Citi trims earnings estimate for Bank of Queensland

Bank of Queensland

10/08/2026 22:12

** Citi says Bank of Queensland's BOQ.AX A$295 million ($208.12 million) capital return on Monday largely in line with expectations
** Brokerage maintains "neutral" view and says momentum from BOQ's capital return has run its course, shifting focus to "challenging growth vs margin dynamics as market activity slows"
** BOQ also announced A$45 million technology-related impairment charge
** Citi cuts FY26 cash earnings estimate by 10% and FY27-28 estimate by 5% to reflect the impairment charge and adjust for the capital return
** Analysts at Morningstar, however, see BOQ's capital return and digital transformation as supporting long-term improvement, and maintain a "positive to neutral" view
** Morningstar maintains its A$7.20 fair value estimate, emphasizing future efficiency gains
** One of 13 analysts rate the stock "buy" or higher, six "hold" and six "sell" or lower; median PT is A$6.15 – LSEG data
** Shares up 4.6% YTD

($1 = 1.4174 Australian dollars)

 (Reporting by Shravya Marakini in Bengaluru)
 ((shravya.marakini@thomsonreuters.com;))