Bank of Tianjin

SEHK:1578

Snowflake Description

Flawless balance sheet and good value.

The Snowflake is generated from 30 checks in 5 different areas, read more below.

1578

SEHK

HK$28B

Market Cap

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Last updated 2019/04/23 13:01

Company description

Bank of Tianjin Co., Ltd. provides banking products and services primarily in Tianjin municipality, the People’s Republic of China. The last earnings update was 5 days ago. More info.

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1578 Share Price and Events

7 Day Returns

-3.2%

SEHK:1578

HK Banks

0.5%

HK Market

1 Year Returns

1.8%

SEHK:1578

-9.5%

HK Banks

-4.2%

HK Market

1578 Shareholder Return

	7 Day	30 Day	90 Day	1 Year	3 Year	5 Year
Bank of Tianjin (1578)	-3.2%	-4.4%	2%	1.8%	-37.8%	-
HK Banks	2%	1.4%	5.9%	-9.5%	30.4%	25%
HK Market	0.5%	2.3%	11.5%	-4.2%	28.1%	21.6%

1 Year Return vs Industry and Market

1578 outperformed the Banks industry which returned -9.5% over the past year.
1578 outperformed the Market in Hong Kong which returned -4.2% over the past year.

Price Volatility

1578

Industry

5yr Volatility vs Market

Related Companies

Sorry, no analysis for Bank of Tianjin's competitors could be found in our database.

Value

Is Bank of Tianjin undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.

INTRINSIC VALUE BASED ON FUTURE CASH FLOWS

Here we compare the current share price of Bank of Tianjin to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.

Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Bank of Tianjin.

SEHK:1578 Discounted Cash Flow Data Sources
Data Point	Source	Value
Valuation Model		Excess Returns Model
Stable EPS	Median Return on Equity from the past 5 years. = Stable Book Value * Return on Equity = CN¥7.08 * 10.5%	CN¥0.74
Book Value of Equity per Share	Median Book Value from the past 5 years.	CN¥7.08
Discount Rate (Cost of Equity)	See below	13.9%
Perpetual Growth Rate	10-Year HK Government Bond Rate	2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for SEHK:1578
Data Point	Calculation/ Source	Result
Risk-Free Rate	10-Year HK Govt Bond Rate	2%
Equity Risk Premium	S&P Global	6%
Banks Unlevered Beta	Simply Wall St/ S&P Global	0.59
Re-levered Beta	= Unlevered beta (1 + (1- tax rate) (Debt/Equity)) = 0.592 (1 + (1- 25%) (951.62%))	3.558
Levered Beta	Levered Beta limited to 0.8 to 2.0 (practical range for a stable firm)	2
Discount Rate/ Cost of Equity	= Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium) = 2% + (2 * 5.96%)	13.92%

Discounted Cash Flow Calculation for SEHK:1578 using Excess Returns Model Model

The calculations below outline how an intrinsic value for Bank of Tianjin is arrived at using the Excess Return Model. This approach is used for finance firms where free cash flow is difficult to estimate.

In the Excess Return Model the value of a firm can be written as the sum of capital invested currently in the firm and the present value of excess returns that the firm expects to make in the future.

The model is sensitive to the Return on Equity of the company versus the Cost of Equity, how these are calculated is detailed below the main calculation.

Note the calculations below are per share.

See our documentation to learn about this calculation.

SEHK:1578 Value of Excess Returns
	Calculation	Result
Excess Returns	= (Stable Return on equity – Cost of equity) (Book Value of Equity per share) = (10.5% – 13.92%) * CN¥7.08)	CN¥-0.24
Terminal Value of Excess Returns	= Excess Returns / (Cost of Equity - Expected Growth Rate) = CN¥-0.24 / (13.92% - 2%)	CN¥-2.03
Value of Equity	= Book Value per share + Terminal Value of Excess Returns = CN¥7.08 + CN¥-2.03	CN¥5.05

SEHK:1578 Discount to Share Price
	Calculation	Result
Exchange Rate	CNY/HKD (Reporting currency to currency of SEHK:1578)	1.169
Value per Share (HKD)	= Value per Share in CNY x Exchange Rate (CNY/HKD) = CN¥5.05 x 1.169	HK$5.9
Value per share (HKD)	From above.	HK$5.90
Current discount	Discount to share price of HK$4.59 = -1 x (HK$4.59 - HK$5.90) / HK$5.90	22.2%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount

Amount off the current price Bank of Tianjin is available for.

