UBS (UBSG SW) expects to achieve underlying return on CET1 capital of 15% and cost/income ratio of less than 70% by end of 2026; raised total cost savings target by USD 500mln to USD 13.5bln by end '26

UBS's updated guidance on achieving a 15% CET1 return and a cost/income ratio below 70% by 2026 indicates strong operational efficiency and profit potential, which could bolster investor confidence.

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UBS (UBSG SW) expects to achieve underlying return on CET1 capital of 15% and cost/income ratio of less than 70% by end of 2026; raised total cost savings target by USD 500mln to USD 13.5bln by end '26

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Additionally, the increase in their cost savings target suggests a proactive approach to enhancing profitability in an uncertain macroeconomic environment. Overall, this could positively influence UBS's valuation and attractiveness in the financial services space, especially amid current market dynamics.

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