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China Merchants Bank Co., Ltd. (600036) Report Analysis

Corporate Events

Neutral

China Merchants Bank Co., Ltd., Board Meeting, ...

2022-11-29 11:31:00

China Merchants Bank Co., Ltd., Board Meeting, Nov 29, 2022. Agenda: To consider and approve Resolution on the Commendation on Mr. Fu Gangfeng.

Negative

China Merchants Bank Co., Ltd. Announces Resign...

2022-11-29 11:23:00

The Board of Directors of China Merchants Bank Co., Ltd. received a letter of resignation from Mr. Fu Gangfeng, the Vice Chairman and Non-exec...

Negative

China Merchants Bank Co., Ltd. Announces Appoin...

2022-10-25 09:39:00

China Merchants Bank Co., Ltd. announced that the appointment qualifications of Mr. Hu Jianhua as Director of China Merchants Bank has been ap...

Neutral

China Merchants Bank Co., Ltd., Q3 2022 Earning...

2022-10-25 00:00:00

China Merchants Bank Co., Ltd., Q3 2022 Earnings Call, Oct 31, 2022

Neutral

China Merchants Bank Co., Ltd. to Report Q3, 20...

2022-10-18 10:21:00

China Merchants Bank Co., Ltd. announced that they will report Q3, 2022 results on Oct 28, 2022

Neutral

China Merchants Bank Co., Ltd., Board Meeting, ...

2022-10-18 10:21:00

China Merchants Bank Co., Ltd., Board Meeting, Oct 28, 2022. Agenda: To consider and approving the announcement of the third quarterly results...

Negative

China Merchants Bank Co., Ltd. Announces Direct...

2022-10-10 09:57:00

China Merchants Bank Co., Ltd. announced the appointment qualifications of Mr. Sun Yunfei and Mr. Chen Dong as Directors of China Merchants Ba...

Positive

China Merchants Bank Co., Ltd. has completed a ...

2022-08-11 00:00:00

China Merchants Bank Co., Ltd. has completed a Fixed-Income Offering in the amount of CNY 1.2 million. Security Name: Step-up Notes due Aug...

Neutral

China Merchants Bank Co., Ltd. to Report First ...

2022-08-08 09:18:00

China Merchants Bank Co., Ltd. announced that they will report first half, 2022 results on Aug 19, 2022

Neutral

China Merchants Bank Co., Ltd., Board Meeting, ...

2022-08-08 09:18:00

China Merchants Bank Co., Ltd., Board Meeting, Aug 19, 2022. Agenda: To consider and approving the announcement of the interim results of the ...

Neutral

China Merchants Bank Co., Ltd., H1 2022 Earning...

2022-07-25 00:00:00

China Merchants Bank Co., Ltd., H1 2022 Earnings Call, Aug 22, 2022

Neutral

China Merchants Bank Co., Ltd., H1 2022 Earning...

2022-07-25 00:00:00

China Merchants Bank Co., Ltd., H1 2022 Earnings Call, Aug 22, 2022

Neutral

China Merchants Bank Co., Ltd., Board Meeting, ...

2022-07-22 10:59:00

China Merchants Bank Co., Ltd., Board Meeting, Jul 22, 2022. Agenda: To discuss the Resolution regarding the Withdrawal of the Application for...

Positive

China Merchants Bank Co., Ltd. Approves Final D...

2022-06-30 09:33:00

China Merchants Bank Co., Ltd. announced that 2021 Annual General Meeting was convened by the Company on 29 June 2022, at which, among other t...

Neutral

China Merchants Bank Co., Ltd., Board Meeting, ...

2022-06-29 13:46:00

China Merchants Bank Co., Ltd., Board Meeting, Jun 29, 2022. Agenda: To consider management changes; and to consider other matters.

Positive

China Merchants Bank Co., Ltd. Proposes Final D...

2022-05-27 09:28:00

China Merchants Bank Co., Ltd. proposed ordinary final dividend of RMB 1.522 per share for the year ended 31 December 2021. Date of shareholde...

Neutral

China Merchants Bank Co., Ltd. Proposes Amendme...

2022-05-27 09:09:00

China Merchants Bank Co., Ltd. announced that at the Annual General Meeting to be held on 29 June, 2022, proposed amending the Articles of Ass...

Neutral

China Merchants Bank Co., Ltd., Annual General ...

2022-05-27 09:09:00

China Merchants Bank Co., Ltd., Annual General Meeting, Jun 29, 2022, at 09:30 China Standard Time. Location: Conference Room, 5/F, China Merc...

Neutral

China Merchants Bank Co., Ltd. Announces Amendm...

2022-05-20 12:37:00

China Merchants Bank Co., Ltd. announced that he Board of Directors meeting was held on 20 May 2022, the company approved the Resolution on th...

Neutral

China Merchants Bank Co., Ltd., Board Meeting, ...

2022-05-20 12:37:00

China Merchants Bank Co., Ltd., Board Meeting, May 20, 2022. Agenda: To discuss the resolution on the List of the Candidates for the Directors...

Positive

China Merchants Bank Co., Ltd. has completed a ...

2022-05-11 00:00:00

China Merchants Bank Co., Ltd. has completed a Fixed-Income Offering in the amount of CNY 5 billion. Security Name: 2.65% Fixed Rate Notes ...

Positive

China Merchants Bank Co., Ltd. has announced a ...

2022-05-07 00:00:00

China Merchants Bank Co., Ltd. has announced a Fixed-Income Offering. Security Name: Green Financial Bonds due 2025 Security Type: Corpora...

Neutral

China Merchants Bank Co., Ltd., Board Meeting, ...

2022-04-18 11:39:00

China Merchants Bank Co., Ltd., Board Meeting, Apr 18, 2022. Agenda: To consider the resolution regarding the removal of Mr. Tian Huiyu's duty...

Neutral

China Merchants Bank Co., Ltd., Q1 2022 Earning...

