in the Asia region.
The deal is expected to be completed in the first half of 2027, subject to consent from the Monetary Authority of Singapore. Upon completion, HSBC Bank (Singapore) and HSBC Life Singapore will enter into an exclusive 15-year bancassurance distribution agreement with Allianz. This will allow HSBC to continue offering the life and health insurance products to its retail banking and wealth management customers in Singapore.
This transaction is expected to generate a pre-tax gain of approximately $1.8 billion and increase its Common Equity Tier 1 (CET1) ratio by up to 15 basis points following the upstreaming of the distributable gain. HSBC will receive an upfront payment of $200 million from Allianz under the long-term distribution agreement, with additional variable consideration linked to performance.
The sale is a U-turn for HSBC. In 2022, it had acquired AXA Singapore to strengthen its insurance presence in the country. Nonetheless, this May, the company announced it was reviewing HSBC Life Singapore's insurance business, intending to focus on higher-growth operations.
Our Take on HSBC’s Asia Focus Strategy
The divestiture aligns with HSBC’s ongoing simplification and restructuring strategy, which focuses on streamlining its global operations, exiting non-core businesses, redeploying capital to higher-return opportunities, and strengthening its wealth management and wholesale banking franchises in Asia.
By adopting a capital-light bancassurance model in Singapore, the company will continue distributing insurance products without maintaining capital-intensive insurance manufacturing operations.
HSBC has narrowed its investment banking activities in the U.K., Europe and the United States while sharpening its focus on Asia and the Middle East. This year, the bank completed the privatization of Hang Seng Bank and divested its U.K. life insurance business, as well as its retail banking operations in South Africa and Sri Lanka.
HSBC also reclassified its Malta business as held for sale and agreed to sell its Indonesian retail banking business while strategic reviews of its retail operations in Australia, Turkey and Egypt remain underway.
Over the past three months, shares of HSBC have gained 16.4%, outperforming the industry's rally of 15.1%.
At present, HSBC carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Similar Steps Taken by Other Financial Firms
In June, Deutsche Bank AG DB entered into a definitive agreement to sell its retail banking, affluent private banking and wealth management business in India to Kotak Mahindra Bank.
The divestiture aligns with DB's broader Global Hausbank strategy, announced in November 2025, which emphasizes simplifying operations, enabling disciplined capital allocation and concentrating investments in businesses with stronger scale and competitive advantages.
Earlier this month, Northern Trust Corporation NTRS agreed to sell its guardianship services business to Wintrust Financial Corporation's subsidiary, Wintrust Private Trust Company.
The divestiture aligns with NTRS' broader strategy of strengthening its core wealth management, asset servicing, and asset management businesses while streamlining its portfolio and focusing investments on areas with stronger long-term growth potential.
Beyond Nvidia: AI's Second Wave Is Here
The AI revolution has already minted millionaires. But the stocks everyone knows about aren't likely to keep delivering the biggest profits. AI’s second wave is moving from infrastructure to implementation and these companies are at the forefront of this transition, positioned to become what Amazon and Google were to the internet era.
See Stocks Now >>
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

HSBC to Divest Singapore Insurance Unit to Allianz for $2.09B

In trading on Tuesday, shares of Deutsche Bank AG (Symbol: DB) crossed above their 200 day moving average of $12.93, changing hands as high as $12.95 per share. Deutsche Bank AG shares are currently trading up about 5.6% on the day. The chart below shows the one year performance of DB shares, versus its 200 day moving average:
Looking at the chart above, DB's low point in its 52 week range is $9.46 per share, with $16.70 as the 52 week high point — that compares with a last trade of $12.95.
Click here to find out which 9 other stocks recently crossed above their 200 day moving average »
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

