BNP Paribas ADR Faces Legal and Settlement Risks

6 days ago

Nora Melinda

"One stock that has been moving since before uh the US market opened this morning. This one was kind of the first one on my radar today. Nora, what's going on? BMP Parabah ticker. Uh we're looking at the US ADR. So I'll give you BNPQY if you want to look it up. Uh shares are down about 9% right now. As you mentioned, a lot of activity that we saw in the pre-market here. This is after a trial loss over past work in Sudan. They're saying this could lead to a costly settlement here. And analysts are really saying that they don't expect a massive settlement cost here, but they do flag rising uncertainty here and pertain uh pertaining in particular to this stock here. But BMP is saying that uh it should be overturned, but they did add that it doesn't have any pressure to settle this case here. So, we'll just have to see how this one plays out. Shares up about 30% so far this year."

The speaker provides an update on the US ADR of BNP Paribas (BNPQY), noting a 9% drop in shares following a trial loss related to Sudan operations. The potential for a costly settlement injects uncertainty into the stock, although the company maintains that the decision should be overturned and claims minimal settlement pressure. The commentary reflects caution among analysts despite a robust 30% year-to-date gain.