- We are maintaining
BUY on Malayan Banking Bhd (Maybank), with an unchanged fair value of
RM9.80/share. This is based on an ROE of 14.8% FY12F, which translates into a
fair P/BV of 2.1x.
- Maybank has hosted
an analysts briefing for its Global Wholesale Banking and Investment Banking
divisions, which are led by Abdul Farid Alias, Deputy President & Head
Global Wholesale Banking and Tengku Dato' Zafrul Tengku Abdul Aziz, CEO Maybank
Investment Bank & Maybank Kim Eng.
- To recap, Global
Wholesale Banking (GWS) is one of the three new pillars of Maybank, since the
inception of the House of Maybank in 2010. There are now five key divisions/product
lines in Global Wholesale Banking (GWS): (1) Investment banking; (2) Global
markets, which includes forex and treasury solutions; (3) Corporate banking; (4) Transaction banking;
and (5) Asset management.
- Since July 2010,
the GWS division had been revamped with the key focus now on client coverage.
This allows Maybank to provide end-to-end solutions from origination to
execution throughout the region.
- The company has
benchmarked its GWB progress on several fronts. These include market share –
with market share of the global market’s foreign exchange market having risen
steadily to 15.75% in March 2012 from 14.26% in April 2011.
- For the trade
finance segment, Maybank’s market share has reached a recent new high, of 27.0%
in March 2012 from 22.5% in June 2010. Besides this, Maybank has also alluded
to its market share of transactional banking currently estimated at 30%.
- We maintain BUY. We
believe key rerating catalysts from hereon are:- (a) improvement in asset
quality, which will provide comfort that loan loss provisioning will likely be lower;
(b) better-than-expected ROE; and (c) better-thanexpected dividend.
Source: AmeSecurities
No comments:
Post a Comment