Deutsche Bank upgrades Quilter, hikes price target

(Sharecast News) - Deutsche Bank upgraded Quilter on Monday to 'hold' from 'sell' and hiked the price target to 165p from 110p as it re-evaluated the investment case. The bank said it had previously been its view that insufficient risk was priced into the shares, with one of the key reasons being that Quilter - unlike St James's Place - had not made any substantive changes to its business model since Consumer Duty became effective in July 2023.

"We note that two years have passed since then, the regulator does not appear to have raised any concerns, the board have now attested twice to the FCA that Consumer Duty is embedded and the company recently stated that they 'vehemently disagree' that Consumer Duty is a negative to the Quilter investment case," DB said.

At 1218 BST, the shares were up 1.2% at 170p.