Brokers say bank stocks will survive, eye Q3 earnings growth, recommend accumulating KKP and CREDIT, wait for a dip on KBANK

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Summary · why it matters

Chayut Krailatrattanasiri, Assistant Director of the Securities Analysis Department at Land and Houses Securities, disclosed that the decline in banking stocks, particularly KBANK, stemmed from pressure from foreign capital continuing to flow out of the Thai stock market in September, together with concerns over the earnings outlook for the third quarter of 2026. He expects the group's net profit to fall about 1.6% quarter-on-quarter and 10.6% year-on-year, weighed down by the high profit base of the previous year and the impact of interest rate adjustments. For KBANK, third-quarter net profit is expected to contract by nearly 10% quarter-on-quarter and by roughly 7% year-on-year, while non-interest income should hold up, especially at banks with a strong wealth management business. Investors should monitor the actual earnings announcements in mid-October, with three key variables: the recovery in lending, still-strong asset quality, and financial costs and provisions coming in lower than expected. On investment strategy, he recommends gradual accumulation, selecting individual stocks whose third-quarter earnings can still grow. CREDIT stands out most in the group and is expected to grow both quarter-on-quarter and year-on-year, while KKP is expected to post outstanding growth compared with the same period last year. For KBANK and the large banks, he advises waiting for a good entry point to accumulate.

Impact on assets 3

Financials± Mixed
Kasikornbank Public Company Limited
KBANK
▼ NegativeCapitalrelevance

KBANK's third-quarter net profit is expected to contract nearly 10% quarter-on-quarter and about 7% year-on-year, and brokers advise waiting for a dip before accumulating.

Thai Credit Pcl
CREDIT
▲ PositiveCapitalrelevance

CREDIT stands out most in the group and is expected to grow both quarter-on-quarter and year-on-year, so brokers recommend accumulating it.