Portugal's BCP 'poised for higher returns' - Barclays starts with 'overweight'
** Barclays starts coverage of Banco Comercial Portugues 
BCP with 'overweight' rating and PT of 0.69 euros, citing the Portuguese lender's attractive dynamics at an undemanding valuation
** The lender's NII resilience in the face of headwinds from lower rates makes is a compelling investment case with unique differentiating factors compared to the rest of the European sector, Barclays says
** It highlights that BCP offers 2024-2027 EPS CAGR of 14%, vs EU average of 5%
** Additionally, Barclays estimates BCP's 2026 ROTE to come at about 15%, and to improve in 2027, surpassing the EU average of 13.6%
** The broker points to BCP's potential to increase the pay-out to 90% from 75%, while maintaining CET1 above 14% in 2028
** Overall, Barclays sees BCP returning 39% of its market cap over the next three years, one of the top yields in the sector
** Despite the YTD rally of 16%, BCP remains attractively valued, the broker adds
** Out of 14 analysts that cover BCP, 11 rate it "strong buy"/"buy", two "hold" and one "sell"
