Public Bank Berhad (PBB) has demonstrated strong financial performance recently, contributing to its notable stock price appreciation on Bursa Malaysia.

Financial Performance and Contributing Factors:
• Third Quarter 2024 Results: PBB reported a 12% increase in net profit for Q3 2024, reaching RM1.91 billion. This growth was driven by a 5% rise in net interest income and a 6.5% increase in income from Islamic banking operations. Additionally, non-interest income, including fees and commissions, climbed 18%. 
• Nine-Month Performance: For the nine months ending September 30, 2024, PBB’s net profit rose by 6% to RM5.35 billion, with revenue growing by 7.6% to RM20.2 billion. The bank’s total loan portfolio expanded at an annualized rate of 5.2% to RM414.5 billion, with domestic loans increasing by 6.2% to RM390.1 billion. 
• Non-Interest Income: There was a 9.8% increase in non-interest income during the first nine months of 2024, attributed to strong growth in unit trust and stockbroking income, which rose by 13.6% and 61.6%, respectively. 

Analyst Upgrades and Stock Performance:
• RHB Investment Bank: On April 19, 2024, RHB upgraded PBB to a “buy” rating with a target price of RM4.80, citing the bank’s earnings stability and defensive qualities amid global market volatility. 
• MIDF Research: In November 2024, MIDF maintained a “buy” rating for PBB, setting a target price of RM5.16, reflecting optimism about the bank’s growth prospects and strategic acquisitions. 

Outlook and Stock Price Projection:

As of December 16, 2024, PBB’s stock was trading at RM4.54.  While analysts have set target prices ranging from RM4.80 to RM5.16, these projections are typically based on a 12-month outlook. Predicting short-term stock movements, such as surpassing RM5 in the coming days or weeks, is challenging due to market volatility and unforeseen factors. Investors should consider these aspects and conduct thorough research or consult financial advisors before making investment decisions.