Executive Summary
China Construction Bank Corporation provides various banking and related financial services in the People's Republic of China.
Snowflake
Fundamentals
Flawless balance sheet, undervalued and pays a dividend.
Similar Companies
Share Price & News
How has China Construction Bank's share price performed over time and what events caused price changes?
Latest Share Price and Events
Market Performance
7 Day Return
5.2%
939
3.9%
HK Banks
3.1%
HK Market
1 Year Return
3.8%
939
-3.7%
HK Banks
0.5%
HK Market
Return vs Industry: 939 exceeded the Hong Kong Banks industry which returned -3.7% over the past year.
Return vs Market: 939 exceeded the Hong Kong Market which returned 0.5% over the past year.
Shareholder returns
| 939 | Industry | Market | |
|---|---|---|---|
| 7 Day | 5.2% | 3.9% | 3.1% |
| 30 Day | 4.8% | -0.3% | -1.8% |
| 90 Day | 1.0% | -3.0% | -4.8% |
| 1 Year | 9.5%3.8% | 1.4%-3.7% | 4.1%0.5% |
| 3 Year | 28.7%10.3% | 17.8%1.4% | 15.8%4.2% |
| 5 Year | 46.7%12.1% | 30.9%0.3% | 18.9%-0.9% |
Price Volatility Vs. Market
How volatile is China Construction Bank's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 day ago | Simply Wall St
Did You Miss China Construction Bank's (HKG:939) 13% Share Price Gain?3 weeks ago | Simply Wall St
Read This Before You Buy China Construction Bank Corporation (HKG:939) Because Of Its P/E Ratio1 month ago | Simply Wall St
When Should You Buy China Construction Bank Corporation (HKG:939)?Valuation
Is China Construction Bank undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Undervalued: 939 (HK$6.31) is trading below our estimate of fair value (HK$14.64)
Significantly Undervalued: 939 is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: 939 is good value based on its PE Ratio (5.5x) compared to the Banks industry average (5.8x).
PE vs Market: 939 is good value based on its PE Ratio (5.5x) compared to the Hong Kong market (10.3x).
Price to Earnings Growth Ratio
Low PEG Ratio: 939 is good value based on its PEG Ratio (0.9x)
Price to Book Ratio
PB vs Industry: 939 is overvalued based on its PB Ratio (0.7x) compared to the HK Banks industry average (0.5x).
Next Steps
Future Growth
How is China Construction Bank forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?
5.9%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 939's forecast earnings growth (5.9% per year) is above the savings rate (2%).
Earnings vs Market: 939's earnings (5.9% per year) are forecast to grow slower than the Hong Kong market (11.3% per year).
High Growth Earnings: 939's earnings are forecast to grow, but not significantly.
Revenue vs Market: 939's revenue (7% per year) is forecast to grow slower than the Hong Kong market (10% per year).
High Growth Revenue: 939's revenue (7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
High Future ROE: 939's Return on Equity is forecast to be low in 3 years time (12.6%).
Next Steps
Past Performance
How has China Construction Bank performed over the past 5 years?
2.6%
Historical annual earnings growth
Earnings and Revenue History
Past Earnings Growth Analysis
Earnings Trend: 939's earnings have grown by 2.6% per year over the past 5 years.
Accelerating Growth: 939's earnings growth over the past year (3.2%) exceeds its 5-year average (2.6% per year).
Earnings vs Industry: 939 earnings growth over the past year (3.2%) underperformed the Banks industry 5.2%.
Return on Equity
High ROE: 939's Return on Equity (12.7%) is considered low.
Return on Assets
ROA vs Industry: 939 has a higher Return on Assets than the Banks industry average last year.
Return on Capital Employed
ROCE Improving: Insufficient data to calculate 939's Return on Capital Employed to determine if it has improved over the past 3 years.
Next Steps
Financial Health
How is China Construction Bank'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
Inventory Level: 939 has a low level of unsold assets or inventory.
Debt Coverage by Assets: 939's debt is covered by short term assets (assets are 2.375180x debt).
Financial Institutions Analysis
Asset Level: 939's level of assets compared to its equity is moderate.
Allowance for Bad Loans: 939 has a sufficient allowance for bad loans.
Low Risk Liabilities: 939's liabilities are made up of primarily low risk sources of funding.
Loan Level: 939 has an acceptable proportion of non-loan assets held.
Low Risk Deposits: 939's loans are broadly funded by customer deposits.
Level of Bad Loans: 939 has an appropriate level of bad loans (1.43%)
Next Steps
Dividend
What is China Construction Bank's current dividend yield, its reliability and sustainability?
5.36%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Stability and Growth of Payments
Notable Dividend: 939's dividend (5.36%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.27%).
High Dividend: 939's dividend (5.36%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.25%).
Stable Dividend: 939's dividend payments have been volatile in the past 10 years.
Growing Dividend: 939's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (29.7%), 939's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: 939's dividends in 3 years are forecast to be well covered by earnings (30.8% payout ratio).
Next Steps
Management
What is the CEO of China Construction Bank's salary, the management and board of directors tenure and is there insider trading?
