Metrobank stock: Q3 profit pressure keeps analysts neutral
Published on 11/11/2026 at 02:18 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWSProfit growth meets rising costs
- Metrobank reported PHP 36.3 billion in nine-month net income for 2026.
- Loan growth and a wider net interest margin supported revenue, while operating costs and credit charges weighed on earnings.
- AB Capital Securities kept a Neutral view and cut its target price from PHP 73 to PHP 68.
Metrobank reported PHP 36.3 billion in net income for the first nine months of 2026, down from the year-earlier period. The Philippine bank said on November 5 that double-digit loan growth, improving margins and higher fee income supported results despite a challenging operating environment. Read the company's official earnings release.
Loans expand as earnings soften
Net interest income rose 11.9 percent to PHP 102.7 billion, while net interest margin improved to 3.9 percent from 3.7 percent a year earlier. Gross loans increased 13.0 percent, led by 14.2 percent growth in institutional lending and an 8.9 percent rise in consumer loans.
Fee and trust income grew 6.7 percent to PHP 14.9 billion, but operating costs reached PHP 64.8 billion as Metrobank continued investing in personnel and technology. Asset quality remained comparatively resilient, with a 1.9 percent non-performing-loan ratio and 131.8 percent coverage.
Analyst sees limited rerating
AB Capital Securities said third-quarter net income reached PHP 11.4 billion, down 8 percent year on year and 7 percent quarter on quarter. In its November 6 analysis published by Philstar.com, the broker retained a Neutral recommendation and lowered its dividend-discount-model target to PHP 68 from PHP 73.
The broker pointed to credit costs of 79 basis points for the first nine months and 88 basis points in the third quarter. It also cited a 52.9 percent cost-to-income ratio and 11.7 percent return on equity as constraints on a near-term valuation recovery.
Metrobank's banking platform
Metrobank is a Philippine financial conglomerate offering institutional and consumer banking, investment banking, leasing and financing, and bancassurance. The group serves customers through more than 960 branches and over 2,100 automated teller machines, with additional operations across Asia, Europe and North America.
Metrobank is the second-largest lender in the Philippine banking system by assets, according to its investor-relations profile. Its broad banking model contrasts with more specialized financial firms, while competition in the domestic market includes other large universal banks such as BDO Unibank and Bank of the Philippine Islands.
Metrobank stock facts
- Company: Metropolitan Bank & Trust Co. (Metrobank)
- ISIN: PHY6028G1361
- Ticker: MBT
- Home exchange: Philippine Stock Exchange
Philippine equities remain exposed to economic growth, inflation and monetary-policy expectations; follow Current market reports for the broader market backdrop.
More news and analyses on Metrobank stock.
