Equity Analyst

Ravi Kumar

Experienced equity research analyst with a global focus, dedicated to producing high-conviction, value-adding investment calls that elevate client performance.

Shiga Bank (8366 JP) 9M26 Earnings Review: Navigating Rising Yields Amid Policy Tailwinds

Shiga Bank (8366 JP): High Capital, Low Valuation - Positioned to Ride Japan’s Banking Recovery

Equity Bottom-Up

<ul>
<li>
Target achieved: Shiga Bank reached our ¥7,850 target, delivering ~20% returns as the BoJ rate-hike cycle and regional revitalization tailwinds drove earnings momentum. </li>
<li>
Earnings &amp; balance sheet strength: Double-digit NII growth, rising NIMs, and a 14.0% CET1 ratio supported valuation re-rating despite a strong share price run-up. </li>
<li>
Next catalyst: Potential for a further ~20% upside will be reassessed post upcoming results, focusing on NIM sustainability, capital returns, and RoE trajectory.</li>
</ul>



Target achieved: Shiga Bank reached our ¥7,850 target, delivering ~20% returns as the BoJ rate-hike cycle and regional revitalization tailwinds drove earnings momentum. 

Earnings &amp; balance sheet strength: Double-digit NII growth, rising NIMs, and a 14.0% CET1 ratio supported valuation re-rating despite a strong share price run-up. 

Next catalyst: Potential for a further ~20% upside will be reassessed post upcoming results, focusing on NIM sustainability, capital returns, and RoE trajectory.


Shiga Bank (8366 JP): +20% Return Target Achieved, Initiated on 24 September 2025