SHSE:600036

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China Merchants Bank

Executive Summary

China Merchants Bank Co., Ltd. provides various banking products and services. More Details


Snowflake Analysis

Flawless balance sheet 6 star dividend payer.


Similar Companies

Share Price & News

How has China Merchants Bank's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 600036 is less volatile than 75% of CN stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: 600036's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

-0.9%

600036

-2.2%

CN Banks

1.9%

CN Market


1 Year Return

39.6%

600036

15.3%

CN Banks

32.4%

CN Market

Return vs Industry: 600036 exceeded the CN Banks industry which returned 15.3% over the past year.

Return vs Market: 600036 exceeded the CN Market which returned 32.4% over the past year.


Shareholder returns

600036IndustryMarket
7 Day-0.9%-2.2%1.9%
30 Day20.3%11.3%7.6%
90 Day28.2%14.4%11.5%
1 Year44.0%39.6%20.1%15.3%34.6%32.4%
3 Year72.5%57.8%23.6%11.3%25.4%19.1%
5 Year307.1%246.1%101.6%70.5%54.1%43.5%

Long-Term Price Volatility Vs. Market

How volatile is China Merchants Bank's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is China Merchants Bank undervalued compared to its fair value and its price relative to the market?

13.56x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 600036 (CN¥51.4) is trading above our estimate of fair value (CN¥45.35)

Significantly Below Fair Value: 600036 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 600036 is poor value based on its PE Ratio (13.6x) compared to the CN Banks industry average (8.4x).

PE vs Market: 600036 is good value based on its PE Ratio (13.6x) compared to the CN market (34.5x).


Price to Earnings Growth Ratio

PEG Ratio: 600036 is poor value based on its PEG Ratio (1.2x)


Price to Book Ratio

PB vs Industry: 600036 is overvalued based on its PB Ratio (1.9x) compared to the CN Banks industry average (0.9x).


Next Steps

Future Growth

How is China Merchants Bank forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?

11.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 600036's forecast earnings growth (11.7% per year) is above the savings rate (3.3%).

Earnings vs Market: 600036's earnings (11.7% per year) are forecast to grow slower than the CN market (24.5% per year).

High Growth Earnings: 600036's earnings are forecast to grow, but not significantly.

Revenue vs Market: 600036's revenue (8.6% per year) is forecast to grow slower than the CN market (18.4% per year).

High Growth Revenue: 600036's revenue (8.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 600036's Return on Equity is forecast to be low in 3 years time (15.7%).


Next Steps

Past Performance

How has China Merchants Bank performed over the past 5 years?

10.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 600036 has high quality earnings.

Growing Profit Margin: 600036's current net profit margins (33.5%) are lower than last year (43.7%).


Past Earnings Growth Analysis

Earnings Trend: 600036's earnings have grown by 10.9% per year over the past 5 years.

Accelerating Growth: 600036's earnings growth over the past year (6.7%) is below its 5-year average (10.9% per year).

Earnings vs Industry: 600036 earnings growth over the past year (6.7%) exceeded the Banks industry 3.6%.


Return on Equity

High ROE: 600036's Return on Equity (13.7%) is considered low.


Next Steps

Financial Health

How is China Merchants Bank's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet


Financial Institutions Analysis

Asset Level: 600036's Assets to Equity ratio (11.5x) is moderate.

Allowance for Bad Loans: 600036 has a sufficient allowance for bad loans (441%).

Low Risk Liabilities: 83% of 600036's liabilities are made up of primarily low risk sources of funding.

Loan Level: 600036 has an appropriate level of Loans to Assets ratio (59%).

Low Risk Deposits: 600036's Loans to Deposits ratio (78%) is appropriate.

Level of Bad Loans: 600036 has an appropriate level of bad loans (1.2%).


Next Steps

Dividend

What is China Merchants Bank current dividend yield, its reliability and sustainability?

2.33%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 600036's dividend (2.33%) is higher than the bottom 25% of dividend payers in the CN market (0.39%).

High Dividend: 600036's dividend (2.33%) is in the top 25% of dividend payers in the CN market (1.84%)


Stability and Growth of Payments

Stable Dividend: 600036's dividends per share have been stable in the past 10 years.

Growing Dividend: 600036's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (31.7%), 600036's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 600036's dividends in 3 years are forecast to be well covered by earnings (32.8% payout ratio).


Next Steps

  • Explore strong dividend paying companies in the Banks industry.

Management

How experienced are the management team and are they aligned to shareholders interests?

1.8yrs

Average management tenure


CEO

Huiyu Tian (55 yo)

7.33yrs

Tenure

CN¥4,658,000

Compensation

Mr. Huiyu Tian, MPA has been the Chief Executive Officer and President of China Merchants Bank Co., Ltd. since May 2013. Mr. Tian has been an Executive Director at China Merchants Bank Co., Ltd. since Augu...


