As you might know, RHB Bank Berhad( KLSE:RHBBANK ) recently reported its quarterly numbers. Results were roughly in line with estimates, with revenues of RM2.2b and statutory earnings per share of RM0.20. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.
After the latest results, the 16 analysts covering RHB Bank Berhad are now predicting revenues of RM9.32b in 2026. If met, this would reflect a credible 6.9% improvement in revenue compared to the last 12 months. Per-share earnings are expected to accumulate 3.3% to RM0.82. Yet prior to the latest earnings, the analysts had been anticipated revenues of RM9.27b and earnings per share (EPS) of RM0.80 in 2026. The analysts seems to have become more bullish on the business, judging by their new earnings per share estimates.
Check out our latest analysis for RHB Bank Berhad
The consensus price target was unchanged at RM8.97, implying that the improved earnings outlook is not expected to have a long term impact on value creation for shareholders. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. The most optimistic RHB Bank Berhad analyst has a price target of RM10.30 per share, while the most pessimistic values it at RM7.95. Still, with such a tight range of estimates, it suggeststhe analysts have a pretty good idea of what they think the company is worth.
Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against both past performance and industry growth estimates. The analysts are definitely expecting RHB Bank Berhad's growth to accelerate, with the forecast 9.3% annualised growth to the end of 2026 ranking favourably alongside historical growth of 4.4% per annum over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 6.3% per year. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect RHB Bank Berhad to grow faster than the wider industry.
The Bottom Line
The biggest takeaway for us is the consensus earnings per share upgrade, which suggests a clear improvement in sentiment around RHB Bank Berhad's earnings potential next year. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.
With that in mind, we wouldn't be too quick to come to a conclusion on RHB Bank Berhad. Long-term earnings power is much more important than next year's profits. At Simply Wall St, we have a full range of analyst estimates for RHB Bank Berhad going out to 2028, and you can see them free on our platform here. .
However, before you get too enthused, we've discovered 1 warning sign for RHB Bank Berhad that you should be aware of.
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This article by Simply Wall St is general in nature.
We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice.
It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
