Q: Current thoughts? Is good earnings growth ahead?
5i Research Answer:
VBNK faced some margin compression recently, which impacted its results and price over the past several months. FY2026 is expected to see decent growth, but analyst estimates trends have been moving lower, and it has seen some growth slowdown in recent quarters. Its valuation is decent at a 1.0X book multiple and 11.0X forward earnings multiple, but we feel this reflects its slowdown in growth. Its recent momentum has been improving, but we would like to see a noticeable improvement in margins before getting more interested in the name again.