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RHB Bank Berhad (1066) Fair Value & Analysis

Financial Services · MY · Market cap 36.2B MYR

RB RHB Bank Berhad 1066 · KLSE
Price8.80 MYR
Fair Value10.02 MYR
Upside+13.9%
Quality69/100
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Healthy Growth
Highly profitable · 39.8% net margin
Low debt · generates free cash flow
6.02% dividend yield
Ranks above peers (12/15)
Wide moat 68/100
Evidence: High Range 7.51 MYR – 12.52 MYR Share as image

Fair value as of: Jul 13, 2026

From 25 valuation models · updated 25 days ago

Share price +6.7% over the past month.

A solid business, screening 14% undervalued on our models.

What matters now

  • For a financial, book-value and earnings-based methods matter more than a cash-flow DCF, which fits banks and insurers poorly.
  • Our model range runs from 7.51 MYR (bear) to 12.52 MYR (bull), base 10.02 MYR. The closer the price sits to the lower half, the larger the margin of safety.
  • Quality 69/100 (solid quality) with high evidence: the data supports the verdict.
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Price vs Fair Value (5 years)

8.85 MYR 3.80 MYR Fair Value 10.02 MYR Mar 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 13, 2026.

How to read this chart

60‑month range 3.80 MYR – 8.85 MYR · fair‑value band 7.51 MYR – 12.52 MYR · the 8.80 MYR price screens below the 10.02 MYR fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 13, 2026.

Full chart & analysis →

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Analysis

RHB Bank Berhad (1066) currently trades at 8.80 MYR, while our model-based Fair Value estimate is 10.02 MYR, implying the stock looks roughly 13.9% undervalued today. We read business quality at 69/100 (solid quality), in the Financial Services sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: high), always confirm before acting.

Over the trailing twelve months, RHB Bank Berhad generated revenue of 8.7B MYR at a net margin of 39.8%. Revenue grew 8.4% year over year. It earns a return on equity of 10.6%. Net debt stands at 48.0B MYR. Fundamentals as of Jul 13, 2026

Our scenario range runs from 7.51 MYR (bear case) to 12.52 MYR (bull case); at 8.80 MYR, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades near its 52-week high and 54% above its 52-week low, currently above its 200-day average. For context, the median of 10 Financial Services peers we cover trades at 42% fair-value upside, at 14%, 1066 screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model BearBaseBull Evidence
Highest evidence
Growth DCF 15.52 MYR 22.88 MYR 33.11 MYR 80
Residual Income 6.88 MYR 7.61 MYR 10.96 MYR 76
Rev-Margin DCF 8.00 MYR 11.79 MYR 16.05 MYR 74
All 25 models by family
DCF Models
FCF DCF 15.10 MYR 23.16 MYR 34.94 MYR 38
Owner Earnings 7.46 MYR 11.83 MYR 18.23 MYR 31
5Y Revenue Exit 8.00 MYR 11.53 MYR 15.76 MYR 39
5Y EBITDA Exit 10.43 MYR 15.94 MYR 22.07 MYR 41
5Y P/E Exit 10.90 MYR 16.78 MYR 22.67 MYR 38
10Y Revenue Exit 10.30 MYR 14.01 MYR 18.47 MYR 36
10Y EBITDA Exit 12.01 MYR 17.02 MYR 23.14 MYR 37
10Y P/E Exit 12.30 MYR 17.59 MYR 23.59 MYR 35
Earnings-Based
Graham-Dodd 5.24 MYR 13.70 MYR 17.87 MYR 54
PEG = 1.0 2.61 MYR 3.73 MYR 4.85 MYR 46
EPV 5.79 MYR 7.03 MYR 8.11 MYR 59
Dividend Discount
Gordon GGM 3.94 MYR 7.96 MYR 13.01 MYR 70
DDM Multi-Stage 3.94 MYR 6.07 MYR 8.35 MYR 61
Multiples
P/E Multiple 11.56 MYR 15.41 MYR 19.26 MYR 63
P/S Multiple 6.43 MYR 8.58 MYR 10.72 MYR 58
P/B Multiple 9.82 MYR 13.10 MYR 16.37 MYR 55
EV/EBIT 12.01 MYR 16.55 MYR 21.09 MYR 53
EV/EBITDA 9.12 MYR 12.70 MYR 16.28 MYR 54
EV/Revenue 4.39 MYR 6.96 MYR 9.53 MYR 43
Asset-Based
NCAV (Graham) 3.91 MYR 5.24 MYR 7.82 MYR 50
Growth DCF
Growth DCF 15.52 MYR 22.88 MYR 33.11 MYR 80
Rev-Margin DCF 8.00 MYR 11.79 MYR 16.05 MYR 74
Economic Profit
Residual Income 6.88 MYR 7.61 MYR 10.96 MYR 76
ROIC Compounder 5.79 MYR 7.03 MYR 8.35 MYR 72
Growth Earnings
Growth-Adj P/E 9.07 MYR 12.95 MYR 16.84 MYR 68

