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1658

Postal Savings Bank of China SEHK:1658 Stock Report

Last Price

HK$6.11

Market Cap

HK$568.4b

7D

3.9%

1Y

16.8%

Updated

29 Jun, 2022

Data

Company Financials +
1658 fundamental analysis
Snowflake Score
Valuation4/6
Future Growth2/6
Past Performance5/6
Financial Health6/6
Dividends3/6

1658 Stock Overview

Postal Savings Bank of China Co., Ltd., together with its subsidiaries, provides various banking products and services for retail and corporate customers in the People’s Republic of China.

Postal Savings Bank of China Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Postal Savings Bank of China
Historical stock prices
Current Share PriceHK$6.11
52 Week HighHK$6.82
52 Week LowHK$4.71
Beta0.53
1 Month Change4.44%
3 Month Change-3.78%
1 Year Change16.83%
3 Year Change30.00%
5 Year Change32.25%
Change since IPO28.09%

Recent News & Updates

Shareholder Returns

1658HK BanksHK Market
7D3.9%0.4%3.5%
1Y16.8%1.3%-20.1%

Return vs Industry: 1658 exceeded the Hong Kong Banks industry which returned 1.3% over the past year.

Return vs Market: 1658 exceeded the Hong Kong Market which returned -20.1% over the past year.

Price Volatility

Is 1658's price volatile compared to industry and market?
1658 volatility
1658 Average Weekly Movement3.7%
Banks Industry Average Movement3.0%
Market Average Movement6.9%
10% most volatile stocks in HK Market13.6%
10% least volatile stocks in HK Market3.4%

Stable Share Price: 1658 is less volatile than 75% of Hong Kong stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: 1658's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2007178,252Jianjun Liuhttps://www.psbc.com

Postal Savings Bank of China Co., Ltd., together with its subsidiaries, provides various banking products and services for retail and corporate customers in the People’s Republic of China. Its Personal Banking segment offers savings products, such as demand, time, personal call, time/demand optional, and foreign currency deposits; passbooks; certificate of deposits; micro, personal pledged, and personal business loans; debit and credit cards; wealth management products and funds; and insurance agency services. This segment is also involved in distribution of fund products, electronic bonds, and precious metals; and provides payment and collection agency, various settlement, domestic remittance and exchange, cross-border remittance, personal exchange settlement and sale, and foreign currency exchange services.

Postal Savings Bank of China Fundamentals Summary

How do Postal Savings Bank of China's earnings and revenue compare to its market cap?
1658 fundamental statistics
Market CapCN¥485.79b
Earnings (TTM)CN¥74.67b
Revenue (TTM)CN¥281.07b

6.5x

P/E Ratio

0.6x

P/B Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
1658 income statement (TTM)
RevenueCN¥281.07b
Cost of RevenueCN¥0
Gross ProfitCN¥281.07b
Other ExpensesCN¥206.40b
EarningsCN¥74.67b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

Aug 31, 2022

Earnings per share (EPS)0.81
Gross Margin100.00%
Net Profit Margin26.57%
Debt/Equity Ratio36.0%

How did 1658 perform over the long term?

See historical performance and comparison

Dividends

4.7%

Current Dividend Yield

31%

Payout Ratio

Does 1658 pay a reliable dividends?

See 1658 dividend history and benchmarks
When do you need to buy 1658 by to receive an upcoming dividend?
Postal Savings Bank of China dividend dates
Ex Dividend DateJul 04 2022
Dividend Pay DateAug 10 2022
Days until Ex dividend4 days
Days until Dividend pay date41 days

Does 1658 pay a reliable dividends?

See 1658 dividend history and benchmarks
We’ve recently updated our valuation analysis.

Valuation

Is 1658 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • 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 1658?

Other financial metrics that can be useful for relative valuation.

1658 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 Ratio0.5x

Price to Earnings Ratio vs Peers

How does 1658's PE Ratio compare to its peers?

1658 PE Ratio vs Peers
The above table shows the PE ratio for 1658 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average6.5x
3328 Bank of Communications
4.1x8.3%HK$414.9b
3988 Bank of China
3.8x7.5%HK$1.1t
1288 Agricultural Bank of China
3.8x7.1%HK$1.2t
2388 BOC Hong Kong (Holdings)
14.2x14.1%HK$333.6b
1658 Postal Savings Bank of China
6.5x13.6%HK$568.4b

Price-To-Earnings vs Peers: 1658 is good value based on its Price-To-Earnings Ratio (6.5x) compared to the peer average (6.5x).


Price to Earnings Ratio vs Industry

How does 1658's PE Ratio compare vs other companies in the HK Banks Industry?

Price-To-Earnings vs Industry: 1658 is expensive based on its Price-To-Earnings Ratio (6.5x) compared to the Hong Kong Banks industry average (5.6x)


Price to Earnings Ratio vs Fair Ratio

What is 1658'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.

