The general evaluation of CHINA MINSHENG BANK (CN), a company active in the Money Center Banks industry, has been upgraded by the independent financial analyst theScreener with the addition of a star. Its fundamental valuation now shows 3 out of 4 possible stars while its market behaviour can be considered as moderately risky. theScreener believes that the additional star(s) merits the upgrade of its general evaluation to Slightly Positive. As of the analysis date January 7, 2022, the closing pr...
Full Article at IIR has reaffirmed its Recommended rating for PIA after undertaking a review post the appointment of a new Portfolio Manager, Harding Loevner. The full report can be found on the IIR website. On 26 July 2021, Pengana International Equities Limited (PIA) announced a fully franked dividend of 1.35 cents per share for the June quarter. This represents an 8% increase on the March quarter dividend and takes the total dividends declared for FY21 of 5.1 cents per share, fully franked....
China regulators will impose a cap on domestic banks’ lending to the real estate sector. For Tier-1 large-scale banks, loans to developers will be capped at 40% while mortgage lending will be capped at 32.5% of their outstanding credit. The new rule shows that the regulators are firm in their stance in preventing speculation on the property market. There is limited impact on banks, but property market demand is expected to be hit hardly, which will then further tighten the developers’ liquidity ...
GREATER CHINA Economics Inflation: Not out of the woods yet. Money Supply: November data raises questions on pace of recovery. Sector Commercial Vehicle: 2020 recovery to be driven by replacement demand. Machinery: Excavator sales growth rebounded further to 21.7% in Nov 19. Initiate Coverage Sinotruk (3808 HK/HOLD/HK$14.68/Target: HK$14.00): Short-term pain for long-term gain. Weichai Power (2338 HK/BUY/HK$14.34/Target: HK$18.50): Winner of engine industry consolidation. Update China Minsheng B...
On Tuesday, the media reported that Shanghai Pudong Development Bank, along with China Merchants Bank, or CMB, and Bank of Communications, or BOCOM, were found in contempt for refusing to comply with subpoenas in a North Korea sanctions violation investigation conducted by a U.S. judge. The H-Shares of CMB and BOCOM declined by 7.7% and 3.7%, respectively, though both companies officially denied involvement in any investigations related to possible violations of sanctions, and are in compliance ...
On Tuesday, the media reported that Shanghai Pudong Development Bank, along with China Merchants Bank, or CMB, and Bank of Communications, or BOCOM, were found in contempt for refusing to comply with subpoenas in a North Korea sanctions violation investigation conducted by a U.S. judge. The H-Shares of CMB and BOCOM declined by 7.7% and 3.7%, respectively, though both companies officially denied involvement in any investigations related to possible violations of sanctions, and are in compliance ...
No-moat China Minsheng Bank Corp's, or CMBC’s, first-quarter results posted a strong 19% rebound in revenue in the first quarter, up from 9% in 2018, driven by both net interest margin, or NIM, expansion and fee income growth recovery. Along with an accelerating top line growth, the bank also achieved the strongest improvement in operating efficiency among listed Chinese banks we cover, cost/income ratio declined 346 basis points to 21.3%. While that ratio is one of the lowest among our Chines...
No-moat China Minsheng Bank Corp's, or CMBC’s, first-quarter results posted a strong 19% rebound in revenue in the first quarter, up from 9% in 2018, driven by both net interest margin, or NIM, expansion and fee income growth recovery. Along with an accelerating top line growth, the bank also achieved the strongest improvement in operating efficiency among listed Chinese banks we cover, cost/income ratio declined 346 basis points to 21.3%. While that ratio is one of the lowest among our Chines...
No-moat China Minsheng Bank Corp's, or CMBC’s, first-quarter results posted a strong 19% rebound in revenue in the first quarter, up from 9% in 2018, driven by both net interest margin, or NIM, expansion and fee income growth recovery. Along with an accelerating top line growth, the bank also achieved the strongest improvement in operating efficiency among listed Chinese banks we cover, cost/income ratio declined 346 basis points to 21.3%. While that ratio is one of the lowest among our Chines...
No-moat China Minsheng Bank Corp., or CMBC, posted an 8.7% rebound in revenue in 2018 versus the 7% decline and 0.5% growth respectively in 2017 and 2018, driven by net interest margin, or NIM expansion. Owing to a 158 basis point improvement in cost to income ratio, the increase in pre-provisioning operating profits accelerated to 11%. Net profit growth slowed to 1.0% as a result of increased provision coverage. The results were blemished by a larger-than-peer increase in deposit costs and sign...
