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China International Capital Corp Ltd Class H (HK:3908)
:3908

China International Capital (3908) AI Stock Analysis

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HK:3908

China International Capital

(3908)

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Neutral 68 (OpenAI - 5.2)
Rating:68Neutral
Price Target:
HK$24.00
â–²(7.91% Upside)
The score is driven primarily by a solid TTM financial rebound and good cash conversion, tempered by high leverage and an uneven multi-year track record. Technicals are supportive but appear overbought, while valuation is a positive offset due to the low P/E despite a modest dividend yield.
Positive Factors
Diversified fee-based model
CICC's diversified revenue mix across investment banking, brokerage, asset management and wealth services reduces reliance on any single market cycle. This multi-stream model supports more resilient fee income and cross-selling, aiding stable cash flows and client retention over months to years.
Strong recent margins and revenue rebound
A sizable TTM revenue rebound combined with healthy operating and net margins indicates improved core profitability and operating leverage. Sustained margins support internal funding for growth initiatives and cushion earnings through industry cycles, improving medium-term earnings durability.
High earnings-to-cash conversion
FCF about equal to net income signals strong earnings quality and good cash conversion, enabling reinvestment, potential shareholder distributions, or debt paydown. Over a 2-6 month horizon this enhances financial flexibility and reduces reliance on external funding during market stress.
Negative Factors
Elevated leverage
A D/E near 3.4 materially increases balance-sheet risk and sensitivity to interest-rate or liquidity shocks. High leverage constrains strategic optionality, raises fixed financing costs and limits the firm's ability to absorb downturns without asset sales or capital raises, weakening medium-term resilience.
Choppy multi-year performance
Recurrent revenue declines and episodic negative cash flows reduce predictability of earnings and make capital planning harder. This volatility can impair long-term client investment programs, complicate talent retention and strategic projects, and necessitate larger liquidity buffers.
Modest return on equity
ROE under 9% while carrying high leverage suggests capital is not being deployed at compelling incremental returns. Persistent modest ROE limits shareholder value creation, raises questions about capital allocation priorities, and weakens the case for sustained higher payouts.

China International Capital (3908) vs. iShares MSCI Hong Kong ETF (EWH)

China International Capital Business Overview & Revenue Model

Company DescriptionChina 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 MoneyCICC generates revenue through multiple streams, primarily including investment banking fees from underwriting and advisory services for mergers and acquisitions (M&A), initial public offerings (IPOs), and other capital raising activities. The company also earns commissions and fees from brokerage services provided to institutional and retail clients. Additionally, CICC has a significant asset management division that contributes to its earnings through management fees and performance fees from its investment funds. The firm's wealth management services further bolster its revenue through advisory fees and commissions on financial products sold to high-net-worth individuals. Strategic partnerships with global financial institutions and its strong presence in both domestic and international markets enhance CICC's ability to generate income and expand its client base.

