To know how to buy DBS at “dirt-cheap” prices, you first need to know how to assess DBS loans and deposits. Let’s break it down here.
Save this DBS article. Print it out. Put it somewhere safe in your drawer. Heck, put this in your underwear if you must.
Because I want to share this crucial topic at stock market highs on how I would buy DBS at “dirt-cheap” prices and for dividends.
DBS: The “Best Bank in the World”
At S$144 billion market cap, DBS Group is Singapore’s largest bank. It controls S$574 billion in deposits and owns S$437 billion in loans.
Despite a bank’s complex financial reporting, banking is a remarkably easy business to understand.
First, it takes in deposits from its retail branches and pays these deposits a small rate of interest.
Then, DBS uses these deposits to lend to companies and consumers at much higher interest rates....