Analysts Have Made A Financial Statement On Public Bank Berhad's (KLSE:PBBANK) Second-Quarter Report

Shareholders might have noticed that Public Bank Berhad (KLSE:PBBANK) filed its quarterly result this time last week. The early response was not positive, with shares down 3.8% to RM4.28 in the past week. Public Bank Berhad reported in line with analyst predictions, delivering revenues of RM3.7b and statutory earnings per share of RM0.091, suggesting the business is executing well and in line with its plan. Following the result, the analysts have updated their earnings model, and it would be good to know whether they think there's been a strong change in the company's prospects, or if it's business as usual. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

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Taking into account the latest results, Public Bank Berhad's 19 analysts currently expect revenues in 2025 to be RM14.6b, approximately in line with the last 12 months. Statutory per-share earnings are expected to be RM0.37, roughly flat on the last 12 months. Yet prior to the latest earnings, the analysts had been anticipated revenues of RM14.7b and earnings per share (EPS) of RM0.38 in 2025. The consensus analysts don't seem to have seen anything in these results that would have changed their view on the business, given there's been no major change to their estimates.

Check out our latest analysis for Public Bank Berhad

The analysts reconfirmed their price target of RM5.04, showing that the business is executing well and in line with expectations. 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. Currently, the most bullish analyst values Public Bank Berhad at RM5.75 per share, while the most bearish prices it at RM4.30. Still, with such a tight range of estimates, it suggeststhe analysts have a pretty good idea of what they think the company is worth.

Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. We would highlight that Public Bank Berhad's revenue growth is expected to slow, with the forecast 1.9% annualised growth rate until the end of 2025 being well below the historical 7.2% p.a. growth over the last five years. By way of comparison, the other companies in this industry with analyst coverage are forecast to grow their revenue at 5.9% per year. Factoring in the forecast slowdown in growth, it seems obvious that Public Bank Berhad is also expected to grow slower than other industry participants.

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. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. The consensus price target held steady at RM5.04, with the latest estimates not enough to have an impact on their price targets.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. At Simply Wall St, we have a full range of analyst estimates for Public Bank Berhad going out to 2027, and you can see them free on our platform here..

And what about risks? Every company has them, and we've spotted 1 warning sign for Public Bank Berhad you should know about.

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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.