China International Capital Financial Statement Overview

Summary
Strong TTM rebound with revenue up 36.8% and solid profitability (net margin ~25.3%, operating margin ~30.3%), supported by good earnings-to-cash conversion (FCF ~0.98x net income). However, multi-year results have been choppy (revenue declines in 2022–2024), cash flow has been volatile historically, and leverage is elevated (D/E ~3.42) with only modest ROE (~8.8%).
Income Statement
74
Positive
TTM (Trailing-Twelve-Months) results show a strong rebound in top-line momentum (revenue up 36.8%) with solid profitability (about 25.3% net margin and ~30.3% operating margin). However, performance has been choppy over the last few annual periods, with revenue declining in 2022–2024 and margins showing noticeable volatility year-to-year, which tempers confidence in durability.
Balance Sheet
56
Neutral
The balance sheet reflects high leverage typical of the sector, but it is still a constraint: debt-to-equity is elevated (TTM ~3.42, rising vs. 2024 ~2.64). Profit generated on equity is modest (TTM return on equity ~8.8%), which suggests the company is carrying meaningful balance-sheet risk without consistently earning an outsized return to match.
Cash Flow
67
Positive
Cash generation is currently a strength: TTM operating cash flow and free cash flow are both robust, and free cash flow is nearly equal to net income (~0.98x), indicating good earnings-to-cash conversion. The key weakness is volatility—cash flow was meaningfully negative in 2020 and 2023—so investors should expect fluctuations tied to market conditions and working-capital movements.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue32.08B19.63B33.02B36.82B41.46B34.42B
Gross Profit29.71B20.71B21.49B23.54B33.19B21.82B
EBITDA5.88B15.62B19.33B19.88B22.43B16.43B
Net Income9.40B5.69B6.16B7.60B10.78B7.21B
Balance Sheet
Total Assets764.92B674.72B624.31B648.76B649.80B521.62B
Cash, Cash Equivalents and Short-Term Investments49.81B88.68K431.90B438.80B427.06B342.80B
Total Debt333.71B304.31B280.33B276.96B253.36B215.33B
Total Liabilities665.00B559.09B519.41B549.29B565.06B449.81B
Stockholders Equity97.60B115.35B104.60B99.19B84.42B71.63B
Cash Flow
Free Cash Flow56.63B40.93B-3.88B56.37B808.99M-34.20B
Operating Cash Flow57.52B41.87B-2.42B57.96B1.87B-33.74B
Investing Cash Flow-35.71B-24.31B2.08B-23.44B-7.33B-8.06B
Financing Cash Flow-13.27B-8.40B-13.71B-15.13B25.52B65.99B

China International Capital Technical Analysis

Technical Analysis Sentiment
Positive
Last Price22.24
Price Trends
50DMA
19.97
Positive
100DMA
20.53
Positive
200DMA
18.61
Positive
Market Momentum
MACD
0.64
Negative
RSI
53.07
Neutral
STOCH
50.13
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 22.24 is above the 20-day moving average (MA) of 20.93, above the 50-day MA of 19.97, and above the 200-day MA of 18.61, indicating a bullish trend. The MACD of 0.64 indicates Negative momentum. The RSI at 53.07 is Neutral, neither overbought nor oversold. The STOCH value of 50.13 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

Overall Rating
UnderperformOutperform
Sector (68)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
70
Outperform
HK$219.91B9.3410.50%2.92%10.82%55.25%
68
Neutral
HK$154.52B10.068.93%0.97%64.00%112.84%
68
Neutral
$18.00B11.429.92%3.81%9.73%1.22%
65
Neutral
HK$158.80B11.769.41%3.83%51.04%24.56%
63
Neutral
HK$15.38B24.3143.44%4.01%11.40%11.52%
62
Neutral
HK$454.70B16.2110.17%2.05%62.72%29.18%
60
Neutral
HK$198.32B11.5713.03%2.80%36.57%77.14%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:3908
China International Capital
21.18
8.57
67.99%
HK:6030
CITIC Securities Co
28.22
7.58
36.75%
HK:6886
Huatai Securities Co
18.89
6.65
54.38%
HK:6099
China Merchants Securities Co., Ltd. Class H
14.97
1.19
8.60%
HK:6066
CSC Financial Co., Ltd. Class H
12.68
3.50
38.07%
HK:1428
Bright Smart Securities & Commodities Group Limited
9.06
6.79
299.12%

China International Capital Corporate Events

CICC Proposes Merger with Dongxing and Cinda Securities to Enhance Market Position
Dec 17, 2025

China International Capital Corporation Limited (CICC) announced a significant transaction involving a merger with Dongxing Securities and Cinda Securities through a share-for-share exchange. The proposed merger aims to consolidate their strengths and achieve collaborative growth, with CICC issuing 3.1 billion new A shares as part of the exchange. Upon completion, the merged entity will inherit all assets, liabilities, and operations of the absorbed firms, establishing a stronger market position and streamlining operations. The initiative is subject to regulatory and shareholder approvals, with an anticipated impact on improving market competitiveness and operational efficiency.