22%

Share price is HK$4.59 vs Future cash flow value of HK$5.9

Current Discount Checks

For Bank of Tianjin to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.

Bank of Tianjin's share price is below the future cash flow value, and at a moderate discount (> 20%).
Bank of Tianjin's share price is below the future cash flow value, but not at a substantial discount (< 40%).

PRICE RELATIVE TO MARKET

We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Bank of Tianjin's earnings, growth and assets is considered below, and whether this is a fair price.

Price based on past earnings

Are Bank of Tianjin's earnings available for a low price, and how does this compare to other companies in the same industry?

Raw Data

SEHK:1578 PE (Price to Earnings) Ratio Data Sources
Data Point	Source	Value
Earnings Per Share *	Company Filings (2018-12-31) in CNY	CN¥0.69
SEHK:1578 Share Price **	SEHK (2019-04-18) in HKD	HK$4.59
SEHK:1578 Share Price converted to CNY reporting currency	Exchange rate (HKD/ CNY) 0.855	CN¥3.93
Hong Kong Banks Industry PE Ratio	Median Figure of 31 Publicly-Listed Banks Companies	6.24x
Hong Kong Market PE Ratio	Median Figure of 1,473 Publicly-Listed Companies	12.01x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Bank of Tianjin.

SEHK:1578 PE (Price to Earnings) Ratio Calculation
	Calculation	Outcome
PE Ratio	= SEHK:1578 Share Price ÷ EPS (both in CNY) = 3.93 ÷ 0.69	5.7x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

Bank of Tianjin is good value based on earnings compared to the HK Banks industry average.
Bank of Tianjin is good value based on earnings compared to the Hong Kong market.

Price based on expected Growth

Does Bank of Tianjin's expected growth come at a high price?

Raw Data

SEHK:1578 PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point	Source	Value
PE Ratio	See PE Ratio Section	5.7x
Net Income Annual Growth Rate	See Future Growth Section. Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts	10%per year
Hong Kong Banks Industry PEG Ratio	Median Figure of 16 Publicly-Listed Banks Companies	0.9x
Hong Kong Market PEG Ratio	Median Figure of 463 Publicly-Listed Companies	0.87x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

Unable to calculate PEG ratio for Bank of Tianjin, we can't assess if its growth is good value.

Price based on value of assets

What value do investors place on Bank of Tianjin's assets?

Raw Data

SEHK:1578 PB (Price to Book) Ratio Data Sources
Data Point	Source	Value
Book Value per Share	Company Filings (2018-12-31) in CNY	CN¥7.74
SEHK:1578 Share Price *	SEHK (2019-04-18) in HKD	HK$4.59
SEHK:1578 Share Price converted to CNY reporting currency	Exchange rate (HKD/ CNY) 0.855	CN¥3.93
Hong Kong Banks Industry PB Ratio	Median Figure of 31 Publicly-Listed Banks Companies	0.75x
Hong Kong Market PB Ratio	Median Figure of 2,149 Publicly-Listed Companies	1.03x

SEHK:1578 PB (Price to Book) Ratio Calculation
	Calculation	Outcome
PB Ratio	= SEHK:1578 Share Price ÷ Book Value per Share (both in CNY) = 3.93 ÷ 7.74	0.51x

* Primary Listing of Bank of Tianjin.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

Bank of Tianjin is good value based on assets compared to the HK Banks industry average.

