TSE:8366Banks
Shiga Bank (TSE:8366) Stock Commands A Premium As Credit Cover Thins
Shiga Bank stock comes into this earnings season priced for perfection. The shares trade on a rich 25.5x P/E, well above the roughly 15.6x peer average, even after slipping over the past month and week. The headline from this quarter is not explosive profit growth or a dividend surprise. It is the strain between a premium valuation and a profitability profile that now includes a thinner 16.5% net margin and a relatively low 43% allowance for bad loans.
Short term traders are focused on the...