BOCHK Holdings (2388 HK) Buy: Longer-term investment thesis based on capital returns

研报英文原文证据摘录

BOCHK Holdings (2388 HK) Buy: Longer-term investment thesis based on capital returns

seas 52-WEEK PRICE (HKD)

expansion needs of mainland Chinese enterprises given its full-service capability in 56.00

Hong Kong, its ASEAN presence, and its ability to collaborate with parent BOC on

43.00

risk mitigation. At its Corporate Day on 18 May, BOCHK said it expects this trend to

create revenue opportunities across lending, deposit taking, and fee income. This 30.00

05/25 11/25 05/26

momentum is also reflected in BOCHK’s faster-than-peers CASA deposit growth (up Target price: 53.20 High: 46.36 Low: 33.00 Current: 46.12

24.3% y-o-y in 2025), which supports a leading NIM performance versus peers. Source: LSEG IBES, HSBC estimates

Wealth opportunities valued by global investors: Our conversations with global

investors indicate strong interest in the wealth business across Hong Kong financials. Gary Lam*, CFA

Head of Greater China Financials Research

BOCHK’s high-end cross-border customers grew 21% y-o-y in 2025. Its life insurance The Hongkong and Shanghai Banking Corporation Limited

arm, BOC Life, registered mid- to high-double-digit VONB growth in 1Q26 per gary.lam@hsbc.com.hk +852 2996 6926

management guidance. BOCHK also completed the acquisition of BOCI Private Bank

Joanna Chan*, CFA

in January 2026 to strengthen its wealth franchise. As of 1Q26, AUM has risen Analyst, Asia Financials and Fintech

steadily, and non-interest income from private banking increased >20% y-o-y. The Hongkong and Shanghai Banking Corporation Limited joanna.ct.chan@hsbc.com.hk

+852 2288 4826

Investment thesis: BOCHK exhibits a rare six-year capital return thesis, underpinned

Daffy Ronald*

by an attractive organic dividend yield (c5% in 2027e) and continued franchise Associate