No-moat China Minsheng Bank Corp., or CMBC, posted an 8.7% rebound in revenue in 2018 versus the 7% decline and 0.5% growth respectively in 2017 and 2018, driven by net interest margin, or NIM expansion. Owing to a 158 basis point improvement in cost to income ratio, the increase in pre-provisioning operating profits accelerated to 11%. Net profit growth slowed to 1.0% as a result of increased provision coverage. The results were blemished by a larger-than-peer increase in deposit costs and sign...
Bank of Jinzhou Co Ltd - Strategy, SWOT and Corporate Finance Report Summary Bank of Jinzhou Co Ltd - Strategy, SWOT and Corporate Finance Report, is a source of comprehensive company data and information. The report covers the company's structure, operation, SWOT analysis, product and service offerings and corporate actions, providing a 360Ëš view of the company. Key Highlights Bank of Jinzhou Co Ltd (Bank of Jinzhou) is a provider of retail and corporate banking, and other financial solu...
China Minsheng Banking Corp., or CMBC, is a leader in China’s micro- and small enterprise, or MSE, financing market. In the past, its differentiated strategy in the underpenetrated MSE sector has rewarded investors with enviable results via growth in shareholders' equity and net profits. However, the fragility of private economy translated to a painful business restructuring for CMBC from 2014 onward. These difficulties are compounded by ongoing regulatory tightening to crack down on shadow ba...
Following no-moat China Minsheng Bank Corp's fourth-quarter preliminary results, we reduced our fair value estimate to CNY 5.50 from CNY 5.90 per share for its A shares, and HKD 6 from HKD 6.50 per share for H shares, as we increase our credit costs assumption in the near term to factor in higher credit quality risks for the bank. The bank’s H shares are fairly valued, trading at 0.57 times 2018 price/book value with 11% net assets growth in 2018. The bank is trading at the low end of the valu...
Following no-moat China Minsheng Bank Corp's fourth-quarter preliminary results, we reduced our fair value estimate to CNY 5.50 from CNY 5.90 per share for its A shares, and HKD 6 from HKD 6.50 per share for H shares, as we increase our credit costs assumption in the near term to factor in higher credit quality risks for the bank. The bank’s H shares are fairly valued, trading at 0.57 times 2018 price/book value with 11% net assets growth in 2018. The bank is trading at the low end of the valu...
Following no-moat China Minsheng Bank Corp's fourth-quarter preliminary results, we reduced our fair value estimate to CNY 5.50 from CNY 5.90 per share for its A shares, and HKD 6 from HKD 6.50 per share for H shares, as we increase our credit costs assumption in the near term to factor in higher credit quality risks for the bank. The bank’s H shares are fairly valued, trading at 0.57 times 2018 price/book value with 11% net assets growth in 2018. The bank is trading at the low end of the valu...
Following no-moat China Minsheng Bank Corp's fourth-quarter preliminary results, we reduced our fair value estimate to CNY 5.50 from CNY 5.90 per share for its A shares, and HKD 6 from HKD 6.50 per share for H shares, as we increase our credit costs assumption in the near term to factor in higher credit quality risks for the bank. The bank’s H shares are fairly valued, trading at 0.57 times 2018 price/book value with 11% net assets growth in 2018. The bank is trading at the low end of the valu...
Following the People's Bank of China's announcement that it will launch central bank bill swaps to improve the liquidity of banks' perpetual bonds, we’re maintaining our fair value estimates for the Chinese banks we cover. According to the central bank’s statement, primary dealers engaged in an open-market operation are allowed to swap the perpetual bonds they hold for the central bank bills. Banks' perpetual bonds with ratings no lower than AA will be included as qualified collateral for a ...
We see China’s latest cut in its reserve requirement ratio as having limited impact on the valuations of the Chinese banks we cover. We believe the benefits of liquidity injection are largely offset by downward pressure on net interest margin, given weaker loan pricing and intense deposit competition. Our top picks are Agricultural Bank of China and Industrial & Commercial Bank of China, which are trading at 29% and 26% discounts to our fair value estimates, respectively. Assuming other assum...
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