DBS Q1 Beats & Raises Dividend 8%! Will UOB and OCBC Follow?

Tiger_SG
05-01
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$DBS(D05.SI)$ reported Q1 2026 results with net profit of S$2.93B (+1% YoY), beating the Bloomberg consensus of S$2.88B.

Shares closed +3.4% at S$58.50. Non-interest income and wealth management fees both hit all-time highs. Dividend raised to S$0.81/share from S$0.75 a year earlier. In a lower-rate world, DBS proved the model works — just not the way the market expected.

Up next: $UOB(U11.SI)$ (May 7) and $OCBC Bank(O39.SI)$ (May 8).

Highlights for DBS earnings

1. Deposit growth blew past expectations.

Customer deposits rose 9% YoY to S$629.9B, with more than two-thirds in CASA. CEO Tan Su Shan upgraded full-year deposit growth guidance to "high to higher single-digit." Low-cost CASA inflows are sticky — this is a structural, not cyclical, tailwind.

2. Wealth management fees hit a record S$907M!

With S$10B in net new money and AUM climbing to S$492B. Middle East conflict is accelerating Singapore's safe-haven positioning, and it showed up directly in bancassurance and investment product sales. This benefits all three Singapore banks — watch OCBC's Bank of Singapore and UOB's private banking closely next week.

3. Rates logic is inverted — and that matters.

DBS disclosed that each +1bp rise in USD rates reduces NII by ~US$4M, due to hedging positioning. Rising rates are a headwind, not a tailwind. SORA guidance was also cut from 1.25% to 1.00%, and the bank now expects zero Fed rate cuts in 2026 (down from two). NIM pressure is structural — non-interest income is what gets you through it.

What to Watch for UOB and OCBC

DBS's results give clear read-throughs for the final two banks:

  • NIM pressure is baked in. Q1 avg SORA was 1.07% vs 2.54% a year ago. Expect NII to decline for UOB and OCBC similarly — the question is whether wealth and fee income offsets it

  • Wealth fees are the swing factor. Can OCBC's Bank of Singapore and UOB's private banking match the record levels DBS put up? If yes, both could also beat on non-interest income

  • Guidance tone matters most. DBS upgraded its FY2026 profit outlook from "below 2025" to "good shot at 2025 levels." If UOB and OCBC echo this, the sector re-rating has further room to run

Prediction: Where Do UOB and OCBC Close After Earnings?

Correctly predict OCBC or UOB's post-earnings Friday closing price to share 1,000 Tiger Coins. Every participant gets 5 Tiger Coins just for joining. If no one guesses correctly, coins are split equally.

💬 Comment below:

  1. I think OCBC will close at SGD ___ on May 9 (Friday after earnings)

  2. I think UOB will close at SGD ___ on May 8 (earnings day)

  3. Will OCBC or UOB match DBS's wealth management fee surprise? Yes / No

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DBS Beats! $60 is Coming in May?
DBS reported Q1 2026 results with net profit of S$2.93B (+1% YoY), beating the Bloomberg consensus of S$2.88B. Shares closed +3.4% at S$58.50. Non-interest income and wealth management fees both hit all-time highs. Dividend raised to S$0.81/share from S$0.75 a year earlier. In a lower-rate world, DBS proved the model works — just not the way the market expected. Up next: UOB (May 7) and OCBC (May 8). Are you bullish on DBS hitting $60 in May? Does DBS earnings signal a good start for the other two?
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
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Comments

  • Investordude1301
    05-02 21:27
    Investordude1301
    My take:
    1. I think OCBC will close at S$22.50 on 9 May.
    2. I think UOB will close at S$37.70 on 8 May.
    3. Both UOB and OCBC will match DBS DBS’s wealth management fee surprise.
    • LazyCat Invests: 
      I think OCBC will close at SGD 22.34 on May 9 (Friday after earnings)


      I think UOB will close at SGD 35.6 on May 8 (earnings day)


      Will OCBC or UOB match DBS's wealth management fee surprise? No

  • Cadi Poon
    05-01
    Cadi Poon
    Customer deposits rose 9% YoY to S$629.9B, with more than two-thirds in CASA. CEO Tan Su Shan upgraded full-year deposit growth guidance to "high to higher single-digit." Low-cost CASA inflows are sticky — this is a structural, not cyclical, tailwind.
  • TimothyX
    05-01
    TimothyX
    Shares closed +3.4% at S$58.50. Non-interest income and wealth management fees both hit all-time highs. Dividend raised to S$0.81/share from S$0.75 a year earlier. In a lower-rate world, DBS proved the model works — just not the way the market expected.
  • Shyon
    05-04 22:24
    Shyon
    $DBS(D05.SI)$ results reinforced my view that SG banks are shifting toward a fee-driven growth model rather than relying on interest rates. With DBS delivering record wealth management fees & strong deposit inflows, the franchise remains resilient even in a lower-rate environment. CASA strength and inverted rate sensitivity suggest earnings are increasingly driven by client flows, not just margins.

    The focus now shifts to whether UOB & OCBC can replicate this momentum. With NIM pressure largely priced in, wealth & fee income will be the key differentiator. If both banks show solid private banking and investment product growth, the sector still has upside.

    My base case is a partial match on wealth strength, supported by continued safe-haven inflows into Singapore. I expect $ocbc bank(O39.SI)$ at SGD 22.50 & $UOB(U11.SI)$ at SGD 37. If this holds, the narrative continues shifting from rate sensitivity to fee-driven compounders.

    @Tiger_SG @TigerClub @Tiger_comments @TigerStars

  • koolgal
    05-04 16:29
    koolgal
    🌟🌟I predict $OCBC Bank(O39.SI)$ will close at SGD 23.00 and $UOB(U11.SI)$ will close at SGD 38.00.

    DBS has set a high bar and while OCBC and UOB are trying their best, they have some catch up to do to beat DBS's SGD907 million in wealth management fees.

    OCBC has a secret weapon in $Great Eastern(G07.SI)$.  Analysts expect OCBC to show strong wealth fee momentum because of this insurance powerhouse.

    UOB is the most undervalued among the 3 banks.  While it may not hit DBS's record, UOB is expected to see normalised provisions and stable fee growth from their regional expansion.   UOB's forte is their retail banking exposure in South East Asia especially after they have taken over Citi's retail banking business in Indonesia, Thailand, Malaysia and Vietnam.

    If OCBC and UOB can even whisper the words "record fee growth" I believe their share prices will rocket to the moon.  If not their dividends will still be a great comfort.

    @Tiger_SG @Tiger_comments @TigerStars


  • moliya
    05-04 05:49
    moliya
    My take:


    1. I think OCBC will close at S$22.50 on 9 May.


    2. I think UOB will close at S$37.70 on 8 May.


    3. Both UOB and OCBC will match DBS DBS’s wealth management fee surprise.
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