Based on the current share price, we compute the pricetobook ratios for all three. Dbs bank is a singaporean multinational banking and financial services corporation headquartered in marina bay financial centre tower 3, marina bay, singapore. The company was known as the development bank of singapore limited, before the present name was adopted on 21 july 2003 to reflect its changing role as a regional bank. Get detailed information on dbs group holdings ltd including stock quotes, company background, company fundamentals, company financial reports and annual dividend yield in the stock factsheet. Shares in singaporelisted banks are falling, again. I have used the previous years book value for subsequent years share price to determine the pb ratio. Bursa malays stock quote public bank bhd bloomberg. Monetary authority of singapore notice to banks no.
Regional banks industry price to book ratio valuation. The price to book ratio pb ratio is the price of the stock divided by the companys book value per share. The price to book ratio pb ratio is the price of the stock divided by the. It is based on information or opinions obtained from sources believed to be reliable but which have not been independently verified by dbs, its related companies and affiliates dbs group and to the maximum extent permitted by law, dbs group does not make any. The two most commonly used valuation ratios are the price to earnings ratio pe ratio and the price to. Next, dbs group, ocbc, and uob have pe ratios of 11. The roe improves, and the costtoincome ratio comes down. Dbs was recognised as one of the worlds strongest and best capitalised banks, with excellent credit ratings that were among the highest in the asiapacific region. Between 2009 to 20, you will realise a pattern where dbs traded at a lower price to book than its peers. Dbs reckons the costincome ratio for digital customers is just 34%, against 55% for traditional ones. Our customers and colleagues health and wellbeing are important to us. Is dbs group, uob or ocbc the cheapest singapore bank now. Last but not the least, lets explore uobs valuation from 2015 to 2019.
I find this useful as investors would notice it is pretty rare to find a singapore bank trade below pb ratio of 1. If you do not have an account, you can stay updated on major developments in asias. D05 book value per share explanation usually a companys book value and tangible book per share may not reflect its true value. Posb esavings is an allinone account that comes with ibanking, estatements and debit card.
Avoid the hassle as we have a wide range of online services that allows you to bank anytime, anywhere. While the pb ratio is useful metric, there are plenty of other things to take into account. Singapore including stock price, stock chart, company. For some time now, dbs has delivered a convincing narrative. After the interview, emmanuel wrote a critique of the bank on facebook that went as follows. Dbs, face scrutiny over 1mdb transactions sa breaking news 0717 05. Price to book value is a valuation ratio that is measured by stock price book value per share. Unless otherwise specified, all content in the webpages is provided by morningstar. A bank s main role is to manage credit risks by borrowing from depositors and lending out to their borrowers.
Banks are now trading at attractive yields and priceto book ratio are hovering around fair value. Upon successful conversion, you will no longer be able to update your passbook. Book value is a companys assets minus its liabilities. In answering this question, i have decided to collate all the key financial metrics from 2002 to 2019. Dbs agm will be broadcasted via a live webcast and audio stream at 2. The only reason most people are not hitting hard down on it is because of the fact that they feel it could only get cheaper. Pt bank rakyat indonesia persero tbk is a holding company, which engages in the provision of financial services. That is double that of standard chartered, the other big bank to be roiled by a blowup in asian emerging markets. Singapore stock quote dbs group holdings ltd bloomberg.
Developer of a mobile banking application designed to offer banking service. Price to book ratios are a useful tool in helping us evaluate the valuation of a bank. To protect our customers and colleagues amidst the current covid19. Dbs vs uob vs ocbc which stock gives you better returns. Any nonperforming loans turned bad means the bank has to fork out its own money to cover the loss. In simple terms it would be the amount of money that a share holder would get if a company were to liquidate. The book value is essentially the tangible accounting value of a firm.
Piyush gupta, appointed ceo of dbs bank in 2009 after 27 years with citigroup. Dbs group holdings price to book value dbsdy ycharts. Using corticon, dbs has been able to capture information quickly and then easily adapt processes to changing circumstances. The companys application uses smartphone technology to update balances instantly, give intelligent notifications and track daytoday financial transactions without any usage fees, enabling customers to get a graphical timeline of their overall expenditures and get control over their spending. Dbs, a financial institution based in singapore, has chosen progress corticon business rules management system to empower its loanmaking operations with a better process, more accurate information, and improved agility. Anz sells asian retail bank to singapores dbs abc news. In depth view into overseachinese banking price to book value including historical data from 2008, charts, stats and industry comps. In depth view into dbs group holdings price to book value including historical data from 1999, charts, stats and industry comps. In depth view into dbs group holdings pb ratio explanation, calculation, historical data. Right now the bank is trading below its price book ratio.
To help answer that, lets compare the historical pricetobook pb ratios, pricetoearnings pe ratios, and. Dbs group holdingss tangible book per share of dec. The book value is the net asset value of the company. Spotting good value opportunities in equities dbs bank. Convert posb passbook savings account posb singapore. Dbs bank, indostar in talks to invest in lakshmi vilas bank three people familiar with the talks involving the beleaguered lender said that the interested parties have met the reserve bank of india rbi, which must bless the deal to ensure financial viability of the cashstrapped bank. The pricetobook ratio does not work well for these companies. Bursa malays including stock price, stock chart, company news, key statistics, fundamentals and company profile. Dbs bank investor relations offers latest news and updates on dbs share price, recent financial performance, capital instruments and other banking information. Price to book ratio for the regional banks industry regional banks industrys current price to book ratio has decreased due to shareprice contraction of 28. The assets may be carried on the balance sheets at the original cost minus depreciation.
The loantodeposit ratio ltd is a commonly used statistic for assessing a bank s liquidity by dividing the bank s total loans by its total deposits. It is time to buy shares of dbs group holdings ltd sgx. Why credit deposit ratio is a key measure creditdeposit ratio of banks is a gauge of industry health, as its the ratio of how much a bank lends out of the deposits it has mobilised. The pricetobook pb ratio has dropped below the historical low of 1, currently at 0. Why credit deposit ratio is a key measure the economic times.
The dbs insignia is the crown jewel in dbs s card portfolio. I grew up with a posb savers account using my thumbprint, so this bank holds a special place in my heart. If you do not currently have a debit card, you will receive a dbs visa debit card upon conversion. The bad loan woods are dark and deep for dbs, business. Banks, however, are not directly in the line of fire. It is relative to the industry and comparable companies. I created the singapore banks investing course to dive into much greater detail on the key things to look at when analysing them. The sharpe ratio is calculated for the past 36month period by dividing a. We invite existing posb passbook savings customers of personal or jointalternate account type to convert their account to posb esavings without any hassle.
I have used data from to plot the pb ratio history of dbs, ocbc and uob in charts. The sharpe ratio is a riskadjusted measure calculated by using standard deviation and excess return to determine reward per unit of risk. In order to buy at unfair price may not be 651 liquidity coverage ratio lcr disclosure. The sector is trading at forward priceearnings ratio of 6x and forward priceto book ratio of 0. This is the bank we grew up with, one that we all have an account with. A reporting bank acting as originator or as sponsor. Hence, dbs group holdingss price to tangible book ratio of today is 1. Singapore dbs group holdings has cleaned its oil and gas loan book and expects no more provisions, chief executive piyush gupta said on nov. Dbs bank china limited dbs china has not verified, monitored or endorsed any content on any page and will not give any guarantee or warranty of whatsoever nature in respect of the correctness, completeness, or timeliness of any content on any page. Dbs bank, indostar in talks to invest in lakshmi vilas.