China International Capital (3908) AI Stock Analysis

• Market Cap: $166.17B
• Dividend Yield: 0.91%
• Average Volume (3M): 40.21M
• Price to Earnings (P/E): 15.6
• Beta (1Y): 2.15
• Revenue Growth: -9.55%
• EPS Growth: 24.91%
• Country: HK
• Employees: 14,600
• Sector: Financial
• Sector Strength: 73
• Industry: Financial - Capital Markets
• EPS (TTM): 0.38
• Shares Outstanding: 1,903,714,500
• 10 Day Avg. Volume: 47,536,766
• 30 Day Avg. Volume: 40,214,225
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 2.03
• Enterprise Value/Revenue: 13.70
• Enterprise Value/Gross Profit: 17.20
• Enterprise Value/Ebitda: 84.18
• 1Y Price Target: $20.09
• Price Target Upside: -6.71% Downside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3

• Rating: 74 Outperform
• Price Target: HK$23.00 ▲(6.78% Upside)

The overall stock score of 74 reflects strong technical momentum and reasonable valuation, with solid underlying financial performance. The primary risks include overbought technical indicators and leverage concerns. Continued revenue growth and debt management are crucial for sustaining long-term financial health.

Positive Factors

Competitive Advantage

A strong investment banking franchise is seen as a key competitive edge, with strong corporate relationships and institutional distribution capabilities contributing to long-term outperformance.

Market Opportunity

The company is well-positioned to capture the offshore market recovery due to its core advantage in offshore capability, with expectations of strong fee performance from a robust IPO pipeline and elevated daily trading volumes.

Market Sentiment

Expect A-share ADT to remain elevated due to policy efforts to revive sentiment and increased tech investment interest, supporting fee and interest income growth.

Negative Factors

Earnings Forecast

Earnings forecasts for the next two fiscal years are trimmed to reflect higher staff costs, although significant earnings growth is still anticipated.

Valuation Approach

Analyst maintains a BUY recommendation based on the strong investment banking franchise, despite a lower price target reflecting a more conservative valuation approach.

China International Capital Business Overview & Revenue Model

Company Description

China International Capital Corporation Limited provides financial services in Mainland China and internationally. The company operates through six segments: Investment Banking; Equities; Fixed Income, Commodities, and Currencies (FICC); Asset Management; Private Equity; and Wealth Management. The Investment Banking segment provides investment banking services, including equity financing, debt, and structured financing and financial advisory services. The Equity segment offers investment research, sales, trading, and products and cross-border services, including institutional trading and capital services, such as primary brokerage, over-the-counter derivatives, capital introduction, and market-making transactions. The FICC segment provides fixed-income products, such as interest rate, credit, and structured products, as well as on overseas exchange and commodities. The Asset Management segment engages in the social security and annuity investment management, institutional entrusted investment management, overseas asset management, retail and mutual fund businesses, etc. The Private Equity segment provides corporate equity funds, fund of funds, dollar funds, real estate funds, infrastructure funds, etc. The Wealth Management segment offers wealth transactional, capital, and product configuration services. The company serves domestic and overseas investors, and corporations and institutional clients, as well as retail clients, families, and corporate clients. China International Capital Corporation Limited was incorporated in 1995 and is headquartered in Beijing, the People's Republic of China.

How the Company Makes Money

CICC generates its revenue through various streams, primarily revolving around its core services. The investment banking segment contributes significantly through activities such as underwriting, mergers and acquisitions advisory, and capital markets services. The equities and fixed income divisions earn revenue via trading and brokerage fees. Furthermore, CICC's wealth and asset management units generate income through management fees and investment advisory services. The firm's strategic partnerships and joint ventures, both domestic and international, also play a critical role in enhancing its revenue streams by leveraging cooperative opportunities and expanding market reach.

China International Capital Financial Statement Overview

Summary

China International Capital exhibits strong financial management with high profitability and a solid equity base. Despite challenges from revenue decline and leverage, the company maintains stable margins and improved cash flow generation.

Income Statement

China International Capital showed mixed performance in its income statement. The gross profit margin remained high, indicating efficient cost management. However, there was a significant revenue decline from 2023 to 2024, impacting net profit margins. EBIT and EBITDA margins were relatively stable, reflecting consistent core operational performance.

Balance Sheet

The company's balance sheet reveals a strong equity position with an improving equity ratio, indicating a solid financial foundation. The debt-to-equity ratio is relatively high, which suggests leverage risk, but the return on equity remains robust, signaling effective use of equity to generate profits.

Cash Flow

Cash flow analysis displays improvements, particularly with a significant recovery in free cash flow in 2024. The operating cash flow to net income ratio indicates efficient cash generation from operations. However, historical volatility in cash flows poses potential liquidity risks.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	19.63B	33.02B	36.82B	41.46B	34.42B
Gross Profit	20.71B	21.49B	23.54B	26.01B	21.82B
EBITDA	15.62B	19.33B	19.88B	22.43B	16.43B
Net Income	5.69B	6.16B	7.60B	10.78B	7.21B
Balance Sheet
Total Assets	674.72B	624.31B	648.76B	649.80B	521.62B
Cash, Cash Equivalents and Short-Term Investments	440.23B	72.14B	438.80B	427.06B	342.80B
Total Debt	304.31B	280.33B	276.96B	253.36B	215.33B
Total Liabilities	559.09B	519.41B	549.29B	565.06B	449.81B
Stockholders Equity	115.35B	104.60B	99.19B	84.42B	71.63B
Cash Flow
Free Cash Flow	40.93B	-3.88B	56.37B	808.99M	-34.20B
Operating Cash Flow	41.87B	-2.42B	57.96B	1.87B	-33.74B
Investing Cash Flow	-24.31B	2.08B	-23.44B	-7.33B	-8.06B
Financing Cash Flow	-8.40B	-13.71B	-15.13B	25.52B	65.99B

