Analysts have raised Standard Chartered’s price target from £13.49 to £13.70, citing improved profitability, stronger Asian market positioning, better asset quality, and enhanced capital returns, although some caution that valuation is less attractive after recent gains.
Analyst Commentary
- Bullish analysts cite improving profitability metrics and operational efficiency as key factors for higher price targets.
- Increased confidence in Standard Chartered’s Asian growth strategy and market positioning is supporting upward revisions.
- Positive expectations for asset quality and credit performance, particularly in core emerging markets, have contributed to target hikes.
- Stronger capital returns and disciplined cost management are seen as driving better shareholder value.
- Some analysts maintain a neutral stance, suggesting that while fundamentals are improving, valuation has become less compelling after recent share price gains.
What's in the News
- Standard Chartered and Ant International launched live trials of a bank-to-wallet cross-border payment solution leveraging Swift’s ISO 20022 messaging standards and Alipay+, targeting enhanced frictionless payments across global digital wallets.
- The company commenced a new share buyback program authorized to repurchase up to 10% of issued share capital, with a non-discretionary agreement with Goldman Sachs to buy back up to 194.36 million shares for $1.3 billion through early 2026.
- Standard Chartered completed repurchases of 98.16 million shares (4.11% of issued capital) for $1.5 billion under the February 2025 buyback program.
- The company guided for operating income CAGR of 5%–7% in 2023–2026 (excluding certain items), with 2025 growth expected at the lower end of the range.
- Announced an interim dividend of $0.123 per share, payable September 30, 2025.
Valuation Changes
Summary of Valuation Changes for Standard Chartered
- The Consensus Analyst Price Target remained effectively unchanged, moving only marginally from £13.49 to £13.70.
- The Future P/E for Standard Chartered has significantly fallen from 8.36x to 6.43x.
- The Discount Rate for Standard Chartered remained effectively unchanged, moving only marginally from 8.34% to 8.45%.
Disclaimer
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