HSBC stock outlook holds after strong third-quarter profit growth
Published on 11/13/2026 at 11:47 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWSHSBC reiterates growth and return targets
- Third-quarter revenue excluding notable items rose 5 percent to 18.7 billion US dollars, while profit before tax on the same basis increased 10 percent to 10.0 billion US dollars.
- The bank approved a third interim dividend of 10 US cents per share and plans a further share buyback of up to 1 billion US dollars.
- HSBC maintained its targets for at least 17 percent return on tangible equity and a 50 percent dividend payout ratio.
HSBC's third-quarter results show broad-based growth across its businesses, while management kept the bank's medium-term targets unchanged. The update was published for the quarter ended September 30, 2026, with the latest investor information available on Friday, November 13.
HSBC stock traded at 16.23 euros on Lang & Schwarz at 11:43 CET on Friday, November 13, 2026, 0.06 percent above the Xetra close of Thursday, November 12, at 16.22 euros.
Third-quarter growth stays broad-based
According to HSBC's investor update, revenue excluding notable items rose 5 percent to 18.7 billion US dollars in the third quarter. Profit before tax excluding notable items increased 10 percent to 10.0 billion US dollars, while annualised return on tangible equity reached 18.8 percent year to date.
The performance extended across the group's main businesses. Fee and other income in wholesale transaction banking increased 11 percent year on year. Net new money in Asia's wealth business reached 38 billion US dollars during the quarter, taking year-to-date flows above 100 billion US dollars.
HSBC also reported deposit growth of 105 billion US dollars during the quarter, including held-for-sale balances. Deposits in Hong Kong rose by 21 billion US dollars, while commercial lending in the United Kingdom increased 13 percent year on year.
Targets and capital returns remain intact
Management reiterated its target of revenue growth rising to 5 percent year on year by 2028, excluding notable items and on a constant-currency basis. The bank continues to target annualised return on tangible equity of at least 17 percent and a dividend payout ratio of 50 percent, also excluding relevant notable items.
The board approved a third interim dividend for 2026 of 10 US cents per share. HSBC also intends to initiate a further share buyback of up to 1 billion US dollars, which it expects to complete by the announcement of its 2026 full-year results.
For investors, the combination of stronger underlying earnings, capital distributions and unchanged targets supports the current strategy. The main issue remains execution: HSBC must sustain revenue growth while reallocating costs from non-strategic or low-returning businesses toward growth opportunities.
HSBC stock at a glance
- Company: HSBC Holdings plc
- ISIN: GB0005405286
- London ticker: HSBA
- Xetra ticker: HBC1.DE
- Exchange: London Stock Exchange
- Lang & Schwarz price: 16.23 euros at 11:43 CET on November 13, 2026
- Change versus Xetra close: 0.06 percent above the November 12 close of 16.22 euros
The wider UK market remains an important backdrop for HSBC stock; investors can follow FTSE 100 market reports.
More updates are available in more news and analyses on HSBC stock.
