Share Price: RM7.08 | Target Price: RM8.90 | Rating: OUTPERFORM

CIMB’s analyst call provided some updates on the group’s upcoming 1QFY25 results announcement (due 30/5/25). PIB expects CIMB Group to post decent earnings growth in 1QFY25, underpinned by a resilient loans growth across major operating markets, sequential uptick in NIM and supportive non-interest income. Despite the ongoing macroeconomic headwinds, management remains confident to meet its loans growth target of 5 to 7% in FY25. Recent share price fall may be due to banking sector liquidity squeeze in its Indonesian operations. PIB views this as a buying opportunity as CIMB is trading at an undemanding valuation of 0.8x PB with dividend yield near 7%.