Bank of America Securities: Expects HSBC Holdings (00005) Hong Kong deposits and Asian wealth management business to show significant growth next year.

Bank of America Securities released a research report stating that it is expected that HSBC HOLDINGS (00005) will achieve significant growth in two areas next year, including the Hong Kong deposit business and the Asian wealth management business. It is believed that HSBC has a significant competitive advantage in these two areas, and the management has also promised to increase investment in related fields. It is expected that the increased resource allocation will further enhance its competitive advantage and increase market share. Bank of America Securities predicts that HSBC's earnings per share for 2026 and 2027 will be about 7% to 9% higher than market expectations, mainly due to higher revenue and share buybacks. It is also expected that the pace of HSBC's share buybacks will increase from the second quarter of next year to a level of $2-3 billion per quarter. Based on the revised earnings per share forecast, the bank has upgraded its rating on HSBC from "neutral" to "buy."