Societe Generale: Attractive Valuation Ahead Of The Capital Markets Day

Societe Generale shares have trailed European banking peers early in 2026, likely driven by profit taking after a triple-digit rally in 2025. SCGLY reported solid Q1 2026 results, principally driven by higher French retail profitability, although book value growth was a relative disappointment. While SCGLY is no longer the deep value opportunity it once was, I see incremental room to improve profitability in 2027-2029, likely leading to a higher profitability target of >12%.