5.3yrs
Average management tenure
CEO
Guiping Liu (53yo)
0.4yrs
Tenure
Mr. Guiping Liu has been President of China Construction Bank Corporation since May 2019 and its Vice Chairman and Director since June 21, 2019. Mr. Liu worked for another leading banking institution, Agri ...
Management Age and Tenure
5.3yrs
Average Tenure
58yo
Average Age
Experienced Management: 939's management team is seasoned and experienced (5.3 years average tenure).
Board Age and Tenure
1.4yrs
Average Tenure
59yo
Average Age
Experienced Board: 939's board of directors are not considered experienced ( 1.4 years average tenure), which suggests a new board.
Insider Trading
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Ownership Breakdown
Management Team
Guoli Tian (59yo)
Chairman of the Board
- Tenure: 2yrs
- Compensation: CN¥711.30k
Guiya Wang (54yo)
Chief Investment & Wealth Management Officer and GM of Investment Banking Dept of the Head Office
- Tenure: 8.6yrs
- Compensation: CN¥870.00k
Zhiling Huang (58yo)
Chief Economist
- Tenure: 6.1yrs
- Compensation: CN¥825.60k
Gengsheng Zhang (59yo)
Executive VP & Executive Director
- Tenure: 4.2yrs
- Compensation: CN¥652.90k
Guiping Liu (53yo)
Vice Chairman & President
- Tenure: 0.4yrs
Yi Huang (55yo)
Executive Vice President
- Tenure: 5.5yrs
- Compensation: CN¥652.90k
Yiming Xu (59yo)
Chief Financial Officer
- Tenure: 5.3yrs
- Compensation: CN¥992.40k
Yanmin Jin (58yo)
Chief Risk Officer
- Tenure: 0.6yrs
Lin Liao (53yo)
Executive Vice President
- Tenure: 1.1yrs
- Compensation: CN¥869.00k
Qiuyue Fang (59yo)
GM of Finance & Accounting Department and Shareholder Representative Supervisor
- Tenure: 1.3yrs
Board Members
Callum McCarthy (75yo)
Independent Non-Executive Director
- Tenure: 2.2yrs
- Compensation: CN¥410.00k
Guoli Tian (59yo)
Chairman of the Board
- Tenure: 2yrs
- Compensation: CN¥711.30k
Kegui Lu (57yo)
GM of Asset Preservation & Operation Center and Employee Representative Supervisor
- Tenure: 1.4yrs
Carl E. Walter (72yo)
Independent Non-Executive Director
- Tenure: 4.2yrs
- Compensation: CN¥440.00k
Kenneth Patrick Chung (62yo)
Independent Non-Executive Director
- Tenure: 0.9yrs
Gengsheng Zhang (59yo)
Executive VP & Executive Director
- Tenure: 4.2yrs
- Compensation: CN¥652.90k
Guiping Liu (53yo)
Vice Chairman & President
- Tenure: 0.4yrs
Qiuyue Fang (59yo)
GM of Finance & Accounting Department and Shareholder Representative Supervisor
- Tenure: 1.3yrs
Yuanguo Cheng (56yo)
GM of Corporate Business Department & Employee Representative Supervisor
- Tenure: 1.4yrs
Yi Wang (56yo)
GM of Housing Finance & Personal Credit Department and Employee Representative Supervisor
- Tenure: 1.4yrs
Company Information
China Construction Bank Corporation's company bio, employee growth, exchange listings and data sources
Key Information
- Name: China Construction Bank Corporation
- Ticker: 939
- Exchange: SEHK
- Founded: 1954
- Industry: Diversified Banks
- Sector: Banks
- Market Cap: HK$1.587t
- Shares outstanding: 250.01b
- Website: https://www.asia.ccb.com
Number of Employees
Location
- China Construction Bank Corporation
- No. 25, Finance Street
- Xicheng District
- Beijing
- 100033
- China
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| 939 | SEHK (The Stock Exchange of Hong Kong Ltd.) | Yes | Foreign Shares-Foreign Listed | HK | HKD | Oct 2005 |
| C6T | DB (Deutsche Boerse AG) | Yes | Foreign Shares-Foreign Listed | DE | EUR | Oct 2005 |
| CICH.F | OTCPK (Pink Sheets LLC) | Yes | Foreign Shares-Foreign Listed | US | USD | Oct 2005 |
| 939 | SHSC (Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect) | Yes | Foreign Shares-Foreign Listed | HK | HKD | Oct 2005 |
| 939 | SZSC (The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect) | Yes | Foreign Shares-Foreign Listed | HK | HKD | Oct 2005 |
| 601939 | SHSE (Shanghai Stock Exchange) | Domestic Shares | CN | CNY | Sep 2007 | |
| 601939 | XSSC (Shanghai Stock Exchange - Shanghai - Hong Kong Stock Connect) | Domestic Shares | CN | CNY | Sep 2007 | |
| CICH.Y | OTCPK (Pink Sheets LLC) | ADR | US | USD | Oct 2008 |
Biography
China Construction Bank Corporation provides various banking and related financial services in the People's Republic of China. It operates through Corporate Banking, Personal Banking, Treasury Business, an ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/10/17 12:42 |
| End of Day Share Price | 2019/10/17 00:00 |
| Earnings | 2019/06/30 |
| Annual Earnings | 2018/12/31 |
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.