(Bloomberg) — Banco Santander SA’s online bank is launching a service for clients in which it offers price targets for more than 1,000 stocks based on artificial intelligence.
Openbank will give price targets for shares in the Stoxx Europe 600 Index and the S&P 500 Index for one, three, six and 12 months through its broker, it said in a statement Wednesday. The targets are calculated with predictive models based on analysis of historical factors, trends and events that affect the stock.
Each share will have its own model, based on more than 2,000 variables updated daily reflecting past scenarios through machine learning or automatic learning based on AI, the bank said. The accuracy of the models should improve over time as they are updated.
“Artificial intelligence allows us to analyze and obtain parameters and conclusions on a volume of information never seen before,” Openbank Wealth head Gonzalo Pradas said.
Openbank has about 2 million clients and €16.5 billion ($17.8 billion) in deposits.