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CBQK: Lower Risk Profile May Still Lead To Overstretched Earnings Multiple

Update shared on 17 Dec 2025

Fair value Increased 1.77%
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AnalystLowTarget's Fair Value
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1Y
-1.4%
7D
2.7%

Analysts have raised their price target on Commercial Bank (P.S.Q.C.) from QAR 3.36 to approximately QAR 3.42. This reflects increased confidence in higher revenue growth and a lower perceived risk profile, despite slightly softer long term profit margin assumptions and valuation multiples.

Valuation Changes

  • Fair value has risen slightly from QAR 3.36 to QAR 3.42 per share, indicating a modest upward revision in intrinsic value.
  • The discount rate has fallen significantly from 23.32 percent to 20.31 percent, reflecting a lower perceived risk profile for the bank.
  • Revenue growth has increased meaningfully from 7.11 percent to 10.63 percent, signaling stronger expectations for top line expansion.
  • Net profit margin has edged down slightly from 58.93 percent to 57.05 percent, incorporating more conservative long-term profitability assumptions.
  • Future P/E has decreased from 8.58x to 7.86x, implying a lower valuation multiple applied to forecast earnings.

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