Barclays PLC (LSE:BARC) has been the wallflower of the UK banking sector for years, but Deutsche Bank thinks it’s time investors took another look.
Analyst Robert Noble has lifted his price target from 380p to 480p and kept a “buy” rating, arguing that the market still undervalues the bank’s progress.
The case rests on three points. First, Barclays’ return on tangible equity, a key measure of profitability, is expected to keep rising as management extends its targets out to 2028.
Second, consensus forecasts, Noble says, fail to capture much of that improvement: even the bank’s 2026 goals are only partially reflected in analyst models, despite a run of solid results and forecast upgrades this year.
Lastly, there’s valuation. At just over 400p, the shares still trade below their tangible net asset value for 2027, effectively meaning the market values the bank at less than the worth of its assets.
That discount makes Barclays the cheapest among UK and Irish peers on Deutsche’s analysis.
The upshot is that steady execution rather than flashy announcements could drive the rerating. For investors patient enough to wait for the market to catch up, the potential looks far from fully priced in.