CLSA notes that in a recent analyst briefing, Bangkok Bank Public Company Limited (SET: BBL)’s management pointed to a combination of global and domestic pressures weighing on the company, including increased trade frictions spurred by Trump’s reciprocal tariffs, continued political uncertainty in Thailand, and cooling momentum from government stimulus measures.
BBL expects credit costs to ease in the second half of 2025, with a significant portion of provisions having already been set aside earlier in the year. While the bank has seen its non-performing loan (NPL) ratio edge higher, the company expressed confidence in its overall asset quality.
CLSA, however, remains cautious and projects that the bank is unlikely to lift its dividend payout above the current 35% level. This leaves BBL as the least attractive dividend option among Thai banks.
As a result, the brokerage firm upholds a ‘Hold’ rating on BBL, with a target price of THB 150 per share.
