Maybank and CIMB shares rose 1.8% and 2.1% respectively this week, driven by market expectations of strong quarterly results. This positive sentiment is attributed to robust loan growth and improving asset quality across the banking sector, positioning them favorably for the upcoming earnings season.
This week, Malaysia's two largest blue-chip banking stocks, Malayan Banking Bhd (Maybank) and CIMB Group Holdings Bhd, recorded impressive gains, rising 1.8% to RM9.55 and 2.1% to RM6.80 respectively. Market analysts attribute this strong performance to high expectations for their upcoming quarterly results, anticipating both banks to benefit from sustained loan growth and improved asset quality. The recent decision by Bank Negara Malaysia (BNM) to maintain the Overnight Policy Rate (OPR) has also provided a stable operating environment for banks' net interest margins. Furthermore, with the gradual recovery of economic activities, non-performing loan ratios are expected to remain manageable, further supporting banking stock valuations. Analysts generally maintain 'Buy' ratings on banking stocks, viewing them as safe-haven assets amidst current market volatility.
Share: