Russia's Sberbank says shares undervalued even at 7-month high

MOSCOW, Feb 13 (Reuters) - Sberbank SBER.MM, Russia's leading bank and largest company by market capitalisation, said it was undervalued, even as U.S. President Donald Trump's promise of a swift end to the fighting in Ukraine drove its shares to a seven-month high on Thursday.

Talks between Trump and Russian President Vladimir Putin inspired a broad rally in the rouble and Russian stocks on Thursday.

Sberbank's shares traded 0.9% lower on the day by 1231 GMT at 311.0 roubles per piece, having earlier touched their highest since July 10, 2024, when they rose on news of a record dividend payout.

"Fundamentally, Sber is undervalued by the market," finance chief Taras Skvortsov said. "In the short-term horizon, the cost of our securities largely remains influenced by external factors, and at the same time Sber's shares are the most popular security for Russian investors even in the most volatile times."

A retail investor, who added Sberbank shares to his portfolio in November, said in an online chat that the investment had already yielded returns of 42%.

Sberbank reported record annual profits in 2024 of 1.56 trillion roubles, according to Russian accounting standards, helped by high interest rates and strong growth in corporate borrowing.