Show me more potentially undervalued companies in the Banks industry

Value checks

We assess Bank of Tianjin's value by looking at:

Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
Is the PE ratio less than the market average, and/ or less than the Banks industry average (and greater than 0)? (2 checks)
Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
Is the PB ratio less than the Banks industry average (and greater than 0)? (1 check)

Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

How is Bank of Tianjin expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

No analysts cover Bank of Tianjin, future earnings growth has been estimated based on fundamentals.

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!

10%

Expected annual growth in earnings.

Earnings growth vs Low Risk Savings

Is Bank of Tianjin expected to grow at an attractive rate?

Bank of Tianjin's earnings growth is expected to exceed the low risk savings rate of 2%.

Growth vs Market Checks

Bank of Tianjin's earnings growth is positive but not above the Hong Kong market average.
Unable to compare Bank of Tianjin's revenue growth to the Hong Kong market average as no estimate data is available.

Annual Growth Rates Comparison

Raw Data

SEHK:1578 Future Growth Rates Data Sources
Data Point	Source	Value (per year)
SEHK:1578 Future Earnings Growth Rate	Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts	10%
Hong Kong Banks Industry Earnings Growth Rate	Market Cap Weighted Average	6.1%
Hong Kong Banks Industry Revenue Growth Rate	Market Cap Weighted Average	13.5%
Hong Kong Market Earnings Growth Rate	Market Cap Weighted Average	11.8%
Hong Kong Market Revenue Growth Rate	Market Cap Weighted Average	11.2%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations

Raw Data

SEHK:1578 Analysts Growth Expectations Data Sources
Data Point	Source	Value
Past Financials	Company Filings (3 months ago)	See Below
Future Estimates	Average of up to 0 Analyst Estimates (S&P Global)	See Below

All numbers in CNY Millions and using Trailing twelve months (TTM) annual period rather than quarterly.

SEHK:1578 Past Financials Data
Date (Data in CNY Millions)	Revenue	Cash Flow	Net Income *
2018-12-31	8,656	-46,135	4,181
2018-09-30	8,609	-30,098	4,161
2018-06-30	8,561	-14,061	4,141
2018-03-31	8,316	-13,163	4,029
2017-12-31	8,071	-12,264	3,916
2017-09-30	8,569	3,412	4,231
2017-06-30	9,066	19,089	4,546
2017-03-31	9,337	33,618	4,534
2016-12-31	9,607	48,147	4,522
2016-09-30	10,302	59,527	4,918
2016-06-30	10,731	33,048	5,224
2016-03-31	10,447	17,132	5,070

*GAAP earnings excluding extraordinary items.

High Growth Checks

Bank of Tianjin's earnings are expected to grow by 10% yearly, however this is not considered high growth (20% yearly).
Unable to determine if Bank of Tianjin is high growth as no revenue estimate data is available.

Past and Future Earnings per Share

The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.

Raw Data

SEHK:1578 Past and Future Earnings per Share
Data Point	Source	Value
Past Financials	Company Filings (3 months ago)	See Below
Future Estimates	Average of up to 0 Analyst Estimates (S&P Global)	See Below

All data from Bank of Tianjin Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

SEHK:1578 Past Financials Data
Date (Data in CNY Millions)	EPS *
2018-12-31	0.69
2018-09-30	0.69
2018-06-30	0.68
2018-03-31	0.66
2017-12-31	0.65
2017-09-30	0.70
2017-06-30	0.75
2017-03-31	0.76
2016-12-31	0.77
2016-09-30	0.88
2016-06-30	0.97
2016-03-31	0.97

*GAAP earnings excluding extraordinary items.

Performance in 3 years

In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.

Unable to establish if Bank of Tianjin will efficiently use shareholders’ funds in the future without estimates of Return on Equity.

Future performance checks

We assess Bank of Tianjin's future performance by looking at:

Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Hong Kong market? (1 check)
Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Hong Kong market? (1 check)
Is the annual earnings growth rate expected to be above 20%? (1 check)
Is the annual revenue growth rate expected to be above 20%? (1 check)
Is the Return on Equity in 3 years expected to be over 20%? (1 check)

Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Bank of Tianjin has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

How has Bank of Tianjin performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.

