UBS analysts have reduced their price target on Macquarie Group (ASX:MQG) shares, lowering it to A$196 per share from A$196.

This resulted in Macquarie’s shares declining by up to 0.7%.

This move comes after Macquarie posted a weaker than anticipated first quarter trading update.

Three out of Macquarie’s four operating divisions didn’t meet their estimates.

UBS also adjusted their cash net profit after tax (NPAT) projections, moving them to a range of 6.3% to 7.3% over the period of FY23-FY26.

Nevertheless, UBS mentioned that Macquarie’s cautious management approach and variable competition flexibility could provide some cushion to the downside.

Out of 14 analysts, eight rate the stock as ‘buy’ or higher, five rate it as ‘hold’, and one as ‘sell’.

Their median price target is A$192.97, according to Refinitiv data.

Despite this, Macquarie’s stock has gained 5.1% this year, as of the most recent market close.

Macquarie Group is a global investment banking and diversified financial services group, headquartered in Sydney, Australia.