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Guangzhou Rural Commercial Bank SEHK:1551 Stock Report

Last Price


Market Cap







29 Jun, 2022


Company Financials
1551 fundamental analysis
Snowflake Score
Future Growth0/6
Past Performance1/6
Financial Health6/6

1551 Stock Overview

Guangzhou Rural Commercial Bank Co., Ltd.

Guangzhou Rural Commercial Bank Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Guangzhou Rural Commercial Bank
Historical stock prices
Current Share PriceHK$2.85
52 Week HighHK$3.45
52 Week LowHK$2.23
1 Month Change1.79%
3 Month Change-0.70%
1 Year Change-8.07%
3 Year Change-35.23%
5 Year Change-44.34%
Change since IPO-44.23%

Recent News & Updates

Shareholder Returns

1551HK BanksHK Market

Return vs Industry: 1551 underperformed the Hong Kong Banks industry which returned 1.3% over the past year.

Return vs Market: 1551 exceeded the Hong Kong Market which returned -20.1% over the past year.

Price Volatility

Is 1551's price volatile compared to industry and market?
1551 volatility
1551 Average Weekly Movement4.4%
Banks Industry Average Movement2.9%
Market Average Movement6.9%
10% most volatile stocks in HK Market13.7%
10% least volatile stocks in HK Market3.3%

Stable Share Price: 1551 is less volatile than 75% of Hong Kong stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: 1551's weekly volatility (4%) has been stable over the past year.

About the Company

195213,571Xuefei Yi

Guangzhou Rural Commercial Bank Co., Ltd. provides banking services. It operates through Corporate Banking, Retail Banking, Financial Market Business, and Others segments.

Guangzhou Rural Commercial Bank Fundamentals Summary

How do Guangzhou Rural Commercial Bank's earnings and revenue compare to its market cap?
1551 fundamental statistics
Market CapCN¥27.89b
Earnings (TTM)CN¥2.57b
Revenue (TTM)CN¥10.94b


P/E Ratio


P/B Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
1551 income statement (TTM)
Cost of RevenueCN¥0
Gross ProfitCN¥10.94b
Other ExpensesCN¥8.37b

Last Reported Earnings

Dec 31, 2021

Next Earnings Date


Earnings per share (EPS)0.22
Gross Margin100.00%
Net Profit Margin23.48%
Debt/Equity Ratio204.2%

How did 1551 perform over the long term?

See historical performance and comparison



Current Dividend Yield


Payout Ratio
We’ve recently updated our valuation analysis.


Is 1551 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score


Valuation Score 2/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 1551?

Other financial metrics that can be useful for relative valuation.

1551 key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenuen/a
Enterprise Value/EBITDAn/a
PEG Ration/a

Price to Earnings Ratio vs Peers

How does 1551's PE Ratio compare to its peers?

1551 PE Ratio vs Peers
The above table shows the PE ratio for 1551 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average6.9x
1216 Zhongyuan Bank
6190 Bank of Jiujiang
3698 Huishang Bank
6196 Bank of Zhengzhou
1551 Guangzhou Rural Commercial Bank

Price-To-Earnings vs Peers: 1551 is expensive based on its Price-To-Earnings Ratio (10.9x) compared to the peer average (6.9x).

Price to Earnings Ratio vs Industry

How does 1551's PE Ratio compare vs other companies in the HK Banks Industry?

Price-To-Earnings vs Industry: 1551 is expensive based on its Price-To-Earnings Ratio (10.9x) compared to the Hong Kong Banks industry average (5.6x)

Price to Earnings Ratio vs Fair Ratio

What is 1551'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.

1551 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio10.9x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate 1551's Price-To-Earnings Fair Ratio for valuation analysis.

Share Price vs Fair Value

What is the Fair Price of 1551 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 1551 (HK$2.85) is trading below our estimate of fair value (HK$9.59)

Significantly Below Fair Value: 1551 is trading below fair value by more than 20%.

Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 1551's PEG Ratio to determine if it is good value.

