Oversea-Chinese Banking Corporation Limited (O39.SI) stock analysis

In our weekly check, Oversea-Chinese Banking Corporation Limited is graded B (A to F). Of 25 checks on debt, profit, cash flow and trend: 17 pass, warnings: 3, red flags: 5.

About Oversea-Chinese Banking Corporation Limited

Oversea-Chinese Banking Corporation Limited is a Financial Services company (Banks - Regional) based in Singapore, listed on SES as O39.SI.

What our checks show for O39.SI

Red flags

• The net margin fell by 11.5 points over 5 years, to 28.5%: the company keeps less of each sale as profit.
• The gross margin fell by 24.4 points, to 55.5%: costs are rising faster than prices.
• Analysts expect revenue to shrink about 11.3% a year.
• Return on capital (ROCE) is only 1.5%.

Warning signs

• The dividend takes 78% of profit: little cushion if profit falls.
• The stock has fallen as much as 59% from a peak. Would you have held through that?
• Recovering from its deepest fall took about 1.7 years.

Strengths

• Operating cash flow is 1.68x net profit: the profit arrives as real cash.
• Analysts expect the net margin to improve by 23.5 points from today's 28.5%.
• Revenue grew 18.7% a year over the last 3 years.
• The company keeps 28.5% of its revenue as net profit.
• Free cash flow is 44% of revenue: cash for dividends, buybacks or growth.
• A large company: market value $102 billion.

Similar companies

NED.JO · 1155.KL · BBAS3.SA · MFG · HDB · LUMI.TA

Questions

What grade does Oversea-Chinese Banking Corporation Limited (O39.SI) have?

In our weekly check, Oversea-Chinese Banking Corporation Limited is graded B (A to F). Of 25 checks on debt, profit, cash flow and trend: 17 pass, warnings: 3, red flags: 5. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of O39.SI stock?

This week's biggest flags for Oversea-Chinese Banking Corporation Limited: Margins falling, Gross margin falling, Weak revenue forecast. In total 8 of 25 checks show a warning or a red flag.

What does Oversea-Chinese Banking Corporation Limited do?

Oversea-Chinese Banking Corporation Limited is a Financial Services company (Banks - Regional) based in Singapore, listed on SES as O39.SI.

The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.

Updated 2026-10-24

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