DB Crosses Above Key Moving Average Level

Northern Trust Corporation NTRS has agreed to sell its guardianship services business to Wintrust Financial Corporation's WTFC subsidiary, Wintrust Private Trust Company. The transaction, expected to close later this year, includes approximately $1.2 billion in assets under management (AUM). The financial terms of the transaction were not disclosed.
The business provides guardianship services for individuals who are legally unable to manage their own affairs because of age, disability or incapacity. As part of the agreement, Northern Trust's guardianship team is expected to join WTFC after the transaction closes, ensuring continuity of service for clients.
Sale Aligns With NTRS' Core Growth Strategy
The divestiture aligns with Northern Trust's broader strategy of strengthening its core wealth management, asset servicing and asset management businesses. By exiting the guardianship services business, the company can further concentrate on expanding its larger fee-based franchises while continuing to invest in its core businesses.
In line with this strategy, the company's investment management division, Northern Trust Asset Management, partnered with Envestnet in January 2026 to expand the distribution of its tax-managed direct indexing solutions. In 2025, NTRS launched Family Office Solutions to enhance services for ultra-high-net-worth clients. The company has also continued to secure new asset servicing mandates from global asset owners while benefiting from healthy trust fee growth within its wealth management business.
As of March 31, 2026, Northern Trust managed $1.8 trillion in AUM and $18.6 trillion in assets under custody. The sale of the guardianship services business to Wintrust complements these initiatives by further streamlining the company's portfolio and reinforcing its focus on these core franchises, which remain central to its long-term growth strategy.
NTRS’ Price Performance & Zacks Rank
Over the past six months, shares of Northern Trust have gained 25.5% compared with the industry’s growth of 12.8%.
At present, NTRS carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Similar Steps Taken by Other Financial Firms
Last week, Deutsche Bank AG DB entered into a definitive agreement to sell its retail banking, affluent private banking and wealth management business in India to Kotak Mahindra Bank.
The divestiture aligns with DB's broader Global Hausbank strategy, announced in November 2025, which emphasizes simplifying operations, disciplined capital allocation and concentrating investments in businesses with stronger scale and competitive advantages.
In June 2026, Citigroup Inc.'s C subsidiary, Bank Handlowy w Warszawie S.A., operating under the Citi Handlowy brand, announced the completion of the sale of its consumer banking business in Poland to VeloBank S.A. While financially immaterial to the company, the sale provides a modest regulatory capital benefit on a cumulative basis since it was first announced in May 2025.
This marks the final divestiture of the C's international consumer businesses, excluding the largely completed wind-downs and the well-advanced Banamex divestiture. Apart from being a key milestone in Citigroup's streamlining efforts, this allows the company to focus on its core businesses and institutional banking operations.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