Past earnings growth

Below we compare Bank of Tianjin's growth in the last year to its industry (Banks).

Past Earnings growth analysis

We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.

Bank of Tianjin's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.
Bank of Tianjin's 1-year earnings growth exceeds its 5-year average (6.8% vs -1%)
Bank of Tianjin's earnings growth has exceeded the HK Banks industry average in the past year (6.8% vs 5.2%).

Earnings and Revenue History

Bank of Tianjin's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.

Raw Data

All data from Bank of Tianjin Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

SEHK:1578 Past Revenue, Cash Flow and Net Income Data
Date (Data in CNY Millions)	Revenue	Net Income *	G+A Expenses
2018-12-31	8,656.35	4,181.25	3,211.59
2018-09-30	8,608.65	4,161.05	3,135.08
2018-06-30	8,560.96	4,140.86	3,058.57
2018-03-31	8,316.21	4,028.62	2,981.22
2017-12-31	8,071.46	3,916.39	2,903.87
2017-09-30	8,568.55	4,230.96	2,974.72
2017-06-30	9,065.65	4,545.53	3,045.58
2017-03-31	9,336.51	4,533.79	3,115.67
2016-12-31	9,607.37	4,522.05	3,185.77
2016-09-30	10,301.75	4,918.01	3,056.92
2016-06-30	10,730.57	5,223.57	2,845.40
2016-03-31	10,447.31	5,070.00	2,723.53
2015-12-31	10,164.05	4,916.44	2,601.65
2015-09-30	9,716.59	4,693.19	2,528.90
2014-12-31	8,965.26	4,417.23	2,275.32
2013-12-31	7,201.67	3,418.03	2,082.88
2012-12-31	5,593.30	2,634.18	1,802.80

*GAAP earnings excluding extraordinary items.

Performance last year

We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.

Bank of Tianjin has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
Bank of Tianjin used its assets less efficiently than the HK Banks industry average last year based on Return on Assets.
Unable to establish if Bank of Tianjin improved its use of capital last year versus 3 years ago (Return on Capital Employed) due to insufficient past data.

Past performance checks

We assess Bank of Tianjin's performance over the past 5 years by checking for:

Has earnings increased in past 5 years? (1 check)
Has the earnings growth in the last year exceeded that of the Banks industry? (1 check)
Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
Is the Return on Equity (ROE) higher than 20%? (1 check)
Is the Return on Assets (ROA) above industry average? (1 check)
Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)

The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Bank of Tianjin has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

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

This company is a bank or financial institution.

Fundamentally a bank's business is based upon borrowing and lending money, for this reason they typically have high levels of debt and we analyse them differently.

Net Worth

Balance sheet

This treemap shows a more detailed breakdown of Bank of Tianjin's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.

Assets

Liabilities and shares

The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.

Historical Debt

Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.

Raw Data

All data from Bank of Tianjin Company Filings, last reported 3 months ago.

SEHK:1578 Past Debt and Equity Data
Date (Data in CNY Millions)	Total Equity	Total Debt	Cash & Short Term Investments
2018-12-31	47,720.74	226,771.02	39,674.34
2018-09-30	47,720.74	226,771.02	39,674.34
2018-06-30	45,996.27	219,945.63	37,409.45
2018-03-31	45,996.27	219,945.63	37,409.45
2017-12-31	44,755.86	199,609.13	44,680.12
2017-09-30	44,755.86	199,609.13	44,680.12
2017-06-30	43,011.57	160,955.14	62,705.80
2017-03-31	43,011.57	160,955.14	62,705.80
2016-12-31	41,754.78	117,987.49	88,043.71
2016-09-30	41,754.78	117,987.49	88,043.71
2016-06-30	40,324.24	78,328.72	97,777.77
2016-03-31	40,324.24	78,328.72	97,777.77
2015-12-31	33,247.70	32,982.01	134,012.60
2015-09-30	31,801.07	24,358.97	130,766.33
2014-12-31	28,889.94	27,865.88	141,726.38
2013-12-31	19,449.48	21,187.43	107,796.57
2012-12-31	16,759.77	32,239.63	64,425.34

BANK ANALYSIS

This company is a bank or financial institution, which is analysed accordingly below.

