$CEB BANK (06818.HK)$ China Everbright BankThe stock price b...

China Everbright BankThe stock price bottomed out at HK$0.77 in 2014, then rebounded to a record high of HK$3.955 in 2015. Since then, it has fluctuated greatly every year, with no obvious trend. The current price is HK$2.53. Over the past 5 years, the return on net assets has slowly declined from 11.7% to9.4%. The dividend rate is9.21%. There have been dividends every year since the listing, but the amount has increased and decreased.

Revenue (excluding 2017), operating profit, and net profit have grown steadily over the past 5 years. The 5-year average growth rate of net profit is 7.5%. Earnings per share is much lower than the net profit growth rate, and the 5-year average growth rate is only 4.2%. In 2022Q1, revenue increased by 0.03%, operating profit decreased by 0.55, and net profit increased by 2.26%.

According to the income statement, the “impairment loss of other assets” reached 54.8 billion dollars in 2021, which is 51% of the income before impairment. This burden is very heavy.

The balance ratio has basically fluctuated around 92% over the past 5 years. Currently, it is91.79%. Total assets are 6.25 trillion yuan, of which “loans and other accounts” are 3.38 trillion yuan, and “securities investment” is 1.92 trillion yuan. These two are the riskiest parts affecting the company. The current net worth is $484.366 billion.

The price-earnings ratio is 2.57 and the net price-earnings ratio is 0.23. Even if the bad debt ratio increases by 5 points, net assets are only reduced by 1/3, and the safety cushion still exists.

Taken together, you can choose (⭐️⭐️)