BAHL
Bank Al HabibLAST · PKR
52W RANGE
Source: PSX, First Asia Securities Research. Data as of 22 Jun 2026, EOD.
- Market cap
- 185bn
- P/E (ttm)
- 6.5×
- EPS (ttm)
- 26.08
- Dividend yield
- 8.8%
- Return on equity
- 18.2%
- Beta
- 0.31
- Free float
- 50%
- 52W high
- 230.01
- 52W low
- 144.90
- 1D change
- −1.53%
- YTD return
- −6.0%
Conservative, family-sponsored bank with pristine asset quality and steady branch-led growth.
FAS DESK · FIRST ASIA SECURITIES RESEARCH · 23 JUN 2026 · EOD
Pristine asset quality, an 8.8% yield, six times earnings
- 01
Buy, PKR 205 target: BAHL trades at 6.5× with an 18% ROE and an 8.8% yield — value-and-income from the cleanest balance sheet among the banks.
- 02
Conservative, family-sponsored management delivers pristine asset quality and steady branch-led growth.
- 03
The 8.8% yield pays you well to hold while the multiple re-rates.
- 04
A modest move to ~7.4× FY26E gets to PKR 205; clean books rarely stay this cheap.
| Metric | FY25A | FY26E | FY27E |
|---|---|---|---|
| Net profitPKR bn | 28.0 | 30.0 | 33.0 |
| EPSPKR | 26.3 | 27.9 | 30.7 |
| DPSPKR | 15.0 | 15.9 | 16.9 |
| P/E× | 6.5× | 6.1× | 5.6× |
| EPS growth% | — | +6.0% | +10.0% |
A = REPORTED · E = FAS ESTIMATE
Asset quality cracks; cuts bite.
5.0× stressed EPS
Steady compounding; partial re-rate.
7.4× FY26E
Re-rate toward an ROE-justified multiple.
8.4× FY27E
Why so cheap for the asset quality?
Lower free float and conservatism cap the multiple.
Liquidity explains some discount, not 6.5× on pristine books; this is mispricing.
Asset quality deteriorating from the current base.
Is the growth too cautious?
Conservatism leaves growth on the table.
Through-cycle, low credit costs and steady compounding beat aggressive lending.
A strategy shift toward riskier lending.
NIM exposure?
Same rate sensitivity as peers.
Branch-led low-cost deposits cushion the give-back; asset quality protects credit costs.
Sharp NIM compression with rising infection.
| Assumption | Value | Basis |
|---|---|---|
| FY26E EPS | PKR 27.6 | FY25 base +6% |
| Target multiple | ~7.4× FY26E | partial re-rate from 6.5× |
| Dividend yield | 8.8% | paid to wait |
| 12-month target | PKR 205 | ≈7.4 × 27.6, rounded |
- 01Liquidity / free floatWATCH · Traded volume, float
- 02NIM compressionWATCH · Policy rate, quarterly NIM
- 03Asset qualityWATCH · Infection ratio
- 04Sovereign durationWATCH · Investment book, yields
— GENERATED BY FIRST ASIA SECURITIES · NOT INVESTMENT ADVICE
| Symbol | Last | Chg % | P/E | M. Cap | 1Y |
|---|---|---|---|---|---|
| UBLUnited Bank | 437.46 | −0.16% | 7.7× | 1.10tn | |
| MEBLMeezan Bank | 512.17 | −0.16% | 10.2× | 921bn | |
| MCBMCB Bank | 400.10 | −0.70% | 8.3× | 474bn | |
| HBLHabib Bank | 294.98 | −1.15% | 6.5× | 430bn | |
| BAHLBank Al Habib— THIS PAGE | 170.71 | −1.53% | 6.5× | 185bn |
Source: PSX, First Asia Securities Research. Data as of 22 Jun 2026, EOD.