“Delivery of its pipeline of deals built over the past quarters is materialising, with the bulk of the year’s drawdowns likely to come in in 1HFY2021. We expect 3.5% q-o-q loan growth in 1QFY2021 (4QFY2020: -1.2% q-o-q), supported by commercial real estate term loans,” they add.
CGS-CIMB Research analysts Andrea Choong and Lim Siew Khee have maintained their “buy” call on United Overseas Bank (UOB) as they see the bank being “on track” towards high-single-digit loan growth in FY2021.
“We expect UOB to post [around] $995 million net profit for 1Q2021 (+45% q-o-q, +16% y-o-y). Its loan growth is on track to meet its full-year guidance of a high single-digit growth,” write the analysts in a report dated April 19.
