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Deutsche Bank and BofA Initiate Coverage on eToro (NASDAQ:ETOR), Remain Neutral

Syeda Seirut Javed

3 min read

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eToro Group Ltd. (NASDAQ:ETOR) is one of the 10 stocks that Jim Cramer and analysts are watching. On June 9, Deutsche Bank and BofA initiated coverage on the company stock with a $70 and $71 price target, respectively.

Deutsche Bank initiated with a Hold rating and sees strong long-term growth potential driven by the company’s unique social trading platform. However, the firm also pointed to risks from increasing competition and possible shifts in adoption trends. At 25.7 times projected 2026 earnings, the valuation reflects a balanced view of upside and downside.

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BofA started coverage with a Neutral rating and pointed toward full valuation after strong recent performance. The firm sees room for growth if U.S. crypto policy under the Trump administration shifts in eToro’s (NASDAQ:ETOR) favor. However, the firm also pointed to regulatory and macro risks, and highlighted concerns about limited transparency around growth metrics, client outcomes, execution quality, and the sustainability of its contract for difference mix.

Deutsche Bank and BofA Initiate Coverage on eToro (NASDAQ:ETOR), Remains Neutral

Deutsche Bank and BofA Initiate Coverage on eToro (NASDAQ:ETOR), Remains Neutral

A trader in an office, surrounded by financial charts and graphs, looking intently at a stock ticker.

On June 10, Cramer provided a detailed analysis of eToro Group Ltd. (NASDAQ:ETOR). Here is what he had to say about the company:

“Alright, about a month later… another really popular trading platform, this one’s called eToro, debuted on the Nasdaq with a traditional IPO, and the market lapped it up… So, how do these three brokerages, the platforms, stack up against each other? First, let’s take scale because scale is often what dictates what’s going to win in a brokerage area. At the end of the first quarter… eToro had just 3.58 million funded accounts with 14.8 billion in assets under administration… Webull and eToro are roughly the same size… Now, what about the financials? We just want to look at revenue growth and some measures of profitability. But comparing the three companies… is surprisingly challenging because they all use different key metrics… But for eToro, we have to use the company’s net contribution, which is similar to the net revenue numbers from the other two… eToro has slower growth but much better profitability than Webull…