SINGAPORE (Nov 3): HSBC Global Research has rated DBS Group with a “buy” and an unchanged target price of $20.00 as rising US dollar rates or a sustained asset quality resilience could emerge as catalyst for the banking and finance group.

It reckons there is limited downside risk to DBS’ share price, given the counter trades at one time Dec 2016E book value and 10 times 2016E earnings per share.

“Cheap valuations limit downside risk, but patience is needed for a positive catalyst,” HSBC analyst Loo Kar Weng writes in a note on Monday.

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