SAMP.N0000 (Sampath Bank PLC)
- NIRMALSG
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Re: SAMP.N0000 (Sampath Bank PLC)
ruwan326 wrote:I like to wait for QR.......... This might be the cooling off for ASI 02nd August probably... Or journey continue towards 6000 ....
Have doubt, whether there will be any impact on Bullish market movement like this
- hammurabi
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Re: SAMP.N0000 (Sampath Bank PLC)
- The Invisible
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Re: SAMP.N0000 (Sampath Bank PLC)
Below is the snapshot for the Q2-Q4 19 numbers.
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Notes
a) Q2 18 loan loss provision is an estimated restatement from the actual reported based on how the Bank restated the Q1 18 figure
b) Q2-Q4 net interest margin is estimated to improve QoQ given that the bank will have the advantage of earning money from the proceeds of three rights issues concluded within last two years. (They have raised about 32bn in total)
c) Additional tax on account of debt repayment levy is also included Q2-Q4
Ok, here is my observations
a) Estimated EPS will be around Rs 30/- for FY 2019 from a total PAT of 11bn; this is almost similar to the restated NPAT of 2018. Looks amazing that even with such a detrimental situation for Banks one can maintain the earnings!!!
b) Estimated NBV of Sampath share to be 275/ as at June 2019 considering the rights proceeds received from the third rights issue
c) As per the closing price of today, 168/- Sampath bank was trading at a forward PE of 5.5x and a PBV of 0.6x. The same stock was trading at a PBV of 0.73x as at the end of last year
d) This is out of the calculations. From the third rights issue there were 25.5mn rights shares left unsubscribed due to pathetic investor appetite and the bank has given this to non shareholders highly likely to some funds @ 135/- each. When the market is coming back to alive I guess those funds who got Sampath @ 135/- are selling now @ a decent profit and may be some existing shareholders are increasing their stakes.
Conclusions
In any case a stock like Sampath having such a good earnings growth capability trading at a PBV of 0.6x or PE of 5.5x is completely ridicules to me. But due to the lethargic market sentiment prevailed until just 2-3 weeks ago can justify that price too. Also as I stated previously as well the three rights issues within two year period may have jolted investor confidence even more as well to push the share price towards those abysmal levels.
However if the market sentiment prevails like this and if some investor-liking political developments can take place in the months to come there is strong chance for the stock to move to the range of 180-190 in short term. Further if they can show the YoY growth in earnings from Q3 19 onwards similar to what I have estimated then going back to Rs200 + range again will be a highly possibility in the mid term.
- NIRMALSG
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Re: SAMP.N0000 (Sampath Bank PLC)
I'm also believe if this market conditions continues, SAMP will easily pass 200+.
Last couple of days, we could noticed that foreign selling for SAMP has been stop. Instead SAMP seams moving to foreign buy side.
- NEWER
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Re: SAMP.N0000 (Sampath Bank PLC)
- sereneTop contributor
- Posts : 4850
Join date : 2014-02-26
Re: SAMP.N0000 (Sampath Bank PLC)
Thanks Mate.The Invisible wrote:Hear you go the numbers for Sampath bank. Please note these numbers were prepared based on certain assumptions and my own opinion of their future performances. Yours may be different.
Below is the snapshot for the Q2-Q4 19 numbers.
[You must be registered and logged in to see this image.]
Notes
a) Q2 18 loan loss provision is an estimated restatement from the actual reported based on how the Bank restated the Q1 18 figure
b) Q2-Q4 net interest margin is estimated to improve QoQ given that the bank will have the advantage of earning money from the proceeds of three rights issues concluded within last two years. (They have raised about 32bn in total)
c) Additional tax on account of debt repayment levy is also included Q2-Q4
Ok, here is my observations
a) Estimated EPS will be around Rs 30/- for FY 2019 from a total PAT of 11bn; this is almost similar to the restated NPAT of 2018. Looks amazing that even with such a detrimental situation for Banks one can maintain the earnings!!!
b) Estimated NBV of Sampath share to be 275/ as at June 2019 considering the rights proceeds received from the third rights issue
c) As per the closing price of today, 168/- Sampath bank was trading at a forward PE of 5.5x and a PBV of 0.6x. The same stock was trading at a PBV of 0.73x as at the end of last year
d) This is out of the calculations. From the third rights issue there were 25.5mn rights shares left unsubscribed due to pathetic investor appetite and the bank has given this to non shareholders highly likely to some funds @ 135/- each. When the market is coming back to alive I guess those funds who got Sampath @ 135/- are selling now @ a decent profit and may be some existing shareholders are increasing their stakes.
