Barclays stock rises over 2% as pre-tax profit jumps 12% year over year

Traders Union
All News
Stocks
Barclays gains 2.18% today on earnings

Highlights

Barclays reported a third-quarter pre-tax profit of £2.3 billion, up 12%, with earnings per share rising 18%.
Year-to-date shareholder returns reached £2.8 billion, with another £500 million buyback announced for July 2026.
Shares of Barclays trade in a short-term upswing but remain below key averages, with a very high probability of moving down toward the GBX418.3 to GBX439.1 range in the next five sessions.

Shareholder returns rise amid profit surge and risk management moves

Barclays reported a third-quarter pre-tax profit of £2.3 billion, marking a 12% increase compared to last year, with earnings per share up 18%. Year-to-date, the bank has returned £2.8 billion to shareholders and announced an additional £500 million share buyback on July 29, 2026, following the recent completion of another buyback program. The company is also conducting client exposure reviews for flood risks and making early settlement offers to customers involved in a car finance mis-selling case, while the Group Chief Risk Officer acquired 9,512 shares through a share option scheme.

Anton Kharitonov, expert at Traders Union, sees Barclays' recent pre-tax profit growth as impressive but insufficient to propel a real trend change. He notes that the stock remains stuck below both the 50-day and 200-day moving averages, confirming persistent bearish sentiment. Technical indicators show weak momentum with MACD and ADX both signaling selling pressure. Kharitonov points to unresolved risks around the car finance mis-selling case as an additional headwind. "Until Barclays breaks above key resistance at GBX432.67 and restores market confidence, a cautious stance is warranted," he says.

Viktoras Karapetjanc, expert at Traders Union, recognizes Barclays' 12% year-over-year profit rise and active shareholder returns as signals of robust fundamentals. He highlights the ongoing £500 million share buyback and proactive risk management on client exposures as strategic positives. Karapetjanc argues that such measures strengthen long-term value and investor confidence despite short-term technical weakness. "Management's forward-thinking approach provides a solid foundation—further growth and bullish opportunities are likely as positive drivers build momentum," he states.

Parshwa Turakhiya, analyst, observes that Barclays is stuck between key averages with short-term strength but lacking real conviction. He sees the risk of a quick reversal given overbought Stochastic RSI and ongoing selling pressure. Turakhiya finds that price action concentrated at session highs could tempt intraday traders, but volatility bands suggest limited upside. "For now, I’d watch for signs of a confirmed breakout above GBX432.67 or a fade towards support at GBX418.3 before committing," he comments.

Short-term buying momentum challenged by weak indicators and resistance

Barclays is trading above its 20-day moving average (GBX424.67) but remains below both the 50-day (GBX454.83) and 200-day (GBX462.08) averages, indicating short-term strength within an overall bearish medium- and long-term trend. The nearest resistance is the Ichimoku Kijun at GBX432.67, with immediate support at the session's high of GBX426.85. Momentum indicators are weak, as shown by MACD and ADX signaling ongoing selling pressure. The RSI and CCI are neutral, while the Stochastic RSI is in the overbought zone, highlighting a risk of overextension without a confirmed reversal. The Bull/Bear Power (BBP) reading is positive, showing buyers control intraday momentum. Intraday volatility is 1.52%, and price action is concentrated near the top of today's range.

Previously it was reported that Barclays’ share price continued to show technical weakness despite ongoing buybacks and improved earnings. The latest analysis adds conviction to this view, highlighting sustained selling pressure and signaling that traders should closely monitor the GBX432.67 resistance for any signs of a potential breakout reversal.

Source of Data: BARC Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

This material may contain third-party opinions, none of the data and information on this webpage constitutes investment advice according to our Disclaimer. While we adhere to strict Editorial Integrity, this post may contain references to products from our partners.