Postal Savings Bank of China Co., Ltd.

DB:3YB Stock Report

Market Cap: €66.6b

Postal Savings Bank of China Valuation

Is 3YB undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 3YB when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 3YB (€0.55) is trading below our estimate of fair value (€1.9)

Significantly Below Fair Value: 3YB is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 3YB?

Key metric: As 3YB is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 3YB. This is calculated by dividing 3YB's market cap by their current earnings.
What is 3YB's PE Ratio?
PE Ratio5.2x
EarningsCN¥81.12b
Market CapCN¥506.80b

Price to Earnings Ratio vs Peers

How does 3YB's PE Ratio compare to its peers?

The above table shows the PE ratio for 3YB vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average8.6x
CBK Commerzbank
9.1x8.8%€19.3b
PCZ ProCredit Holding
4.2x9.9%€444.1m
BMO Bank of Montreal
15.1x11.8%CA$95.8b
SAN Banco Santander
6x-0.3%€70.4b
3YB Postal Savings Bank of China
5.2x6.5%€545.8b

Price-To-Earnings vs Peers: 3YB is good value based on its Price-To-Earnings Ratio (5.2x) compared to the peer average (8.6x).

Price to Earnings Ratio vs Industry

How does 3YB's PE Ratio compare vs other companies in the European Banks Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
3YB 5.2xIndustry Avg. 7.4xNo. of Companies45PE0612182430+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 3YB is good value based on its Price-To-Earnings Ratio (5.2x) compared to the European Banks industry average (7.4x).

Price to Earnings Ratio vs Fair Ratio

What is 3YB's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

3YB PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio5.2x
Fair PE Ratio12.6x

Price-To-Earnings vs Fair Ratio: 3YB is good value based on its Price-To-Earnings Ratio (5.2x) compared to the estimated Fair Price-To-Earnings Ratio (12.6x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 3YB forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€0.55
€0.66
+20.9%
9.6%€0.78€0.55n/a17
Nov ’25€0.52
€0.64
+23.0%
10.9%€0.77€0.50n/a18
Oct ’25€0.53
€0.62
+18.0%
11.0%€0.76€0.49n/a18
Sep ’25€0.47
€0.59
+25.7%
11.3%€0.77€0.49n/a19
Aug ’25€0.48
€0.60
+23.7%
11.0%€0.77€0.49n/a19
Jul ’25€0.53
€0.59
+12.2%
11.5%€0.77€0.49n/a19
Jun ’25€0.52
€0.58
+12.2%
13.5%€0.76€0.43n/a19
May ’25€0.48
€0.58
+22.7%
16.1%€0.78€0.42n/a20
Apr ’25€0.47
€0.59
+24.6%
17.5%€0.80€0.42n/a21
Mar ’25€0.48
€0.59
+22.4%
18.1%€0.80€0.42n/a21
Feb ’25€0.43
€0.59
+36.4%
18.2%€0.81€0.42n/a21
Jan ’25€0.42
€0.62
+46.0%
17.9%€0.79€0.41n/a21
Dec ’24€0.40
€0.64
+58.2%
16.0%€0.80€0.46n/a21
Nov ’24€0.44
€0.66
+48.1%
14.7%€0.80€0.47€0.5221
Oct ’24€0.48
€0.68
+40.6%
12.7%€0.87€0.51€0.5321
Sep ’24€0.45
€0.68
+53.4%
14.7%€0.85€0.51€0.4722
Aug ’24€0.53
€0.71
+33.8%
14.3%€0.92€0.49€0.4822
Jul ’24€0.56
€0.70
+25.8%
16.1%€0.92€0.45€0.5322
Jun ’24€0.57
€0.72
+24.6%
15.3%€0.91€0.47€0.5222
May ’24€0.58
€0.70
+21.0%
14.2%€0.91€0.47€0.4822
Apr ’24€0.54
€0.71
+32.9%
14.7%€0.97€0.47€0.4721
Mar ’24€0.56
€0.75
+31.9%
15.2%€1.00€0.53€0.4821
Feb ’24€0.61
€0.74
+21.0%
15.8%€0.99€0.53€0.4321
Jan ’24€0.57
€0.73
+28.9%
16.3%€0.99€0.53€0.4220
Dec ’23€0.55
€0.74
+35.3%
17.0%€0.99€0.55€0.4020
Nov ’23€0.49
€0.78
+59.7%
17.3%€1.01€0.56€0.4420

Analyst Forecast: Target price is less than 20% higher than the current share price.

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