Q4 will be characterised by volatility on the CET 1 ratio and a restricted dividend level following the SFSA recommendation. We expect SHB to propose a SEK 4.0 DPS, (4.6% yield). From 2021 we expect a normalisation of dividends again, potentially sooner if restrictions are lifted in September. SHB is now approaching P/B 1x and though ROE remains below historical levels we think it supports more upside. We reiterate Buy and lift our TP to SEK 95 (92)
14 Jan 2021
Nearing fair levels, but still a Buy
Sign up to access
Get access to our full offering from over 30 providers
Get access to our full offering from over 30 providers
Nearing fair levels, but still a Buy
Svenska Handelsbanken AB Class A (SHB.A:OME) | 0 0 0.0%
- Published:
14 Jan 2021 -
Author:
Joakim Svingen | Roy Tilley -
Pages:
12
Q4 will be characterised by volatility on the CET 1 ratio and a restricted dividend level following the SFSA recommendation. We expect SHB to propose a SEK 4.0 DPS, (4.6% yield). From 2021 we expect a normalisation of dividends again, potentially sooner if restrictions are lifted in September. SHB is now approaching P/B 1x and though ROE remains below historical levels we think it supports more upside. We reiterate Buy and lift our TP to SEK 95 (92)