United Overseas Bank - RHB Invest 2023-09-18: Better 3Q23 PBT If Non-II Holds; Downgrade To NEUTRAL

• We think UOB (SGX:U11) could report sequentially stronger PBT in 3Q23, assuming some broad trends in headline items materialise. Much, however, would depend on the strength of its treasury & investment (T&I) income, where the robust levels reported in 1H23 may not be sustained.
• - Read this at SGinvestors.io -

Seeking opportunities to redeploy liquidity.

• Recall that UOB's 1H23 loan book was flat year-to-date while deposits rose 2%. As a result, 2Q23 LDR of 83.5% was down vs 2Q22 of 88.7% (4Q22: 85.6%). We learnt that while UOB remains keen to redeploy the liquidity built up, opportunities have largely been narrow - i.e. trade and onshore loans. The mortgage pipeline looks stable and will continue to support retail loan book growth, supplemented by trade loans.
• - Read this at SGinvestors.io -

NIM outlook tracking guidance

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Above is an excerpt from a report by RHB Securities Research.
Clients of RHB may be the first to access the full PDF report @ https://www.rhbtradesmart.com/.

Read also RHB's most recent report:
2025-04-02 United Overseas Bank - Humming Along Nicely; Keep BUY.

Previous report by RHB:
2025-02-20 UOB - Boosting Capital Returns To Shareholders; BUY.

Price targets by 4 other brokers at UOB Target Prices.

Listing of research reports at UOB Analyst Reports.

Relevant links:
UOB Share Price History,
UOB Announcements,
UOB Dividend Payout Dates & Corporate Actions,
UOB News