NTRS to Exit Guardianship Business With WTFC Deal in Strategic Pivot

Key Points
Rocket Lab agreed to acquire Iridium for about $8 billion in cash and stock, its largest deal yet.
The acquisition hands Rocket Lab a profitable, in-orbit satellite network and recurring subscriber revenue.
A $3.6 billion bridge loan and newly issued shares will help fund a deal that isn't expected to close until mid-2027.
Space company Rocket Lab (NASDAQ: RKLB) has spent the better part of a decade learning to build and launch rockets. This week, it agreed to buy a satellite business instead.
The company said it will acquire satellite operator Iridium Communications (NASDAQ: IRDM) in a cash-and-stock deal worth about $8 billion -- a sum equal to about 13% of Rocket Lab's own market value, and one that brings billions of dollars in new debt. Investors liked what they saw. Rocket Lab shares jumped about 16% on the news, and Iridium's soared about 25%.
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The ambition isn't subtle. Rocket Lab wants to look more like SpaceX -- a company that builds rockets, launches them, and runs its own satellite network on top. The question for investors, however, is whether buying into that vision this early, and at this price, makes the stock a buy.
A shortcut to a satellite business
What Rocket Lab is paying for is years of work it would otherwise have to do itself. Iridium operates 66 satellites in low-Earth orbit, plus on-orbit spares, and holds globally licensed L-band spectrum -- the airwaves its phones and devices communicate over, and a scarce asset because regulators release only so much of it. The network also comes with more than 2.5 million subscribers across government, defense, aviation, maritime, and commercial markets.
Rocket Lab framed the deal as a way around three obstacles at once: securing spectrum, the long wait to deploy a constellation before it earns anything, and the years it takes to build a paying customer base. CEO Peter Beck called it "a defining moment for the space industry."
And what turns the strategic case into something concrete is the contrast between the two companies. Iridium is profitable, and Rocket Lab is not.
Iridium generated $871.7 million in revenue and $114.4 million in net income in 2025, and about $634 million of that was service revenue -- the steady, subscription-style revenue Rocket Lab doesn't yet have. Rocket Lab, over the same year, posted $602 million in revenue and a net loss of $198.2 million. It's buying a company that takes in more money than it does, and turns a profit doing it.
A steep price and a long wait
But the acquisition comes at a steep price.
Iridium shareholders will receive $54 per share -- a 24% premium to where the stock traded before the announcement -- with about half of that in cash. To cover the cash portion, Rocket Lab has lined up a $3.6 billion bridge loan from Deutsche Bank and Wells Fargo. The rest of the consideration comes in stock, which dilutes existing shareholders. Piling billions in debt onto a company that just reported an annual net loss is not a small step -- and it's a reason for investors to be skeptical.
Additionally, the payoff is a long way off. The deal isn't expected to close until mid-2027, pending approval from Iridium's shareholders and regulators. That leaves about a year of closing risk before the combined company even exists -- a stretch during which Rocket Lab is also working to launch its much larger Neutron rocket for the first time, which management expects to happen later this year.
To be fair, the growth stock has a genuinely accelerating business underneath it. Rocket Lab's first-quarter revenue rose about 64% year over year to a record $200 million, and its backlog more than doubled from a year earlier to $2.2 billion.
The momentum is there. But the trouble is that the stock already reflects it. Rocket Lab shares trade at more than 80 times sales -- an extreme valuation multiple even for a company growing this fast, and one that leaves little room if the deal or Neutron disappoints.
So, is the stock a buy?
The strategy makes sense to me. Buying spectrum, an in-orbit network, and millions of paying customers in one move is a faster, surer route to a SpaceX-style business than building each piece itself over many years. But the price gives me pause. Between the new debt, the share dilution, a close that's still more than a year out, and a valuation that already prices in near-perfect execution, I'd rather watch this one from the sidelines. Perhaps I'd warm up to it on a meaningful pullback, or once there's evidence the integration -- and Neutron -- are tracking as management hopes.
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Wells Fargo is an advertising partner of Motley Fool Money. Daniel Sparks and his clients have no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Rocket Lab. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Rocket Lab Just Made an $8 Billion Bet to Rival SpaceX. Is the Stock a Buy?