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Future Growth

How is Guangzhou Rural Commercial Bank forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

Future Growth Score


Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


Forecasted Banks industry annual growth in earnings

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Guangzhou Rural Commercial Bank has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.

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  • Examine Guangzhou Rural Commercial Bank's financial health to determine how well-positioned it is against times of financial stress by looking at its level of debt over time and how much cash it has left.
  • Guangzhou Rural Commercial Bank competitive advantages and company strategy can generally be found in its financial reports archived here.

Past Performance

How has Guangzhou Rural Commercial Bank performed over the past 5 years?

Past Performance Score


Past Performance Score 1/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: 1551 has high quality earnings.

Growing Profit Margin: 1551's current net profit margins (23.5%) are lower than last year (33.2%).

Past Earnings Growth Analysis

Earnings Trend: 1551's earnings have declined by 5.8% per year over the past 5 years.

Accelerating Growth: 1551's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 1551 had negative earnings growth (-41.8%) over the past year, making it difficult to compare to the Banks industry average (11.4%).

Return on Equity

High ROE: 1551's Return on Equity (4.3%) is considered low.

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Financial Health

How is Guangzhou Rural Commercial Bank's financial position? (This company is analysed differently as a bank or financial institution)

Financial Health Score


Financial Health Score 6/6

  • Asset Level

  • Allowance for Bad Loans

  • Low Risk Liabilities

  • Loan Level

  • Low Risk Deposits

  • Level of Bad Loans

Financial Position Analysis

Debt to Equity History and Analysis

Balance Sheet

Financial Institutions Analysis

Asset Level: 1551's Assets to Equity ratio (13.4x) is moderate.

Allowance for Bad Loans: 1551 has a sufficient allowance for bad loans (167%).

Low Risk Liabilities: 82% of 1551's liabilities are made up of primarily low risk sources of funding.

Loan Level: 1551 has an appropriate level of Loans to Assets ratio (55%).

Low Risk Deposits: 1551's Loans to Deposits ratio (72%) is appropriate.

Level of Bad Loans: 1551 has an appropriate level of bad loans (1.8%).

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What is Guangzhou Rural Commercial Bank current dividend yield, its reliability and sustainability?

Dividend Score


Dividend Score 2/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: 1551's dividend (4.31%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.7%).

High Dividend: 1551's dividend (4.31%) is low compared to the top 25% of dividend payers in the Hong Kong market (7.69%).

Stability and Growth of Payments

Stable Dividend: 1551 has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: 1551 has only been paying a dividend for 4 years, and since then payments have fallen.

Current Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (40.3%), 1551's dividend payments are well covered by earnings.

Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years or that it will be covered by earnings.

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


Average management tenure


Xuefei Yi (54 yo)





Mr. Xuefei Yi has experience in banking business operation and management. He joined Guangzhou Rural Commercial Bank Co., Ltd. (the "Bank") in March 2006 and had served as Deputy Director of Guangzhou Rura...

CEO Compensation Analysis

Compensation vs Market: Xuefei's total compensation ($USD165.33K) is below average for companies of similar size in the Hong Kong market ($USD473.75K).

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

Leadership Team

Experienced Management: 1551's management team is considered experienced (3.3 years average tenure).

Board Members

Experienced Board: 1551's board of directors are not considered experienced ( 1.3 years average tenure), which suggests a new board.


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.

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 16.8%.

Top Shareholders

Company Information

Guangzhou Rural Commercial Bank Co., Ltd.'s employee growth, exchange listings and data sources

Key Information

  • Name: Guangzhou Rural Commercial Bank Co., Ltd.
  • Ticker: 1551
  • Exchange: SEHK
  • Founded: 1952
  • Industry: Regional Banks
  • Sector: Banks
  • Implied Market Cap: HK$32.636b
  • Shares outstanding: 11.45b
  • Website:

Number of Employees


  • Guangzhou Rural Commercial Bank Co., Ltd.
  • No. 9 Yingri Road
  • Huangpu District
  • Guangzhou
  • Guangdong Province
  • China


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/29 00:00
End of Day Share Price2022/06/29 00:00
Annual Earnings2021/12/31

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.