2022-04-11 00:00:00

China Merchants Bank Co., Ltd., Q1 2022 Earnings Call, Apr 25, 2022

Neutral

China Merchants Bank Co., Ltd., Q1 2022 Earning...

2022-04-11 00:00:00

China Merchants Bank Co., Ltd., Q1 2022 Earnings Call, Apr 25, 2022

Neutral

China Merchants Bank Co., Ltd. to Report Q1, 20...

2022-04-08 09:13:00

China Merchants Bank Co., Ltd. announced that they will report Q1, 2022 results on Apr 22, 2022

Neutral

China Merchants Bank Co., Ltd., Board Meeting, ...

2022-04-08 09:13:00

China Merchants Bank Co., Ltd., Board Meeting, Apr 22, 2022. Agenda: To consider and approving the announcement of the first quarterly results...

Positive

China Merchants Bank Co., Ltd., 1.522 (CNY), Ca...

2022-03-21 00:00:00

China Merchants Bank Co., Ltd., 1.522 (CNY), Cash Dividend, Jul-15-2022

Negative

China Merchants Bank Co., Ltd. Announces Additi...

2021-12-27 10:18:00

China Merchants Bank Co., Ltd. announced At the employee representative meeting held in accordance with the laws by the Company on 27 December...

Negative

China Merchants Bank Co., Ltd. Announces Resign...

2021-12-13 00:00:00

The board of supervisors of China Merchants Bank Co., Ltd. received a letter of resignation from Mr. Liu Xiaoming on 13 December 2021. Due to ...

Positive

China Merchants Bank Co., Ltd. Announces Cash D...

2021-12-10 10:52:00

China Merchants Bank Co., Ltd. announced Cash dividend payable for each of the Preference Shares will be RMB 4.81 (tax inclusive), calculated ...

Neutral

China Merchants Bank Co., Ltd., Board Meeting, Nov 29, 2022

2022-11-29 11:31:00

China Merchants Bank Co., Ltd., Board Meeting, Nov 29, 2022. Agenda: To consider and approve Resolution on the Commendation on Mr. Fu Gangfeng.

Negative

China Merchants Bank Co., Ltd. Announces Resignation of Fu Gangfeng as Vice Chairman, Non-Executive Director, and A Member of the Strategy Committee

2022-11-29 11:23:00

The Board of Directors of China Merchants Bank Co., Ltd. received a letter of resignation from Mr. Fu Gangfeng, the Vice Chairman and Non-executive Director of the Company. Due to change of work arrangements, Mr. Fu Gangfeng resigned as the Vice Chairman, Non-executive Director, and a member of the Strategy Committee of the Board of Directors. The resignation of Mr. Fu Gangfeng will take effect from 29 November 2022. Mr. Fu Gangfeng has confirmed that he has no disagreement with the Board of Directors of the Company and there are no other matters relating to his resignation that need to be brought to the attention of the shareholders and creditors of the Company. The Board of Directors of the Company would like to acknowledge Mr. Fu Gangfeng's outstanding contributions to the Company during his term of office with the high regard and deepest gratitude.

Negative

China Merchants Bank Co., Ltd. Announces Appointment of Mr. Hu Jianhua as Director

2022-10-25 09:39:00

China Merchants Bank Co., Ltd. announced that the appointment qualifications of Mr. Hu Jianhua as Director of China Merchants Bank has been approved. The term of Mr. Hu Jianhua as a Non-executive Director of the Company has taken effect from 20 October 2022, being the date of the approval and shall expire at the conclusion of the Twelfth Session of the Board of Directors of the Company.

Neutral

China Merchants Bank Co., Ltd., Q3 2022 Earnings Call, Oct 31, 2022

2022-10-25 00:00:00

China Merchants Bank Co., Ltd., Q3 2022 Earnings Call, Oct 31, 2022

Neutral

China Merchants Bank Co., Ltd. to Report Q3, 2022 Results on Oct 28, 2022

2022-10-18 10:21:00

China Merchants Bank Co., Ltd. announced that they will report Q3, 2022 results on Oct 28, 2022

Neutral

China Merchants Bank Co., Ltd., Board Meeting, Oct 28, 2022

2022-10-18 10:21:00

China Merchants Bank Co., Ltd., Board Meeting, Oct 28, 2022. Agenda: To consider and approving the announcement of the third quarterly results of the Company for the period ended 30 September 2022 for publication.

Negative

China Merchants Bank Co., Ltd. Announces Directors Changes, with Effect from October 8, 2022

2022-10-10 09:57:00

China Merchants Bank Co., Ltd. announced the appointment qualifications of Mr. Sun Yunfei and Mr. Chen Dong as Directors of China Merchants Bank have been approved. The terms of Mr. Sun Yunfei and Mr. Chen Dong as Non-executive Directors of the Company have taken effect from 8 October 2022, being the date of the approval and shall expire at the conclusion of the Twelfth Session of the Board of Directors of the Company.

Positive

China Merchants Bank Co., Ltd. has completed a Fixed-Income Offering in the amount of CNY 1.2 million.

2022-08-11 00:00:00

China Merchants Bank Co., Ltd. has completed a Fixed-Income Offering in the amount of CNY 1.2 million. Security Name: Step-up Notes due August 15, 2025 Security Type: Corporate Bond/Note (Non Convertible) Principal Amount: CNY 1.2 million Price\Range: 100% Coupon Type: Step-Up

Neutral

China Merchants Bank Co., Ltd. to Report First Half, 2022 Results on Aug 19, 2022

2022-08-08 09:18:00

China Merchants Bank Co., Ltd. announced that they will report first half, 2022 results on Aug 19, 2022

Neutral

China Merchants Bank Co., Ltd., Board Meeting, Aug 19, 2022

2022-08-08 09:18:00

China Merchants Bank Co., Ltd., Board Meeting, Aug 19, 2022. Agenda: To consider and approving the announcement of the interim results of the Company for the six months ended 30 June 2022 for publication; and to consider the recommendation of an interim dividend, if any.

