Investment Rating - The report maintains an "OUTPERFORM" rating for Standard Chartered PLC [2] Core Views - The report highlights that net interest income (NII) is under pressure in 2025, but cost control measures are expected to take effect [1][5] - The company reported a 14% year-on-year revenue increase in Q4 2024 on a constant currency basis, exceeding guidance [3][18] - A new 1.5billionsharebuybackwasannounced,followingthecompletionofapreviousbuyback[3][18]−ThecoreTier1capitalratioforQ42024wasstableat14.22 billion [3][18] - The report projects net income growth of 9.6% and 11.6% for 2025 and 2026, respectively [4] Financial Summary - For 2024, net interest income is expected to be 10.4billion,a10557 million [8][21] - The cost-to-income ratio improved to 59% in 2024, a 4 percentage point year-on-year improvement [9][21] - The report anticipates a dividend yield increase from 1.4% in 2023 to 2.5% in 2025 [2][16] Valuation - The target price for Standard Chartered PLC is set at HK129.57,basedonaprice−to−bookratioof0.80for2025[4]−ThereportprovidesaforecastfordilutedEPSof1.70 for 2025, with a P/E ratio of 9 [2][16]