Below we check the amount of loans the bank has, how many of those are bad, and its ability to cover any bad loans.

Bank of Tianjin has an acceptable proportion of non-loan assets held.
Bank of Tianjin's liabilities are made up of primarily low risk sources of funding.
Loans at Bank of Tianjin are broadly funded by customer deposits.
Bank of Tianjin's level of assets compared to its equity is moderate (i.e. an appropriate level of borrowing to fund lending).
Bank of Tianjin has a sufficient allowance for bad loans.
Bank of Tianjin has an acceptable level of bad loans (less than 2%).

Show me more healthy companies in the Banks industry

Financial health checks

We assess Bank of Tianjin's financial health by checking for:

Are short term assets greater than short term liabilities? (1 check)
Are short term assets greater than long term liabilities? (1 check)
Has the debt to equity ratio increased in the past 5 years? (1 check)
Is the debt to equity ratio over 40%? (1 check)
Is the debt covered by operating cash flow? (1 check)
Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)

For companies that are loss making and have been so on average in the past we replace the last 2 checks with:

Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)

Full details on the Health part of the Simply Wall St company analysis model.

Dividends

What is Bank of Tianjin's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.

Annual Dividend Income

4.59%

Current annual income from Bank of Tianjin dividends.

If you bought HK$2,000 of Bank of Tianjin shares you are expected to receive HK$92 in your first year as a dividend.

Dividend Amount

Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?

Bank of Tianjin's pays a higher dividend yield than the bottom 25% of dividend payers in Hong Kong (1.94%).
Bank of Tianjin's dividend is below the markets top 25% of dividend payers in Hong Kong (5.34%).

Upcoming dividend payment

Purchase Bank of Tianjin before the 'Buy Limit' to receive their next dividend payment.

Dividends are usually paid every 3 or 6 months, you can time your share purchase to take advantage of upcoming dividend payments.

Annualized Historical and Future Dividends

It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.

Raw Data

SEHK:1578 Annualized Past and Future Dividends
Data Point	Source	Value
Past Annualized Dividend Yield	S&P Global Market Data	See Below
Past Dividends per Share	Company Filings/ Annualized Dividend Payments	See Below
Future Dividends per Share Estimates	Average of up to 0 Analyst Estimates (S&P Global)	See Below
Hong Kong Banks Industry Average Dividend Yield	Market Cap Weighted Average of 28 Stocks	5%
Hong Kong Market Average Dividend Yield	Market Cap Weighted Average of 965 Stocks	3.4%
Hong Kong Minimum Threshold Dividend Yield	10th Percentile	1.1%
Hong Kong Bottom 25% Dividend Yield	25th Percentile	1.9%
Hong Kong Top 25% Dividend Yield	75th Percentile	5.3%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

SEHK:1578 Past Annualized Dividends Data
Date (Data in CN¥)	Dividend per share (annual)	Avg. Yield (%)
2019-04-18	0.180	4.586
2019-03-22	0.180	4.490
2018-05-11	0.180	4.607
2017-05-12	0.200	4.474
2016-04-27	0.177	3.347
2016-03-30	0.140	2.283

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

Whilst dividend payments have been stable, Bank of Tianjin has been paying a dividend for less than 10 years.
Dividend payments have increased, but Bank of Tianjin only paid a dividend in the past 3 years.

Current Payout to shareholders

What portion of Bank of Tianjin's earnings are paid to the shareholders as a dividend.

Dividends paid are well covered by earnings (3.8x coverage).

Future Payout to shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.

