Hong Kong (HSI) Financials Sector Analysis
UpdatedApr 19, 2024
DataAggregated Company Financials
Companies196
- 7D-0.3%
- 3M10.1%
- 1Y-12.0%
- YTD3.9%
Over the last 7 days, the Financials industry has dropped 2.6%, driven by a pullback from AIA Group of 7.3%. However, the industry is down 12% over the past year. As for the next few years, earnings are expected to grow by 7.3% per annum.
Sector Valuation and Performance
Has the Hong Kong Financials Sector valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Fri, 19 Apr 2024 | HK$11.3t | HK$6.3t | HK$1.8t | 7.4x | 6.2x | 1.8x |
| Sun, 17 Mar 2024 | HK$11.0t | HK$7.0t | HK$1.8t | 6.9x | 6.1x | 1.6x |
| Tue, 13 Feb 2024 | HK$10.8t | HK$6.8t | HK$1.7t | 7x | 6.3x | 1.6x |
| Thu, 11 Jan 2024 | HK$11.0t | HK$8.4t | HK$1.9t | 6.9x | 5.9x | 1.3x |
| Sat, 09 Dec 2023 | HK$11.1t | HK$8.7t | HK$1.9t | 7x | 5.9x | 1.3x |
| Mon, 06 Nov 2023 | HK$11.4t | HK$8.5t | HK$1.8t | 7.3x | 6.2x | 1.3x |
| Wed, 04 Oct 2023 | HK$11.6t | HK$8.5t | HK$1.8t | 7.3x | 6.3x | 1.4x |
| Fri, 01 Sep 2023 | HK$11.5t | HK$8.6t | HK$1.8t | 7.6x | 6.3x | 1.3x |
| Sun, 30 Jul 2023 | HK$12.3t | HK$8.4t | HK$1.9t | 7.8x | 6.6x | 1.5x |
| Tue, 27 Jun 2023 | HK$12.1t | HK$8.3t | HK$1.8t | 7.5x | 6.5x | 1.5x |
| Thu, 25 May 2023 | HK$12.5t | HK$8.5t | HK$1.9t | 7.8x | 6.6x | 1.5x |
| Sat, 22 Apr 2023 | HK$12.6t | HK$8.6t | HK$1.9t | 7.8x | 6.6x | 1.5x |
| Mon, 20 Mar 2023 | HK$12.2t | HK$8.6t | HK$1.9t | 6.9x | 6.3x | 1.4x |
| Wed, 15 Feb 2023 | HK$12.3t | HK$8.7t | HK$2.0t | 7.1x | 6.1x | 1.4x |
| Fri, 13 Jan 2023 | HK$12.5t | HK$8.8t | HK$2.0t | 7x | 6.3x | 1.4x |
| Sun, 11 Dec 2022 | HK$11.9t | HK$8.5t | HK$1.9t | 7.3x | 6.1x | 1.4x |
| Tue, 08 Nov 2022 | HK$10.4t | HK$8.2t | HK$1.9t | 6.7x | 5.5x | 1.3x |
| Thu, 06 Oct 2022 | HK$10.9t | HK$8.3t | HK$1.9t | 6.5x | 5.8x | 1.3x |
| Sat, 03 Sep 2022 | HK$11.4t | HK$8.5t | HK$1.9t | 6.8x | 5.9x | 1.3x |
| Mon, 01 Aug 2022 | HK$11.7t | HK$8.7t | HK$2.0t | 7x | 5.8x | 1.3x |
| Wed, 29 Jun 2022 | HK$12.9t | HK$8.8t | HK$2.0t | 7.2x | 6.3x | 1.5x |
| Fri, 27 May 2022 | HK$12.2t | HK$8.6t | HK$2.0t | 6.4x | 6x | 1.4x |
| Sun, 24 Apr 2022 | HK$12.8t | HK$9.0t | HK$2.1t | 6.7x | 6.2x | 1.4x |
| Tue, 22 Mar 2022 | HK$12.7t | HK$9.1t | HK$2.1t | 5.8x | 6x | 1.4x |
| Thu, 17 Feb 2022 | HK$13.8t | HK$9.2t | HK$2.2t | 6.3x | 6.4x | 1.5x |
| Sat, 15 Jan 2022 | HK$13.3t | HK$9.1t | HK$2.1t | 6.1x | 6.3x | 1.5x |
| Mon, 13 Dec 2021 | HK$13.0t | HK$9.1t | HK$2.1t | 6.2x | 6.1x | 1.4x |
| Wed, 10 Nov 2021 | HK$12.9t | HK$9.0t | HK$2.1t | 6.5x | 6.1x | 1.4x |
| Fri, 08 Oct 2021 | HK$13.1t | HK$8.7t | HK$2.1t | 6.4x | 6.4x | 1.5x |
| Sun, 05 Sep 2021 | HK$13.3t | HK$8.7t | HK$2.0t | 7.3x | 6.5x | 1.5x |
| Tue, 03 Aug 2021 | HK$13.1t | HK$8.7t | HK$2.0t | 7.6x | 6.4x | 1.5x |
| Fri, 07 May 2021 | HK$14.5t | HK$8.4t | HK$1.9t | 8.3x | 7.4x | 1.7x |
Price to Earnings Ratio
7.4x
Current Industry PE
- Investors are relatively neutral on the Hong Kong Financials industry at the moment, indicating that they anticipate long term growth rates to remain steady.
- The industry is trading close to its 3-year average PE ratio of 6.3x.
- The 3-year average PS ratio of 1.5x is lower than the industry's current PS ratio of 1.8x.
Past Earnings Growth
- The earnings for companies in the Financials industry have declined 2.6% per year over the last three years,
- Revenues have also declined 9.2% per year.
- This means overall sales from these companies are declining and profits are subsequently falling as well.
Industry Trends
Which industries have driven the changes within the Hong Kong Financials sector?
| HK Market | -1.99% | |
| Financials | -0.28% | |
| Banks | 0.77% | |
| Mortgage Finance | 0% | |
| Mortgage REITs | 0% | |
| Diversified Financial | -2.81% | |
| Insurance | -3.05% | |
| Consumer Finance | -3.34% | |
| Capital Markets | -4.08% | |
Industry PE
- Investors are most optimistic about the Consumer Finance industry which is trading above its 3-year average PE ratio.
- Analysts are expecting annual earnings growth of 39.3%, which is higher than its past year's earnings growth of 6.8% per year.
- Investors are most pessimistic about the Banks industry, which is trading close to its 3-year average of 4.8x.
Forecasted Growth
- Analysts are most optimistic on the Consumer Finance industry, expecting annual earnings growth of 39% over the next 5 years.
- This is better than its past earnings growth rate of 6.8% per year.
- In contrast, the Banks industry is expected to see its earnings grow by 3.9% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| 1398 Industrial and Commercial Bank of China | HK$4.11 | 1.0% +HK$14.3b | -4.4% | PB0.4x | |
| 1288 Agricultural Bank of China | HK$3.43 | 1.2% +HK$14.0b | 11.7% | PB0.4x | |
| 998 China CITIC Bank | HK$4.38 | 4.3% +HK$9.6b | 3.8% | PB0.3x | |
| 3988 Bank of China | HK$3.35 | 0.9% +HK$8.8b | 6.7% | PB0.4x | |
| 1658 Postal Savings Bank of China | HK$4.04 | 2.0% +HK$7.9b | -20.3% | PB0.4x |