Bank of China Valuation

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

HBND (SGD0.64) is trading below our estimate of [[fair value]] (SGD2.08)

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

Valuation Score

4/6

Valuation Score 4/6

Below Fair Value
Significantly Below Fair Value
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Analyst Forecast

Share Price vs Fair Value

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

Below Fair Value: HBND (SGD0.64) is trading below our estimate of fair value (SGD2.08)

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

Key Valuation Metric

Which metric is best to use when looking at relative valuation for HBND?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for HBND. This is calculated by dividing HBND's market cap by their current preferred multiple.
What is HBND's n/a Ratio?
n/a	0x
n/a	n/a
Market Cap	CN¥1.30t

HBND 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/Revenue	n/a
Enterprise Value/EBITDA	n/a
PEG Ratio	0.9x

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for HBND vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PE	Estimated Growth	Market Cap
Peer Average	11.2x
D05 DBS Group Holdings	10.5x	2.1%	S$110.0b
O39 Oversea-Chinese Banking	9.3x	0.9%	S$68.3b
U11 United Overseas Bank	9.6x	5.1%	S$53.8b
RY Royal Bank of Canada	15.3x	2.5%	CA$243.4b
HBND Bank of China	4.7x	5.2%	S$1.4t

Price-To-Earnings vs Peers: HBND is good value based on its Price-To-Earnings Ratio (4.7x) compared to the peer average (11.2x).

Price to Earnings Ratio vs Industry

How does HBND's PE Ratio compare vs other companies in the Asian Banks Industry?

0 Companies	Price / Earnings	Estimated Growth	Market Cap
Industry Avg.	n/a	7.3%
	n/a	n/a	n/a

Fetching data

0 Companies	Price / Earnings	Estimated Growth	Market Cap
Industry Avg.	n/a	7.3%
	n/a	n/a	n/a

No more companies

Price-To-Earnings vs Industry: HBND is good value based on its Price-To-Earnings Ratio (4.7x) compared to the Asian Banks industry average (8.4x).

Price to Earnings Ratio vs Fair Ratio

What is HBND'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.

HBND PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	4.7x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate HBND's Price-To-Earnings Fair Ratio for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.