Malaysia bank counters are extremely undervalued
 

Why say so?
Valuation metrics such as PE and PB are at historical low.

Comparison to bank counters etf worldwide. Some of the etfs are already higher than pre-covid level.

You can also have a look at Singapore bank counters as reference.

My take:

Going back to pre-covid in Q12021 is not a problem. With the pent-up demand for lifestyle upgrades after being confined for so long and historical low interest rate (expecting a spike in loan growth),  we should be able to break above pre-covid level soon.

When is the best time to buy? Now. Why?

• NIM normalization
• Dividend drought is over
• With vaccine, recovery theme is back 
• Reduction in loan loss provisioning soon
• OPR hike at the end of this year or early next year?

Which bank counters to buy? 

Those that are below pre-covid level, wtih good projected earnings should be good. Have a look at AMBANK, CIMB, RHB, MBSB
Just choose the one that you think that have the highest potential. Or buy all