01658 Should I Buy

UBS maintained a 'Neutral' rating on PSBC due to its 1.9% year-on-year increase in net profit for 1Q26, which lagged behind the growth of other major state-owned banks. This was primarily attributed to a significant increase in provisions for non-performing loans, despite a solid revenue growth of 7.6%. The broker set a target price of HKD6.1.