Stock Analysis
Here's What Analysts Are Forecasting For Hong Leong Bank Berhad (KLSE:HLBANK) After Its First-Quarter Results
As you might know, Hong Leong Bank Berhad (KLSE:HLBANK) recently reported its quarterly numbers. Results overall were respectable, with statutory earnings of RM0.53 per share roughly in line with what the analysts had forecast. Revenues of RM1.6b came in 4.3% ahead of analyst predictions. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.
View our latest analysis for Hong Leong Bank Berhad
Following the latest results, Hong Leong Bank Berhad's 15 analysts are now forecasting revenues of RM6.29b in 2025. This would be an okay 4.3% improvement in revenue compared to the last 12 months. Per-share earnings are expected to increase 4.5% to RM2.17. Before this earnings report, the analysts had been forecasting revenues of RM6.30b and earnings per share (EPS) of RM2.17 in 2025. So it's pretty clear that, although the analysts have updated their estimates, there's been no major change in expectations for the business following the latest results.
There were no changes to revenue or earnings estimates or the price target of RM25.15, suggesting that the company has met expectations in its recent result. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. The most optimistic Hong Leong Bank Berhad analyst has a price target of RM31.40 per share, while the most pessimistic values it at RM22.55. As you can see, analysts are not all in agreement on the stock's future, but the range of estimates is still reasonably narrow, which could suggest that the outcome is not totally unpredictable.
One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. We can infer from the latest estimates that forecasts expect a continuation of Hong Leong Bank Berhad'shistorical trends, as the 5.8% annualised revenue growth to the end of 2025 is roughly in line with the 6.3% annual growth over the past five years. Compare this with the broader industry, which analyst estimates (in aggregate) suggest will see revenues grow 6.9% annually. So although Hong Leong Bank Berhad is expected to maintain its revenue growth rate, it's only growing at about the rate of the wider industry.
The Bottom Line
The most obvious conclusion is that there's been no major change in the business' prospects in recent times, with the analysts holding their earnings forecasts steady, in line with previous estimates. They also reconfirmed their revenue estimates, with the company predicted to grow at about the same rate as the wider industry. The consensus price target held steady at RM25.15, with the latest estimates not enough to have an impact on their price targets.
Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. We have forecasts for Hong Leong Bank Berhad going out to 2027, and you can see them free on our platform here.
You should always think about risks though. Case in point, we've spotted 1 warning sign for Hong Leong Bank Berhad you should be aware of.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
About KLSE:HLBANK
Hong Leong Bank Berhad
Operates as a financial services company in Malaysia, Singapore, Hong Kong, China, Vietnam, and Cambodia.