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SHOCKING PROFITS: This Bank’s Share Prices Soar a Jaw-Dropping 60% in a Year!
Get ready for the financial rollercoaster of the year! Standard Chartered (LSE: STAN), the UK-based bank that YOU should be paying attention to, has seen its shares skyrocket by a staggering 60% in just the past 12 months! And guess what? Over five years, that number jumps to an OUTRAGEOUS 170%! Wake up, folksโthis is a money-making machine you can’t ignore!
WHERE IS EVERYONE? Why Are We Ignoring This Banking Giant?
While the finance world buzzes about Barclays, Lloyds, HSBC, and NatWestโbanks with a flashy high street presenceโStandard Chartered operates quietly, raking in profits! NINETY percent of its earnings come from Asia, Africa, and the Middle East! Other banks? Pffft! They can’t even touch that colossal, growing market!
PHENOMENAL GAINS: 2024 Year-End Results Blow Minds!
Hold onto your wallets because on February 27, the full-year results were released, and they were nothing short of spectacular! Pre-tax profit surged by an eye-popping 18%, jumping from $5.1 billion to a jaw-dropping $6 billion! Operating income also soared a whopping 14% to $19.7 billion! And wait for itโฆ the wealth division? RECORD PERFORMANCE!
Theyโre attracting affluent clients like moths to a flame, with a mind-boggling 265,000 newcomers who brought in a MASSIVE $44 billion of new money! That’s a jaw-dropping 61% year-on-year increase! And just to sweeten the deal, shareholders were treated to a sumptuous $1.5 billion share buyback! Can you say cha-ching?!
PROFIT MACHINE: 2025 Kicks Off with a BANG!
As if that wasn’t enough, January to March 2025 continued the streak of mind-blowing profits! Pre-tax profits climbed again, this time to a staggering $2.1 billion! And theyโre not stopping thereโmanagement predicts a juicy 5%-7% annual growth through 2026!
WARNING LIGHTS FLASHING: Risk Lurking Ahead!
But waitโit’s not all sunshine and rainbows! Despite the dazzling numbers, Standard Chartered is NOT without its risks. Geopolitics could rain on this parade! With a deep foothold in Asia, particularly China, trade tensions with the US are a looming storm cloud, threatening global growth and client activity!
And donโt forget the red flag of unsecured consumer borrowing! Credit impairment charges climbed by 24% in Q1โuh-oh! Stress in the wealth and retail sides is a ticking time bomb if interest rates stay high!
IS THIS A BUBBLE? Analysts Raise Eyebrows!
Could it be that this share price rally is a bit TOO good to be true? Analysts are whispering that short-term growth could be limited. The consensus one-year target is pegged at 1,224pโa meager 2.5% boost from todayโs numbers!
INEXPENSIVE GEM: The Valuation Shocker!
Even with soaring prices, Standard Charteredโs price-to-earnings ratio stands at a jaw-droppingly attractive 9.24! Thatโs cheaper than HSBC and NatWest, so donโt be fooled by modest dividends at 2.34%! They hiked their total payout by a mind-blowing 37%โfrom 27 cents to 37 cents per share!
HOLD ON TO YOUR SEATS!
I might be tempted to dive in, but for now, Iโm sticking with Lloyds. Sure, it lacks the international appeal, but it also dodges those gnarly risks! But mark my wordsโI’ll be keeping a hawk’s eye on Standard Chartered from now on!
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