Posted by EDwarrior > 2024-06-19 12:14 | Report Abuse

Buy or hold?

Posted by ken2004 > 2024-06-19 13:50 | Report Abuse

I believe the management team don't change all this while which even after the passing of the chairman, nothing changes in the bank leadership with the exception of the share holdings, different major shareholders, this is what I read from the news, so out of sudden to said related to mismanagement of the family, totally like absurd to me

Posted by EDwarrior > 2024-06-19 18:32 | Report Abuse

Wow 4.04? 3.90 incoming

Posted by Integrity. Intelligent. Industrious. 3iii (iiinvestsmart)$€£¥ > 2024-06-19 22:14 | Report Abuse

Revenues and earnings continue to grow at low pace (4% annually).
Dividends paid over the last 10 years grew from 11sen (2014) to 19 sen (2023),. growing at CAGR of 6%+.

At price of RM 4.04:
Its PE has shrunk from mean of 14 to 11.8 today.
Its present DY is 4.7%.

Posted by Thirai Thiraviam > 2024-06-20 11:22 | Report Abuse

@Integrity. Intelligent. Industrious. 3iii (iiinvestsmart)$€£¥:
> Revenues and earnings continue to grow at low pace (4% annually). Dividends paid over the last 10 years grew from 11sen (2014) to 19 sen (2023),. growing at CAGR of 6%+. At price of RM 4.04: Its PE has shrunk from mean of 14 to 11.8 today. Its present DY is 4.7%.

PBBank reached its highest point in 2018, with a P/E Ratio exceeding 17. Now that ratio has reduced to 11.8, as you pointed out. The question is why?

Between 2018 and 2023, the bank's assets have grown from RM420 million to RM511 million (CAGR: 4.0%). During the same period, revenue has grown from RM22.0 million to RM25.4 million (CAGR: 2.9%), and profits have grown from RM5.6 million to RM6.7 million (CAGR: 3.5%). It is apparent from the above that the assets at the bank are growing faster than the profits generated from those assets, indicating maturity and a slowdown.

Comparing the above figures with those from five years prior — between 2013 and 2018 — we get a CAGR of 4.0% for asset growth, and 5.5% and 4.4% for revenue and profit growth, respectively. From this, we can clearly see that revenue and profits were growing faster than assets in the five years leading up to the bank's peak in 2018.

The bank prides itself on having the highest Return on Equity (ROE) of 13.0%. Although this number has slipped from 14.8% in 2018, it remains respectable. The thing about ROE is that it can be achieved either by increasing profits (the numerator) or reducing equity (the denominator). Sadly for PBBank, it is doing the latter. Between 2016 and 2018, the bank consistently increased its dividend payout ratio. As a result, the payout percentage grew from 43.0% to 55.5% during these years. This is yet another sign of maturity and slowdown.

In short, Public Bank needs to get aggressive about increasing its topline and bottom-line. It isn't sufficient to say the bank holds the leading position in the Malaysian market for residential and commercial property financing, passenger vehicle financing, and the private retail unit trust business (which, thankfully, has started growing again after hitting a low point in 2020).

Maybe the bank is already addressing this, as the gross impaired loan ratio (GIR) increased a few basis points in 2023, and the bank has publicly revealed its target for GIR to be less than 1.0. (Between 2015 and 2022, the bank's GIR averaged below 0.5. Higher values were seen in 2014 and 2013, when the numbers were 0.6 and 0.7, respectively.)

Besides the above, I'd also like to see the bank get aggressive about incorporating digital technology within its operations and reducing manpower. At present, the bank has over 19,000 employees. The financial sector is one of the biggest beneficiaries of new technology. When PBBank gets serious about this, it will likely result in job cuts. However, I suspect the bank is reluctant to take this step.

Posted by Integrity. Intelligent. Industrious. 3iii (iiinvestsmart)$€£¥ > 2024-06-20 13:20 | Report Abuse

Over the last 10 years:

It grew its revenue at CAGR of 4.86%
It grew its net profit at CAGR 4.27%
Its dividend distributed grew at CAGR of 6.53%.

Its DPO ratio grew from 46% (2014) to 55% (2023).
DPS grew from 10.74 sen (2014) to 19 sen (2023).
Of note: in 2020, it distributed 13 sen in dividends (cf 14.60 sen in 2019)
Its Net Profit Margins remain steady between 25% to 27%.
Its ROEs from 2014 to 2018 were in the mid teens. From 2019 to now, they were at the low teens.

Its PE hovered between 12 to 16 over many years. Today, its PE is in the lower part of this range.
A good way to value a bank is to look at its P/NAPS: PBB was a very expensive bank in the past as its P/NAPS was consistently above 2. Today, its P/NAPS is 1.52x. With a ROE of 12.16% today, this high quality company is trading at a: _____________.


Price = EPS x PE

Its EPS is consistent and growing.
Its PE has shrunk.

Posted by cheeseburger > 2024-06-20 23:36 | Report Abuse

it will going up soon.

