. . . OSK and RHB Research Institute said banks were likely to see stronger numbers in the quarters ahead despite the soft start this year.
"Demand for loans from the household segment has been resilient thus far while the corporate segment could see a pick-up in the second half as key projects under the 10th Malaysia Plan and Economic Transformation Programme get implemented.
"Similarly, we expect stronger non-interest income ahead on stronger deal flows in terms of merger and activity M&A activities as well as fund raising activities via bond financing, among others," RHB Research said in a recent report.
Analysts noted that an impending hike in the benchmark interest rate could also provide a lift to net interest income.
OSK kept its overweight call on the banking sector, its top large-cap stocks being CIMB (fair value: RM9.15) and Maybank (RM10.07), and mid-cap, Hong Leong (RM13.30).
RHB had a similar call, but its top picks were CIMB, AMMB and Affin Holdings Bhd.
"Demand for loans from the household segment has been resilient thus far while the corporate segment could see a pick-up in the second half as key projects under the 10th Malaysia Plan and Economic Transformation Programme get implemented.
"Similarly, we expect stronger non-interest income ahead on stronger deal flows in terms of merger and activity M&A activities as well as fund raising activities via bond financing, among others," RHB Research said in a recent report.
Analysts noted that an impending hike in the benchmark interest rate could also provide a lift to net interest income.
OSK kept its overweight call on the banking sector, its top large-cap stocks being CIMB (fair value: RM9.15) and Maybank (RM10.07), and mid-cap, Hong Leong (RM13.30).
RHB had a similar call, but its top picks were CIMB, AMMB and Affin Holdings Bhd.
No comments:
Post a Comment