Hong Leong Bank Berhad

KLSE:HLBANK Stock Report

Market Cap: RM 43.0b

Hong Leong Bank Berhad Valuation

Is HLBANK undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of HLBANK when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

RM 24.29
Fair Value
13.7% undervalued intrinsic discount
16
Number of Analysts

Below Fair Value: HLBANK (MYR20.96) is trading below our estimate of fair value (MYR24.29)

Significantly Below Fair Value: HLBANK is trading below fair value, but not by a significant amount.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for HLBANK?

Key metric: As HLBANK is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for HLBANK. This is calculated by dividing HLBANK's market cap by their current earnings.
What is HLBANK's PE Ratio?
PE Ratio10.1x
EarningsRM 4.27b
Market CapRM 42.97b

Price to Earnings Ratio vs Peers

How does HLBANK's PE Ratio compare to its peers?

The above table shows the PE ratio for HLBANK vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average8.9x
RHBBANK RHB Bank Berhad
9.2x4.07%RM 29.7b
CIMB CIMB Group Holdings Berhad
10.7x5.61%RM 82.7b
HLFG Hong Leong Financial Group Berhad
6.1x5.17%RM 19.7b
AMBANK AMMB Holdings Berhad
9.5x4.37%RM 19.2b
HLBANK Hong Leong Bank Berhad
10.1x6.00%RM 43.0b

Price-To-Earnings vs Peers: HLBANK is expensive based on its Price-To-Earnings Ratio (10.1x) compared to the peer average (8.9x).

Price to Earnings Ratio vs Industry

How does HLBANK's PE Ratio compare vs other companies in the Asian Banks Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
HLBANK 10.1xIndustry Avg. 9.6xNo. of Companies69PE0612182430+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: HLBANK is expensive based on its Price-To-Earnings Ratio (10.1x) compared to the Asian Banks industry average (9.6x).

Price to Earnings Ratio vs Fair Ratio

What is HLBANK's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

HLBANK PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio10.1x
Fair PE Ratio10.1x

Price-To-Earnings vs Fair Ratio: HLBANK is good value based on its Price-To-Earnings Ratio (10.1x) compared to the estimated Fair Price-To-Earnings Ratio (10.1x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst HLBANK forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentRM 20.96
RM 24.05
+14.72%
8.26%RM 30.70RM 21.71n/a16
Sep ’26RM 20.08
RM 23.98
+19.41%
8.50%RM 30.70RM 21.71n/a16
Aug ’26RM 19.14
RM 24.23
+26.58%
8.38%RM 30.70RM 22.00n/a16
Jul ’26RM 19.48
RM 24.35
+25.01%
8.00%RM 30.70RM 22.30n/a16
Jun ’26RM 19.58
RM 24.58
+25.54%
7.99%RM 30.70RM 22.30n/a15
May ’26RM 19.98
RM 24.98
+25.05%
8.65%RM 31.40RM 22.30n/a15
Apr ’26RM 20.14
RM 25.49
+26.58%
7.51%RM 31.40RM 23.60n/a15
Mar ’26RM 21.40
RM 25.41
+18.72%
7.82%RM 31.40RM 23.20n/a15
Feb ’26RM 20.20
RM 25.24
+24.97%
8.31%RM 31.40RM 22.76n/a15
Jan ’26RM 20.56
RM 25.24
+22.78%
8.31%RM 31.40RM 22.76n/a15
Dec ’25RM 20.68
RM 25.15
+21.63%
8.84%RM 31.40RM 22.55n/a15
Nov ’25RM 20.20
RM 24.83
+22.91%
8.20%RM 30.00RM 21.70n/a15
Oct ’25RM 21.38
RM 24.69
+15.50%
8.70%RM 30.00RM 21.70RM 20.8015
Sep ’25RM 21.22
RM 24.35
+14.74%
8.75%RM 30.00RM 21.38RM 20.0815
Aug ’25RM 19.38
RM 23.16
+19.49%
8.87%RM 27.00RM 18.00RM 19.1415
Jul ’25RM 19.36
RM 23.16
+19.61%
8.87%RM 27.00RM 18.00RM 19.4815
Jun ’25RM 19.26
RM 23.26
+20.75%
8.73%RM 27.00RM 18.00RM 19.5815
May ’25RM 19.30
RM 22.97
+19.04%
7.68%RM 26.30RM 18.00RM 19.9815
Apr ’25RM 19.52
RM 22.84
+17.02%
7.69%RM 26.30RM 18.00RM 20.1415
Mar ’25RM 19.60
RM 22.80
+16.35%
7.68%RM 26.30RM 18.00RM 21.4015
Feb ’25RM 19.20
RM 22.64
+17.91%
7.66%RM 26.30RM 18.00RM 20.2015
Jan ’25RM 18.90
RM 22.64
+19.78%
7.66%RM 26.30RM 18.00RM 20.5615
Dec ’24RM 19.14
RM 22.40
+17.02%
8.12%RM 26.30RM 18.00RM 20.6815
Nov ’24RM 19.20
RM 22.45
+16.94%
7.20%RM 25.30RM 18.30RM 20.2015
Oct ’24RM 19.50
RM 22.52
+15.49%
7.18%RM 25.30RM 18.30RM 21.3815
RM 24.05
Fair Value
12.8% undervalued intrinsic discount
16
Number of Analysts

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/10/04 18:35
End of Day Share Price 2025/10/03 00:00
Earnings2025/06/30
Annual Earnings2025/06/30

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Hong Leong Bank Berhad is covered by 37 analysts. 16 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Chee Wei LoongAffin Hwang Investment Bank
Ei TanAffin Hwang Investment Bank
Poh OngAmInvestment Bank Berhad