Neutral

China Merchants Bank Co., Ltd., H1 2022 Earnings Call, Aug 22, 2022

2022-07-25 00:00:00

China Merchants Bank Co., Ltd., H1 2022 Earnings Call, Aug 22, 2022

Neutral

China Merchants Bank Co., Ltd., H1 2022 Earnings Call, Aug 22, 2022

2022-07-25 00:00:00

China Merchants Bank Co., Ltd., H1 2022 Earnings Call, Aug 22, 2022

Neutral

China Merchants Bank Co., Ltd., Board Meeting, Jul 22, 2022

2022-07-22 10:59:00

China Merchants Bank Co., Ltd., Board Meeting, Jul 22, 2022. Agenda: To discuss the Resolution regarding the Withdrawal of the Application for the Opening of China Merchants T-Bank.

Positive

China Merchants Bank Co., Ltd. Approves Final Dividend for the Year Ended 31 December 2021, Payable on or About 10 August 2022

2022-06-30 09:33:00

China Merchants Bank Co., Ltd. announced that 2021 Annual General Meeting was convened by the Company on 29 June 2022, at which, among other things, the profit appropriation plan for 2021 of the company was considered and approved. The Company will distribute a cash dividend of RMB 1.522 (tax included) for every one share held by the shareholders whose names appear on the register of members of the Company at the close of business on the respective record dates for the A shareholders and the H shareholders. The dividend for A shareholders would be RMB 1.522 (tax included) per share, payable in RMB. Based on the average benchmark exchange rate of Renminbi to Hong Kong Dollars as released by the People's Bank of China one week prior to and including the date of declaration of dividends at the 2021 Annual General Meeting of the Company (i.e. HKD 1=RMB0.8534), the dividend for H shareholders would be approximately HKD 1.783454 (tax included) per share, payable in Hong Kong Dollars. CMB Wing Lung (Trustee) Limited, the Company's H-share dividend payment agent, is expected to pay the 2021 final dividend (net of the relevant tax) to H shareholders of the Company on or about 10 August 2022, and the relevant cheques of dividends will be sent at the same time by ordinary post to H shareholders of the Company at their own risk.

Neutral

China Merchants Bank Co., Ltd., Board Meeting, Jun 29, 2022

2022-06-29 13:46:00

China Merchants Bank Co., Ltd., Board Meeting, Jun 29, 2022. Agenda: To consider management changes; and to consider other matters.

Positive

China Merchants Bank Co., Ltd. Proposes Final Dividend for the Year Ended 31 December 2021, Payable on 10 August 2022

2022-05-27 09:28:00

China Merchants Bank Co., Ltd. proposed ordinary final dividend of RMB 1.522 per share for the year ended 31 December 2021. Date of shareholders' approval is 29 June 2022. Ex-dividend date is 07 July 2022. Record date is 14 July 2022. Payment date is 10 August 2022.

Neutral

China Merchants Bank Co., Ltd. Proposes Amendments to the Articles of Association

2022-05-27 09:09:00

China Merchants Bank Co., Ltd. announced that at the Annual General Meeting to be held on 29 June, 2022, proposed amending the Articles of Association.

Neutral

China Merchants Bank Co., Ltd., Annual General Meeting, Jun 29, 2022

2022-05-27 09:09:00

China Merchants Bank Co., Ltd., Annual General Meeting, Jun 29, 2022, at 09:30 China Standard Time. Location: Conference Room, 5/F, China Merchants Bank Tower No. 7088 Shennan Boulevard, Futian District Shenzhen Guangdong Province China Agenda: To consider Work Report of the Board of Directors for the year 2021; to consider work report of the board of supervisors for the year 2021; to consider annual report for the year 2021 (including the Audited Financial Report); to consider audited financial statements for the year 2021; to consider Proposal regarding the profit appropriation plan for the year 2021 (including the distribution of final dividend); to consider resolution regarding the engagement of accounting firms for the year 2022; to consider related party transaction report for the year 2021; to consider medium-term capital management plan for 2022-2024; to consider proposal regarding adjusting the authorisation to directors in respect of domestic preference shares of China Merchants Bank; and to consider other matters.

Neutral

China Merchants Bank Co., Ltd. Announces Amendments to the Articles of Association

2022-05-20 12:37:00

China Merchants Bank Co., Ltd. announced that he Board of Directors meeting was held on 20 May 2022, the company approved the Resolution on the Amendments to the Articles of Association of China Merchants Bank Co., Ltd., and it is agreed that the Articles of Association of China Merchants Bank Co., Ltd. (2022 Revision) (including the Rules of Procedures for Shareholders' General Meetings, the Rules of Procedures for Meetings of the Board of Directors and the Rules of Procedures for Meetings of the Board of Supervisors) will be submitted to the 2021 annual general meeting of the Company for consideration. This resolution requires the approval of more than two-thirds of the voting rights held by shareholders (including their proxies) with voting rights attending the general meeting. The Articles of Association of China Merchants Bank Co., Ltd. (2022 Revision) shall be subject to the approval by the CBIRC upon the approval at the general meeting. For the amendments to the Articles of Association of the Company and the Rules of Procedures for Shareholders' General Meetings, the Rules of Procedures for Meetings of the Board of Directors and the Rules of Procedures for Meetings of the Board of Supervisors, refer to the circular for the 2021 annual general meeting to be issued separately by the Company.

Neutral

China Merchants Bank Co., Ltd., Board Meeting, May 20, 2022

2022-05-20 12:37:00

China Merchants Bank Co., Ltd., Board Meeting, May 20, 2022. Agenda: To discuss the resolution on the List of the Candidates for the Directors of the Twelfth Session of the Board of Directors; to consider the resolution on the Amendments to the Articles of Association; and to consider any other matter thereof.

Positive

China Merchants Bank Co., Ltd. has completed a Fixed-Income Offering in the amount of CNY 5 billion.

