Goldman Sachs: Competition Pressures DNB

Goldman Sachs updated its ratings on Scandinavian banks following their Q2 2026 results, downgrading Norway's DNB to "sell" due to continued pressure on profit margins, weak earnings growth, and market share losses. The firm also lowered its target price for the stock to NOK 290 from NOK 320.

Conversely, the firm upgraded Sweden's Swedbank to "neutral," citing improved profitability from higher interest rates, particularly in the Baltic region, and a plan to cut operating costs by NOK 1 billion by 2028. The target price for Swedbank was raised to NOK 380 from NOK 340.

The report also noted that Scandinavian bank stocks have continued to underperform the SX7P European Banks Index since the beginning of the year, posting average gains of 10% compared to the index's 15%.