Posted by KylieTan > 2024-06-21 17:59 | Report Abuse

RAM Ratings has affirmed the AAA/Stable/P1 financial institution ratings of Public Bank Berhad and its core subsidiary, Public Islamic Bank Berhad

https://www.businesstoday.com.my/2024/06/19/ram-affirms-aaa-ratings-for-public-bank-islamic/

Posted by ken2004 > 2024-06-21 18:15 | Report Abuse

Actually, realize banking stocks drop, not really on pbb alone, mbb also like drop.....

Posted by BlackDiamond > 2024-06-21 20:32 | Report Abuse

What is the point of PBB being rated highly by the so called RAM and other organisations when the share price keeps falling every day. Also if it’s supposed to be rich in assets and cash than why isn’t it giving us dividends as compared to MBB, CIMB or even RHB? Disappointing and Disgusting!

Posted by M55555 > 2024-06-21 21:51 | Report Abuse

If price don't drop, when can we collect ? Collect by stage and when it rise again, can balance back how much to hold long term. Got nothing to lose . DIV is consistent. But it would be different for those few days traders. Waiting and park buy 3.95 , 3.85 ... but i guess not easy.

Posted by diuleiloumei > 2024-06-21 22:09 | Report Abuse

Those kids memang tak boleh pakai

Posted by Joe > 2024-06-24 09:19 | Report Abuse

Hi Guys...is it time to buy now or wait for lower....

Posted by Joe > 2024-06-24 09:50 | Report Abuse

Becouse I believe many of them wants to buy this Stock...Should I wait for lower.

Posted by EDwarrior > 2024-06-24 09:55 | Report Abuse

Keep buying this is bank sector....

Posted by kl_guy > 2024-06-24 15:04 | Report Abuse

if this week can stay above rm4.00 . this more positive for bottom forming.

Posted by Kitty Kitty > 2024-06-24 15:08 | Report Abuse

topped up for retirement

Posted by stkoay > 2024-06-24 20:01 | Report Abuse

https://theedgemalaysia.com/node/716580

PETALING JAYA: MBSB Bank Bhd says it has refunded all monies illegally withdrawn from the accounts of its customers in a recent case in Kota Kinabalu.

Last Friday, Bernama reported that police had detained 14 individuals, including four bank employees, to assist in the investigation into the fraudulent withdrawals of RM24.2 million from several fixed deposit accounts in Kota Kinabalu.

Posted by KylieTan > 2024-06-25 11:22 | Report Abuse

Collect when epf is out then ..

Posted by Joe > 2024-06-25 15:42 | Report Abuse

I believe don't have to buy one go... Becouse the price is very volatile...able to buy at a lower price now

Posted by Joe > 2024-06-25 15:43 | Report Abuse

Maybe in August'24 should pick up... When nearing devident time

Posted by DividendGuy67 > 2024-06-25 23:24 | Report Abuse

My GTC Buy Fill order at RM4 was filled. Slowly queuing and adding at lower prices, including below RM4. Plenty of time to accumulate as price is unlikely to run up for months. 19 sen dividend is likely to rise in years to come. 19 sen / RM4 ~ 4.8% dividend yield, what's not to like. Lower prices are coming and that's great news for long term accumulators for retirement passive income for life later.

Posted by DividendGuy67 > 2024-06-25 23:25 | Report Abuse

Remember to watch your position size - don't be greedy. I'm still quite far from 5% capital for this holding, so, welcome to add at lower prices in months to come via GTC Buy Limit orders i.e. no need to watch the market.

Posted by DividendGuy67 > 2024-06-25 23:28 | Report Abuse

https://klse.i3investor.com/web/blog/detail/DividendGuy67/2024-05-24-story-h-160805766-PBBANK_I_added_at_4_18.

As shown in the chart, it hasn't reached the bottom line yet. As price falls, the odds increases that it will touch the bottom uptrend line. And if it keeps falling, odds increases that it will fall BELOW that long term uptrend line temporarily. I am spreading my buys to allow for all these possibilities, whilst maintaining position sizing. Add SLOWLY at lower prices or do nothing until it reaches the bottom of that uptrend line.

Posted by DividendGuy67 > 2024-06-25 23:29 | Report Abuse

PBBANK is so liquid, I can publicly announce my plans BEFORE hand and it has no impact to my trade executions. However, other stocks I can't announce, as liquidity is lower.

Posted by BlackDiamond > 2024-06-26 13:02 | Report Abuse

Mr Dividend, you right when you said, no need to watch everyday. My advise to you is to go and sleep soundly and wake up early September and buy as dividend will be due. We will inform you if the prise drops to 3.50 so go and sleep and if you cannot sleep pop in some Xanax. Good Night!😎😀

Posted by stkoay > 2024-06-26 21:54 | Report Abuse

https://www.thestar.com.my/business/business-news/2024/06/26/banks-1q-earnings-in-line-with-expectations

Posted by calvintaneng > 2024-06-27 06:37 | Report Abuse

Better see this

https://klse.i3investor.com/web/blog/detail/www.eaglevisioninvest.com/2024-05-22-story-h-161464080-PUBLIC_RESEARCH_TELLS_YOU_TO_SELL_TSH_BUT_PUBLIC_MUTUAL_FUNDS_BUYING_TS

