Union Bank predicts that Bank Hapoalim will have a net return on capital of 13% in 2005.
Union Bank of Israel (TASE:UNON) says Bank Hapoalim (LSE:BKHD; TASE:POLI) will post a net profit of NIS 2.2 billion for 2004, 70% higher than for 2003. The profit will reflect a net return on capital of 15.4%. Excluding a capital gain from the issue of Signature Bank (Nasdaq:SBNY), Bank Hapoalim will have a net return on capital of 12.6%. Union Bank predicts that Bank Hapoalim will have a net return on capital of 13% in 2005, and gave its share an "Outperform" recommendation.
Union Bank says Bank Hapoalim will achieve a return on capital of over 15% starting in 2008, under the strategic plan its management formulated, similar to the returns achieved by leading US and European banks.
Published by Globes [online], Israel business news - www.globes.co.il - on December 23, 2004