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JPM Foresees 2025 Divergent Earnings Momentum Among HK Banks, Favors HSBC/ Stanchart
2026-02-10 12:12:52
Hong Kong-listed banks will start releasing their FY2025 results from mid-February, a JP Morgan research report reminded. The broker anticipated a divergent earnings momentum among banks because of NIM migration and credit cost volatilities, while expecting no significant changes in dividend policies.

STANCHART (02888.HK) and DAHSING BANKING (02356.HK) were projected to deliver the best performance, with profit growth exceeding 30%, while BANK OF E ASIA (00023.HK) was expected to perform worst, with a projected profit decline. DAHSING BANKING and STANCHART were estimated to post stronger total shareholder returns in FY2025.

Looking ahead, JP Morgan forecast that while bank managements remain cautious about asset quality, they are not pessimistic and will gradually become more positive about revenue prospects. Among major Hong Kong banks, JP Morgan still preferred STANCHART and HSBC HOLDINGS (00005.HK) over BOC HONG KONG (02388.HK).


Shares | Ratings | Target prices (HK$)

BANK OF E ASIA(00023.HK) | Underweight | 10.1
DAH SING(00440.HK) | Overweight | 43.7
DAHSING BANKING(02356.HK) | Overweight | 13.8
BOC HONG KONG(02388.HK) | Neutral | 43.3
HSBC HOLDINGS(00005.HK) | Overweight | 165
STANCHART(02888.HK) | Overweight | 265
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