The most recent analyst rating on (HK:3908) stock is a Buy with a HK$25.10 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 Continued Trading Suspension Amid Proposed Mergers
Dec 10, 2025

China International Capital Corporation Limited has announced a continued suspension of trading for its H shares and certain notes, as well as its A shares listed on the SSE, due to pending regulatory approvals related to proposed mergers with Dongxing Securities and Cinda Securities. The trading halt, initiated on November 20, 2025, will remain in effect until compliance requirements are confirmed and an official announcement is made. Stakeholders are advised to exercise caution as there is no assurance that the mergers will materialize.

The most recent analyst rating on (HK:3908) stock is a Buy with a HK$25.10 price target. To see the full list of analyst forecasts on China International Capital stock, see the HK:3908 Stock Forecast page.

CICC Announces Continued Trading Suspension Amid Merger Discussions
Dec 3, 2025

China International Capital Corporation Limited has announced a continued suspension of trading for its H shares and certain notes due to pending regulatory approvals related to proposed mergers. The trading halt, which began on November 20, 2025, will remain in effect until compliance requirements are confirmed. The company is in discussions with Dongxing Securities and Cinda Securities regarding potential mergers, but there is no assurance these will materialize. Stakeholders are advised to exercise caution in dealing with the company’s securities.

The most recent analyst rating on (HK:3908) stock is a Buy with a HK$25.10 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 Continued Trading Suspension Amid Proposed Mergers
Nov 26, 2025

China International Capital Corporation Limited has announced a continued suspension of trading for its H shares and certain notes, following a trading halt initiated on November 20, 2025. This suspension is pending regulatory approval for proposed mergers with Dongxing Securities and Cinda Securities. The company has cautioned shareholders and potential investors about the uncertainty of these mergers materializing, advising them to exercise caution when dealing with the company’s securities.

The most recent analyst rating on (HK:3908) stock is a Buy with a HK$25.10 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 Trading Halt Amid Merger Plans
Nov 19, 2025

China International Capital Corporation Limited has announced a trading halt on its H shares and several notes listed on the Hong Kong Stock Exchange. This decision follows the signing of a legally binding cooperation agreement with Dongxing Securities and Cinda Securities to implement mergers through absorption and share exchanges. The proposed mergers, which are subject to regulatory approvals, aim to consolidate the companies with China International Capital Corporation as the surviving entity. The trading halt is in place pending compliance confirmations and further announcements.

The most recent analyst rating on (HK:3908) stock is a Buy with a HK$25.10 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 Enhances Audit Committee Governance
Oct 31, 2025

China International Capital Corporation Limited has updated the terms of reference for its Audit Committee to enhance decision-making and operational efficiency. The new rules align with relevant Chinese laws and international regulations, ensuring robust governance and oversight of financial reporting and auditing processes. This move is expected to strengthen the company’s internal controls and transparency, potentially boosting stakeholder confidence.

The most recent analyst rating on (HK:3908) stock is a Buy with a HK$22.90 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 Enhances Remuneration Committee Framework
Oct 31, 2025

China International Capital Corporation Limited has outlined the terms of reference for its Remuneration Committee, aiming to enhance decision-making efficiency and standardize procedures. The committee is tasked with developing competitive remuneration policies, conducting performance evaluations, and making recommendations on remuneration packages for directors and senior management, aligning with industry standards and company goals.

The most recent analyst rating on (HK:3908) stock is a Buy with a HK$22.90 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 Enhances Governance Committee Framework
Oct 31, 2025

China International Capital Corporation Limited has updated the terms of reference for its Nomination and Corporate Governance Committee to enhance decision-making efficiency and governance standards. The committee, comprising mainly independent directors, will focus on reviewing the board’s structure and diversity, assessing director independence, and advising on director and senior management appointments, which could strengthen the company’s governance and strategic alignment.

The most recent analyst rating on (HK:3908) stock is a Buy with a HK$22.90 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 Enhances Strategic and ESG Oversight
Oct 31, 2025

China International Capital Corporation Limited has established a Strategy and ESG Committee to enhance its decision-making processes and efficiency. This committee will focus on the company’s development strategies, major reforms, and ESG governance, including aligning with national goals for carbon neutrality, thereby potentially strengthening the company’s market position and stakeholder relations.