Income/ dividend checks

We assess Bank of Tianjin's dividend by checking for:

Firstly is the company paying a notable dividend (greater than 1.1%) - if not then the rest of the checks are ignored.
Is current dividend yield above the bottom 25% of dividend payers? (1 check)
Is current dividend yield above the top 25% of dividend payers? (1 check)
Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
If they have paid a dividend for 10 years has it increased in this time? (1 check)
How sustainable is the dividend, can Bank of Tianjin afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)

Full details on the Dividends part of the Simply Wall St company analysis model.

Management

What is the CEO of Bank of Tianjin's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.

CEO

Liguo Sun

COMPENSATION	CN¥344,000
AGE	55

CEO Bio

Mr. Liguo Sun has been the President of Bank of Tianjin Co., Ltd. since December 21, 2016. Mr. Sun served as Vice President of China Bohai Bank Co., Ltd. since December 2009 until June 18, 2015. Mr. Sun served as the chairman of the supervisory committee of China Bohai Bank Co., Ltd. From July 2016 to August 2016, Mr. Sun also worked as the chairman of the labour union of China Bohai Bank Co., Ltd. From June 2015 to August 2016, he chairman of the supervisory committee of China Bohai Bank Co., Ltd. From December 2005 to June 2015, he served as secretary to the board of China Bohai Bank Co., Ltd. From August 2005 to December 2005, he acted as the person-in-charge of the proposed board secretariat of China Bohai Bank Co., Ltd. From December 2003 to August 2005, Mr. Sun served as an Assistant to the Head of General Office of the Planning and Establishment Lead Group of China Bohai Bank and was responsible for the daily work of such General Office. From January 1998 to December 2003, he worked as the Head of general office of China Construction Bank, Tianjin Branch. From December 1990 to January 1998, Mr. Sun served successively as the Vice President and President of China Construction Bank, Tianjin Nankai Sub-branch. From April 1988 to December 1990, he served as an assistant to the director of the Tianji Seamless Steel Tube Project Office of China Construction Bank. From August 1985 to April 1988, Mr. Sun served as a staff of the Project Inspection Division of China Construction Bank, Tianjin Branch. He served as the Chairman of Board of Supervisors at China Bohai Bank Co., Ltd since June 18, 2015 until December 23, 2016. Mr. Sun served as Vice President at China Bohai Bank Co., Ltd since December 16, 2009 until June 18, 2015. He served as Secretary To The Board of Directors at China Bohai Bank Co., Ltd since December 22, 2005 until June 18, 2015. Bohai Bank and was responsible for the daily work of such General Office. From January 1998 to December 2003, he worked as the Head of General Office of China Construction Bank, Tianjin Branch. From December 1990 to January 1998, Mr. Sun served successively as the Vice President and president of China Construction Bank, Tianjin Nankai Sub-branch From April 1988 to December 1990, he served as an Assistant to the Director of the Tianjin Seamless Steel Tube Project Office of China Construction Bank. From August 1985 to April 1988, Mr. Sun served as a staff of the Project Inspection Division of China Construction Bank, Tianjin Branch. He has been an Executive Director of Bank of Tianjin Co., Ltd. since February 16, 2017. Mr. Sun graduated from the Faculty of Construction Management at Tianjin University in July 1985 majoring in construction management engineering of infrastructure. He also obtained a masters degree in business administration from Tianjin University and a masters degree in economics from the Faculty of Finance at Nankai University , majoring in monetary banking in July 1997. In January 2012, he received a doctorate degree in management science and engineering from Tianjin University. He is a qualified senior engineer, accredited by China Construction Bank in 1999.

CEO Compensation

Liguo's compensation has been consistent with company performance over the past year.
Liguo's remuneration is lower than average for companies of similar size in Hong Kong.

Management Team Tenure

Average tenure and age of the Bank of Tianjin management team in years:

3.7

Average Tenure

Average Age

The tenure for the Bank of Tianjin management team is about average.

