Bank of Gansu Co., Ltd. (2139) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Zhongyuan Bank Co., Ltd.

Dah Sing Financial Holdings Ltd.

Bank of Jiujiang Co., Ltd.

Dah Sing Banking Group Ltd.

Bank of Gansu Co., Ltd.

Weihai City Commercial Bank Co., Ltd.

Bank of Qingdao Co., Ltd.

Bank of Guizhou Co. Ltd.

Chongqing Rural Commercial Bank Co., Ltd.

Bank of Tianjin Co. Ltd.

Guangzhou Rural Commercial Bank Co. Ltd.

Why is Bank of Gansu Co., Ltd. ?

Weak Long Term Fundamental Strength with an average Return on Assets (ROA) of 0.31%

Poor long term growth as Net Interest Income (ex other income) has grown by an annual rate of 0% and Net profit at -9.25%
Weak Capital Buffers- the bank has a low Capital Adequacy Ratio of 0% signifying inadequate buffers against its risk based assets

Negative results in Dec 25

OPERATING CASH FLOW(Y) Lowest at HKD -5,895.65 MM
NET SALES(Q) Lowest at HKD 6,462.41 MM
CREDIT DEPOSIT RATIO(HY) Lowest at 73.93%

With ROA of 0.37%, it has a Very Attractive valuation with a 0.04 Price to Book Value

Over the past year, while the stock has generated a return of -18.98%, its profits have fallen by -51.3%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -18.98% returns in the last 1 year, the stock has also underperformed Hang Seng Hong Kong in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Bank of Gansu Co., Ltd. should be less than 10%
Overall Portfolio exposure to Regional Banks should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Regional Banks)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Bank of Gansu Co., Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Bank of Gansu Co., Ltd.

-18.98%

-0.47

56.42%

Hang Seng Hong Kong

0.26%

0.01

20.12%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-5.71%

EBIT Growth (5y)

-17.84%

EBIT to Interest (avg)

Debt to EBITDA (avg)

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

Dividend Payout Ratio

320.79%

Pledged Shares

Institutional Holding

ROCE (avg)

ROE (avg)

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

0.04

EV to EBIT

183.82

EV to EBITDA

64.08

EV to Capital Employed

0.53

EV to Sales

3.23

PEG Ratio

Dividend Yield

ROCE (Latest)

0.29%

ROE (Latest)

6.54%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

Mildly Bearish

Mildly Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

3What is working for the Company

DIVIDEND PAYOUT RATIO(Y)

Highest at 983.29%

CASH AND EQV(HY)

Highest at HKD 29,280.78 MM

DIVIDEND PER SHARE(HY)

Highest at HKD 0

-12What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at HKD -5,895.65 MM

NET SALES(Q)

Lowest at HKD 6,462.41 MM

CREDIT DEPOSIT RATIO(HY)

Lowest at 73.93%

OPERATING PROFIT(Q)

Lowest at HKD -94.13 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -1.46 %

PRE-TAX PROFIT(Q)

Lowest at HKD -28.32 MM

NET PROFIT(Q)

Lowest at HKD 75.9 MM

Here's what is working for Bank of Gansu Co., Ltd.

Cash and Eqv

Highest at HKD 29,280.78 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Dividend per share

Highest at HKD 0

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (HKD)

Dividend Payout Ratio

Highest at 983.29%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Here's what is not working for Bank of Gansu Co., Ltd.

Net Sales

Lowest at HKD 6,462.41 MM and Fallen

In each period in the last five periods

MOJO Watch

Near term sales trend is very negative

Net Sales (HKD MM)

Pre-Tax Profit

At HKD -28.32 MM has Fallen at -111.84%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (HKD MM)

Operating Cash Flow

Lowest at HKD -5,895.65 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (HKD MM)

Operating Profit

Lowest at HKD -94.13 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (HKD MM)

Operating Profit Margin

Lowest at -1.46 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at HKD -28.32 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (HKD MM)

Net Profit

Lowest at HKD 75.9 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (HKD MM)

Net Profit

Fallen at -74.27%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is negative

Net Profit (HKD MM)

Credit Deposit Ratio

Lowest at 73.93%

in the last four Semi-Annual periods

MOJO Watch

Bank has been creating proportionately lower loans against its deposits, thereby creating fewer revenue generating assets

Credit Deposit Ratio (%)