Share Price: RM7.80 | Target Price: RM8.90 | Rating: Outperform
CIMB has introduced its new corporate strategy, Forward30, which outlines key areas for growth, while positioning the group to remain agile amidst a more volatile operating landscape. Despite the challenges, CIMB remains focused on leveraging its strong standing as a premier ASEAN bank to drive growth in cross-border income within the region. The new corporate strategy has identified 4 major pillars of growth, which is expected to help CIMB achieve its near-term ROE target of 12 13% by 2027, from 11.2% currently. In the longer run, CIMB aspires to enhance its ROE into the top quartile ASEAN bank by 2030. We think that the group’s nearterm ROE target of 12-13% by 2027 (FY24: 11.2%) is realistic, given the existing challenges across CIMB’s operating markets. We reiterate our Outperform call and TP of RM8.90 on CIMB.
CIMB Results Update for Q4 Ending 31/12/24
Research House: Public bank Investment Bank (PIB)
Analyst: Wong Ling Ling
FY2025 Forecast: Net Profit: RM8,196m | EPS: RM0.764 | DPS: RM0.458