Hannes Leitner, an analyst from Jefferies, maintained the Buy rating on Wise PLC Class A. The associated price target remains the same with p1,231.00.
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Hannes Leitner has given his Buy rating due to a combination of factors that highlight Wise PLC’s strategic positioning and potential for growth. The company is contemplating obtaining a UK banking license following its application for a US trust bank license, which suggests a strategic shift towards acquiring banking licenses. This move is expected to bring several advantages, such as reducing banking fees and enabling direct interest payments, which align with Wise’s platform strategy and could enhance its service offerings.
Furthermore, the acquisition of banking licenses would allow Wise to bypass intermediary banks, facilitating direct settlements with major financial institutions like the Federal Reserve and the Bank of England. This could lead to reduced costs and faster money transfers, thereby improving operational efficiency. Additionally, Wise would gain more control over its currency flows, potentially increasing its market influence. These strategic benefits underpin Leitner’s positive outlook and Buy rating for Wise PLC.
In another report released yesterday, Goldman Sachs also maintained a Buy rating on the stock with a p1,550.00 price target.
Based on the recent corporate insider activity of 73 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of WISE in relation to earlier this year.