Key Points
The S&P 500 has returned 9% this year despite rich valuations and economic uncertainty tied to tariffs and the Iran war.
S&P 500 companies reported exceptionally strong earnings in the first quarter, driven by massive investments in artificial intelligence.
The S&P 500 has median year-end target of 7,850 among 19 Wall Street analysts; that implies 5% upside from its current level of 7,473.
The S&P 500 (SNPINDEX: ^GSPC) had added 9% year to date despite a plethora of headwinds, including economic uncertainty surrounding President Trump's trade policies and elevated oil prices tied to the Iran conflict. High inflation has also taken interest rate cuts off the table, at least in the near term.
For context, the S&P 500 had added less than 2% at this point in 2025. So what's driving the stock market higher this year? And will the market's momentum carry into the second half of 2026?
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Here's what investors need to know.
The stock market's gains have been driven by exceptional financial results
The S&P 500 entered the year with a forward price-to-earnings ratio of 22, one of its most expensive valuations on record. In fact, the index has only exceeded that level during two other periods in the last four decades: the dot-com bubble and COVID-19 pandemic. Both incidents led to bear markets.
The situation got more complicated when the U.S. attacked Iran in late February, sending oil prices to their highest level since Russia invaded Ukraine in 2022. In turn, high energy prices drove inflation to a multi-year high, quashing any hope that the Federal Reserve would cut interest rates in the near future.
Yet, the S&P 500 has still advanced 9% this year, and the driving force behind those gains has been strong financial results. In the first quarter, S&P 500 companies reported revenue growth of 12%, the highest level since 2022. And they reported earnings growth of 29%, the highest level since 2021, according to FactSet Research.
Driving deeper, the technology and communication services sectors led the S&P 500 with earnings growth of 55% and 49%, respectively. And the top five contributors to the index's earnings growth were companies at the heart of the artificial intelligence (AI) infrastructure build-out: Alphabet, Amazon, Meta Platforms, Micron Technology, and Nvidia.
Paul Quinsee at JPMorgan Chase writes:
The impact of AI is spreading, and separately the energy sector is delivering increased profits. But if we exclude these two market drivers, we project U.S. earnings will grow at a moderate 8% this year. This underscores the critical role the massive AI investment boom now plays in the outlook for equity returns.
Wall Street expects the S&P 500 to climb a little higher in the second half of 2026
Wall Street analysts expect more strong financial results from S&P 500 companies in the remaining quarters of 2026. For the full year, the consensus estimate says revenue will increase 11% (the fastest growth since 2022) and earnings will increase 23% (the fastest growth since 2021).
Accordingly, analysts expect more upside in the stock market. The chart below shows where different Wall Street investment banks and research companies expect the S&P 500 to finish the year. It also shows the implied upside or downside versus the index's current level of 7,473.
Wall Street Firm
S&P 500 Year-End Target
Implied Upside (Downside)
Yardeni Research
8,250
10%
Oppenheimer
8,100
8%
Citigroup
8,100
8%
Deutsche Bank
8,000
7%
Goldman Sachs
8,000
7%
Morgan Stanley
8,000
7%
Wells Fargo
7,950
6%
RBC Capital
7,900
6%
UBS
7,900
6%
BMO Capital
7,850
5%
JPMorgan Chase
7,800
4%
Seaport Research
7,800
4%
Evercore
7,750
4%
Fundstrat
7,700
3%
HSBC
7,650
2%
Barclays
7,650
2%
Jefferies
7,500
0%
CFRA
7,400
(1%)
Bank of America
7,100
(5%)
Median
7,850
5%
As shown, the S&P 500 has a median year-end target of 7,850 among 19 Wall Street investment banks and research companies. That represents a slight upward revision from 7,600 earlier this year, and it implies 5% upside from the index's current level of 7,473. That would bring the S&P 500's full-year return to 15% .
However, investors should bear in mind that Wall Street has frequently missed the mark when trying to predict the stock market's future movements. Over the last four years, the S&P 500's median year-end target (based on dozens of analysts surveyed by Reuters) was incorrect by an average of 16 percentage points.
Also, investors should understand the risks to the downside. Relations between the U.S. and Iran are strained despite a recent de-escalation. Inflation remains well above the Federal Reserve's 2% target. And President Trump plans to impose new tariffs this summer following the expiration of the 10% global tariff in late July.
Here's the big picture: Investors should feel comfortable buying stocks today, particularly AI enablers. But downside risks warrant caution. Now is not the time to chase expensive IPOs like SpaceX. Instead, look for stocks that trade at reasonable prices, whose earnings are likely to be much higher in five years.
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Bank of America is an advertising partner of Motley Fool Money. JPMorgan Chase is an advertising partner of Motley Fool Money. HSBC Holdings is an advertising partner of Motley Fool Money. Citigroup is an advertising partner of Motley Fool Money. Trevor Jennewine has positions in Amazon and Nvidia. The Motley Fool has positions in and recommends Alphabet, Amazon, Evercore, FactSet Research Systems, Goldman Sachs Group, JPMorgan Chase, Jefferies Financial Group, Meta Platforms, Micron Technology, and Nvidia. The Motley Fool recommends Barclays Plc and HSBC Holdings. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.