Widest divergence: DCF Models (15.94 MYR) versus Asset-Based (5.24 MYR). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) 8.7B MYR
Revenue growth (YoY) +8.4%
Net margin 39.8%
Return on equity 10.6%
Free cash flow 6.7B MYR FY2025
P/E ratio 10.6
More key figures
Operating margin 54.1%
EPS (TTM) 0.7900 MYR
Dividend yield 6.0%
EPS growth (YoY) +14.2%
Net debt 48.0B MYR FY2025

Figures from reported company fundamentals · as of Jul 13, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 69/100

Of which business quality 53 · Market factors (momentum, volatility) 83

Profitability 33
Margins and returns on capital today
Quality Growth 42
Are margins and returns improving?
Cashflow 100
Earnings quality: real cash, not paper profit
Fin. Strength 8
Balance sheet, leverage, solvency risk
Investment 82
Disciplined investing over empire-building
Low Volatility 99
Calm price path (market factor)
Momentum 65
Price trend over the last 3–12 months (market factor)
52W Momentum 96
Distance to the 52-week high (market factor)
Net Issuance 71
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

RHB Bank Berhad provides commercial banking and finance related products and services in Malaysia and internationally. Its Group Community Banking segment offers mortgages, non-residential mortgages, hire purchase, purchase of securities, credit cards, other personal loans, financing, remittances, deposits collection, investment related, and …

Full company description

RHB Bank Berhad provides commercial banking and finance related products and services in Malaysia and internationally. Its Group Community Banking segment offers mortgages, non-residential mortgages, hire purchase, purchase of securities, credit cards, other personal loans, financing, remittances, deposits collection, investment related, and bancassurance/bancatakaful products; and financing solutions, as well as trade and cash management solutions. Its Group Wholesale Banking segment provides treasury products and solutions; corporate and debt restructuring, mergers and acquisitions, and takeovers advisory services, as well as fundraising and trustee services; transactional services; stockbroking and investment banking products and services; management of unit trust funds, investment management advisory, private mandates, and product development services; supply chain financing solutions; provides advice on macroeconomic developments; and economic and sectoral trends. Its Group Corporate and Business Banking offers conventional and Shariah-compliant financial solutions; and working capital financing, term financing, project financing, syndication, corporate exercise support, structured trade finance, unrated corporate bond, and foreign currency hedging services. Its Group International Business segment offers commercial and investment banking related services. Its Insurance segment provides general insurance for retail, SME, commercial, and corporate customers. Its Support Center and Others segment offers nominee, property investment and rental of premises, and other related financial services. The company also provides Islamic, merchant, and offshore banking; and leasing, custodian, fiduciary, asset management, and securities brokerage and underwriting services. In addition, it leases industrial construction, business equipment, and motor vehicles; and invests and manages properties. The company was founded in 1913 and is headquartered in Kuala Lumpur, Malaysia.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

RHB Bank Berhad reported revenue of 15.0B MYR in FY2025 versus 10.1B MYR in FY2021, a compound +10.3%/yr. Reported net income was 3.4B MYR in FY2025, compounding +6.5%/yr from FY2021.

