RHB Bank Bhd (RHBBANK) Earnings: 2Q Net Income Surges 11% to 803.5M Ringgit

RHB Bank Bhd on Smartkarma

Analyst coverage on Smartkarma by Victor Galliano sheds light on RHB Bank Bhd in the Malaysian banking sector. Galliano’s research highlights RHB Bank as the top pick with strong fundamentals and the potential for improved returns. The report indicates a favorable sentiment towards RHB Bank, emphasizing its strong fundamental value credentials and improving cost of risk trend. In contrast, CIMB is downgraded to a hold from a buy due to less compelling valuations compared to RHB Bank, signaling room for improvement in credit quality and returns. Additionally, PB Bank is earmarked as a name to watch for its sustained premium returns and benchmark status within the peer group.

Further insights from Galliano’s analysis point to RHB Bank retaining its position as the key pick in the Malaysian banking landscape, highlighted by its attractive valuations and improving returns. Meanwhile, CIMB is recognized for offering deep value with improving credit quality, attractive valuations, and potential efficiency gains. Notably, RHB Bank’s strong fundamental value credentials set it apart as it closes the gap on returns with industry peers. On the other hand, CIMB ranks third in the scorecard due to a high NPL ratio, though there are indications of improving credit quality and opportunities for operational efficiency enhancements, coupled with very attractive valuations.

A look at RHB Bank Bhd Smart Scores

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

Based on the Smartkarma Smart Scores, RHB Bank Bhd is positioned for a stable long-term outlook. The company excels in Dividend and Growth, receiving high scores in both categories. This indicates a strong performance in providing dividends to shareholders and showing potential for growth in the future. While Value and Resilience scores are moderate, the overall outlook remains positive due to the robust Dividend and Growth ratings.

RHB Bank Bhd, a banking company providing various financial services, demonstrates strength in its Dividend and Growth aspects according to Smartkarma Smart Scores. With a wide range of banking services offered, including commercial, consumer, and investment banking, the company also focuses on international banking services. Despite facing average scores in Value, Resilience, and Momentum, the high ratings in Dividend and Growth highlight its potential for long-term success and stability in the financial industry.

Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
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