Banco Santander: Love story with Blackstone gone wrong?Quasar is the firm created by Banco Santander in association with Blackstone, who holds 51%, to deal with Banco Popular's toxic assets. In 2019, Quasar suffered losses of €1229 million and covid19 may increase them a lot. If Blackstone decides to bring the Spanish bank to court, SAN could face subpoenas and legal amendments that could bring down SAN's shareprice once again from its recent peak 3€. Therefore, in the coming weeks investors will be careful on including SAN shares in their portfolios and we might expect some volatility once SAN touches 3.16 level, as I do not expect it to cross Fibonacci retracement level of 0.78 because its RSI will have already surpassed 70 (overbought).
But watch out short sellers because analysts predict that Banco Santander will have €4300 million in profits for 2021 compared to its losses of €8771 million in 2020.
