Tira Banks

Halftime ***phrrrt***

Folks, today let's revisit the banking sector at the half (of 2007). The number of banking stocks are one more than a baker's dozen. There have been spectacular share growth for four banks, while most were par for the sector.

Let's view the share price change of all the banking issues listed in the local exchange. All prices are close prices of reflected dates.

Jan 2 June 29 Growth/Decline
Banking 121.67 174.72 +43%
ASIA 7.40 12.00 +62%
BDO 46.00 69.50 +51%
BPI 63.50 68.50 + 8%
CHIB 680.00 920.00 +35%
CHTR 20.00 (1/12) 38.00 (6/14) + 90%
CSB 19.00 20.00 + 5%
EIB 0.48 0.55 +15%
MBT 51.50 71.50 + 39%
PBC 55.00 51.00 (6/27) - 7%
PNB 44.00 60.50 + 38%
PSB 48.00 66.50 + 39%
RCB 21.30 (1/3) 35.50 + 66%
SECB 65.50 84.00 +28%
UBP 48.46 (1/3) 62.00 +28%

* Source of juicy data is Technistock.

There may be other computations for the growth, particularly of the index, but I'm unaware of them. I only care about the price since I'm no fundy. So here goes...

Banking index grew by +43%.

The superstars are (clap your hands!) ASIA, BDO, CHTR, RCB

The veterans are (show your respect!) CHIB, MBT, PNB, PSB, SECB, UBP

The bench warmers are (boo boo boo!) BPI, CSB, EIB

On the injured list (what happened??) PBC

The major disappointment here is BPI. The price is just 68.50, just a paltry +8% from the start of the year. You may wish to visit the chart of this stock, maybe a cup and handle or a double bottom starting from February? Laggard play for this one. There might be bright prospects in the second half for this old timer. According to Biz News Asia, BPI is ranked third in terms of assets, after BDO-EPCI and Metrobank.

I'm also disappointed with BDO. The merger with EPCI did not generate a higher price for this issue. The price may have already 'priced in' the merger. I'd prefer MBT over this one. Long term bull trend still intact though for BDO. Perhaps this stock needs a bigger catalyst to catapult its price higher.

RCB. Now this is one interesting stock. I interpret the chart as an ascending triangle with an exit price of about Php 44 or 45. The chart is displayed below. (I'm obviously very bullish on RCB)

PNB: cup and handle?

SECB could be a surprise mover in the 2nd half of the year like MBT, long term bull trend intact, however on the verge of a mini - consolidation.

My personal choices are:
RCB for share price growth
MBT for sector play, long term bull trend intact!
BPI or SECB - keep a close watch

The Verdict:
Banking Stock!
ASIA Stuck for now
BDO Suck
BPI Stuck for now
CHIB Not much traded volume, pass
MBT Stock!
RCB Stock!
PNB Stuck
PSB Not much traded volume, pass
SECB Stuck
UBP Stuck
PBC Suck
CSB wow you're gutsy to even consider trading this
CHTR are you desperate for basura stocks?

Definition: Stock - Stock up!
Stuck - Watch closely and wait for clearer signals
Suck - Disappointing, pass up the stock for now