Posted by calvintaneng > 2024-06-27 06:38 | Report Abuse

Better buy Tsh

Follow Public Mutual Funds buy Tsh Resources

https://klse.i3investor.com/web/blog/detail/www.eaglevisioninvest.com/2024-05-22-story-h-161464080-PUBLIC_RESEARCH_TELLS_YOU_TO_SELL_TSH_BUT_PUBLIC_MUTUAL_FUNDS_BUYING_TS

Posted by wakeupcall > 2024-06-27 10:29 | Report Abuse

The last time it announced divident was like around RM4.40+/-, look away for a while, it dropped below RM4.10, then look away for a while it now RM4.02... Seemed like a pump and dump tricks...

Posted by 1288Go > 2024-06-27 14:42 | Report Abuse

That's why many now 🤙 Pbb is old man stock.
Walking with Tongkat

Posted by stkoay > 2024-06-27 22:25 | Report Abuse

https://theedgemalaysia.com/node/717079

Posted by KylieTan > 2024-06-28 16:47 | Report Abuse

Old but gold, that's why EPF is collecting continuously 😁

Posted by 1288Go > 2024-06-30 17:49 | Report Abuse

EPF control play play Pbb how high it can go. Control it's price..
They make it old man stock !!

Posted by stkoay > 2024-06-30 19:07 | Report Abuse

https://klse.i3investor.com/web/blog/detail/kenangaresearch/2024-06-28-story-h-158006316-Banking_Seeking_Guarded_Positions

Laggards remain challenged. As of our cut-off date of 16 Jun 2024, we note that only PBBANK (OP; TP: RM5.20) is performing below its CY24 start. In spite of its sound earnings delivery and high ROE prospects, we opine that investors may be more interested in positioning with banks with a higher corporate exposure to fuel potential profit growth on the bank of several macro themes (i.e. data centre, infrastructure projects) which left the stocks falling behind.

Posted by stkoay > 2024-07-01 12:54 | Report Abuse

https://theedgemalaysia.com/node/717380

Posted by KylieTan > 2024-07-01 17:15 | Report Abuse

Property and transport loans drag down Public Bank HK’s profits 😥

Link: asianbankingandfinance.net/retail-banking/news/property-and-transport-loans-drag-down-public-bank-hks-profits

Posted by KylieTan > 2024-07-01 17:16 | Report Abuse

Property and transport loans drag down Public Bank HK’s profits 😥

https://asianbankingandfinance.net/retail-banking/news/property-and-transport-loans-drag-down-public-bank-hks-profits

Posted by masterus > 2024-07-03 13:22 | Report Abuse

WORK PERMIT HOLDERS’ BANK ACCOUNTS WILL BE FROZEN AFTER THEIR WORK PERMITS ARE CANCELLED

The Ministry of Manpower (MOM) in Singapore has introduced a new rule for work permit holders. If you’re leaving Singapore because your employment has ended, you should close your bank account before you go.

This is to prevent your inactive account from being used for illegal activities like money laundering or fraud.

Posted by masterus > 2024-07-03 13:25 | Report Abuse

CPF accounts of 300,000 foreigners will close from April 1, 2024
Move is to cater to retirement, housing and healthcare needs of Singaporeans and PRs

Posted by EDwarrior > 2024-07-03 16:09 | Report Abuse

Still keep buying .... 4.04 also consider cheaper

Posted by stkoay > 2024-07-03 16:18 | Report Abuse

Very good, keep buying.... jia yu

Posted by EDwarrior > 2024-07-04 11:47 | Report Abuse

Any how? Still buying ?

Posted by stkoay > 2024-07-04 12:16 | Report Abuse

How?
I think Mr. Market is saying....
Good thing is not cheap
and cheap thing is no good :)

Posted by KylieTan > 2024-07-04 17:18 | Report Abuse

Can refer to the TP provided by TA 😊

https://klse.i3investor.com/web/pricetarget/research/71872

Posted by 1288Go > 2024-07-05 13:36 | Report Abuse

Target price oonly mar.Nothing too 😆 excited at this stage
Languishing at 4 Mr only mar.
Let's wait, wait, wait and see 🙈 how it goes

Posted by KylieTan > 2024-07-05 22:35 | Report Abuse

dnt worry, Public bank is running for change 😁

https://www.thestar.com.my/metro/metro-news/2024/07/04/running-for-change-sustainability-awareness

Posted by Diamond7 > 2024-07-07 13:38 | Report Abuse

Can buy....
Buy n keep..
Little or no risk!

Posted by speakup > 2024-07-07 14:08 | Report Abuse

Last time speakup buy cimb 3.80 then it plunged to rm3! Paper loss 21%! That time also thought no risk

Posted by Thirai Thiraviam > 2024-07-08 10:12 | Report Abuse

speakup:
> Last time speakup buy cimb 3.80 then it plunged to rm3! Paper loss 21%!

When did this happen … March 2009? That was the last time PBBank traded at that price.