JPMorgan released a research report stating that STANCHART (02888) is its top pick among Greater China bank stocks. Following STANCHART's strong Q3 performance and an investor meeting with CFO Diego De Giorgi, the bank raised its earnings per share (EPS) forecast for the company by 3% to 6% from 2024 to 2027, driven by stronger revenue and lower provisions. JPMorgan maintains an "Overweight" rating on STANCHART and increased its target price from HK$168 to HK$190, while projecting a 13% EPS growth and an adjusted return on tangible equity (ROTE) of 14% by 2028.

The report also noted that, based on JPMorgan's latest projections, STANCHART's combined dividend and buyback yield for next year is expected to reach 7.5%, the highest among its covered Greater China banks. Additionally, there is potential for upward revisions in STANCHART's non-net interest income forecast, supported by wealth and markets businesses, which could drive next year's ROTE to 14%.

JPMorgan also expects STANCHART to secure a stablecoin issuance license in Hong Kong through its subsidiary Anchorpoint, which would positively impact market sentiment.