Tuesday, 26 July 2011 at 15:35, Reuters
Goldman Sachs expects asset quality to remain challenging for the bank. (REUTERS)
Goldman Sachs slashed its price target on Commercial Bank of Kuwait (CBK) to 0.84 dinars from 0.93 dinars, citing weak loan growth and high cost of risk.
The brokerage, which backed its "sell" rating, lowered its net income estimates for CBK by 10 per cent on an average for the 2011-14 period.
"Loan growth in Kuwait remains muted with delays in the implementation of development projects, and this affects CBK more than its peers given its greater focus on corporate lending," Goldman Sachs wrote in a note.
The brokerage said it expects asset quality to remain challenging for the bank.
Your comments