Management Team

Zongtang Li

53

TENURE

3.8 yrs

Furong Zhang

TITLE

VP, Company Secretary & Executive Director

COMPENSATION

CN¥431K

AGE

57

TENURE

3.8 yrs

Kian Chun

TITLE

IR Manager

Maurice Ngai

TITLE

Joint Company Secretary

AGE

56

TENURE

3.6 yrs

Board of Directors Tenure

Average tenure and age of the Bank of Tianjin board of directors in years:

2.3

Average Tenure

58.5

Average Age

The average tenure for the Bank of Tianjin board of directors is less than 3 years, this suggests a new board.

TITLE

Non-Executive Director

AGE

61

TENURE

9.8 yrs

Quinn Law

TITLE

Independent Non-Executive Director

COMPENSATION

CN¥207K

AGE

65

TENURE

3.5 yrs

Who owns this company?

Recent Insider Trading

No 3 month insider trading information.

Recent Insider Transactions

Announced	Type	Name	Entity	Role		Start	End	Shares	Max Price (HK$)	Value (HK$)
06. Dec 18	Buy	HNA Capital Holding Co., Ltd., Asset Management Arm	Company			30. Nov 18	30. Nov 18	106,993,500	HK$9.46	HK$1,012,102,399
02. Oct 18	Sell	China State Shipbuilding Corporation	Company			28. Sep 18	28. Sep 18	-303,193,000	HK$9.63	HK$-2,920,022,268

Management checks

We assess Bank of Tianjin's management by checking for:

Is the CEO's compensation unreasonable compared to market cap? (1 check)
Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
Is the average tenure of the management team less than 2 years? (1 check)
Is the average tenure of the board of directors team less than 3 years? (1 check)

Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Is Bank of Tianjin Co., Ltd.'s (HKG:1578) CEO Paid Enough Relative To Peers?

First, this article will compare CEO compensation with compensation at similar sized companies. … How Does Liguo Sun's Compensation Compare With Similar Sized Companies. … has a market cap of HK$29b, and is paying total annual CEO compensation of CN¥525k.

Simply Wall St - 6 days ago – Full article

Do Directors Own Bank of Tianjin Co., Ltd. (HKG:1578) Shares?

A look at the shareholders of Bank of Tianjin Co., Ltd. … With a market capitalization of HK$29b, Bank of Tianjin is rather large. … See our latest analysis for Bank of Tianjin

Simply Wall St - 3 weeks ago – Full article

Does Bank of Tianjin Co., Ltd. (HKG:1578) Have A Place In Your Dividend Stock Portfolio?

In the last few years Bank of Tianjin Co., Ltd. … Let's take a look at Bank of Tianjin in more detail. … View our latest analysis for Bank of Tianjin

Simply Wall St - 1 month ago – Full article

Is Bank of Tianjin Co., Ltd. (HKG:1578) Over-Exposed To Risk?

Risk associated with repayment is measured by bad debt which is written off as an expense, impacting Bank of Tianjin’s bottom line. … Today I will take you through some bad debt and liability measures to analyse the level of risky assets held by the bank. … Check out our latest analysis for Bank of Tianjin

Simply Wall St - 2 months ago – Full article

Should You Be Concerned About Bank of Tianjin Co., Ltd.’s (HKG:1578) Liquidity?

As a small-cap bank stock with a market capitalisation of HK$30b, Bank of Tianjin Co., Ltd.’s (HKG:1578) risk and profitability are largely determined by the underlying economic growth of the HK regions in which it operates. … Basel III target banking regulations to improve the sector’s ability to absorb shocks resulting from economic stress which may expose financial institutions like Bank of Tianjin to vulnerabilities. … Sufficient liquidity and low levels of leverage could place the bank in a safe place in case of unexpected macro headwinds.

Simply Wall St - 3 months ago – Full article

Zooming in on HKG:1578's 4.0% Dividend Yield

A sizeable part of portfolio returns can be produced by dividend stocks due to their contribution to compounding returns in the long run. … In the last few years Bank of Tianjin Co Ltd (HKG:1578) has paid a dividend to shareholders. … Let's take a look at Bank of Tianjin in more detail.

