DBS Group Holdings (D05) AI Stock Analysis

• Market Cap: $133.26B
• Dividend Yield: 6.38%
• Average Volume (3M): 3.83M
• Price to Earnings (P/E): 11.9
• Beta (1Y): 1.29
• Revenue Growth: 13.03%
• EPS Growth: 12.01%
• Country: SG
• Employees: 41,000
• Sector: Financial
• Sector Strength: 78
• Industry: Banks - Regional
• EPS (TTM): 1.02
• Shares Outstanding: 2,838,021,500
• 10 Day Avg. Volume: 3,928,734
• 30 Day Avg. Volume: 3,829,813
• PEG Ratio: -23.68
• Price to Book (P/B): 1.95
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 16.71
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $44.58
• Price Target Upside: -5.13% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 7

• Rating: 78 Outperform
• Price Target: ―

DBS Group Holdings scores well due to its strong financial performance, highlighted by solid revenue growth, zero debt, and efficient cash management. The earnings call also supports a generally positive outlook despite some challenges. However, technical analysis suggests caution, and valuation metrics point to potential undervaluation, making the stock attractive for income-focused investors.

Positive Factors

Capital Return

The capital return initiative includes a 24 cents annual increment, 15 cents capital return dividend per quarter, and a S$3bn share buyback.

Earnings Momentum

Fee income was the primary contributor to earnings momentum, rising 22% YoY to S$1.3bn, driven by wealth management growth.

Negative Factors

Higher Provisions and Tax

Higher provisions and the global minimum tax are expected to negatively impact PATMI in FY25.

Trade Tensions

Spillover effects from trade tension between the US and its trading partners could stall growth in 2H25F.

DBS Group Holdings Business Overview & Revenue Model

Company Description

DBS Group Holdings Ltd (D05) is a leading financial services group headquartered in Singapore, with a strong presence in Asia. Recognized for its innovative banking solutions, DBS offers a comprehensive range of financial services, including consumer banking, wealth management, institutional banking, treasury and markets, and brokerage services. The bank is committed to digital transformation and sustainability, positioning itself as a forward-thinking institution in the financial sector.

How the Company Makes Money

DBS Group Holdings generates revenue through a diverse array of financial services. Key revenue streams include net interest income from lending activities, where the bank earns interest on loans and advances issued to individuals and corporations. Additionally, non-interest income is a significant contributor, derived from fees and commissions related to wealth management, investment banking, and transaction services. The bank also earns from trading in financial markets, foreign exchange operations, and managing investment portfolios. Strategic partnerships and a focus on digital banking innovations enhance DBS's ability to reach a broader customer base and increase its revenue-generating opportunities. Furthermore, DBS's regional expansion and acquisition strategies contribute to its growth by tapping into emerging markets in Asia.

DBS Group Holdings Financial Statement Overview

Summary

DBS Group Holdings demonstrates robust financial performance with strong revenue growth, high profitability, and excellent cash flow generation. The balance sheet is particularly strong with zero debt and impressive equity ratios.

Income Statement

DBS Group Holdings has demonstrated strong revenue growth from $19.55B in 2023 to $22.30B in 2024, representing a solid 14.5% growth rate. The company maintains robust profitability with a gross profit margin of 100% and a net profit margin of approximately 50.6% for 2024. EBIT margin is high at 59.5%, indicating efficient operations. However, the decline in EBIT from 2023 shows room for operational improvements.

Balance Sheet

The company has a strong balance sheet with zero total debt in 2024, showcasing excellent financial health and stability. The equity ratio stands at 8.3%, reflecting a well-capitalized institution. The return on equity is impressive at 16.4%, indicating efficient use of equity capital. The significant cash position further enhances financial resilience.

Cash Flow

Cash flow analysis reveals strong operational cash generation with operating cash flow increasing to $15.34B in 2024. Free cash flow of $14.42B shows a robust 207.4% growth from 2023, highlighting excellent cash management. The free cash flow to net income ratio is favorable, indicating efficient capital expenditure management.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	22.30B	19.55B	16.49B	14.17B	14.58B
Gross Profit	22.30B	20.18B	16.49B	14.17B	14.58B
EBITDA	0.00	0.00	9.88B	8.45B	6.02B
Net Income	11.29B	10.06B	8.19B	6.80B	4.72B
Balance Sheet
Total Assets	827.33B	739.30B	743.37B	686.07B	649.94B
Cash, Cash Equivalents and Short-Term Investments	139.06B	118.88B	115.01B	108.34B	101.48B
Total Debt	64.90B	44.83B	47.08B	53.86B	45.21B
Total Liabilities	760.89B	677.05B	686.30B	628.36B	595.29B
Stockholders Equity	66.39B	62.06B	56.89B	57.53B	54.63B
Cash Flow
Free Cash Flow	14.43B	4.69B	2.10B	7.16B	24.33B
Operating Cash Flow	15.34B	5.17B	2.77B	7.73B	24.88B
Investing Cash Flow	-58.79B	727.00M	-694.00M	-1.60B	-415.00M
Financing Cash Flow	-6.60B	-9.20B	-3.89B	-2.58B	-2.37B

DBS Group Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 46.99
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SG:D05, the sentiment is Positive. The current price of 46.99 is above the 20-day moving average (MA) of 45.41, above the 50-day MA of 44.79, and above the 200-day MA of 42.32, indicating a bullish trend. The MACD of 0.59 indicates Negative momentum. The RSI at 75.38 is Negative, neither overbought nor oversold. The STOCH value of 92.70 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SG:D05.

DBS Group Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
D05	78 Outperform	$133.26B	11.92	17.99%	6.38%	13.03%	12.01%
S68	76 Outperform	$16.91B	25.74	35.32%	2.28%	8.76%	15.45%
C07	76 Outperform	$10.39B	8.22	11.58%	7.10%	-0.21%	-22.52%
BN4	74 Outperform	S$14.16B	15.66	7.90%	7.42%	-5.24%	-77.23%
O39	74 Outperform	$77.88B	10.36	13.78%	10.15%	10.17%	8.01%
U11	69 Neutral	$61.71B	10.40	13.43%	6.32%	5.68%	5.92%
Sector *	67 Neutral	$16.88B	11.72	9.78%	3.73%	11.83%	-7.72%

DBS Group Holdings Corporate Events

DBS Group Holdings Conducts 26th Annual General Meeting

DBS Group Holdings Ltd held its Twenty-Sixth Annual General Meeting at Marina Bay Sands Expo and Convention Centre in Singapore. The meeting was chaired by Mr. Olivier Lim Tse Ghow, Lead Independent Director, as Mr. Peter Seah, the Chairman of the Board, participated remotely. The AGM proceeded with a quorum present, indicating the company’s commitment to maintaining governance and stakeholder engagement.

DBS Announces Key Leadership Changes Effective April 2025

DBS Group Holdings has announced key senior-level appointments effective from 1 April 2025, highlighting its commitment to nurturing internal talent. Derrick Goh will transition from his current role as Head of Group Audit to the new position of Group Chief Operating Officer, where he will oversee Operations and the Transformation Group. Koh Kar Siong, currently in charge of Group Corporate and SME Banking, will succeed Goh as Group Head of Audit. These strategic moves are expected to strengthen DBS’s leadership team and further its operational and transformational objectives.