Great Eastern

$Great Eastern(G07.SG)This stock has a great uptrend.

$Great Eastern(G07.SG)

Great Eastern (G07): Earnings Surge, But Privatisation Remains the Wild Card

Great Eastern delivered a stellar 2Q26, with profit attributable to shareholders soaring 103% YoY to S$503.2m, lifting 1H26 profit 43% to S$849.5m. The key driver was stronger insurance operating performance, supported by improved underwriting and investment results. Total weighted new sales rose 13% YoY to S$411.3m, while new business embedded value jumped 25% to S$209.9m, signalling stronger franchise economics. (The Business Times)

The board declared a 35-cent interim dividend, payable 28 August. This is encouraging, but investors should not extrapolate the exceptional Q2 profit into recurring quarterly dividends: insurance earnings remain sensitive to market valuations, interest rates, claims and investment returns. (Singapore Business Review)

Technically, G07 has regained strong momentum, with shares recently around S$19.50 and substantially above their 200-day moving average. (Moomoo) Valuation is therefore less compelling after the rally.

The biggest catalyst remains OCBC. However, OCBC previously stated it was not seeking to privatise Great Eastern, making another offer speculative rather than an investment thesis. (POEMS)

Verdict: Fundamentally stronger, technically bullish, but valuation and privatisation uncertainty warrant caution.

Not financial advice.

🦎 ANALYST WATCH | 8 July 2026

O39 OCBC

WHAT THE ANALYST SAYS

UOB Kay Hian maintains a buy rating with a target price of 29.70 dollars, based on a 2027 price to book valuation. The report frames wealth management and insurance as OCBC's two main growth engines, pointing to an expanding relationship manager team, a push into ultra high net worth clients through Bank of Singapore, and Great Eastern insurance income up 34 percent year on year in the first quarter. For 2026, the broker expects mid single digit loan growth, double digit growth in non-interest income, and a steady 50 percent dividend payout ratio.

NOTE

For the full report, check UOB Kay Hian's published note or your broker platform.

Not financial advice. Iggy's Forensic Compliance Standards apply.