Friday, May 12, 2023

Comparing Local Banks

Recently, Prof Aswath Damodaran has an video on banks valuations. In final part of his video, he compared US banks using serveral indicators in a table.

I compared our three local banks using the indicators in his table. I did not include the '% of assets held to maturity' as there seems to be little info on it in our local banks' statement and it is probably not material.



From the table, OCBC seems to be cheapest among the three banks, while DBS seems to be dearest due to its higher ROE (or growth). 

If I am interested to buy the cheapest bank, I will probably look at OCBC . Nonetheless, I am not buying bank shares now. 

No comments:

Jun 25 Update

Sales Sketcher: Sold whole position at $62, as it has been agreed to be taken over at $63 by 3G Capital. My cost price was around $55-56; no...