1658 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio6.5x
Fair PE Ratio6.3x

Price-To-Earnings vs Fair Ratio: 1658 is expensive based on its Price-To-Earnings Ratio (6.5x) compared to the estimated Fair Price-To-Earnings Ratio (6.3x).


Share Price vs Fair Value

What is the Fair Price of 1658 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 1658 (HK$6.11) is trading below our estimate of fair value (HK$19.48)

Significantly Below Fair Value: 1658 is trading below fair value by more than 20%.


Price to Earnings Growth Ratio

PEG Ratio: 1658 is good value based on its PEG Ratio (0.5x)


Discover undervalued companies

Future Growth

How is Postal Savings Bank of China forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?

Future Growth Score

2/6

Future Growth Score 2/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


13.6%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 1658's forecast earnings growth (13.6% per year) is above the savings rate (1.5%).

Earnings vs Market: 1658's earnings (13.6% per year) are forecast to grow slower than the Hong Kong market (17.2% per year).

High Growth Earnings: 1658's earnings are forecast to grow, but not significantly.

Revenue vs Market: 1658's revenue (10.5% per year) is forecast to grow faster than the Hong Kong market (10.3% per year).

High Growth Revenue: 1658's revenue (10.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 1658's Return on Equity is forecast to be low in 3 years time (13.1%).


Discover growth companies

Past Performance

How has Postal Savings Bank of China performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


10.3%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: 1658 has high quality earnings.

Growing Profit Margin: 1658's current net profit margins (26.6%) are higher than last year (26.1%).


Past Earnings Growth Analysis

Earnings Trend: 1658's earnings have grown by 10.3% per year over the past 5 years.

Accelerating Growth: 1658's earnings growth over the past year (19%) exceeds its 5-year average (10.3% per year).

Earnings vs Industry: 1658 earnings growth over the past year (19%) exceeded the Banks industry 11.4%.


Return on Equity

High ROE: 1658's Return on Equity (9.5%) is considered low.


Discover strong past performing companies

Financial Health

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

Financial Health Score

6/6

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: 1658's Assets to Equity ratio (15.7x) is moderate.

Allowance for Bad Loans: 1658 has a sufficient allowance for bad loans (409%).

Low Risk Liabilities: 97% of 1658's liabilities are made up of primarily low risk sources of funding.

Loan Level: 1658 has an appropriate level of Loans to Assets ratio (50%).

Low Risk Deposits: 1658's Loans to Deposits ratio (55%) is appropriate.

Level of Bad Loans: 1658 has an appropriate level of bad loans (0.8%).


Discover healthy companies

Dividend

What is Postal Savings Bank of China current dividend yield, its reliability and sustainability?

Dividend Score

3/6

Dividend Score 3/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


4.74%

Current Dividend Yield

Upcoming Dividend Payment

TodayJun 29 2022Ex Dividend DateJul 04 2022Dividend Pay DateAug 10 202237 days from Ex DividendBuy in the next 4 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: 1658's dividend (4.74%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.7%).

High Dividend: 1658's dividend (4.74%) is low compared to the top 25% of dividend payers in the Hong Kong market (7.69%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, 1658 has been paying a dividend for less than 10 years.

Growing Dividend: 1658's dividend payments have increased, but the company has only paid a dividend for 5 years.


Current Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (30.8%), 1658's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 1658's dividends in 3 years are forecast to be well covered by earnings (30.7% payout ratio).


Discover strong dividend paying companies

Management

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

2.3yrs

Average management tenure


CEO

Jianjun Liu (56 yo)

0.83

Tenure

Mr. Jianjun Liu serves as Vice President and Member of the leading party members' group of China Post Group Co. Ltd. He serves as President and Executive Director at Postal Savings Bank of China Co., Ltd....


Leadership Team

Experienced Management: 1658's management team is considered experienced (2.3 years average tenure).


Board Members

Experienced Board: 1658's board of directors are considered experienced (4.7 years average tenure).


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.


Ownership Breakdown

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


Top Shareholders

Company Information

Postal Savings Bank of China Co., Ltd.'s employee growth, exchange listings and data sources


Key Information

  • Name: Postal Savings Bank of China Co., Ltd.
  • Ticker: 1658
  • Exchange: SEHK
  • Founded: 2007
  • Industry: Diversified Banks
  • Sector: Banks
  • Implied Market Cap: HK$568.380b
  • Shares outstanding: 92.38b
  • Website: https://www.psbc.com

Number of Employees


Location

  • Postal Savings Bank of China Co., Ltd.
  • No. 3 Financial Street
  • Xicheng District
  • Beijing
  • 100808
  • China

Listings


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
Earnings2022/03/31
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.