2022-05-11 00:00:00

China Merchants Bank Co., Ltd. has completed a Fixed-Income Offering in the amount of CNY 5 billion. Security Name: 2.65% Fixed Rate Notes due May 13, 2025 Security Type: Corporate Bond/Note (Non Convertible) Principal Amount: CNY 5 billion Price\Range: 100% Coupon Type: Fixed

Positive

China Merchants Bank Co., Ltd. has announced a Fixed-Income Offering.

2022-05-07 00:00:00

China Merchants Bank Co., Ltd. has announced a Fixed-Income Offering. Security Name: Green Financial Bonds due 2025 Security Type: Corporate Bond/Note (Non Convertible) Price\Range: 100% Security Features: Climate Bonds/Green Bonds

Neutral

China Merchants Bank Co., Ltd., Board Meeting, Apr 18, 2022

2022-04-18 11:39:00

China Merchants Bank Co., Ltd., Board Meeting, Apr 18, 2022. Agenda: To consider the resolution regarding the removal of Mr. Tian Huiyu's duty; and to consider other matters.

Neutral

China Merchants Bank Co., Ltd., Q1 2022 Earnings Call, Apr 25, 2022

2022-04-11 00:00:00

China Merchants Bank Co., Ltd., Q1 2022 Earnings Call, Apr 25, 2022

Neutral

China Merchants Bank Co., Ltd., Q1 2022 Earnings Call, Apr 25, 2022

2022-04-11 00:00:00

China Merchants Bank Co., Ltd., Q1 2022 Earnings Call, Apr 25, 2022

Neutral

China Merchants Bank Co., Ltd. to Report Q1, 2022 Results on Apr 22, 2022

2022-04-08 09:13:00

China Merchants Bank Co., Ltd. announced that they will report Q1, 2022 results on Apr 22, 2022

Neutral

China Merchants Bank Co., Ltd., Board Meeting, Apr 22, 2022

2022-04-08 09:13:00

China Merchants Bank Co., Ltd., Board Meeting, Apr 22, 2022. Agenda: To consider and approving the announcement of the first quarterly results of the company for the three months ended 31 March 2022 for publication.

Positive

China Merchants Bank Co., Ltd., 1.522 (CNY), Cash Dividend, Jul-15-2022

2022-03-21 00:00:00

China Merchants Bank Co., Ltd., 1.522 (CNY), Cash Dividend, Jul-15-2022

Negative

China Merchants Bank Co., Ltd. Announces Addition of Employee Supervisor of the Eleventh Session of the Board Of supervisors

2021-12-27 10:18:00

China Merchants Bank Co., Ltd. announced At the employee representative meeting held in accordance with the laws by the Company on 27 December 2021, Ms. Cai Jin was democratically elected as an Employee Supervisor of the Eleventh Session of the Board of Supervisors of the Company. The term of office of Ms. Cai Jin as an Employee Supervisor shall be effective from 27 December 2021 until the date of expiry of the Eleventh Session of the Board of Supervisors of the Company. The resignation of Mr. Liu Xiaoming as an Employee Supervisor shall be effective from 27 December 2021. Ms. Cai Jin, born in July 1970, obtained a bachelor's degree in Finance from Hunan University of Finance and Economics. She is an economist. She currently serves as the Director of the Labor Union of the Head Office of the Company. In August 1992, she started her career in the Shashi Branch of Industrial and Commercial Bank of China in Hubei Province. She joined the Company in May 1995. She successively served as the Assistant to the General Manager of the Human Resources Department, the Deputy General Manager of the Banking Department of the Head Office and the Deputy General Manager of the Asset Custody Department of the Head Office from April 2010 to December 2021.

Negative

China Merchants Bank Co., Ltd. Announces Resignation of Liu Xiaoming to the Board of Supervisors as an Employee Supervisor and A Member of the Nomination Committee Under the Board of Supervisors

2021-12-13 00:00:00

The board of supervisors of China Merchants Bank Co., Ltd. received a letter of resignation from Mr. Liu Xiaoming on 13 December 2021. Due to change in work arrangements, Mr. Liu Xiaoming tendered his resignation to the Board of Supervisors as an Employee Supervisor and a member of the Nomination Committee under the Board of Supervisors. In accordance with relevant laws and regulations and the Articles of Association of China Merchants Bank Co., Ltd., the resignation of Mr. Liu Xiaoming will take effect after a new Employee Supervisor has been elected by the employee representative meeting of the Company to fill his vacancy. Until then, Mr. Liu Xiaoming will continue to perform his duties as an Employee Supervisor in accordance with relevant regulations.

Positive

China Merchants Bank Co., Ltd. Announces Cash Dividend for Preference Shares, Payable on December 20, 2021

2021-12-10 10:52:00

China Merchants Bank Co., Ltd. announced Cash dividend payable for each of the Preference Shares will be RMB 4.81 (tax inclusive), calculated at the dividend rate of 4.81% for (Zhao Yin You 1), and the company will distribute cash dividends of RMB 1,322.75 million in total (tax inclusive). Record date is 17 December 2021. Ex-dividend date is 17 December 2021. Dividend payment date: Since 18 December 2021 is a Saturday, the dividend payment date will be postponed to the first working day of the following week, which is 20 December 2021.

Fundamental Summary

China Merchants's financial results from Q2 demonstrated decent performance, but will likely only help China Merchants remain on par with its peers. We do believe, though, that macro-related market conditions will influence the company's performance more significantly than its individual results. Therefore, China Merchants received an overall score of 77, translating into a HOLD ranking.

China Merchants reported earnings results for the third quarter and nine months ended September 30, 2022. For the third quarter, the company reported net income was CNY 37,502 million compared to CNY 32,465 million a year ago. Basic and diluted earnings per share was CNY 1.47 compared to CNY 1.27 a year ago.For the nine months, net income was CNY 106,922 million compared to CNY 93,615 million a year ago. Basic and diluted earnings per share was CNY 4.15 compared to CNY 3.62 a year ago.

