Standard Chartered Plc (HK) (2888)

Research evidence excerpt

Standard Chartered Plc (HK) (2888)

Asia Pacific Equity Research

29 July 2026

Standard Chartered Plc (HK)

Overweight

(2888) 2888.HK, 2888 HK

Price: HK$222.80

2Q26 - strong beat despite high base 28 Jul 2026

Price Target: HK$295.00

PT End Date: 31 Dec 2027

2Q26 revenue, PPoP and attributable profits were 3%, 9% and 17% ahead Banks & Financial Services

of company-compiled consensus. STAN is our top pick among HK/CH AC Katherine Lei

banks, for the following reasons. First, revenue growth was stronger (852) 2800-8552

than expected, as shown in 2Q results, with Wealth +43% y/y, Banking katherine.lei@jpmorgan.com

+18% y/y and Markets flow income +16% y/y offsetting weaker episodic J.P. Morgan Securities (Asia Pacific) Limited/

J.P. Morgan Broking (Hong Kong) Limited

income as flagged. STAN also revised up NII guidance from flat to low

Lincoln Yu

single-digit % y/y (cons. +1.7% y/y), partly reflecting the upgraded FY26 (852) 2800 8523

total income guidance to the middle of the 5-7% range (vs cons. 6.4%). lincoln.yu@jpmorgan.com

Second, impairment charges were 37% lower than consensus with Middle J.P. Morgan Securities (Asia Pacific) Limited/

East-related overlay declining from $190mn in 1Q26 to $44mn in 2Q26. J.P. Morgan Broking (Hong Kong) Limited

The 2Q26 annualized credit cost of 26bps is likely lower than HSBC Haomin Chen

(JPMe 51bps) and BOCHK (JPMe ~35bps). Third, against the backdrop (86-21) 6106 6347

haomin.chen@jpmorgan.com

of a tightening on cross-border investment account openings and potential SAC Registration Number: S1730524080002

change in individual ODI regulation, client and asset growth remain robust, J.P. Morgan Securities (China) Company

with 76k new to bank affluent clients, up from 64k in 2Q25. Net new Limited