Bank of Jiujiang Co., Ltd. Class H (6190) AI Stock Analysis

• Market Cap: HK$4.98B
• Dividend Yield: 3.72%
• Average Volume (3M): 29.53K
• Price to Earnings (P/E): 21.0
• Beta (1Y): >-0.01
• Revenue Growth: -8.91%
• EPS Growth: N/A
• Country: HK
• Employees: 5,773
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 0.01
• Shares Outstanding: 482,367,200
• 10 Day Avg. Volume: 20,140
• 30 Day Avg. Volume: 29,526
• PEG Ratio: -2.83
• Price to Book (P/B): 0.34
• Price to Sales (P/S): 3.23
• P/FCF Ratio: -0.37
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 50 Neutral
• Price Target: HK$2.00 ▲(16.96% Upside)

Overall score is held back primarily by financial risks—especially negative/volatile operating and free cash flow and weakening ROE alongside rising leverage. Technicals also remain pressured with price below key long-term moving averages and a negative MACD. Valuation is moderately supportive via the dividend, but the P/E does not look compelling enough to offset these risks.

Positive Factors

Diversified retail and corporate banking franchise

The bank operates a classic regional commercial banking model across deposits, lending and fee businesses. Diverse product lines and branch distribution support stable deposit funding and recurring fee income, providing a durable revenue base that endures across business cycles.

2024 revenue rebound with mid‑teens margins

A clear top-line recovery in 2024 and sustained mid‑teens net margins indicate the franchise can generate profitable growth after prior dips. This supports medium‑term earnings resilience and gives management room to absorb credit cost fluctuations without immediate structural margin impairment.

Dividend yield provides shareholder support

A recurring cash dividend around the cited yield signals a shareholder return policy that can attract income-oriented investors. As a durable corporate policy, a consistent dividend helps stabilize investor base and signals management willingness to return capital when cash generation allows.

Negative Factors

Negative and volatile operating / free cash flow

Sustained negative operating and free cash flows are a structural weakness for a bank: they increase reliance on external funding and liquidity management, constrain capital deployment and dividend capacity, and raise the bank's vulnerability to funding stress over the medium term.

Rising leverage and greater funding reliance

Material increase in leverage reduces financial flexibility and heightens sensitivity to funding costs or market dislocations. For a regional bank, higher debt-to-equity elevates regulatory and liquidity risk, limiting capacity to expand lending or absorb credit losses without costly recapitalization.

Weak and declining return on equity

A structurally low and falling ROE signals deteriorating efficiency in converting equity into profits. Persistently weak ROE undermines internal capital generation, may force higher leverage or reduced payouts, and limits long‑term shareholder value creation absent a durable improvement in margins or asset yields.

Bank of Jiujiang Co., Ltd. Class H Business Overview & Revenue Model

Company Description

Bank of Jiujiang Co., Ltd. provides various banking and financial products and services for individuals, corporate customers, and small and micro enterprises in the People's Republic of China. It operates through Corporate Banking, Retail Banking, and Financial Market Business segments. The company offers demand, time, pledged, and corporate deposit products, as well as certificates of deposit; personal loans for consumption and business purposes; residential mortgage loans; personal wealth management services; corporate loans, and green financing products; and trade financing services, as well as debit and credit cards. It also provides various services, including handling domestic and overseas settlements, as well as bill acceptance, settlement, and discounting; issuing financial bonds; acting as agent to issue, settle, and underwrite government bonds; trading of government bonds and financial bonds; inter-bank placements; offering letters of credit services and guarantees; acting as agent on inward and outward payments, and acting as insurance agent; sale of securities investment funds; and safe-box service and other businesses. In addition, the company conducts money market or repurchase transactions, and financial investments, as well as provides online, mobile, telephone, and self-service banking services. As of December 31, 2020, it operated through 13 branches and 262 sub-branches. The company was incorporated in 2000 and is headquartered in Jiujiang, the People's Republic of China.

How the Company Makes Money

Bank of Jiujiang Co., Ltd. generates revenue primarily through interest income from its lending activities, which include providing loans to individuals, small and medium-sized enterprises, and larger corporations. The bank also earns non-interest income from fees and commissions associated with its various financial services, such as wealth management, transaction processing, and advisory services. Additionally, income is generated from trading activities and investments in financial markets. Significant factors contributing to the bank's earnings include its ability to manage credit risk, maintain a diverse portfolio of financial products, and leverage its regional presence in China to capture market opportunities.

Bank of Jiujiang Co., Ltd. Class H Financial Statement Overview

Summary

Income statement is mixed (2024 revenue rebound and mid-teens net margins), but balance sheet quality is weaker with rising leverage and declining/low ROE, and cash flow is a major concern with volatile, recently negative operating and free cash flow.

Income Statement

Revenue has been volatile, with strong growth in 2024 (+11.6%) after a slight decline in 2023, but still below the 2019 peak. Profitability is moderate and fairly steady recently, with net margin around 17% in 2023–2024 (down from stronger levels earlier), while operating profit (EBIT) is positive but has trended lower versus 2021–2022—suggesting some pressure on earnings power despite the 2024 top-line rebound.

