Bank Al Habib Ltd (BAHL): High growth and high D/Y, both; Buy – By JS Research

<p></p><ul><li><span style="font-family:Arial, Helvetica, sans-serif;font-size:medium;">We reiterate Buy on Bank Al Habib Ltd (BAHL) with a Target Price of Rs115, offering 50%+ upside from current levels. Following 55% outperformance vs KSE100 Index over FY24TD, we believe the stock still provides an attractive investment opportunity.</span></li></ul><ul><li><span style="font-family:Arial, Helvetica, sans-serif;font-size:medium;">Trading at 0.60x CY24F P/B, we believe BAHL&rsquo;s current multiples are undervalued owing to (1) recurring Tier I ROE at 20% (conventional banks: 19%) and (2) superior asset quality of the bank.</span></li></ul><ul><li><span style="font-family:Arial, Helvetica, sans-serif;font-size:medium;">Moreover, despite focus on growth, the stock&rsquo;s D/Y is among the highest compared to peers at 24% - even if we ...