SEHK:2139

Stock Analysis Report

Executive Summary

Bank of Gansu Co., Ltd., together with its subsidiary, Jianning Chengji Rural Bank, provides various banking services in the People’s Republic of China.

Snowflake

Fundamentals

Excellent balance sheet and good value.

Risks

  • Bank of Gansu is not covered by any analysts.

Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-2.1%

SEHK:2139

1.4%

HK Banks

3.3%

HK Market


1 Year Return

-22.7%

SEHK:2139

-15.1%

HK Banks

-10.5%

HK Market

2139 underperformed the Banks industry which returned -14.4% over the past year.

2139 underperformed the Market in Hong Kong which returned -9.5% over the past year.


Share holder returns

2139IndustryMarket
7 Day-2.1%1.4%3.3%
30 Day1.1%-9.3%-8.0%
90 Day-9.0%-11.5%-5.9%
1 Year-18.1%-22.7%-10.7%-15.1%-7.2%-10.5%
3 Yearn/a10.5%-5.1%15.1%3.7%
5 Yearn/a18.1%-9.5%9.0%-9.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

>50%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Bank of Gansu's share price is below the future cash flow value, and at a moderate discount (> 20%).

Bank of Gansu's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

Bank of Gansu is good value based on earnings compared to the HK Banks industry average.

Bank of Gansu is good value based on earnings compared to the Hong Kong market.


Price Based on Expected Growth

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


Price Based on Value of Assets

Bank of Gansu is overvalued based on assets compared to the HK Banks industry average.


Next Steps

Future Growth

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

2.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Unable to determine if Bank of Gansu is high growth as no revenue estimate data is available.

Bank of Gansu's earnings are expected to grow by 2% yearly, however this is not considered high growth (20% yearly).

Unable to compare Bank of Gansu's revenue growth to the Hong Kong market average as no estimate data is available.

Bank of Gansu's earnings growth is positive but not above the Hong Kong market average.

Bank of Gansu's earnings growth is positive but not above the low risk savings rate of 2%.


Earnings per Share Growth Estimates


Future Return on Equity

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


Next Steps

Past Performance

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

29.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Bank of Gansu has delivered over 20% year on year earnings growth in the past 5 years.

Bank of Gansu's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Bank of Gansu's 1-year earnings growth is negative, it can't be compared to the HK Banks industry average.


Return on Equity

Bank of Gansu has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Bank of Gansu used its assets more efficiently than the HK Banks industry average last year based on Return on Assets.


Return on Capital Employed

Unable to establish if Bank of Gansu improved its use of capital last year versus 3 years ago (Return on Capital Employed) due to insufficient past data.


Next Steps

Financial Health

How is Bank of Gansu'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

Information is not available.

Information is not available.


Financial Institutions Analysis

Bank of Gansu has an acceptable proportion of non-loan assets held.

Bank of Gansu has a sufficient allowance for bad loans.

Bank of Gansu's liabilities are made up of primarily low risk sources of funding.

Bank of Gansu's level of assets compared to its equity is moderate (i.e. an appropriate level of borrowing to fund lending).

Loans at Bank of Gansu are broadly funded by customer deposits.

Bank of Gansu has a high level of bad loans (greater than 2%).


Next Steps

Dividend

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

5.95%

Current Dividend Yield


Dividend Yield and Payments Analysis

Bank of Gansu's pays a higher dividend yield than the bottom 25% of dividend payers in Hong Kong (2.27%).

Bank of Gansu's dividend is below the markets top 25% of dividend payers in Hong Kong (6.19%).

It is too early to tell whether Bank of Gansu has stable dividend payments.

Bank of Gansu only just started paying a dividend, it is too early to tell if payments are increasing.


Current Payout to Shareholders

Dividends paid are well covered by earnings (3.2x 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.


Next Steps

Management

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

0.7yrs

Average management tenure


CEO

Wenyong Wang (53yo)

0.7yrs

Tenure

CN¥824,336

Compensation

Mr. Wang Wenyong has been President & Director of Bank of Gansu Co., Ltd. since December 3, 2018. 


CEO Compensation Analysis

Wenyong's remuneration is lower than average for companies of similar size in Hong Kong.

Insufficient data for Wenyong to compare compensation growth.


Management Age and Tenure

0.7yrs

Average Tenure

50yo

Average Age

The average tenure for the Bank of Gansu management team is less than 2 years, this suggests a new team.


Board Age and Tenure

2.0yrs

Average Tenure

51.5yo

Average Age

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


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

SellCN¥348,894,57224 Apr 19
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BuyCN¥396,180,18115 Jan 19
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SellCN¥435,598,55806 Dec 18
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Ownership Breakdown


Management Team

  • Qing Liu (53yo)

    Chairman

    • Tenure: 0.7yrs
    • Compensation: CN¥286.00k
  • Chunyun Wang (47yo)

    Senior Executive of Internal Control & Compliance and Chief Risk Officer

    • Tenure: 1.3yrs
  • Zhiyuan Wang (50yo)

    VP, GM of the Human Resources Department and GM of Strategy & Development Deparment

    • Tenure: 1.7yrs
  • Wenyong Wang (53yo)

    President & Executive Director

    • Tenure: 0.7yrs
    • Compensation: CN¥824.34k
  • Jumei Hao (49yo)

    Secretary

    • Tenure: 0.7yrs
  • Po Yi Fok

    Company Secretary

    • Tenure: 0.1yrs

Board Members

  • Sincere Wong (54yo)

    Independent Non-Executive Director

    • Tenure: 2.0yrs
    • Compensation: CN¥143.00k
  • Xiuli Tang (50yo)

    Independent Non-Executive Director

    • Tenure: 2.0yrs
    • Compensation: CN¥143.00k
  • Mei Luo (41yo)

    Independent Non-Executive Director

    • Tenure: 2.0yrs
    • Compensation: CN¥143.00k
  • Qing Liu (53yo)

    Chairman

    • Tenure: 0.7yrs
    • Compensation: CN¥286.00k
  • Hong Xia Zhang (41yo)

    Non-Executive Director

    • Tenure: 7.8yrs
    • Compensation: CN¥143.00k
  • Youda Zhang (45yo)

    Non-Executive Director

    • Tenure: 2.8yrs
  • Changhong Wu (55yo)

    Non-Executive Director

    • Tenure: 2.8yrs
  • Jirong Guo (47yo)

    Non-Executive Director

    • Tenure: 2.8yrs
  • Wenyong Wang (53yo)

    President & Executive Director

    • Tenure: 0.7yrs
    • Compensation: CN¥824.34k
  • Lan Tang (55yo)

    Chairman of the Board of Supervisors

    • Tenure: 0.7yrs

Company Information

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


Key Information

  • Name: Bank of Gansu Co., Ltd.
  • Ticker: 2139
  • Exchange: SEHK
  • Founded: 2011
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: HK$19.233b
  • Shares outstanding: 10.07b
  • Website: https://www.gsbankchina.com

Number of Employees


Location

  • Bank of Gansu Co., Ltd.
  • Gansu Bank Building
  • 525 Donggang West Road
  • Lanzhou
  • Gansu Province
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
2139SEHK (The Stock Exchange of Hong Kong Ltd.)YesForeign Shares-Foreign ListedHKHKDJan 2018

Biography

Bank of Gansu Co., Ltd., together with its subsidiary, Jianning Chengji Rural Bank, provides various banking services in the People’s Republic of China. It operates through three segments: Corporate Bankin ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/20 13:02
End of Day Share Price2019/08/20 00:00
Earnings2019/03/31
Annual Earnings2018/12/31


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.