DBS - RHB Invest 2024-11-08: Expanding Options For Capital Returns; BUY

• DBS’ 3Q24 results beat estimates, and management reinforced its capital return commitment by announcing a S$3bn share buyback programme while reaffirming its progressive dividend policy.
• We think markets could be volatile in the near term, post-US presidential election. In our view, Singapore banks may offer investors a safe haven on the FX front and shifting rates outlook, among others, further supported by attractive dividend yields and relatively low-risk earnings.

3Q24 results a beat

• - Read this at SGinvestors.io -
• Strong investor sentiment helped boost wealth fees, which was the main reason for the beat. While NII, trading income and opex were also tracking favourably against our forecasts, we expect the gap to narrow in 4Q on a combination of rate cuts and seasonality.
• - Read this at SGinvestors.io -
• As expected, DBS declared a 3Q24 dividends of 54 cents, which brought 9M24 dividends to S$1.62 (3Q23 and 9M23: 43.6 cents and 125.5 cents, adjusted for bonus). 9M24 payout ratio was 53%, vs 46% in 9M23.

Results highlights.

• Read more at SGinvestors.io.

Singapore Research RHB Securities Research | https://www.rhbgroup.com/ 2024-11-08 SGinvestors.io

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