China International Capital Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 21.54
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:3908, the sentiment is Positive. The current price of 21.54 is above the 20-day moving average (MA) of 21.38, above the 50-day MA of 19.88, and above the 200-day MA of 15.53, indicating a bullish trend. The MACD of 0.74 indicates Positive momentum. The RSI at 52.25 is Neutral, neither overbought nor oversold. The STOCH value of 29.65 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:3908.

China International Capital Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3908	74 Outperform	$166.17B	15.63	5.84%	0.91%	-9.55%	24.91%
Sector *	68 Neutral	$17.89B	12.03	10.28%	3.73%	9.80%	1.66%
CIIHF	―	$63.70B	―	8.88%	1.91%	―	―
HUATF	―	$27.06B	9.30	9.25%	3.36%	―	―
195H	―	€19.99B	13.52	8.73%	―	―	―
CS0	―	€23.61B	12.09	10.44%	―	―	―
0BX	―	€2.18B	28.74	42.24%	―	―	―

China International Capital Corporate Events

CICC Wealth Management Reports Strong H1 2025 Financial Performance

China International Capital Corporation Limited announced the key financial data for its subsidiary, China CICC Wealth Management Securities Company Limited, for the first half of 2025. The subsidiary reported total assets of RMB193.37 billion and net assets of RMB20.20 billion. It achieved an operating revenue of RMB3.82 billion, with a net profit of RMB987.44 million. This financial performance reflects the company’s robust operational capabilities and positions it strongly within the financial services sector.

The most recent analyst rating on (HK:3908) stock is a Buy with a HK$25.00 price target. To see the full list of analyst forecasts on China International Capital stock, see the HK:3908 Stock Forecast page.

China International Capital Projects Over 50% Profit Surge in H1 2025

China International Capital Corporation Limited has announced an estimated net profit increase of over 50% for the first half of 2025, with expected profits ranging from RMB3,453 million to RMB3,966 million. This growth is attributed to a significant upturn in capital market activities and increased global interest in Chinese assets, driving revenue growth across key business segments.

The most recent analyst rating on (HK:3908) stock is a Buy with a HK$10.60 price target. To see the full list of analyst forecasts on China International Capital stock, see the HK:3908 Stock Forecast page.

China International Capital Corporation Announces AGM Results and Dividend Distribution

China International Capital Corporation Limited announced the successful passage of resolutions at its 2024 Annual General Meeting, which included the distribution of the 2024 final dividend. The meeting saw participation from shareholders holding a significant portion of the company’s shares, with voting conducted both onsite and online. The event underscores the company’s commitment to shareholder engagement and adherence to regulatory compliance, reflecting its robust governance practices.

The most recent analyst rating on (HK:3908) stock is a Buy with a HK$10.60 price target. To see the full list of analyst forecasts on China International Capital stock, see the HK:3908 Stock Forecast page.

China International Capital Updates Final Dividend for 2024

China International Capital Corporation Limited announced an update to its final dividend for the year ended December 31, 2024. The dividend, approved on June 27, 2025, is set at RMB 0.9 per 10 shares, with a corresponding payment in Hong Kong dollars at an exchange rate of RMB 1 to HKD 1.095242. The ex-dividend date is July 2, 2025, with payment scheduled for August 22, 2025. This announcement reflects the company’s commitment to returning value to its shareholders and may impact investor sentiment positively.

The most recent analyst rating on (HK:3908) stock is a Buy with a HK$10.60 price target. To see the full list of analyst forecasts on China International Capital stock, see the HK:3908 Stock Forecast page.

China International Capital Updates Final Dividend Details for 2024

China International Capital Corporation Limited announced an update regarding its final cash dividend for the year ending December 31, 2024. The dividend is set at RMB 0.9 per 10 shares, with shareholders’ approval scheduled for June 27, 2025, and payment on August 22, 2025. The announcement includes details about the ex-dividend date, record date, and withholding tax rates applicable to different shareholder categories, reflecting the company’s commitment to providing returns to its investors and maintaining transparency in its financial operations.

The most recent analyst rating on (HK:3908) stock is a Buy with a HK$17.30 price target. To see the full list of analyst forecasts on China International Capital stock, see the HK:3908 Stock Forecast page.

China International Capital Corporation Announces 2025 AGM Agenda

China International Capital Corporation Limited has announced its upcoming Annual General Meeting (AGM) scheduled for June 27, 2025, in Beijing. The meeting will address several key resolutions, including the approval of the 2024 work reports from the Board of Directors and the Supervisory Committee, the 2024 annual report, and the profit distribution plan. Additionally, the AGM will consider the appointment of accounting firms for 2025 and the estimation of related party transactions. The meeting’s outcomes could impact the company’s operational strategies and stakeholder relationships.

The most recent analyst rating on (HK:3908) stock is a Buy with a HK$18.00 price target. To see the full list of analyst forecasts on China International Capital stock, see the HK:3908 Stock Forecast page.