Growth Quality 78/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2025)
15.0B MYR
Latest YoY
+1.4%
Avg. growth/yr (3Y)
+10.2%
Avg. growth/yr (5Y)
+6.9%
Avg. growth/yr (20Y)
+6.2%
Revenue +10.3%/yr
FY21 10.1B MYR
FY22 11.2B MYR
FY23 13.7B MYR
FY24 14.8B MYR
FY25 15.0B MYR
Net income +6.5%/yr
FY21 2.6B MYR
FY22 2.7B MYR
FY23 2.8B MYR
FY24 3.1B MYR
FY25 3.4B MYR

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Cite: Fair Value Calculator (2026). "RHB Bank Berhad Fair Value". https://www.fairvalue-calculator.com/stock/1066

Peer Group

Banks - Regional · 1082 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 68 · Top 25%
Fair Value upside +14% · Above median
Return on equity (TTM) 11% · Above median
Return on assets 1% · Below median
Net margin (TTM) 40% · Top 25%
Operating margin (TTM) 54% · Top 25%
Revenue growth 8% · Below median
Dividend yield (TTM) 6.0% · Top 25%
Debt / equity 0.47× · Higher than median

Valuation Multiples vs Banks - Regional median · lower = cheaper

P/E (TTM) 10.5× · Cheaper than median
P/B 0.26× · Cheaper than 75% of peers
P/S (TTM) 1.02× · Cheaper than 75% of peers
P/FCF 1.3× · Cheaper than median
EV/EBITDA 3.5× · Cheaper than 75% of peers
PEG 0.99× · Cheaper than 75% of peers

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 52 · sector 39
FUTURE 42 · sector 44
PAST 43 · sector 41
HEALTH 77 · sector 85
DIVIDEND 100 · sector 49

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Banks - Regional stocks, each showing price versus our Fair Value estimate (as of Jul 13, 2026).

Stock Price Fair Value vs Fair Value
PT Bank Central Asia Tbk BBCA 6,175 IDR 6,087 IDR -1%
KB Financial Group 105560 184,400 KRW 213,797 KRW +16%
PT Bank Rakyat Indonesia (Persero) Tbk BBRI 2,970 IDR 4,891 IDR +65%
PT Bank Mandiri (Persero) Tbk BMRI 4,310 IDR 7,841 IDR +82%
Banco Bradesco S.A BBD 5,120 ARS 10,240 ARS +100%
Shinhan Financial Group 055550 107,900 KRW 137,259 KRW +27%
Hana Financial Group 086790 136,800 KRW 193,969 KRW +42%
Lloyds Banking Group LYG 4,138 ARS 8,275 ARS +100%
Banco de Chile, CHILE 193.10 CLP 152.55 CLP -21%
Joint Stock Commercial Bank for Foreign Trade of Vietnam, VCB 59,400 VND 84,201 VND +42%

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Frequently asked questions

Is RHB Bank Berhad (1066) overvalued or undervalued?
As of Jul 13, 2026, our model estimates a fair value of 10.02 MYR versus a price of 8.80 MYR, about +14% (undervalued).
What is the fair value of 1066?
Our model-based fair value for RHB Bank Berhad is 10.02 MYR (as of Jul 13, 2026), built from audited fundamentals. The current price is 8.80 MYR.
What is the quality score of 1066?
RHB Bank Berhad has a Quality Score of 69/100. It combines two groups: business quality (profitability, growth, cash flow, balance-sheet strength) and market factors (price momentum, distance to the 52-week high, volatility). Both subtotals are shown separately in the detail view.
What is the revenue of RHB Bank Berhad (1066)?
RHB Bank Berhad reported trailing-twelve-month revenue of about 8.7B MYR (latest available figure, as of Jul 13, 2026).
What is the net profit margin of 1066?
The net profit margin of RHB Bank Berhad is about 39.8%, meaning it keeps roughly 39.8% of revenue as net income. Based on the latest reported figures.
Does RHB Bank Berhad pay a dividend?
RHB Bank Berhad currently shows a dividend yield of about 5.96% relative to its recent price (as of Jul 13, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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