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China Minsheng Banking Corp Ltd Class H (HK:1988)
:1988
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China Minsheng Banking (1988) AI Stock Analysis

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HK:1988

China Minsheng Banking

(1988)

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Outperform 72 (OpenAI - 4o)
Rating:72Outperform
Price Target:
China Minsheng Banking's overall stock score is driven by its strong valuation metrics, including a low P/E ratio and high dividend yield, which make it attractive to value and income investors. While the financial performance is solid, recent revenue declines and negative cash flow pose challenges. Technical indicators suggest cautious optimism with short-term bullish momentum.

China Minsheng Banking (1988) vs. iShares MSCI Hong Kong ETF (EWH)

China Minsheng Banking Business Overview & Revenue Model

Company DescriptionChina Minsheng Banking Corp., Ltd. provides various financial products and services to individuals, small and micro-enterprises, corporate customers, government agencies, and financial institutions in the People's Republic of China. The company operates through Corporate Banking, Retail Banking, and Others segments. Its deposit products include saving accounts, deposit certificates, contracted deposits, agreement deposits, call deposits, corporate term deposits, and corporate current deposits. The company also offers personal housing mortgage, individual automobile purchase, household composite consumption, home, medium and long term, and short-term working capital loans; micro-credit products for individuals; debit and credit cards; and safe deposit boxes. In addition, it provides payment and collection, and clearing services, as well as internet, mobile, and telephone banking services. Further, the company offers gross settlement; wages distribution agency and letter of guarantee; cash management; trade finance; industrial chain finance; individual forex settlement, forex remittance, travelers promissory notes, collection, individual deposit certificate, and guarantee letter products; and comprehensive credit granting, forex settlement and sale, financial product investment, and trust financing services. Additionally, it provides convenient finance, investment banking, and asset management services, as well as non-financial services in the education, business travel, traveler, art, luxury life, health, club, and isports areas. As of December 31, 2021, the company has approximately 140 branch-level institutions, 1,193 business outlets, 1,078 community sub-branches, and 136 small business sub-branches. China Minsheng Banking Corp., Ltd. was founded in 1996 and is headquartered in Beijing, the People's Republic of China.
How the Company Makes MoneyChina Minsheng Banking generates revenue primarily through interest income from loans and advances, which constitutes a significant portion of its earnings. The bank issues loans to individuals and businesses, charging interest that varies based on risk assessments and market conditions. Additionally, CMBC earns fees from various banking services, including account maintenance, transaction processing, and advisory services in investment banking. The bank also benefits from its wealth management services, where it charges management fees on investment products. Significant partnerships with corporations and financial institutions enhance its ability to cross-sell services, further contributing to its revenue streams. Additionally, CMBC's investments in financial products and securities provide another layer of income, leveraging market movements to increase profitability.

China Minsheng Banking Financial Statement Overview

Summary
China Minsheng Banking demonstrates strong profitability and a stable balance sheet with low leverage, positioning it well in the regional banking industry. However, a decline in revenue and negative cash flow indicate potential challenges.
Income Statement
70
Positive
China Minsheng Banking has shown a stable gross profit margin, maintaining 100% as expected for a bank. The net profit margin slightly decreased year-over-year to 23.7% from 25.4%. Revenue growth has been negative, with a decrease of 3.2% from 2022 to 2023, indicating a challenging environment. EBIT and EBITDA margins are missing for the latest period, and past trends indicate variability in EBIT contributions. Overall, the income statement reflects a strong profitability profile but highlights pressures on revenue growth.
Balance Sheet
78
Positive
The bank maintains a solid equity base with an equity ratio of 8.2%. The debt-to-equity ratio has improved significantly, dropping to 0, indicating no debt, although previous years showed higher leverage. Return on Equity (ROE) has been consistent, with a slight dip to 5.0% from 5.7% in the prior year. These metrics showcase a stable financial position with low leverage risks and adequate equity backing, supporting the bank's resilience.
Cash Flow
65
Positive
Operating cash flow has experienced fluctuations, turning significantly negative in the latest year, with free cash flow also negative, indicating potential liquidity challenges. The operating cash flow to net income ratio is negative due to the negative operating cash flow, reflecting operating difficulties. Historical free cash flow showed positive trends but has reversed recently. These factors suggest potential short-term liquidity risks, although past performance was more stable.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue279.34B288.69B305.51B297.95B320.71B336.32B
Gross Profit141.55B136.29B140.82B142.48B168.80B184.95B
EBITDA33.40B42.80B45.67B44.98B43.01B44.30B
Net Income31.20B32.30B35.82B35.27B34.38B34.31B
Balance Sheet
Total Assets7.77T7.81T7.67T7.26T6.95T6.95T
Cash, Cash Equivalents and Short-Term Investments664.53B1.08T721.11B634.86B625.80B682.30B
Total Debt1.13T1.03T790.82B753.77B785.27B1.13T
Total Liabilities7.07T7.16T7.04T6.64T6.37T6.41T
Stockholders Equity688.54B642.86B624.60B599.93B574.28B529.54B
Cash Flow
Free Cash Flow-173.83B-241.34B65.00B155.56B145.95B-90.22B
Operating Cash Flow-166.84B-231.64B73.68B166.27B155.42B-82.40B
Investing Cash Flow30.34B-42.82B41.76B-112.33B117.91B7.58B
Financing Cash Flow222.04B221.86B-7.26B-96.20B-266.72B92.05B

