Thursday, November 4, 2010

DBS - DMG keeps DBS at Neutral, reviews target post 3Q

Stock Name: DBS
Company Name: DBS GROUP HOLDINGS LTD
Research House: DMG


DMG keeps DBS (D05.SG) at Neutral after bank’s 3Q results. Notes DBS reported slowest sequential loan growth among peers, while net profit +28% on-year at $722 million, excluding 2Q’s one-time goodwill charges of $1.02 billion, core net profit +1% on-quarter. 



Says earnings above market, house expectations of $656 million, $660 million respectively, “largely due to higher-than-expected trading and investment gains.” 

House reviewing earnings forecast, $13.40 target. Notes sequential loan growth slowed to 1.2% vs 2Q’s 9.1%, milder than OCBC’s (O39.SG) 6.6%, UOB’s (U11.SG) 3.2% while NIM at 1.80%, 4 bps narrower on quarter. 

Shares +0.7% at $14.20.

No comments:

Post a Comment