You are on page 1of 3

In the banking industry, CHIB is a recommended stock to invest in since it is leading

within its peer group in terms of share price performance. With the 190.21% change in the share
price for the past 12 months, CHIB outperformed the peer median. Compared to 2017, the ROE
of CHIB is remained stable at 10.21% but still higher than the peer median of 10.11%. This
shows that the management remained effective in generating profits with the investments of its
shareholder. All the peers of the company within its group are dividend paying stocks. For the
past 12 months, CHIB paid a high quality dividend which represents a yield of 2.45% at the
current price. This is absolutely higher than the 1.63% of the peer median. CHIB also has an
above average dividend payout at 28.24 versus the 19.45 of the peer median. Currently, CHIB
has a P/B ratio of 1.1 which is about the median of the peer. Lastly, the net loan asset over equity
of CHIB at 5.37 is lower than its peer median of 5.48. This could indicate that CHIB has plans of
expansion.
RCB is also a rising stock in the banking industry in terms of its share price performance.
Although its share price performance for the past 12 months is -41.92% which is below its peer
median, its 30-day trend in share price performance is better than the peer median. Moreover, the
ROE of RCB is at par with its peers at 6.76%. Over the last twelve months, RCB's dividend
payout of 19.45% and the corresponding dividend yield of 1.63% relative to the current price
compared to a peer median level of 15.54% and 0.91% respectively. Relative to its peers, the
firm is generating a high dividend yield with a high dividend payout, which suggests a possible
downward pressure on the dividend based on this traditional analysis. The current P/B ratio of
RCB at 0.78 is about median in its peer group. In terms of its net loan assets over equity, RCB
posted an above average ratio of 5.48 compared to the 2.92 among its peers.

You might also like