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Hong Kong (HSI) Banks Industry Analysis

UpdatedNov 26, 2022
DataAggregated Company Financials
Companies35
  • 7D4.8%
  • 3M-2.9%
  • 1Y-7.1%
  • YTD-10.5%

The Banks industry is up 4.8% in the last week, with Industrial and Commercial Bank of China up 4.9%. In contrast, the industry has lost 7.1% in the last 12 months. Looking forward, earnings are forecast to grow by 7.1% annually.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sun, 27 Nov 2022HK$7.0tHK$3.8tHK$1.6t4.9x4.4x1.8x
Tue, 25 Oct 2022HK$6.7tHK$3.7tHK$1.5t4.6x4.4x1.8x
Thu, 22 Sep 2022HK$7.0tHK$3.9tHK$1.6t5.2x4.4x1.8x
Sat, 20 Aug 2022HK$7.2tHK$3.9tHK$1.6t5.1x4.4x1.8x
Mon, 18 Jul 2022HK$7.2tHK$4.0tHK$1.6t5.7x4.4x1.8x
Wed, 15 Jun 2022HK$8.0tHK$4.0tHK$1.6t5.5x4.8x2x
Fri, 13 May 2022HK$7.9tHK$4.0tHK$1.7t5.5x4.8x2x
Sun, 10 Apr 2022HK$8.6tHK$4.1tHK$1.7t5.9x5x2.1x
Tue, 08 Mar 2022HK$8.2tHK$4.0tHK$1.7t5.2x4.8x2x
Thu, 03 Feb 2022HK$8.3tHK$4.0tHK$1.7t6.2x4.9x2.1x
Sat, 01 Jan 2022HK$8.0tHK$3.9tHK$1.7t5.6x4.7x2.1x
Mon, 29 Nov 2021HK$7.8tHK$3.9tHK$1.7t5.5x4.7x2x
Wed, 27 Oct 2021HK$8.0tHK$3.7tHK$1.6t5.8x5x2.1x
Fri, 24 Sep 2021HK$7.8tHK$3.7tHK$1.6t5.7x4.9x2.1x
Sun, 22 Aug 2021HK$7.9tHK$3.7tHK$1.6t6.4x5x2.1x
Fri, 09 Jul 2021HK$8.4tHK$3.7tHK$1.6t6.7x5.3x2.3x
Thu, 01 Apr 2021HK$9.0tHK$3.5tHK$1.5t7.1x6x2.6x
Sun, 03 Jan 2021HK$8.2tHK$3.5tHK$1.5t7.1x5.5x2.4x
Wed, 07 Oct 2020HK$7.4tHK$3.3tHK$1.3t6.2x5.6x2.3x
Tue, 30 Jun 2020HK$7.9tHK$3.2tHK$1.3t6.7x6.2x2.5x
Fri, 03 Apr 2020HK$8.1tHK$3.2tHK$1.4t6x5.8x2.5x
Mon, 06 Jan 2020HK$9.1tHK$3.2tHK$1.4t7.4x6.4x2.8x
Price to Earnings Ratio

6.2x


Total Market Cap: HK$8.6tTotal Earnings: HK$1.4tTotal Revenue: HK$3.2tTotal Market Cap vs Earnings and Revenue0%0%0%
Hong Kong Banks Industry Price to Earnings3Y Average 5.4x202020212022
Current Industry PE
  • Investors are pessimistic on the Hong Kong Banks industry, indicating that they anticipate long term growth rates will be lower than they have historically.
  • The industry is trading at a PE ratio of 4.4x which is lower than its 3-year average PE of 5.4x.
  • The 3-year average PS ratio of 2.3x is higher than the industry's current PS ratio of 1.8x.
Past Earnings Growth
  • The earnings for companies in the Banks industry have grown 4.7% per year over the last three years.
  • Revenues for these companies have grown 6.2% 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 Hong Kong Financials industry?

HK Market-0.23%
Financials3.68%
Banks4.80%
Diversified Banks4.88%
Regional Banks3.55%
Industry PE
  • Investors are most optimistic about the Regional Banks industry, which is trading close to its 3-year average PE ratio of 7.1x.
    • Analysts are expecting annual earnings growth of 16.3%, which is higher than its past year's earnings growth of 4.6% per year.
  • Investors are most pessimistic about the Diversified Banks industry, which is trading below its 3-year average of 5.3x.
Forecasted Growth
  • Analysts are most optimistic on the Regional Banks industry, expecting annual earnings growth of 16% over the next 5 years.
  • This is better than its past earnings growth rate of 4.6% per year.
  • In contrast, the Diversified Banks industry is expected to see its earnings grow by 6.9% 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
1398 Industrial and Commercial Bank of ChinaHK$3.854.9%
+HK$64.2b
-8.1%PB0.4x
939 China Construction BankHK$4.704.2%
+HK$47.5b
-7.8%PB0.4x
1288 Agricultural Bank of ChinaHK$2.555.4%
+HK$45.5b
-2.7%PB0.3x
3988 Bank of ChinaHK$2.744.6%
+HK$35.3b
0%PB0.3x
3328 Bank of CommunicationsHK$4.447.2%
+HK$22.3b
-5.1%PB0.3x
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3328

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Bank of Communications

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7.2%

1Y

-5.1%

998

HK$3.41

China CITIC Bank

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Luzhou Bank

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-16.9%

9668

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China Bohai Bank

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939

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China Construction Bank

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-7.8%

3988

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Bank of China

7D

4.6%

1Y

0%

1288

HK$2.55

Agricultural Bank of China

7D

5.4%

1Y

-2.7%

1658

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Postal Savings Bank of China

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5.0%

1Y

-16.0%

2388

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4.6%

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3698

HK$2.49

Huishang Bank

7D

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1Y

-4.6%

1551

HK$2.64

Guangzhou Rural Commercial Bank

7D

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1Y

-11.7%

1578

HK$2.07

Bank of Tianjin

7D

-0.5%

1Y

-38.6%