Pi Securities Picks KTB as Top Large Bank, Eyes Special Dividend to Lift ROE to 10.5%

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Pi Securities assessed the outlook for Krung Thai Bank, or KTB, maintaining its dividend payout assumption at 60% and seeing KTB as having the potential to pay a special dividend from its strong capital levels, which would support return on equity, or ROE, at a double-digit level of 10.4% in 2026 and 10.5% in 2027, the highest among large banks. For 2026 net profit, it expects growth of only 1% from the previous year amid pressure from a weakening net interest margin, or NIM, before accelerating 4% in 2027, driven mainly by loan expansion rather than NIM growth. Fee income is also expected to keep growing, particularly from the wealth management business. For third-quarter 2026 results, Pi Securities expects KTB to post net profit of about 12 billion baht, down 12% from the same period a year earlier but up 6% from the previous quarter, on loan expansion and higher fee income.

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