First Gulf Bank climbs after generous payout - The National

The generosity of First Gulf Bank (FGB) to shareholders has clearly piqued the market's interest in the stock.

FGB's payout - Dh1.5 billion to shareholders, plus a free share for every one held - was bigger than any other bank in the industry this year. And analysts from JPMorgan believe that similarly generous payouts could follow in the years ahead.

"We believe that in the next 1-2 years, FGB management will continue to maintain a high focus on enhancing future return on equity via distribution of a higher dividend payout," analysts from the bank wrote in a research note.

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