Philippine banking stocks gain in Q2, PNB leads with 142% surge

Philippine banking stocks showed resilience and strong performance in the second quarter, with some analysts advising investors to buy on dips.

COL Financial's chief equity strategist, April Lee-Tan, noted that while overall corporate earnings growth slowed, banking remained the best performing sector with a median earnings growth of 8.2 percent in the second quarter.

She also observed that smaller banks performed better than the big three banks in terms of growth.

However, concerns exist that larger banks might face reduced net interest margins due to anticipated lower interest rates.

Philippine National Bank (PNB) led gains with a 142.3% surge, followed by Asia United Bank Corp. (AUB) at 75.6% and China Banking Corp. (CBC) at 69.9%.

Philippine Savings Bank also posted positive growth, while Philippine Trust Co. (PTC) and Union Bank of the Philippines (UBP) experienced stock contractions.