CEO Compensation Analysis

Compensation vs Market: Huiyu's total compensation ($USD718.83K) is above average for companies of similar size in the CN market ($USD329.21K).

Compensation vs Earnings: Huiyu's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Huiyu Tian
President7.33yrsCN¥4.66m0.0013%
CN¥ 14.3m
Liang Wang
Executive VP1.42yrsCN¥3.40m0.00091%
CN¥ 9.8m
Shunhua Shi
Executive VP & GM of Shanghai Branch2.67yrsCN¥3.39m0.00065%
CN¥ 7.0m
Jianzhong Wang
Executive Vice President1.92yrsCN¥3.40m0.00064%
CN¥ 6.9m
Wang Yungui
Executive Vice President1.58yrsCN¥2.48m0.00052%
CN¥ 5.6m
Delin Li
Executive Assistant President1.75yrsCN¥2.23m0.00052%
CN¥ 5.6m
Hui Liu
Executive Assistant President1.75yrsCN¥2.23m0.00053%
CN¥ 5.7m
Jianjun Liu
Executive VP1.42yrsCN¥3.40m0.00095%
CN¥ 10.2m
Cheng Nan
Qualified Accountantno datano datano data
Jiang Chaoyang
Chief Information Officerno datano datano data
Wenjing Jiang
Investor relation officerno datano datano data
Dazhan Huang
Managing Director of China Merchants Finance Group Co Ltdno datano datano data

1.8yrs

Average Tenure

55yo

Average Age

Experienced Management: 600036's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Huiyu Tian
President7.33yrsCN¥4.66m0.0013%
CN¥ 14.3m
Liang Wang
Executive VP1.42yrsCN¥3.40m0.00091%
CN¥ 9.8m
Jianjun Liu
Executive VP1.42yrsCN¥3.40m0.00095%
CN¥ 10.2m
Wanqing Wang
Business Director of the Head Office2.5yrsno data0.00072%
CN¥ 7.7m
Xiaoyuan Hong
Non-Executive Director13.58yrsno datano data
Gangfeng Fu
Vice Chairman of the Board2.5yrsno datano data
Daxiong Wang
Non-Executive Director4.17yrsno datano data
See Hong Wong
Independent Non-Executive Director3.92yrsCN¥500.00kno data
Jianmin Miao
Chairman of Board0.33yrno datano data
Yuan Liu
Chairman of Board of Supervisors6.42yrsCN¥1.48m0.0011%
CN¥ 11.5m
Menggang Li
Independent Non-Executive Director2.17yrsCN¥500.00kno data
Hongqi Tian
Independent Non-Executive Director1.42yrsCN¥203.00kno data

2.5yrs

Average Tenure

55.5yo

Average Age

Experienced Board: 600036's board of directors are not considered experienced ( 2.5 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

China Merchants Bank Co., Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: China Merchants Bank Co., Ltd.
  • Ticker: 600036
  • Exchange: SHSE
  • Founded: 1987
  • Industry: Diversified Banks
  • Sector: Banks
  • Market Cap: CN¥1.075t
  • Shares outstanding: 20.63b
  • Website: https://www.cmbchina.com

Number of Employees


Location

  • China Merchants Bank Co., Ltd.
  • China Merchants Bank Tower
  • 49th Floor
  • Shenzhen
  • Guangdong Province
  • 518040
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
600036SHSE (Shanghai Stock Exchange)YesDomestic SharesCNCNYApr 2002
600036XSSC (Shanghai Stock Exchange - Shanghai - Hong Kong Stock Connect)YesDomestic SharesCNCNYApr 2002
3968SEHK (The Stock Exchange of Hong Kong Ltd.)Foreign Shares-Foreign ListedHKHKDSep 2006
M4BDB (Deutsche Boerse AG)Foreign Shares-Foreign ListedDEEURSep 2006
CIHH.FOTCPK (Pink Sheets LLC)Foreign Shares-Foreign ListedUSUSDSep 2006
3968SHSC (Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect)Foreign Shares-Foreign ListedHKHKDSep 2006
3968SZSC (The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect)Foreign Shares-Foreign ListedHKHKDSep 2006
CIHK.YOTCPK (Pink Sheets LLC)ADRUSUSDJul 2010
A19RBHDB (Deutsche Boerse AG)4.4% NON CUM PERP OFFSHORE PREF SHSDECNYJan 2021

Biography

China Merchants Bank Co., Ltd. provides various banking products and services. It operates in Wholesale Finance Business, Retail Finance Business, and Other Business segments. The company accepts demand, t...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/01/26 09:16
End of Day Share Price2021/01/26 00:00
Earnings2020/12/31
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.