OCBC shares tumble nearly 5% as market value loses S$7 billion

OCBC experienced a sharp intraday decline of up to 4.9% on Wednesday, pushing the share price to S$30.63 and eliminating about S$7 billion from its market valuation. The stock became the top-traded by value, with more than 9 million shares—worth close to S$348 million—exchanged. Citi downgraded the bank from neutral to sell, setting a target price of S$27.50 and projecting flat year-on-year earnings into the next quarter, which dampened growth optimism.

UOB Kay Hian maintained a cautious stance on the banking sector, noting concerns over Middle-East tensions, while still rating OCBC as a buy because of its strong wealth-management earnings growth. In the same session, DBS fell 1.5% and UOB slipped 2%, with Citi keeping a buy rating on DBS and a sell on UOB, citing relative valuation differences.