operating margin
—
FY 2026
official guidance
UBS GROUP AG
Last · NYSE$55.47-0.215 (-0.39%)stale · yahoo · 248h ago
Market cap$169.82B3.06B sh
P/E · TTM18.9fwd 13.6 · eps 2.94
Beta0.83vs S&P 500
Div yield—annual · TTM
52w range
$36.30$55.98
Volume691.7Ksession
| Revenue | $35.4B |
|---|---|
| Operating income | $9.5B |
| Net income | $7.5B |
| Operating margin | 26.8% |
| Net margin | 21.1% |
| Return on equity | 12.3% |
| Period | 2021 |
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OpenFilings analyst
Our analyst
Agentic read of the latest earnings call — recommendation updates when we process a new transcript. Research synthesis, not investment advice.
BuyHoldSell
Strong operating trajectory, but valuation support depends on execution and unresolved capital and retention risks.
Hold: UBS Global Wealth Management showed strong momentum, with Q1 net new fee-generating assets of $38 billion, global wealth flows targeted above $125 billion for 2026, and US margins at roughly 14% moving toward 15% for the full year and 18% by 2028. The bull case is accelerating growth after Credit Suisse integration, especially in Asia, US lending and high-net-worth expansion; however, the call did not resolve the US margin gap, advisor attrition after compensation changes, or the broader capital-regulation overhang.
Themes
- Global Wealth Management
- Us Margin Expansion
- Asia Growth
- Advisor Retention
- Ai Productivity
- Credit Suisse Integration
Near term
US margin progression toward the roughly 15% full-year target and evidence that positive flow momentum is sustained.
Advisor retention, recruitment and net new money after the unsuccessful compensation-plan changes; management did not quantify attrition in Q&A.
Market volatility and geopolitical developments could affect client activity, asset levels and demand for fee-generating mandates.
Progress toward the second-half 2027 launch of the US national bank and associated technology build-out.
Longer term
US wealth-management margin expansion from roughly 14% in Q1 toward 18% by 2028 is the key earnings lever, but requires operating leverage without damaging advisor flows.
Asia remains a structural growth engine, supported by UBS's upper-high-net-worth position, capital-markets connectivity and cross-business referrals; the call provided limited quantified evidence beyond strong regional momentum.
AI could improve advisor productivity, straight-through processing and service economics for lower high-net-worth clients, but the earnings contribution and implementation costs remain unquantified.
The global platform and Credit Suisse integration create scale and cross-selling advantages, although the claimed integration completion and benefits still require continued delivery.
Competitive moat risk is concentrated in retaining top advisors and defending high-net-worth relationships as technology-enabled and lower-cost wealth platforms expand.
Red flags
Management sidestepped the analyst's direct questions on advisor attrition and the impact of compensation changes on future net new money.
The response to the capital competitiveness debate added no detail, leaving potential Swiss capital-rule changes and return-on-equity implications unresolved.
AI benefits were described through activity metrics such as 20 million client insights in 2025, but without quantified productivity savings, revenue uplift or incremental investment requirements.
Private-credit demand weakened in Q1, while management characterized the area as strategically important despite limited detail on credit quality, gating or downside exposure.
The stated confidence in integration and momentum contrasts with UBS's continuing regulatory and execution exposure from the Credit Suisse combination.
Forward outlook
operating margin
18 pct
FY 2028
management target
Recommendation history
OpenFilings analyst view from primary-source filings and earnings calls — not investment advice.
Upcoming earnings
1:30 PM UTC+1
Period
Sep 2026
Est. EPS
$0.96
Est. revenue
10.7B
Earnings transcripts
Press & signals
- Satelight
Swiss finance minister hits out at move to water down UBS capital plans
- Satelight
Switzerland pushes ahead with post-Credit Suisse crackdown
- Satelight
UBS fined $125mn over lax money laundering controls
The rest of this company's wire — with summaries and source links — is part of Pro.
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