Investing IdeasBrowse All StocksMarkets
Have your own idea? Try our Stock Screener
Header cover image

Hong Kong (HSI) Banks Industry Analysis

UpdatedDec 24, 2025
DataAggregated Company Financials
Companies32
  • 7D2.9%
  • 3M4.2%
  • 1Y19.7%
  • YTD24.9%

The Banks industry is up 2.9% in the last week, with Agricultural Bank of China up 5.3%. This means that the industry has gained 20% over the past year. Looking forward, earnings are forecast to grow by 4.4% annually.

Industry Valuation and Performance

Has the Hong Kong Banks Industry valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 24 Dec 2025HK$12.3tHK$3.6tHK$1.6t5.7x7.5x3.4x
Fri, 21 Nov 2025HK$13.0tHK$3.6tHK$1.6t6x8x3.6x
Sun, 19 Oct 2025HK$11.9tHK$3.6tHK$1.6t5.9x7.5x3.4x
Tue, 16 Sep 2025HK$12.3tHK$3.7tHK$1.7t6.2x7.4x3.3x
Thu, 14 Aug 2025HK$12.4tHK$3.7tHK$1.7t5.9x7.5x3.4x
Sat, 12 Jul 2025HK$12.7tHK$3.7tHK$1.7t6.3x7.6x3.4x
Mon, 09 Jun 2025HK$10.9tHK$3.7tHK$1.7t5.6x6.6x3x
Wed, 07 May 2025HK$10.2tHK$3.6tHK$1.6t5.4x6.2x2.8x
Fri, 04 Apr 2025HK$10.3tHK$3.6tHK$1.7t5.5x6.2x2.8x
Sun, 02 Mar 2025HK$10.0tHK$3.7tHK$1.6t5.3x6.2x2.7x
Tue, 28 Jan 2025HK$9.9tHK$3.7tHK$1.6t5.1x6.1x2.7x
Thu, 26 Dec 2024HK$9.9tHK$3.6tHK$1.6t5x6.1x2.8x
Sat, 23 Nov 2024HK$9.1tHK$3.6tHK$1.6t4.7x5.6x2.5x
Mon, 21 Oct 2024HK$9.6tHK$3.7tHK$1.6t5x5.9x2.6x
Wed, 18 Sep 2024HK$8.6tHK$3.7tHK$1.6t4.5x5.2x2.3x
Fri, 16 Aug 2024HK$9.0tHK$3.6tHK$1.6t4.8x5.5x2.5x
Sun, 14 Jul 2024HK$8.9tHK$3.6tHK$1.6t5x5.5x2.5x
Tue, 11 Jun 2024HK$8.7tHK$3.6tHK$1.6t4.8x5.4x2.4x
Thu, 09 May 2024HK$8.5tHK$3.6tHK$1.6t4.6x5.3x2.4x
Sat, 06 Apr 2024HK$8.2tHK$3.7tHK$1.6t4.3x5x2.2x
Mon, 04 Mar 2024HK$8.1tHK$3.8tHK$1.6t4.3x5x2.1x
Wed, 31 Jan 2024HK$7.7tHK$3.7tHK$1.6t4.2x4.9x2.1x
Fri, 29 Dec 2023HK$7.4tHK$3.9tHK$1.7t4.2x4.5x1.9x
Sun, 26 Nov 2023HK$7.4tHK$3.9tHK$1.6t4.5x4.6x1.9x
Tue, 24 Oct 2023HK$7.4tHK$3.8tHK$1.6t4.4x4.6x1.9x
Thu, 21 Sep 2023HK$7.3tHK$3.8tHK$1.6t4.5x4.6x1.9x
Sat, 19 Aug 2023HK$7.1tHK$3.8tHK$1.6t4.6x4.5x1.9x
Mon, 17 Jul 2023HK$7.6tHK$3.9tHK$1.6t5.2x4.7x2x
Wed, 14 Jun 2023HK$6.7tHK$3.2tHK$1.3t5.8x5x2.1x
Fri, 12 May 2023HK$8.4tHK$4.0tHK$1.7t5.8x5.1x2.1x
Sun, 09 Apr 2023HK$7.6tHK$4.0tHK$1.7t5.5x4.6x1.9x
Tue, 07 Mar 2023HK$7.5tHK$3.9tHK$1.7t5.5x4.5x1.9x
Thu, 02 Feb 2023HK$7.5tHK$4.0tHK$1.7t5.6x4.4x1.9x
Sat, 31 Dec 2022HK$7.2tHK$3.9tHK$1.6t5x4.4x1.9x
Price to Earnings Ratio

4.4x


Total Market Cap: HK$7.2tTotal Earnings: HK$1.6tTotal Revenue: HK$3.9tTotal Market Cap vs Earnings and Revenue0%0%0%
Hong Kong Banks Industry Price to Earnings3Y Average 5.6x202320242025
Current Industry PE
  • Investors are optimistic on the Hong Kong Banks industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 7.5x which is higher than its 3-year average PE of 5.6x.
  • The 3-year average PS ratio of 2.5x is lower than the industry's current PS ratio of 3.4x.
Past Earnings Growth
  • The earnings for companies in the Banks industry have remained mostly flat over the last three years.
  • Meanwhile revenues for these companies have declined 2.3% per year.
  • This means that the cost of doing business could be reducing since sales have declined but profits have remained steady.

