汇丰银行-韩国-银行业-韩国银行业在2017年下半年风险调整后利润继续扩张-20170822-korea banks risk-adjusted margin expansion to continue in 2h17-20170822-hsbc

《汇丰银行-韩国-银行业-韩国银行业在2017年下半年风险调整后利润继续扩张-20170822-korea banks risk-adjusted margin expansion to continue in 2h17-20170822-hsbc》由会员上传分享，免费在线阅读，更多相关内容在行业资料-天天文库。

1、22August2017KoreaBanksEQUITIESFIGRisk-adjustedmarginexpansiontocontinuein2H17KoreaWeexpectasolid2H17,withcontinuedrisk-adjustedmarginSinyoungPark*expansionandimprovedearningsstabilityAnalyst,KoreaFinancialsTheHongkongandShanghaiBankingCorporationLimited,SeoulSecuritiesBr

2、anchUpgradingShinhanFGtoBuyfromHoldgivenstrongersinyoungpark@kr.hsbc.com+82237068770earningsoutlookbackedbysharplylowercreditcost*Employedbyanon-USaffiliateofHSBCSecurities(USA)Inc,andisRaisingTPsby9%onaveragegivenupwardearningsnotregistered/qualifiedpursuanttoFINRAregulati

3、onsrevision,factoringinhigherNIMandlowercreditcostoutlookSolid2H17aheadwithcontinuedrisk-adjustedmarginexpansionWithpricingpowerrecovery,tightcostcontrolandsharpdeclineincreditcosts,Koreanbankshaveenjoyedasignificantconsensusearningsupgrade.Butdespitea40%/30%increaseinlargeba

4、nks’FY17-18earningsestimatessinceMay2016,webelievebanksarestillcapableofdeliveringfurtherupside.Weexpectasolidearningsstreamtocontinuein2H17onthebackof:1)creditcosttrendingdownfurther,2)levelled-upNIMwithhigherspreadsand3)costsavingseffortsmaterializing.Plus,therewillbelessne

5、gativeseasonalityin4Q17enowthatbanksdonothaveayear-endNPLtargettomeet.UpgradingShinhanFGtoBuyfromHold,likelytocatchupwithpeersAlthoughShinhanFGsharesalsorose28%sinceMay2016,ithasbeenalaggardbecausecreditcostimprovementwasnotasvisiblecomparedtopeers.However,webelieveShinhan’sp

6、aceofcreditcostimprovementwillpickup,narrowingthegapvs.largepeers.Assuch,themagnitudeofourearningsrevisionisthebiggestatShinhanFG,raisingFY17-18earningsestimatesby16%eachwhereweare11%and8%aboveconsensus,respectively.RaisingTPsby9%onaverageafterupwardearningsrevisionWeraiseour

7、FY17-18estimatesforKoreanbanksinourcoverageby9%and8%on✔VoteinAsiamoneyBrokersPoll2017averagetoreflectstronger-than-expected2Qtrends.Webelievestrongerandmorestableearningsmomentumwillcontinuetosupportbanks’valuation.Stronger-than-Votingstarts6thJulyexpectedhouseholddebtmeasure

8、s,scheduledtobeannouncedinSeptember2017Ifyouvalueourserviceandinsigh