Goldman Sachs Reiterates Buy on Standard Chartered as Long-Term Profitability Targets Signal 18% Total Return Upside

Goldman Sachs analyst Melissa Kuang maintained a Buy rating on Standard Chartered today and set a price target of p2,260.00.

Melissa Kuang has given his Buy rating due to a combination of factors tied to Standard Chartered’s medium- and long-term return targets. Management is guiding to a return on tangible equity above 15% by 2028, broadly consistent with market expectations but still underpinned by Goldman Sachs’ slightly higher internal forecasts, and has additionally set an ambitious goal of approaching 18% by 2030, signalling confidence in sustained profitability.

The bank’s cost-to-income outlook is more conservative than the analyst’s own estimates, implying higher near-term investment and a slower realization of efficiency gains, particularly from the “Fit for Growth” program, which are expected to materialize more fully after 2028. While near-term guidance does not necessarily warrant immediate consensus upgrades, the credible longer-term trajectory and management commitment support the view that the stock offers attractive upside potential, justifying the Buy rating with an estimated 18% total return opportunity.

In another report released yesterday, UBS also reiterated a Buy rating on the stock with a p2,130.00 price target.

Based on the recent corporate insider activity of 83 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of SCBFF in relation to earlier this year.