BoI gets a boost from UK broker
A KEY UK stockbroker has recommended his clients buy Bank of Ireland stock, indicating that it is the "strongest player" in the Irish market.
Collins Stewart said that the bank had the potential of €1bn earnings a year, even when the economy was in a difficult stage.
"Unquestionably, Bank of Ireland, with its completed rights issue, is best positioned to win market share and drive returns higher,'' said the broker.
Its Irish analyst Gary Mr McCarthy said the bank's mortgage book would still have to take "some pain'' but the losses would "drip through'' the profit and loss account gradually. He said the valuations of Irish banks before the crash were totally wrong.