Singapore banking sector

Broker's Calls

UOB Kay Hian downgrades Singapore banking sector to ‘market weight’ amid anticipated interest rate downcycle

OCBC is analyst Jonathan Koh’s top pick due to its commitment to maintaining its 50% dividend payout ratio.
From one war to two: OCBC expects slower loan growth, sustained NIMs after 3QFY2023 - THE EDGE SINGAPORE

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From one war to two: OCBC expects slower loan growth, sustained NIMs after 3QFY2023

OCBC's group CEO Helen Wong says she expects the bank’s current NIMs to hold steady through 1HFY2024 ending June 2024.
What analysts expect from the 3Q results of banks - THE EDGE SINGAPORE

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What analysts expect from the 3Q results of banks

Competition for loans is expected to continue to intensify as mortgage rates dip below 3-month Sora

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Credit quality of OCBC’s SME loans may be risk to the bank

"Default trends will have to be watched as SMEs’ loan payment in Singapore weakened further in 2Q2023": analyst Rena Kwok.

Zest

DBS offers better risk-reward with NIM and dividend

Based on the results of the local banks, DBS Group Holdings’ 2QFY2023 ended June results exceeded the expectations of analysts.

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Singapore banks are so flush with deposits that DBS is loaning MAS $30 bil

This underscores how Singapore has been a beneficiary as Asia’s wealthy shift their money to a perceived safe haven.

Zest

SVB collapse unlikely to cause systemic risk, say analysts

Analysts also largely agree SVB is unlikely to impact markets the way the Global Financial Crisis did in 2008.

Broker's Calls

Analysts remain 'overweight' on Singapore banks; SVB seen as a 'non-event' for the sector

CLSA has upped its target prices for all three banks and see NIMs peaking at around 1Q2024.
Singapore’s banking system has 'insignificant exposures' to SVB and Signature Bank - THE EDGE SINGAPORE

Silicon Valley Bank fallout

Singapore’s banking system has 'insignificant exposures' to SVB and Signature Bank

The impact on Singapore start-ups is also "limited" based on initial feedback, says MAS.
RHB sees fee income to be 'key earnings driver' in FY2023. - THE EDGE SINGAPORE

Broker's Calls

RHB sees fee income to be 'key earnings driver' in FY2023.

Among the three banks, DBS and OCBC are the RHB team's top picks.
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