Snam stock gains on UBS upgrade to Buy

Published on 09/11/2026 at 11:21 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Snam stock closed at EUR 5.546 on September 10, 2026, up 1.7 percent. UBS raised its rating to Buy and cut its target price to EUR 6.6.

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Snam stock (IT0003153415) closed at EUR 5.546 on Borsa Italiana on September 10, 2026, up about 1.7 percent after UBS raised its view to Buy. The call from Milano Finanza on September 10, 2026 also said UBS lowered its target price to EUR 6.6 from EUR 6.7.

UBS sees a discount

According to Investing.com on September 10, 2026, UBS moved Snam from Neutral to Buy and said the stock traded at about a 15 percent discount to peers. The broker also pointed to a 5.6 percent asset-base compound annual growth rate from 2025 to 2030 and a 4.1 percent normalized EPS CAGR over the same period.

The same note said UBS trimmed adjusted net income for 2026 to 2030 by 1 percent, citing a more cautious view on allowed operating expenditure after 2028 and a higher cost of debt tied to yields. UBS also highlighted a dividend yield of 5.6 percent in 2026, rising to 6.5 percent by 2030.

Regulation drives the case

Milano Finanza said UBS linked the rating change to concerns over regulation, including the Ross post-2028 framework, the new tariff-setting method introduced by Arera and the proposed gas-distribution rules. UBS argued that those fears were overstated and that the market had overreacted to the policy backdrop.

That same report also said Snam fell 10 percent over the last three months, even after a strong start to the year. For investors, the valuation gap and the 2027 regulatory review now matter more than the one-day move.

Price near the middle

Snam's EUR 5.546 close on September 10, 2026 leaves the stock below UBS's EUR 6.6 target, while the day move of about 1.7 percent came as the FTSE Mib ended about 0.45 percent higher, according to ANSA on September 10, 2026. The session showed a clear relative outperformance for Snam versus the wider Milan market.