Industry Trends

Which industries have driven the changes within the Hong Kong Financials industry?

HK Market1.86%
Financials2.96%
Banks2.92%
Diversified Banks2.98%
Regional Banks1.05%
Industry PE
  • Investors are most optimistic about the Diversified Banks industry which is trading above its 3-year average PE ratio of 5.6x.
    • Analysts are expecting annual earnings growth of 4.4%, which is higher than its past year's earnings growth of 3.1% per year.
  • Investors are most pessimistic about the Regional Banks industry, which is trading close to its 3-year average of 5.6x.
Forecasted Growth
  • Analysts are most optimistic on the Regional Banks industry, expecting annual earnings growth of 7.5% over the next 5 years.
  • This is roughly in line with its past earnings growth rate.
  • In contrast, the Diversified Banks industry is expected to see its earnings grow by 4.4% per year over the next few years.

Top Stock Gainers and Losers

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

CompanyLast Price7D1YValuation
1288 Agricultural Bank of ChinaHK$5.613.3%
+HK$63.0b		27.8%PB0.6x
1398 Industrial and Commercial Bank of ChinaHK$6.131.7%
+HK$35.6b		19.0%PB0.5x
939 China Construction BankHK$7.561.7%
+HK$34.0b		16.5%PB0.5x
3988 Bank of ChinaHK$4.432.1%
+HK$29.0b		11.9%PB0.4x
1658 Postal Savings Bank of ChinaHK$5.312.9%
+HK$18.0b		13.7%PB0.5x

Latest News

939
HK$7.56
China Construction Bank
7D
1.7%
1Y
16.5%
1658
HK$5.31
Postal Savings Bank of China
7D
2.9%
1Y
13.7%

Postal Savings Bank of China's (HKG:1658) Dividend Will Be CN¥0.1356

Dec 22
Postal Savings Bank of China's (HKG:1658) Dividend Will Be CN¥0.1356
1983
HK$2.05
Luzhou Bank
7D
-1.0%
1Y
5.1%
1288
HK$5.61
Agricultural Bank of China
7D
3.3%
1Y
27.8%

1288: Dividend And Bond Plans Will Likely Leave Shares Looking Vulnerable

Agricultural Bank of China’s consensus analyst price target has edged higher by approximately $0.01, as analysts incorporate slightly faster expected revenue growth and a lower discount rate that more than offset marginally softer profit margin and valuation assumptions. What's in the News The board approved an interim cash dividend for 2025 of RMB 1.195 per ten ordinary shares, to be paid in RMB or HKD equivalent, with H share payments expected on 26 January 2026 and A share payments on 15 December 2025 (company disclosure).
1398
HK$6.13
Industrial and Commercial Bank of China
7D
1.7%
1Y
19.0%

1398: Upcoming Dividend Decisions Will Support Preference Shareholder Returns

Analysts have nudged their price target on Industrial and Commercial Bank of China higher, raising fair value by about 2 percent to approximately $7.26. They cite slightly stronger long term revenue growth, improved profit margins, and a marginally lower projected discount rate, which together offset a modest decline in the expected future P/E multiple.
2388
HK$39.46
BOC Hong Kong (Holdings)
7D
3.7%
1Y
56.6%

2388: Stable Margins And Dividend Decision Will Shape Outlook Ahead

Analysts have trimmed their price target on BOC Hong Kong (Holdings) slightly, from HK$40.21 to HK$39.99, citing marginally lower fair value assumptions driven by a modest reduction in expected profit margins and valuation multiples, despite largely unchanged growth and discount rate forecasts. What's in the News Board meeting scheduled for October 28, 2025, to review and approve BOC Hong Kong (Holdings) Limited's financial and business results for the third quarter of 2025 (Key Developments) Directors to consider the declaration of the third interim dividend for 2025 at the upcoming board meeting, signaling potential further shareholder returns (Key Developments) Valuation Changes The fair value estimate edged down slightly from HK$40.21 to HK$39.99 per share, reflecting a marginally lower intrinsic valuation.
3988
HK$4.43
Bank of China
7D
2.1%
1Y
11.9%

3988: Interim Dividend Stability Will Support Attractive Future Share Performance

Analysts have nudged their price target for Bank of China slightly higher to reflect a modest increase in fair value, supported by incremental improvements in discount rate assumptions, long term revenue growth expectations, profit margin stability, and a slightly lower projected future P E multiple. What's in the News Extraordinary General Meeting on November 27, 2025 approved the 2025 interim profit distribution plan, setting an interim dividend of RMB 1.094 per ten shares for the first half of 2025, payable to H share holders on January 23, 2026, with record date December 10, 2025 (Key Developments).
3328
HK$6.40
Bank of Communications
7D
-1.4%
1Y
2.1%
1963
HK$7.96
Bank of Chongqing
7D
-0.7%
1Y
30.7%
3618
HK$6.15
Chongqing Rural Commercial Bank
7D
2.5%
1Y
37.3%
1216
HK$0.31
Zhongyuan Bank
7D
-1.6%
1Y
3.3%
23
HK$13.46
Bank of East Asia
7D
2.8%
1Y
37.2%