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Chinese (SSE) Financials Sector Analysis

UpdatedDec 01, 2021
DataAggregated Company Financials
Companies97
  • 7D-2.0%
  • 3M-4.3%
  • 1Y-13.6%
  • YTD-8.7%

Over the last 7 days, the Financials industry has dropped 2.0%, driven by a decline by China Merchants Bank of 3.4%. However, the industry is down 14% over the past year.

Sector Valuation and Performance

Has the Chinese Financials Sector valuation changed over the past few years?

DateMarket CapRevenueEarningsPE
Wed, 01 Dec 2021CN¥7.1tCN¥2.5tCN¥726.4b14.6x
Fri, 29 Oct 2021CN¥7.3tCN¥2.5tCN¥732.8b14.2x
Sun, 26 Sep 2021CN¥6.8tCN¥2.4tCN¥718.3b15.2x
Tue, 24 Aug 2021CN¥7.4tCN¥2.4tCN¥718.4b14.8x
Wed, 30 Jun 2021CN¥7.6tCN¥2.4tCN¥709.5b15.1x
Sat, 03 Apr 2021CN¥7.5tCN¥2.4tCN¥648.3b16.3x
Tue, 05 Jan 2021CN¥7.6tCN¥2.2tCN¥628.0b19.1x
Fri, 09 Oct 2020CN¥7.0tCN¥2.2tCN¥613.0b19.1x
Thu, 02 Jul 2020CN¥6.3tCN¥2.1tCN¥604.8b18.7x
Sun, 05 Apr 2020CN¥5.9tCN¥2.1tCN¥622.2b20.1x
Wed, 08 Jan 2020CN¥6.8tCN¥2.1tCN¥613.5b21x
Tue, 01 Oct 2019CN¥6.3tCN¥2.0tCN¥599.5b20.6x
Fri, 05 Jul 2019CN¥6.3tCN¥1.9tCN¥566.8b22.9x
Mon, 08 Apr 2019CN¥6.5tCN¥1.9tCN¥542.2b25.6x
Thu, 10 Jan 2019CN¥4.8tCN¥1.7tCN¥502.1b24.7x
PE Ratio

22.1x

Total Market Cap: CN¥5.1tTotal Earnings: CN¥523.0bTotal Revenue: CN¥1.8t0%0%0%3 Year10 Year
201920202021

Current Industry PE: Investors are more pessimistic on the industry, considering it's trading at a PE ratio of 14.6x which is lower than its 3-year average PE of 20.1x. It appears they believe that earnings will not grow as fast as they have historically.

Past Earnings Growth: The earnings for companies in the Financials industry have grown 12% per year over the last three years, and revenues for these companies have grown 12% per year. This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.

Industry Trends

Which industries have driven the changes within the Chinese Financials sector?

Consumer Finance13.62%
Diversified Financial0.099%
Capital Markets-1.75%
Banks-2.30%
Insurance-2.41%

Industry PE: Investors are most optimistic about the Insurance industry which is trading above its 3-year average PE ratio of 12.9x. However analysts are expecting annual earnings growth of 11%, which is lower than the prior year's growth of 13% per year. So the market might believe that analysts are underestimating future growth. Meanwhile, investors are most pessimistic about the Banks industry, which is trading below its 3-year average of 7.7x.

Forecasted Growth: Analysts are most optimistic on the Consumer Finance industry, expecting annual earnings growth of 23% over the next 5 years. This is better than its past earnings decline of 38% per year. Meanwhile, the Diversified Financial industry is expected to see its earnings grow by 7.2% per year over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

Company7D1YValuation
776 GF Securities1.9%+CN¥3.4b37.6%PE17.2x
567 Hainan Haide Capital Management25.7%+CN¥2.6b91.1%PE52.4x
600918 Zhongtai Securities3.4%+CN¥2.4b-39.0%PE26.5x
601818 China Everbright Bank1.2%+CN¥2.2b-21.8%PB0.4x
600318 Anhui Xinli Finance46.1%+CN¥2.1b18.3%PS18.5x
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