China Minsheng Banking Technical Analysis

Technical Analysis Sentiment
Positive
Last Price4.21
Price Trends
50DMA
4.16
Positive
100DMA
4.40
Negative
200DMA
4.05
Positive
Market Momentum
MACD
0.02
Negative
RSI
50.96
Neutral
STOCH
54.17
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1988, the sentiment is Positive. The current price of 4.21 is above the 20-day moving average (MA) of 4.19, above the 50-day MA of 4.16, and above the 200-day MA of 4.05, indicating a bullish trend. The MACD of 0.02 indicates Negative momentum. The RSI at 50.96 is Neutral, neither overbought nor oversold. The STOCH value of 54.17 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1988.

China Minsheng Banking Peers Comparison

Overall Rating
UnderperformOutperform
Sector (68)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
78
Outperform
$408.11B10.1212.04%6.07%1.90%12.81%
77
Outperform
HK$728.76B6.539.30%5.16%-1.54%-3.95%
76
Outperform
$284.12B19.899.20%4.69%4.44%-15.39%
72
Outperform
$191.53B5.895.16%8.53%-7.28%-5.00%
69
Neutral
$471.39B5.419.71%5.43%-5.46%0.33%
68
Neutral
$18.00B11.429.92%3.81%9.73%1.22%
66
Neutral
$217.60B4.685.78%-8.41%-5.52%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:1988
China Minsheng Banking
4.21
1.28
43.59%
HK:2388
BOC Hong Kong (Holdings)
37.74
15.08
66.56%
HK:6818
China Everbright Bank Co
3.56
1.04
41.49%
HK:0998
China CITIC Bank
7.27
2.75
60.84%
HK:0011
Hang Seng Bank
151.40
65.69
76.65%
HK:1658
Postal Savings Bank of China Co., Ltd. Class H
5.50
1.24
29.11%

China Minsheng Banking Corporate Events

China Minsheng Bank Appoints New Non-Executive Director
Nov 10, 2025

China Minsheng Banking Corp., Ltd. announced the approval of Zheng Haiyang as a non-executive director by the National Financial Regulatory Administration, effective from November 6, 2025. This appointment is expected to strengthen the bank’s board, particularly in risk management, as Mr. Zheng will also join the Risk Management Committee, potentially impacting the bank’s strategic direction and governance.

The most recent analyst rating on (HK:1988) stock is a Buy with a HK$5.87 price target. To see the full list of analyst forecasts on China Minsheng Banking stock, see the HK:1988 Stock Forecast page.

China Minsheng Banking Announces Board Composition and Roles
Nov 10, 2025

China Minsheng Banking Corp., Ltd. has announced the composition of its board of directors and their respective roles within the company. The board consists of non-executive, independent non-executive, and executive directors, with Gao Yingxin serving as Chairman and Wang Xiaoyong as Vice Chairman and President. The board has established six committees, including strategic development and consumer rights protection, nomination, compensation and remuneration, risk management, audit, and related party transactions supervision. This announcement reflects the company’s commitment to strong governance and strategic oversight, which is crucial for its operations and stakeholder confidence.

The most recent analyst rating on (HK:1988) stock is a Buy with a HK$5.87 price target. To see the full list of analyst forecasts on China Minsheng Banking stock, see the HK:1988 Stock Forecast page.

China Minsheng Bank Reports Mixed Financial Performance in 2025 Q3
Oct 31, 2025

China Minsheng Banking Corp., Ltd. is a joint stock limited company based in the People’s Republic of China, primarily engaged in providing a wide range of financial services within the banking sector, including corporate and personal banking, treasury operations, and financial market services. The bank is known for its strategic focus on customer management and risk control, aiming for high-quality development and innovation in financial services.

China Minsheng Banking Releases 2025 Q3 Report
Oct 30, 2025

China Minsheng Banking Corp., Ltd. has released its 2025 Third Quarterly Report, highlighting the unaudited financial data prepared according to Chinese accounting standards. The report assures stakeholders of the accuracy and completeness of the information, with the Board of Directors and senior management assuming responsibility for its truthfulness. This announcement underscores the bank’s commitment to transparency and regulatory compliance, potentially strengthening its position in the financial market.