Business Description

China Merchants, together with its subsidiaries, provides various banking products and services. It operates through Wholesale Finance Business, Retail Finance Business, and Other Business segments. The company offers current, demand, time, call, savings, notice, and renminbi accounts. Its loan products include personal commercial real estate, consumption, housing, and car loans; loans to finance for studying abroad; micro-business loans; mortgage loans for equipment; joint guarantee, special guarantee, and housing mortgage loan; bank acceptance, discount, liquid capital, and fixed asset loans; and loans for vessels. The company also offers credit cards; insurance products; open-ended funds; discount and guarantees for commercial bills, redemption of commercial bills, and guaranteed discount for commercial acceptance bills; and financial consultation, debt financing underwriting, merger and acquisition financing, and equity financing and enterprise listing services. In addition, it provides forfeiting and risk participation, escrow, cross-border RMB clearing, and interbank services; and risk and financial management, cross-border RMB and oversea financing, international factoring and settlement, and trade finance services. Further, the company offers financial leasing and guarantee, investment and wealth management, forex option and gold trading, forex express trading, international, offshore and private banking, custody, pension, and electronic banking services. As of December 31, 2021, it operated 143 branches; 1,770 sub-branches; one branch-level operation center; 2,812 self-service centers; 6,592 self-service machines; one representative office; 14,746 visual counters in Mainland China. The company also operates in Hong Kong, New York, London, Singapore, Luxembourg, Sydney, and Taipei. China Merchants was founded in 1987 and is headquartered in Shenzhen, China.

Sector Overview

China Merchants is included in the Banks according to GICS (global industry classification standard). The Banks industry, which is in the Financials sector, includes Diversified & Regional Banks whose operations focus on conventional banking, retail banking, and lending to SMEs (small and medium enterprises). China Merchants's industry and sector affiliation are expected to positively boost their relative likelihood to overperform the market looking forward, as they should benefit significantly from the macroeconomic environment we see now.

Fundamental Highlights


Parameter Value Change Score
Assets 9.7T 3.3% 51
Liabilities 8.8T 3.7% 82
Price to Book 1.2 -9.3% 64
Cash & Equivalents 289.5B 2421.0% 98
Equity 854.0B -0.6% 67
Total Revenues 275.9B 1.6% 61
Parameter Value Change Score
Return on Equity 15.6 3.8% 82
Net Cashflow -34.4B -208.5% 78
Capital Expenditure -28.1B -3.7% 56
Free Cashflow Per Share 10.7 13.2% 59
* All values are TTM

The below chart reflects China Merchants's birds-eye view on its performance with respect to its peers, the company's fillings as reported or to a similar industry, market cap, and country of origin. While China Merchants's peer average final assessment score stands on 71, China Merchants's score is 77.

  •  600036
  •  Peers average
Name Market Cap Balance Sheet Income Statement Cash Flow Rating Final Assessment mc_sort Hidden
Industrial Bank Co., Ltd. 367.7B 73 71 67
Hold
68
68 0 1
Shanghai Pudong Development Bank Co., Ltd. 211.9B 51 61 66
Underperform
51
51 1 1
China Everbright Bank Company Limited 150.3B 76 63 69
Hold
67
67 2 1
China Minsheng Banking Corp., Ltd. 145.1B 64 64 63
Underperform
59
59 3 1
Bank of Jiangsu Co., Ltd. 109.4B 83 75 65
Hold
76
76 4 1
Bank of Nanjing Co., Ltd. 91.4B 80 74 74
Hold
76
76 5 1
Bank of Beijing Co., Ltd. 90.7B 69 63 81
Hold
67
67 6 1
Bank of Shanghai Co., Ltd. 84.8B 92 62 69
Hold
77
77 7 1
Hua Xia Bank Co., Limited 83.4B 77 64 54
Hold
64
64 8 1
Bank of Hangzhou Co., Ltd. 78.4B 76 74 66
Hold
71
71 9 1
Shanghai Rural Commercial Bank Co., Ltd. 57.0B 80 62 69
Hold
69
69 10 1
Bank of Chengdu Co., Ltd. 56.6B 82 71 65
Hold
73
73 11 1
Bank of Changsha Co., Ltd. 27.8B 81 63 64
Hold
69
69 12 1
Jiangsu Changshu Rural Commercial Bank Co., Ltd. 20.8B 94 74 74
Buy
85
85 13 1
Bank of Guiyang Co.,Ltd. 20.7B 81 63 56
Hold
67
67 14 1
QILU BANK CO., LTD. 19.6B 83 78 68
Hold
77
77 15 1
Bank of Xi'an Co.,Ltd. 15.8B 83 63 75
Hold
74
74 16 1
Xiamen Bank Co., Ltd. 15.2B 76 76 61
Hold
70
70 17 1
Zhejiang Shaoxing RuiFeng Rural Commercial Bank Co.,Ltd 10.3B 89 74 67
Buy
79
79 18 1
Jiangsu Zijin Rural Commercial Bank Co.,Ltd 10.0B 78 58 67
Hold
66
66 19 1
Wuxi Rural Commercial Bank Co.,Ltd 9.8B 73 61 68
Hold
64
64 20 1
Jiangsu Suzhou Rural Commercial Bank Co., Ltd 8.7B 86 69 59
Hold
73
73 21 1
Ping An Bank Co., Ltd. 252.9B 81 77 59
Hold
73
73 22 1
Bank of Ningbo Co., Ltd. 212.0B 84 74 61
Hold
74
74 23 1
Bank of Suzhou Co., Ltd. 28.3B 82 74 64
Hold
74
74 24 1
Bank of Lanzhou Co., Ltd. 23.3B 70 62 70
Hold
69
69 25 1
Qingdao Rural Commercial Bank Co., Ltd. 16.7B 69 59 72
Hold
63
63 26 1
Jiangsu Zhangjiagang Rural Commercial Bank Co., Ltd 10.3B 85 75 73
Buy
78
78 27 1
Jiangsu Jiangyin Rural Commercial Bank Co.,LTD. 8.8B 83 74 60
Hold
73
73 28 1

Macro Environment

Neutral
79

Typically, the stock market in China will react to recent economic events, as well as be influenced by the sentiment in other major economies around the world. Our assessment is that these two events may influence global market sentiment. On the negative side we have the U.S. sanctions, and on the positive side we have the Chinese economy is returning to stable growth.

