OCBC FY2025 Results Review: Is the 99-Cent Dividend Safe Amidst NIM Compression? | 🦖EP1448
OCBC FY2025 Results Review: Is the 99-Cent Dividend Safe Amidst NIM Compression? | 🦖EP1448
I have been watching OCBC's numbers for the past 48 hours and something in the detail does not sit right with me.
The headline total income of S$14.6 billion looks solid. Record income is record income. But net profit slipped 2% and the Net Interest Margin dropped 29 basis points to 1.91%. That gap between the headline and the underlying trend is exactly where the forensic work starts.
The yield spread on OCBC at current prices sits at around 90 basis points above the T-bill rate. In my framework, that is below the 150 basis point minimum I require before accepting equity risk with retirement capital. That is the number most people are not looking at.
If you hold OCBC in your CPF Investment Scheme or SRS account as a core dividend position — this video is specifically for you.
All the numbers and the full methodology are in the video below.
📺 YouTube: https://youtu.be/qQmXRKB0zgE
📩 Substack: https://open.substack.com/pub/investingiguana/p/ocbc-fy2025-deep-dive-why-net-profit?r=5enmf1&utm_campaign=post&utm_medium=web&showWelcomeOnShare=true
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- chaicka·02-25 18:58我喜欢“聪明进入和成为别人退出之间的差距流动性=信息滞后的成本”这句话。恕我直言，星展银行和华侨银行的财富管理表现是一个不稳定的因素，显然，这主要是由于媒体报道的寻求更安全避风港的外国资本涌入。历史表明，外资可能来，也可能走。停留多少是不可预测的。简而言之，本地银行内部仍然存在泡沫，等待合适的触发器破裂。😁LikeReport