Executive Summary
China Construction Bank Corporation provides various banking and related financial services in the People's Republic of China. More Details
Rewards
Risk Analysis
Snowflake Analysis
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
Stable Share Price: 939 has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
4.3%
939
4.8%
HK Banks
1.2%
HK Market
1 Year Return
-7.8%
939
-15.3%
HK Banks
2.3%
HK Market
Return vs Industry: 939 exceeded the Hong Kong Banks industry which returned -15.3% over the past year.
Return vs Market: 939 underperformed the Hong Kong Market which returned 2.3% over the past year.
Shareholder returns
| 939 | Industry | Market | |
|---|---|---|---|
| 7 Day | 4.3% | 4.8% | 1.2% |
| 30 Day | 15.5% | 14.5% | 7.0% |
| 90 Day | -2.0% | -0.8% | 3.6% |
| 1 Year | -2.3%-7.8% | -10.1%-15.3% | 6.6%2.3% |
| 3 Year | -2.6%-17.0% | -15.0%-27.5% | -4.7%-15.1% |
| 5 Year | 35.7%3.0% | 14.4%-13.5% | 19.1%-1.1% |
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
2 weeks ago | Simply Wall St
What Type Of Returns Would China Construction Bank's(HKG:939) Shareholders Have Earned If They Purchased Their SharesThree Years Ago?1 month ago | Simply Wall St
What Kind Of Shareholders Hold The Majority In China Construction Bank Corporation's (HKG:939) Shares?2 months ago | Simply Wall St
Should China Construction Bank Corporation (HKG:939) Be Part Of Your Dividend Portfolio?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
Below Fair Value: 939 (HK$5.8) is trading below our estimate of fair value (HK$12.58)
Significantly Below Fair Value: 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 (5.1x) compared to the HK Banks industry average (5.6x).
PE vs Market: 939 is good value based on its PE Ratio (5.1x) compared to the Hong Kong market (11.1x).
Price to Earnings Growth Ratio
PEG Ratio: 939 is good value based on its PEG Ratio (0.7x)
Price to Book Ratio
PB vs Industry: 939 is overvalued based on its PB Ratio (0.6x) compared to the HK Banks industry average (0.4x).
Next Steps
Future Growth
How is China Construction Bank forecast to perform in the next 1 to 3 years based on estimates from 22 analysts?
6.8%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 939's forecast earnings growth (6.8% per year) is above the savings rate (1.6%).
Earnings vs Market: 939's earnings (6.8% per year) are forecast to grow slower than the Hong Kong market (22.2% per year).
High Growth Earnings: 939's earnings are forecast to grow, but not significantly.
Revenue vs Market: 939's revenue (8.4% per year) is forecast to grow slower than the Hong Kong market (13.3% per year).
High Growth Revenue: 939's revenue (8.4% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: 939's Return on Equity is forecast to be low in 3 years time (11.2%).
Next Steps
Past Performance
How has China Construction Bank performed over the past 5 years?
3.2%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 939 has a high level of non-cash earnings.
Growing Profit Margin: 939's current net profit margins (47.2%) are lower than last year (49.4%).
Past Earnings Growth Analysis
Earnings Trend: 939's earnings have grown by 3.2% per year over the past 5 years.
Accelerating Growth: 939's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: 939 had negative earnings growth (-4.5%) over the past year, making it difficult to compare to the Banks industry average (-5.3%).
Return on Equity
High ROE: 939's Return on Equity (11%) is considered low.
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
Financial Institutions Analysis
Asset Level: 939's Assets to Equity ratio (12x) is moderate.
Allowance for Bad Loans: 939 has a sufficient allowance for bad loans (223%).
Low Risk Liabilities: 86% of 939's liabilities are made up of primarily low risk sources of funding.
Loan Level: 939 has an appropriate level of Loans to Assets ratio (57%).
Low Risk Deposits: 939's Loans to Deposits ratio (73%) is appropriate.