Positive Chinese economy is returning to stable growth

As a result of the implementation of economic stabilization packages and follow-up initiatives, the general momentum of recovery and development has been maintained. We can see improvements in major economic indicators, like industrial production, services, investment, and consumption. Thus, it is expected that third-quarter GDP will increase significantly from the second quarter.

Negative U.S. sanctions

Biden's administration recently announced new restrictions on American companies that sell advanced semiconductors to China, including restrictions on U.S. citizens and residents who work for chip plants in China. In response, Americans working in Chinese companies are leaving. In its attempt to become a global technology leader, this could pose a serious obstacle for China.

Besides the events we mentioned, there are also specific events related to the Banks industry of which China Merchants Bank Co., Ltd. is a part. As a result, we believe that the rising interest rate is a positive event that will continue to support the industry in the future, whereas the rising inflation may cloud the sector's shares.

Positive rising interest rate

From a historical point of view, the finance sector functions well when interest rates are rising, mainly due to the increase in loan repayments from lenders. Also, insurers often reinvest policyholder premiums into bond instruments, allowing them to profit when Treasury yields increase.

Negative rising inflation

The sudden increase in inflation is generally regarded as the most painful since it takes companies several quarters to pass on higher input costs to consumers. Historically, companies traded in the Banks industry have been hit by high inflation times due to increased operating expenses and decreased revenues.

In considering the current macro environment and the risks that might affect China Merchants Bank Co., Ltd. stock, we came to the conclusion that recent events aren't likely to affect the company's performance in the short term, and thus rated China Merchants Bank Co., Ltd. macro environment with the score of 79.

Technical Analysis

When trying to optimize the timing of an investment, it's critical to analyze whether the stock looks overbought or oversold, and in which direction the momentum is moving. China Merchants's stock is now priced above its 5-day and 50-day, but below its 200-day moving average, while its MACD (moving average convergence divergence) indicates that the stock's price movement momentum is strengthening. Historically, this is a positive setup in both the short and medium-term. Meanwhile, looking at the Stochastic Oscillator and RSI (relative strength index), China Merchants's stock indicates that it's likely oversold. Overall, these technical indicators don't clearly signal directional momentum. Therefore, this stock received a cumulative TA (technical analysis) score of 68.

Neutral 68
Close Price 34.96
52W Low 26.82
52W High 53.49
5D MA 33.4
50D MA 31.48
200D MA 38.27
MACD 0.9
RSI 12.16
STOCH 100.0

Balance Sheet Analysis

All in all, looking at the balance sheet, China Merchants's financial health appears good. China Merchants's balance sheet neither stood out as being particularly strong or weak relative to its peers. China Merchants's management was effective in improving its cash and cash equivalents metrics, which now sit at 289.5B. This represents 2421.0% change from the last reporting period. This performance is significantly more impressive than its peers and competitors. It suggests that their stock price has room to grow to reflect its actual intrinsic value. Therefore, its cash and cash equivalents movement earned a score of 98. Also, In terms of liabilities, China Merchants published good numbers. Their reported liabilities were 8.8T, representing a 3.7% change from the previous report. This performance is all interesting relative to their peers and suggests that their stock price has room to grow to reflect a higher intrinsic value. The company's liabilities movement component, therefore, received a grade of 82. On the other hand, Assets, jumped out as looking rather underwhelming. China Merchants assets metrics were reported as 9.7T, representing a 3.3% change from the last filing. China Merchants's unremarkable asset growth results, specifically compared to their industry peers' performance, should present negative pressure on China Merchants's stock price. Consequently, their asset movement received a grade of 51. Therefore, their balance sheet earned a grade of 74.

Parameter Value Change Score
Assets 9.7T 3.3% 51
Liabilities 8.8T 3.7% 82
Price to Book 1.2 -9.3% 64
Cash & Equivalents 289.5B 2421.0% 98
Equity 854.0B -0.6% 67
* All values are TTM

The below chart describes China Merchants's performance as reflected on its balance sheet with respect to its peers. While China Merchants received a balance sheet score of 74, the average of its peers stands on 79.

