Intesa Sanpaolo Valuation: Expanded State Street Partnership and Upbeat Earnings Guidance

Intesa Sanpaolo's share price has surged over 50% YTD and 242% over three years. The bank has reaffirmed its full-year earnings outlook for 2025 and expanded its partnership with State Street. However, challenges in Italy's economy and fintech competition could threaten earnings growth and profitability. The bank's valuation using its price-to-earnings ratio is higher than industry peers and above its fair ratio, suggesting some premium is already built in.