Simply Wall St - 4 months ago – Full article

Three Key Risks For Bank of Tianjin Co Ltd (HKG:1578) You Should Know

As a small-cap bank with a market capitalisation of HK$24.3b, Bank of Tianjin Co Ltd’s (HKG:1578) profit and value are directly affected by economic growth. … Risk associated with repayment is measured by bad debt which is written off as an expense, impacting Bank of Tianjin’s bottom line. … View our latest analysis for Bank of Tianjin

Simply Wall St - 5 months ago – Full article

Will Bank of Tianjin Co Ltd (HKG:1578) Continue To Underperform Its Industry?

and want to learn about Return on Equity using a real-life example. … Bank of Tianjin Co Ltd (HKG:1578) delivered an ROE of 9.1% over the past 12 months, which is relatively in-line with its industry average of 11.8% during the same period. … View our latest analysis for Bank of Tianjin

Simply Wall St - 7 months ago – Full article

Why Bank of Tianjin Co Ltd (HKG:1578)'s 4.51% Dividend Is Not A Good Reason To Buy

Over the past 2 years, Bank of Tianjin Co Ltd (HKG:1578) has returned an average of 4.00% per year to shareholders in terms of dividend yield. … Does Bank of Tianjin tick all the boxes of a great dividend stock? … Check out our latest analysis for Bank of Tianjin

Simply Wall St - 8 months ago – Full article

Three Key Risks For Bank of Tianjin Co Ltd (HKG:1578) You Should Know

Bank of Tianjin Co Ltd (HKG:1578) is a small-cap bank with a market capitalisation of HK$32.23b. … Risk associated with repayment is measured by bad debt which is written off as an expense, impacting Bank of Tianjin’s bottom line. … View out our latest analysis for Bank of Tianjin

Simply Wall St - 9 months ago – Full article

Company Info

Description

Bank of Tianjin Co., Ltd. provides banking products and services primarily in Tianjin municipality, the People’s Republic of China. It operates through Corporate Banking, Personal Banking, and Treasury Operations segments. The Corporate Banking segment offers corporate loan, trade financing, deposit taking, and other types of corporate intermediary services to corporations, government agencies, and financial institutions. The Personal Banking segment provides personal loans, deposit products, cards, personal wealth management services, and other types of personal intermediary services to individual customers. The Treasury Operations segment engages in money market or repurchase, and debt instruments investment activities. As at December 31, 2017, Bank of Tianjin Co., Ltd. had a total of 14 tier-one branches. The company was formerly known as Tianjin City Cooperative Bank Co., Ltd. and changed its name to Bank of Tianjin Co., Ltd. in March 2007. Bank of Tianjin Co., Ltd. was founded in 1996 and is headquartered in Tianjin, China.

Details

Name:	Bank of Tianjin Co., Ltd.
Ticker:	1578
Exchange:	SEHK
Founded:	1996
Market Cap:	HK$27,863,832,862
Shares outstanding:	6,070,551,822
Website:	http://www.bankoftianjin.com
Address:	Bank of Tianjin Co., Ltd. No. 15 Youyi Road, Hexi District, Tianjin, 300201, China

Listings

	Exchange Symbol	Ticker Symbol	Security	Exchange	Country	Currency	Listed on
	SEHK	1578	Foreign Shares-Foreign Listed	The Stock Exchange of Hong Kong Ltd.	HK	HKD	30. Mar 2016
	SHSC	1578	Foreign Shares-Foreign Listed	Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect	HK	HKD	30. Mar 2016

Number of employees

Current staff

6,852

Bank of Tianjin employees.

Industry

Industry:	Regional Banks
Sector:	Banks

Company Analysis and Financial Data Status

Area	Date (UTC time)
Company Analysis updated:	2019/04/23 13:01
End of day share price update:	2019/04/18 00:00
Last earnings filing:	2019/04/18
Last earnings reported:	2018/12/31
Last annual earnings reported:	2018/12/31

All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.

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