Conclusions
In any case a stock like Sampath having such a good earnings growth capability trading at a PBV of 0.6x or PE of 5.5x is completely ridicules to me. But due to the lethargic market sentiment prevailed until just 2-3 weeks ago can justify that price too. Also as I stated previously as well the three rights issues within two year period may have jolted investor confidence even more as well to push the share price towards those abysmal levels.
However if the market sentiment prevails like this and if some investor-liking political developments can take place in the months to come there is strong chance for the stock to move to the range of 180-190 in short term. Further if they can show the YoY growth in earnings from Q3 19 onwards similar to what I have estimated then going back to Rs200 + range again will be a highly possibility in the mid term.
- The Invisible
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Re: SAMP.N0000 (Sampath Bank PLC)
ECONOMYNEXT - Profits at Sri Lanka's Sampath Bank Plc fell 39 percent to 2.06 billion rupees in the June 2019 quarter from a year earlier, as bad loans spiked amid weak credit growth, interim accounts showed.
The group reported earnings of 6.84 rupees per share.
Interest income grew 5.6 percent in the June 2019 quarter to 27.1 billion rupees, interest expenses grew 7.7 percent 16.8 billion rupees and net interest income grew at a slower 2.2 percent.
From December 2018 to June 2019 customer loans grew 1.7 percent. The bank instead had bought bonds, with the portfolio growing 32 percent to 160 billion rupees.
Loan loss provisions spiked 68 percent to 4.0 billion rupees in the June 2019 quarter from a year earlier.
Sri Lanka was hit by monetary instability in 2018 with the central bank printed money from the end of the first quarter just as the credit system recovered from a balance of payments crisis in 2015 and 2016. Instability was worsened by a political crisis in October.
As the monetary system stabilized in the first quarter with capital flight ending, suicide bombers struck on Easter Sunday.
Gross non-performing loan ratio grew 5.66 percent in June from 3.69 percent in December.
Value added tax fell 19 percent to 875 million rupees, nation building tax fell 10 percent to 117 billion rupees while a new debt repayment levy of 480 million rupees was charged.
Income tax fell 32 percent to 1.0 billion rupees as profits fell.
Gross assets grew 1.5 percent to 961 billion rupees. Net assets grew 15.9 billion rupees to 104.9 billion rupees.
Tier 1 capital was 14 percent by June up from 12 percent in December with a capital boost. Total capital was 18.1 percent up from 15.73 percent. (Colombo/Aug09/2019)
- nuwanmja
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Re: SAMP.N0000 (Sampath Bank PLC)
- NIRMALSG
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Re: SAMP.N0000 (Sampath Bank PLC)
0.7% YoY), with the weakness coming largely from a 72.2% YoY increase in total taxes that absorbed a solid top line development.
Taxes hit Sri Lanka’s Sampath Bank Sept profits
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ECONOMYNEXT- Net profits at Sri Lanka’s Sampath Bank for the September quarter fell 0.7 percent to 2.6 billion rupees with taxes eating into the bottom line, interim financials showed.
Sampath Bank, one of the three largest private banks in Sri Lanka by assets, posted 6.81 rupees in earnings per share at group-level. For the first nine months of 2019, the group made 20.80 rupees in earnings per share.
The Sampath Bank share closed at 165.10 rupees on Thursday.
Group interest income in the September quarter grew 7.2 percent from a year earlier to 28.2 billion rupees, while interest expenses rose as a slower 1.6 percent to 16.3 billion rupees, resulting in net interest income growing at a faster 16.1 percent to 11.9 billion rupees.
