Hanmi Financial: Attractively Valued However Earnings Likely To Be Flattish

Summary

• Loan growth will decline from the unsustainable level observed during the first nine months of 2022. However, hot labor markets will sustain loan growth.
• The margin will not expand as much as before because the deposit mix has recently worsened.
• The December 2023 target price suggests a high upside from the current market price. Further, HAFC is offering a good dividend yield.

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Earnings of Hanmi Financial Corporation (NASDAQ:HAFC) will most probably be flattish in both 2022 and 2023. Decent loan growth and slight margin expansion will likely boost earnings. On the other hand, a commensurate increase in operating expenses and normalization of provision

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Disclaimer: This article is not financial advice. Investors are expected to consider their investment objectives and constraints before investing in the stock(s) mentioned in the article.