Nexi’s shares tumble despite Italy’s 20-year stock market high
Nexi’s shares fell on the first full trading day of 2024, bucking the broader stock market trend. The Italian payments group closed at €4.15, a drop of 1.68%, even as the FTSE MIB index hit a 20-year high. Investors are now watching closely ahead of the company’s next financial update.
The broader Italian stock market showed strong gains, with the FTSE MIB rising 1.0% to 45,374 points. This marked its highest level in over two decades. Yet Nexi struggled, continuing a downward trend that has seen its stock lose 5.22% over the past four weeks.
In November 2024, the company’s board turned down a significant offer from US private equity firm TPG. The bid targeted Nexi’s digital banking operations, but the deal was rejected outright. Meanwhile, the group confirmed it would fund its acquisition of assets from Popolare di Sondrio entirely in cash. Analysts have set a cautious target price of around €3.99 for the current quarter. The upcoming earnings report will be key, as Nexi faces pressure to counter perceptions of weak growth in the fintech sector. Over the past year, its shares have fallen 22.89% from their 2025 starting point.
Nexi’s performance stands out against the positive stock market backdrop. The rejection of TPG’s bid and the cash-funded PopSondrio deal highlight strategic shifts. With shares near analyst targets, the next quarterly results could determine whether the company can reverse its recent decline.
