Singapore, Jan 29, 2026, 14:51 SGT — Regular session
Shares of Oversea-Chinese Banking Corp (OCBC) in Singapore edged up 0.23% to S$21.34 by 2:39 p.m. local time on Thursday. The stock fluctuated between S$21.25 and S$21.37, with roughly 1.8 million shares traded.
Brokers have raised their target prices — estimates of where a stock could trade within the next year — following a strong run from Singapore’s big three banks that pushed the Straits Times Index to fresh highs. OCBC’s average target price, based on 17 analysts, climbed 3.1% last week to S$20.70, according to the Business Times, even as the stock hit S$21.42 on Tuesday. Meanwhile, consensus targets for DBS and UOB nudged up to S$59.78 and S$37.26 respectively.
On Thursday, Singapore’s central bank held its exchange-rate policy steady but signaled rising risks to growth and inflation. OCBC economist Selena Ling described the stance as “a tad more hawkish and less dovish,” while Maybank’s Chua Hak Bin said he felt “more positive on the growth outlook.” Reuters
OCBC launched a securities-lending programme on Wednesday through Citigroup’s Citi Securities Lending Access platform. The move allows brokerage customers to lend out U.S. and Hong Kong shares for fees, while still collecting dividends and retaining selling rights, the bank said. OCBC aims to roll out the service to Bank of Singapore clients by 2026, covering Singapore and Japan shares. It referenced S&P Global Market Intelligence data showing securities-lending revenues hit $1.2 billion in December 2025. “Securities lending brings benefits such as higher trading volumes, price discovery and market efficiency,” said Kenneth Lai, OCBC’s head of global markets. Citi’s Mridula Iyer added the partnership would expand access to a wider range of market participants. OCBC
RHB raised its target price for OCBC to S$21.30 from S$18.70 but maintained a “neutral” rating, the Business Times reported. The bank expects single-digit year-on-year earnings growth in OCBC’s upcoming results. RHB also forecasts a final dividend of S$0.575 per share and a full-year payout of S$0.985, which it estimates will represent a 60% dividend payout. The Business Times
Securities lending lets investors loan out shares to institutional borrowers, usually for short-selling or hedging, in exchange for a fee. For banks, it’s more of a market-services play than a traditional lending risk. Demand can be uneven, often tracking trading volumes.
But the rally in bank shares has narrowed the margin for error. A quicker-than-anticipated drop in interest rates could pinch net interest margins, while a rise in credit costs would challenge investors’ faith in the sector’s dividend appeal.
OCBC is set to release its full-year 2025 financial results on Feb. 25, ahead of market open, according to an SGX filing. Investors will focus on margin trends, loan growth, and capital returns amid the recent rally in bank shares.