Balance Sheet

The balance sheet shows meaningful leverage for a regional bank, with debt-to-equity rising to 1.14 in 2024 from 0.82 in 2022, indicating a higher reliance on funding over time. Equity has grown, but returns on equity are low and weakening (about 1.8% in 2023–2024 versus ~4.5%–6.4% in 2020–2022), pointing to reduced efficiency in converting capital into profits and limiting financial flexibility.

Cash Flow

Cash generation is the key weak spot: operating cash flow has swung sharply and is negative in 2022–2024 (including a large outflow in 2024), and free cash flow is also deeply negative in those years. While 2020 showed very strong inflows and 2021 was positive, the more recent pattern suggests elevated volatility in cash movements, which increases reliance on funding/liquidity management even though reported net income remains positive.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.53B	4.35B	4.25B	5.27B	5.08B	5.01B
Gross Profit	2.53B	9.55B	4.25B	5.27B	5.08B	5.01B
EBITDA	0.00	1.30B	0.00	2.52B	2.44B	0.00
Net Income	205.93M	744.43M	723.58M	1.62B	1.73B	1.67B
Balance Sheet
Total Assets	519.65B	516.46B	503.85B	479.70B	461.50B	415.79B
Cash, Cash Equivalents and Short-Term Investments	0.00	13.25B	36.75B	35.79B	38.36B	40.74B
Total Debt	0.00	47.63B	37.49B	29.13B	31.81B	3.00B
Total Liabilities	477.93B	473.93B	462.89B	443.29B	426.09B	389.16B
Stockholders Equity	40.93B	41.75B	40.16B	35.63B	34.68B	25.98B
Cash Flow
Free Cash Flow	0.00	-38.30B	-17.62B	-41.36B	268.50M	38.61B
Operating Cash Flow	0.00	-37.85B	-17.02B	-40.95B	1.01B	39.26B
Investing Cash Flow	0.00	7.49B	18.07B	3.53B	266.23M	-8.68B
Financing Cash Flow	0.00	22.24B	10.92B	24.76B	10.29B	-24.76B

Bank of Jiujiang Co., Ltd. Class H Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.71
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:6190, the sentiment is Negative. The current price of 1.71 is below the 20-day moving average (MA) of 1.75, below the 50-day MA of 1.73, and below the 200-day MA of 3.05, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 49.36 is Neutral, neither overbought nor oversold. The STOCH value of 48.15 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:6190.

Bank of Jiujiang Co., Ltd. Class H Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
2558	66 Neutral	HK$7.82B	4.08	6.81%	6.22%	-1.76%	-11.39%
1578	64 Neutral	HK$14.57B	3.53	5.84%	6.13%	-3.34%	-22.01%
6199	59 Neutral	HK$14.44B	3.58	7.71%	5.32%	-1.24%	4.34%
1216	57 Neutral	HK$12.06B	4.03	3.11%	4.24%	-7.58%	12.65%
9668	55 Neutral	HK$16.16B	3.39	5.51%	―	-5.76%	18.15%
6190	50 Neutral	HK$4.98B	21.03	0.67%	3.72%	-8.91%	―

Bank of Jiujiang Co., Ltd. Class H Corporate Events

Bank of Jiujiang’s Major Shareholders Signal Support for Planned Domestic Share Issuance

Bank of Jiujiang has received letters of intent from two major existing shareholders, the Jiujiang Finance Bureau and Industrial Bank, to participate in its planned non-public issuance of domestic shares, with the finance bureau intending to subscribe for up to RMB0.5 billion and Industrial Bank planning to subscribe in proportion to its current 10.34% stake. While the Jiujiang Finance Bureau’s participation will not be treated as a connected transaction under Hong Kong listing rules, Industrial Bank’s subscription constitutes a connected transaction, triggering disclosure, independent shareholder approval, and the appointment of an independent board committee and financial adviser, underscoring that the capital-raising plan and related subscriptions remain conditional on multiple regulatory and shareholder approvals and may not ultimately proceed.

The most recent analyst rating on (HK:6190) stock is a Hold with a HK$2.00 price target. To see the full list of analyst forecasts on Bank of Jiujiang Co., Ltd. Class H stock, see the HK:6190 Stock Forecast page.

Bank of Jiujiang Gains Regulatory Nod to Amend Articles, Scrap Board of Supervisors

Bank of Jiujiang Co., Ltd. has received approval from the Jiangxi office of the National Financial Regulatory Administration for amendments to its Articles of Association, which took effect upon regulatory sign-off. Following this approval, the bank has formally cancelled its Board of Supervisors, transferring all supervisory powers and functions required under PRC company law and financial regulations to the Audit Committee of the Board, dissolving the Board of Supervisors’ special committees, and abolishing related governance rules. The current members of the seventh session of the Board of Supervisors have stepped down from their roles, all confirming they have no disagreements with the Board or matters requiring shareholder or exchange attention, as the bank streamlines its governance structure in line with the updated Articles of Association.

The most recent analyst rating on (HK:6190) stock is a Hold with a HK$1.50 price target. To see the full list of analyst forecasts on Bank of Jiujiang Co., Ltd. Class H stock, see the HK:6190 Stock Forecast page.