Level of Bad Loans: 939 has an appropriate level of bad loans (1.5%).
Next Steps
Dividend
What is China Construction Bank current dividend yield, its reliability and sustainability?
6.39%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: 939's dividend (6.39%) is higher than the bottom 25% of dividend payers in the Hong Kong market (2.24%).
High Dividend: 939's dividend (6.39%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.77%).
Stability and Growth of Payments
Stable Dividend: 939's dividends per share have been stable 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 (32.5%), 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 (30.2% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
1.4yrs
Average management tenure
CEO
Guiping Liu (54 yo)
1.42yrs
Tenure
CN¥493,900
Compensation
Mr. Guiping Liu has been President of China Construction Bank Corporation since May 2019 and its Vice Chairman and Director since July 2019. Mr. Liu worked for another leading banking institution, Agricult ...
CEO Compensation Analysis
Compensation vs Market: Guiping's total compensation ($USD73.86K) is below average for companies of similar size in the Hong Kong market ($USD888.01K).
Compensation vs Earnings: Insufficient data to compare Guiping's compensation with company performance.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman of the Board | 3yrs | CN¥748.10k | no data | |
| Vice Chairman & President | 1.42yrs | CN¥493.90k | no data | |
| Chief Economist | 7.08yrs | CN¥414.30k | 0.000010% CN¥ 146.6k | |
| Executive VP & Executive Director | 5.17yrs | CN¥686.20k | 0.000010% CN¥ 146.6k | |
| Chief Risk Officer | 1.42yrs | CN¥578.00k | 0.000010% CN¥ 146.6k | |
| Executive Vice President | 1.17yrs | CN¥395.40k | no data | |
| Secretary to the Board | 1.42yrs | CN¥575.90k | 0.000010% CN¥ 146.6k | |
| Chief Investment & Wealth Management Officer and GM of Investment Banking Dept of the Head Office | 9.58yrs | CN¥870.00k | no data | |
| General Manager of Financial Accounting Department | no data | no data | no data | |
| Executive Vice President | 0.25yr | no data | no data | |
| Executive Vice President | 0.25yr | no data | no data | |
| Company Secretary | no data | no data | no data |
1.4yrs
Average Tenure
56yo
Average Age
Experienced Management: 939's management team is not considered experienced ( 1.4 years average tenure), which suggests a new team.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman of the Board | 3yrs | CN¥748.10k | no data | |
| Vice Chairman & President | 1.42yrs | CN¥493.90k | no data | |
| Executive VP & Executive Director | 5.17yrs | CN¥686.20k | 0.000010% CN¥ 146.6k | |
| Independent Non-Executive Director | 3.17yrs | CN¥410.00k | no data | |
| Independent Non-Executive Director | 4yrs | CN¥441.70k | no data | |
| Independent Non-Executive Director | 4yrs | CN¥98.00k | no data | |
| Independent Non-Executive Director | 1.92yrs | no data | no data | |
| Non-Executive Director | 3.25yrs | no data | no data | |
| Independent Non-Executive Director | 1yr | CN¥110.00k | no data | |
| Non-Executive Director | 3.25yrs | no data | no data | |
| Non-Executive Director | 1.17yrs | no data | no data | |
| Shareholder Representative Chairman of the Board of Supervisors | 1yr | no data | no data |
3.1yrs
Average Tenure
60yo
Average Age
Experienced Board: 939's board of directors are considered experienced (3.1 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
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$1.466t
- Shares outstanding: 250.01b
- Website: https://www.ccb.com
Number of Employees
Location
- China Construction Bank Corporation
- No. 25, Finance Street
- Xicheng District
- Beijing
- Beijing Province
- 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 | 2020/10/25 12:30 |
| End of Day Share Price | 2020/10/23 00:00 |
| Earnings | 2020/06/30 |
| Annual Earnings | 2019/12/31 |
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.