The most recent analyst rating on (HK:3908) stock is a Buy with a HK$22.90 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 Enhances Risk Management Framework
Oct 31, 2025

China International Capital Corporation Limited has updated the terms of reference for its Risk Management Committee to enhance decision-making and operational efficiency. The committee will focus on reviewing compliance and risk management policies, evaluating risk levels, and ensuring adequate resource allocation, which is expected to strengthen the company’s governance and risk management framework.

The most recent analyst rating on (HK:3908) stock is a Buy with a HK$22.90 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 Shareholder Meeting Procedures
Oct 31, 2025

China International Capital Corporation Limited has updated its rules of procedures for shareholders’ meetings to ensure efficient decision-making and enhance corporate governance. These rules, aligned with relevant Chinese laws and stock exchange regulations, aim to facilitate lawful exercise of shareholder rights and proper conduct of meetings, impacting the company’s governance and stakeholder engagement positively.

The most recent analyst rating on (HK:3908) stock is a Buy with a HK$22.90 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 Enhances Board Governance
Oct 31, 2025

China International Capital Corporation Limited has outlined new rules of procedures for its board of directors to ensure effective governance and decision-making. These rules are designed to enhance corporate governance by specifying the composition, functions, and powers of the board, including the roles of the chairman and vice chairman. The announcement is expected to strengthen the company’s operational efficiency and align its governance practices with relevant laws and regulations, potentially impacting its market positioning and stakeholder relations positively.

The most recent analyst rating on (HK:3908) stock is a Buy with a HK$22.90 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 Announces Key Decisions from 2025 EGM
Oct 31, 2025

China International Capital Corporation Limited announced the results of its 2025 First Extraordinary General Meeting, where all proposed resolutions were passed. Key decisions included the distribution of an interim dividend, cancellation of the supervisory committee, amendments to the articles of association, and the election of a new employee director and vice chairman of the board. These changes are expected to impact the company’s governance structure and strategic direction.

The most recent analyst rating on (HK:3908) stock is a Buy with a HK$22.90 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 Interim Dividend for 2025
Oct 31, 2025

China International Capital Corporation Limited has announced an updated interim dividend for the six months ending June 30, 2025, with a declared dividend of RMB 0.9 per 10 shares. The update includes the dividend amount in HKD and the exchange rate, with payments scheduled for December 29, 2025. This announcement reflects the company’s commitment to returning value to shareholders and may impact investor sentiment and market positioning.

The most recent analyst rating on (HK:3908) stock is a Buy with a HK$22.90 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 Board Composition and Roles
Oct 31, 2025

China International Capital Corporation Limited has announced the composition and roles of its board of directors and various board committees. This announcement outlines the leadership structure, highlighting the strategic roles of key members, which is crucial for stakeholders to understand the governance and decision-making processes within the company.

The most recent analyst rating on (HK:3908) stock is a Buy with a HK$22.90 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 Reports Strong Q3 2025 Financial Results
Oct 29, 2025

China International Capital Corporation Limited announced its unaudited financial results for the nine months ending September 30, 2025. The company reported an operating revenue of RMB20.76 billion and a profit attributable to shareholders of RMB6.57 billion. The financial statements were prepared in accordance with Chinese Accounting Standards for Business Enterprises and have not been audited. The announcement underscores the company’s financial performance and adherence to regulatory disclosure requirements, providing stakeholders with insights into its operational health.

The most recent analyst rating on (HK:3908) stock is a Buy with a HK$22.90 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 Schedules Board Meeting for Financial Results
Oct 17, 2025

China International Capital Corporation Limited has announced a board meeting scheduled for October 29, 2025, to discuss and approve the publication of its financial results for the nine months ending 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 confidence.

The most recent analyst rating on (HK:3908) stock is a Buy with a HK$27.12 price target. To see the full list of analyst forecasts on China International Capital stock, see the HK:3908 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: Jan 07, 2026