Qingdao Rural Commercial Bank Corp. (002958) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Qingdao Rural Commercial Bank Corp.

Why is Qingdao Rural Commercial Bank Corp. ?

Weak Capital Buffers- the bank has a low Capital Adequacy Ratio of 11.36% signifying inadequate buffers against its risk based assets

Poor long term growth as Net Interest Income (ex other income) has grown by an annual rate of 0% and Net profit at -0.53%
Weak Capital Buffers- the bank has a low Capital Adequacy Ratio of 11.36% signifying inadequate buffers against its risk based assets
The bank has been able to generate a Return on Assets (avg) of 0.58% signifying low profitability per unit of total assets

Poor long term growth as Net Interest Income (ex other income) has grown by an annual rate of 0% and Net profit at -0.53%

OPERATING CASH FLOW(Y) Highest at CNY 11,860.29 MM
ROCE(HY) Highest at 0.57%
GROSS NPA (%)(Q) Lowest at 1.63%

With ROA of 0.40%, it has a fair valuation with a 0.42 Price to Book Value

Over the past year, while the stock has generated a return of 4.14%, its profits have risen by 10.1% ; the PEG ratio of the company is 0.6
At the current price, the company has a high dividend yield of 4.3

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Qingdao Rural Commercial Bank Corp. 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 Qingdao Rural Commercial Bank Corp. for you?

Low Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Qingdao Rural Commercial Bank Corp.

1.89%

0.88

22.53%

China Shanghai Composite

14.77%

1.01

15.10%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

1.90%

EBIT Growth (5y)

1.70%

EBIT to Interest (avg)

Debt to EBITDA (avg)

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

Dividend Payout Ratio

25.49%

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

0.42

EV to EBIT

50.44

EV to EBITDA

46.68

EV to Capital Employed

0.85

EV to Sales

7.62

PEG Ratio

0.55

Dividend Yield

4.29%

ROCE (Latest)

1.68%

ROE (Latest)

7.67%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bullish

Moving Averages

Bearish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bearish

No Trend

OBV

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

12What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CNY 11,860.29 MM

ROCE(HY)

Highest at 0.57%

GROSS NPA (%)

CASH AND EQV(HY)

Highest at CNY 56,175.97 MM

PRE-TAX PROFIT(Q)

Highest at CNY 1,293.88 MM

NET PROFIT(Q)

Highest at CNY 1,181.62 MM

-3What is not working for the Company

ROCE(HY)

Lowest at 0.57%

NET SALES(Q)

Lowest at CNY 3,846.36 MM

Here's what is working for Qingdao Rural Commercial Bank Corp.

Operating Cash Flow

Highest at CNY 11,860.29 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CNY MM)

Non Performing Loans (%)

Lowest at 1.63%

in the last four Semi-Annual periods

MOJO Watch

Proportion of stressed loans given by the bank are falling

Non Performing Loans (%)

Pre-Tax Profit

Highest at CNY 1,293.88 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Pre-Tax Profit

At CNY 1,293.88 MM has Grown at 107.97%

over average net sales of the previous four periods of CNY 622.13 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CNY MM)

Net Profit

Highest at CNY 1,181.62 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Net Profit

At CNY 1,181.62 MM has Grown at 74.31%

over average net sales of the previous four periods of CNY 677.87 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CNY MM)

Cash and Eqv

Highest at CNY 56,175.97 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Here's what is not working for Qingdao Rural Commercial Bank Corp.

Net Sales

Lowest at CNY 3,846.36 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (CNY MM)

Capital Adequacy Ratio

Lowest at 11.78%

in the last five periods

MOJO Watch

The Bank's capital base vs its risk assets is deteriorating.

CAR (%)