Net fee and commission income grew 2.9 percent to 2.7 billion rupees. Net losses from trading fell 64.2 percent to 442.1 million rupees.
Bad loan provisioning fell 22.4 percent to 3.4 billion rupees.
Bank-level bad loans were up to 6.03 percent at end-September from 3.69 percent at end-December.
The group profits before financial and income taxes were up 35 percent to 6.9 billion rupees. The new debt repayment levy and income tax reduced profits.
The loan book grew 5.1 percent to 712.2 billion rupees from December 2018 to September 2019. Net assets per share fell 13 percent to 278.91 rupees following a rights issue.
Deposits were up 3.2 percent to 721.8 billion rupees.
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The group core capital to risk weighted assets ratio grew to 13.74 percent from 12.13 percent over the nine months, against a minimum requirement of 10 percent.
Total capital ratio grew to 17.62 percent from 15.69 percent against a required 14 percent.
The bank’s return on assets fell to 1.27 percent from 2.13 percent over the nine months, while return on equity fell to 9.26 percent from 16.02 percent.
Sampath Bank raised capital through both a rights issue and debentures. (Colombo/Nov08/2019)
- NIRMALSG
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Re: SAMP.N0000 (Sampath Bank PLC)
- NIRMALSG
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Re: SAMP.N0000 (Sampath Bank PLC)
Type of dividend:First and Final dividend
Hope this will move
- NIRMALSG
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Re: SAMP.N0000 (Sampath Bank PLC)
Some of key slides
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- yellow knifeTop contributor
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Re: SAMP.N0000 (Sampath Bank PLC)
- yellow knifeTop contributor
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Re: SAMP.N0000 (Sampath Bank PLC)
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- yellow knifeTop contributor
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Re: SAMP.N0000 (Sampath Bank PLC)
- yellow knifeTop contributor
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Re: SAMP.N0000 (Sampath Bank PLC)
- The Invisible
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Re: SAMP.N0000 (Sampath Bank PLC)
- කිත්සිරි ද සිල්වාTop contributor
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Re: SAMP.N0000 (Sampath Bank PLC)
The Invisible wrote:I dont remember Sampath bank trading at 550 last year.
- yellow knifeTop contributor
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Re: SAMP.N0000 (Sampath Bank PLC)
කිත්සිරි ද සිල්වා wrote:Some Broker houses predicted it to touch 350 mark but never got that far.The Invisible wrote:I dont remember Sampath bank trading at 550 last year.
Thanks Invisibel and Kith
I corrected
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- කිත්සිරි ද සිල්වාTop contributor
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Re: SAMP.N0000 (Sampath Bank PLC)
- The Invisible
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Re: SAMP.N0000 (Sampath Bank PLC)
- BackstageTop contributor
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Re: SAMP.N0000 (Sampath Bank PLC)
The Invisible wrote:Between 118- 120 I guess. But it can come down till about 100 if the market open the entire next week.
With a 11.50 divi
- The Invisible
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Re: SAMP.N0000 (Sampath Bank PLC)
Backstage wrote:The Invisible wrote:Between 118- 120 I guess. But it can come down till about 100 if the market open the entire next week.
With a 11.50 divi
People don't have any clue about whetherr these prices are ex or cum div. They just want to dump and run...
- කිත්සිරි ද සිල්වාTop contributor
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Re: SAMP.N0000 (Sampath Bank PLC)
The Invisible wrote:Backstage wrote:The Invisible wrote:Between 118- 120 I guess. But it can come down till about 100 if the market open the entire next week.
With a 11.50 divi
People don't have any clue about whetherr these prices are ex or cum div. They just want to dump and run...
- slstockVeteran
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Re: SAMP.N0000 (Sampath Bank PLC)
කිත්සිරි ද සිල්වා wrote:I will be happy if I can grab a few around 115/= on Monday.The Invisible wrote:Backstage wrote:The Invisible wrote:Between 118- 120 I guess. But it can come down till about 100 if the market open the entire next week.
With a 11.50 divi
People don't have any clue about whetherr these prices are ex or cum div. They just want to dump and run...
until a bigger issue is addressed/done value will be immaterial