  •  600036
  •  Peers average
Name Market Cap Liabilities Movement Asset Change Equity/Intangibles Adjustments Cash & Equivalents Book Value Momentum Balance Sheet mc_sort Hidden
Industrial Bank Co., Ltd. 367.7B 74.0 60.0 54.0 68.0 74.0 73 0 1
Shanghai Pudong Development Bank Co., Ltd. 211.9B 50.0 87.0 57.0 53.0 51.0 51 1 1
China Everbright Bank Company Limited 150.3B 58.0 69.0 82.0 61.0 80.0 76 2 1
China Minsheng Banking Corp., Ltd. 145.1B 45.0 72.0 69.0 40.0 74.0 64 3 1
Bank of Jiangsu Co., Ltd. 109.4B 75.0 57.0 54.0 89.0 84.0 83 4 1
Bank of Nanjing Co., Ltd. 91.4B 74.0 60.0 54.0 63.0 85.0 80 5 1
Bank of Beijing Co., Ltd. 90.7B 52.0 84.0 54.0 49.0 77.0 69 6 1
Bank of Shanghai Co., Ltd. 84.8B 79.0 56.0 53.0 88.0 95.0 92 7 1
Hua Xia Bank Co., Limited 83.4B 56.0 64.0 69.0 95.0 77.0 77 8 1
Bank of Hangzhou Co., Ltd. 78.4B 76.0 63.0 54.0 42.0 83.0 76 9 1
Shanghai Rural Commercial Bank Co., Ltd. 57.0B 77.0 62.0 69.0 80.0 76.0 80 10 1
Bank of Chengdu Co., Ltd. 56.6B 73.0 59.0 40.0 93.0 85.0 82 11 1
Bank of Changsha Co., Ltd. 27.8B 77.0 64.0 55.0 61.0 85.0 81 12 1
Jiangsu Changshu Rural Commercial Bank Co., Ltd. 20.8B 82.0 62.0 80.0 89.0 91.0 94 13 1
Bank of Guiyang Co.,Ltd. 20.7B 74.0 66.0 55.0 85.0 80.0 81 14 1
QILU BANK CO., LTD. 19.6B 86.0 52.0 69.0 81.0 78.0 83 15 1
Bank of Xi'an Co.,Ltd. 15.8B 82.0 60.0 69.0 92.0 77.0 83 16 1
Xiamen Bank Co., Ltd. 15.2B 82.0 53.0 56.0 84.0 72.0 76 17 1
Zhejiang Shaoxing RuiFeng Rural Commercial Bank Co.,Ltd 10.3B 86.0 49.0 68.0 98.0 84.0 89 18 1
Jiangsu Zijin Rural Commercial Bank Co.,Ltd 10.0B 46.0 89.0 54.0 97.0 82.0 78 19 1
Wuxi Rural Commercial Bank Co.,Ltd 9.8B 71.0 61.0 55.0 95.0 68.0 73 20 1
Jiangsu Suzhou Rural Commercial Bank Co., Ltd 8.7B 83.0 57.0 53.0 73.0 88.0 86 21 1
Ping An Bank Co., Ltd. 252.9B 75.0 64.0 68.0 63.0 83.0 81 22 1
Bank of Ningbo Co., Ltd. 212.0B 84.0 51.0 68.0 89.0 79.0 84 23 1
Bank of Suzhou Co., Ltd. 28.3B 69.0 72.0 54.0 96.0 80.0 82 24 1
Bank of Lanzhou Co., Ltd. 23.3B 87.0 47.0 67.0 54.0 65.0 70 25 1
Qingdao Rural Commercial Bank Co., Ltd. 16.7B 46.0 69.0 54.0 53.0 81.0 69 26 1
Jiangsu Zhangjiagang Rural Commercial Bank Co., Ltd 10.3B 85.0 60.0 54.0 74.0 84.0 85 27 1
Jiangsu Jiangyin Rural Commercial Bank Co.,LTD. 8.8B 76.0 57.0 54.0 93.0 82.0 83 28 1

Income Statement Analysis

China Merchants appears likely to maintain its strong income statement metrics, especially Return Factors. China Merchants's reported return on equity (ROE) ratio was 15.6, representing a change of 3.8%. These numbers show that management has successfully encouraged growth while managing ROE and ROA metrics, especially relative to their peers. Consequently, their return factors received a grade of 82. That said, one metric, Revenue Efficiency, stood out as strongly negative. China Merchants reported discouraging numbers for its revenue efficiency. As of the current filing, they were reported as 275.9B and represented 1.6% change from the previous period. This metric might have a 3.1 percent impact on companies in the same industry and with the same market capitalization. Its uninspiring revenue efficiency is even more concerning relative to its peers and competitors in the current market. Consequently, their revenue efficiency received a grade of 61. their income statement received an overall score of 76.

Parameter Value Change Score
Total Revenues 275.9B 1.6% 61
Return on Equity 15.6 3.8% 82
* All values are TTM

The below chart describes China Merchants's performance as reflected on its income statement with respect to its peers. While China Merchants received a income statement score of 76 , the average of its peers stands on 68.

  •  600036
  •  Peers average
Name Market Cap Revenue Momentum Earning Movement Return Factors Momentum Income Statement mc_sort Hidden
Industrial Bank Co., Ltd. 367.7B 56.0 58.0 77.0 71 0 1
Shanghai Pudong Development Bank Co., Ltd. 211.9B 68.0 63.0 57.0 61 1 1
China Everbright Bank Company Limited 150.3B 59.0 60.0 63.0 63 2 1
China Minsheng Banking Corp., Ltd. 145.1B 64.0 61.0 62.0 64 3 1
Bank of Jiangsu Co., Ltd. 109.4B 47.0 60.0 84.0 75 4 1
Bank of Nanjing Co., Ltd. 91.4B 48.0 62.0 81.0 74 5 1
Bank of Beijing Co., Ltd. 90.7B 61.0 62.0 61.0 63 6 1
Bank of Shanghai Co., Ltd. 84.8B 59.0 62.0 60.0 62 7 1
Hua Xia Bank Co., Limited 83.4B 58.0 62.0 64.0 64 8 1
Bank of Hangzhou Co., Ltd. 78.4B 49.0 60.0 82.0 74 9 1
Shanghai Rural Commercial Bank Co., Ltd. 57.0B 60.0 62.0 60.0 62 10 1
Bank of Chengdu Co., Ltd. 56.6B 47.0 57.0 79.0 71 11 1
Bank of Changsha Co., Ltd. 27.8B 56.0 62.0 63.0 63 12 1
Jiangsu Changshu Rural Commercial Bank Co., Ltd. 20.8B 49.0 60.0 82.0 74 13 1
Bank of Guiyang Co.,Ltd. 20.7B 67.0 63.0 59.0 63 14 1
QILU BANK CO., LTD. 19.6B 51.0 62.0 87.0 78 15 1
Bank of Xi'an Co.,Ltd. 15.8B 85.0 63.0 55.0 63 16 1
Xiamen Bank Co., Ltd. 15.2B 61.0 62.0 81.0 76 17 1
Zhejiang Shaoxing RuiFeng Rural Commercial Bank Co.,Ltd 10.3B 44.0 61.0 82.0 74 18 1
Jiangsu Zijin Rural Commercial Bank Co.,Ltd 10.0B 55.0 54.0 60.0 58 19 1
Wuxi Rural Commercial Bank Co.,Ltd 9.8B 65.0 54.0 62.0 61 20 1
Jiangsu Suzhou Rural Commercial Bank Co., Ltd 8.7B 89.0 64.0 64.0 69 21 1
Ping An Bank Co., Ltd. 252.9B 53.0 61.0 84.0 77 22 1
Bank of Ningbo Co., Ltd. 212.0B 50.0 61.0 81.0 74 23 1
Bank of Suzhou Co., Ltd. 28.3B 51.0 60.0 82.0 74 24 1
Bank of Lanzhou Co., Ltd. 23.3B 90.0 63.0 53.0 62 25 1
Qingdao Rural Commercial Bank Co., Ltd. 16.7B 63.0 56.0 58.0 59 26 1
Jiangsu Zhangjiagang Rural Commercial Bank Co., Ltd 10.3B 48.0 58.0 84.0 75 27 1
Jiangsu Jiangyin Rural Commercial Bank Co.,LTD. 8.8B 52.0 60.0 80.0 74 28 1