The most recent analyst rating on (HK:1988) stock is a Hold with a HK$4.80 price target. To see the full list of analyst forecasts on China Minsheng Banking stock, see the HK:1988 Stock Forecast page.

China Minsheng Banking Announces Upcoming Board Meeting to Review Financial Results
Oct 17, 2025

China Minsheng Banking Corp., Ltd. has announced that its board of directors will meet on October 30, 2025, to discuss and approve the financial results for the nine months ended September 30, 2025. This meeting is significant as it will provide insights into the company’s financial performance and could impact its market positioning and stakeholder interests.

The most recent analyst rating on (HK:1988) stock is a Buy with a HK$5.87 price target. To see the full list of analyst forecasts on China Minsheng Banking stock, see the HK:1988 Stock Forecast page.

China Minsheng Banking Announces Dividend Distribution for Preference Shares
Sep 29, 2025

China Minsheng Banking Corp., Ltd. has announced the approval and implementation of a dividend distribution plan for its domestic preference shares, known as Minsheng Preference 1. The dividend period spans from October 18, 2024, to October 17, 2025, with a cash dividend of RMB3.17 per share, amounting to a total of RMB634 million. The dividend payment date is set for October 20, 2025, due to a statutory holiday. This move reflects the company’s ongoing commitment to rewarding its shareholders and maintaining a stable financial strategy.

The most recent analyst rating on (HK:1988) stock is a Buy with a HK$5.87 price target. To see the full list of analyst forecasts on China Minsheng Banking stock, see the HK:1988 Stock Forecast page.

China Minsheng Banking Restructures Corporate Governance
Sep 26, 2025

China Minsheng Banking Corp., Ltd. has received approval from the National Financial Regulatory Administration for amendments to its Articles of Association, which include the abolition of its Board of Supervisors. This change, effective immediately, shifts the supervisory responsibilities to the Audit Committee under the Board of Directors, aligning with regulatory requirements. The dissolution of the Board of Supervisors marks a significant shift in the bank’s corporate governance structure, potentially impacting its operational oversight and stakeholder engagement.

The most recent analyst rating on (HK:1988) stock is a Buy with a HK$5.87 price target. To see the full list of analyst forecasts on China Minsheng Banking stock, see the HK:1988 Stock Forecast page.

China Minsheng Banking Corp. Reports Strong H1 2025 Growth
Aug 30, 2025

China Minsheng Banking Corp., Ltd. (CMBC) is a leading commercial bank in China, primarily engaged in providing a wide range of banking and financial services to individual and corporate clients. The bank operates in the financial services sector and is known for its focus on serving small and medium-sized enterprises (SMEs) as well as its commitment to innovation in financial products and services.

China Minsheng Banking Announces 2025 Interim Results and Dividend Plan
Aug 29, 2025

China Minsheng Banking Corp., Ltd. has announced its unaudited interim results for the first half of 2025, highlighting a cash dividend distribution plan of RMB1.36 per 10 shares. The report assures stakeholders of the accuracy and completeness of the financial data, while also addressing risk management strategies, indicating no material risks affecting the bank’s future development.

The most recent analyst rating on (HK:1988) stock is a Hold with a HK$4.65 price target. To see the full list of analyst forecasts on China Minsheng Banking stock, see the HK:1988 Stock Forecast page.

China Minsheng Banking Announces Interim Dividend for 2025
Aug 29, 2025

China Minsheng Banking Corp., Ltd. has announced an interim cash dividend of RMB 1.36 per 10 shares for the six months ending June 30, 2025, payable in Hong Kong dollars at an exchange rate of RMB 1 to HKD 1.09701. The dividend distribution reflects the company’s ongoing commitment to shareholder returns and may impact its financial positioning by enhancing investor confidence. The announcement also outlines the withholding tax rates applicable to different types of shareholders, which include domestic and non-resident investors, potentially affecting the net dividend received by these stakeholders.

The most recent analyst rating on (HK:1988) stock is a Hold with a HK$4.65 price target. To see the full list of analyst forecasts on China Minsheng Banking stock, see the HK:1988 Stock Forecast page.

China Minsheng Banking Schedules Board Meeting for Interim Results
Aug 19, 2025

China Minsheng Banking Corp., Ltd. has announced a board meeting scheduled for August 29, 2025, to discuss and approve the interim results for the first half of 2025. The meeting will also consider the recommendation of an interim dividend, which could impact the bank’s financial strategy and shareholder returns.

The most recent analyst rating on (HK:1988) stock is a Hold with a HK$2.65 price target. To see the full list of analyst forecasts on China Minsheng Banking stock, see the HK:1988 Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Nov 18, 2025