Considering the current market climate, Is UOB worth buying on the SGX?

Hi anon,

This would depend on many factors.

Some things you can think about are:

• Price/Book ratio

• The ROE/ROA

• Net interest margin

• Non performing loan percent

• Comparison with peers

You'll also want to look at your portfolio as a whole, in terms of position sizing, are you having too many bank stocks, is this your first bank stock, etc...

This article can give you an idea of what to look out for:

https://blog.seedly.sg/dbs-ocbc-uob-financial-p...

Ultimately you will need to know you own comfortable entry price. Some may say that Friday's close of $23.20 is good enough, and some may still want a bigger margin of safety and hence wait it out.

If you believe that UOB will be better than what it is today 10 years later, then yes, you should probably buy it. But you should always do your own due dilligence before buying into any product.