Cash Flow Analysis

While overall, China Merchants's cash flow metrics were good, two metrics jumped up as significant positive drivers of the cash flow's strength in China Merchants's recent report: Net Cash Flow and Free Cash flow. China Merchants presents exciting net cash flow numbers for its recent financial release, illustrated by a net cash flow of -34.4B, which is a change of -208.5% from the last filing. This industry-leading net cash flow momentum should reinforce broader positive momentum for its's stock price going forward. The company's net cash flow, therefore, received a grade of 78. Also, China Merchants's published free cash flow numbers were substantial and reflected management's focus on a healthy change strategy. China Merchants recorded free cash flow of 10.7, which represents a 13.2% change from the previous report. This parameter could affect companies in the same industry and market capitalization by up to 7.3%. Their free cash flow situation is all the more impressive relative to their peers and competitors. The company's free cash flow movement, therefore, received a grade of 59. On the other hand, Capital Expenditure, jumped out as looking rather underwhelming. China Merchants's management was ineffective in materially improving CapEx, which now sits at -28.1B and represents a -3.7% change from the previous report. This performance is all the more uninspiring relative to their peers and competitors. Consequently, their CapEx movement received a grade of 56. their cash flow, therefore, earned a score of 66.

Parameter Value Change Score
Net Cashflow -34.4B -208.5% 78
Capital Expenditure -28.1B -3.7% 56
Free Cashflow Per Share 10.7 13.2% 59
* All values are TTM

The below chart describes China Merchants's performance as reflected on its cash flow with respect to its peers. While China Merchants received a cash flow score of 66, the average of its peers stands on 66.

  •  600036
  •  Peers average
Name Market Cap Cashflow Momentum Free Cashflow Growth Capital Expenditure Growth Assets Factors Momentum Cash Flow mc_sort Hidden
Industrial Bank Co., Ltd. 367.7B 48.0 90.0 84.0 70.0 67 0 1
Shanghai Pudong Development Bank Co., Ltd. 211.9B 39.0 99.0 93.0 70.0 66 1 1
China Everbright Bank Company Limited 150.3B 89.0 44.0 51.0 70.0 69 2 1
China Minsheng Banking Corp., Ltd. 145.1B 38.0 95.0 85.0 70.0 63 3 1
Bank of Jiangsu Co., Ltd. 109.4B 39.0 95.0 93.0 70.0 65 4 1
Bank of Nanjing Co., Ltd. 91.4B 64.0 77.0 85.0 70.0 74 5 1
Bank of Beijing Co., Ltd. 90.7B 93.0 42.0 95.0 70.0 81 6 1
Bank of Shanghai Co., Ltd. 84.8B 51.0 89.0 85.0 70.0 69 7 1
Hua Xia Bank Co., Limited 83.4B 41.0 94.0 41.0 70.0 54 8 1
Bank of Hangzhou Co., Ltd. 78.4B 90.0 44.0 38.0 70.0 66 9 1
Shanghai Rural Commercial Bank Co., Ltd. 57.0B 60.0 74.0 87.0 70.0 69 10 1
Bank of Chengdu Co., Ltd. 56.6B 40.0 95.0 92.0 70.0 65 11 1
Bank of Changsha Co., Ltd. 27.8B 43.0 94.0 81.0 70.0 64 12 1
Jiangsu Changshu Rural Commercial Bank Co., Ltd. 20.8B 98.0 38.0 59.0 70.0 74 13 1
Bank of Guiyang Co.,Ltd. 20.7B 37.0 98.0 55.0 70.0 56 14 1
QILU BANK CO., LTD. 19.6B 53.0 80.0 90.0 70.0 68 15 1
Bank of Xi'an Co.,Ltd. 15.8B 72.0 64.0 89.0 70.0 75 16 1
Xiamen Bank Co., Ltd. 15.2B 78.0 49.0 43.0 70.0 61 17 1
Zhejiang Shaoxing RuiFeng Rural Commercial Bank Co.,Ltd 10.3B 52.0 82.0 85.0 70.0 67 18 1
Jiangsu Zijin Rural Commercial Bank Co.,Ltd 10.0B 86.0 43.0 58.0 70.0 67 19 1
Wuxi Rural Commercial Bank Co.,Ltd 9.8B 46.0 91.0 90.0 70.0 68 20 1
Jiangsu Suzhou Rural Commercial Bank Co., Ltd 8.7B 49.0 84.0 58.0 70.0 59 21 1
Ping An Bank Co., Ltd. 252.9B 46.0 92.0 51.0 70.0 59 22 1
Bank of Ningbo Co., Ltd. 212.0B 49.0 92.0 49.0 70.0 61 23 1
Bank of Suzhou Co., Ltd. 28.3B 41.0 94.0 82.0 70.0 64 24 1
Bank of Lanzhou Co., Ltd. 23.3B 89.0 48.0 58.0 70.0 70 25 1
Qingdao Rural Commercial Bank Co., Ltd. 16.7B 51.0 91.0 95.0 70.0 72 26 1
Jiangsu Zhangjiagang Rural Commercial Bank Co., Ltd 10.3B 96.0 38.0 57.0 70.0 73 27 1
Jiangsu Jiangyin Rural Commercial Bank Co.,LTD. 8.8B 78.0 49.0 39.0 70.0 60 28 1

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