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Bank of Guizhou Co. Ltd. Class H (HK:6199)
:6199
Hong Kong Market

Bank of Guizhou Co. Ltd. Class H (6199) AI Stock Analysis

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HK:6199

Bank of Guizhou Co. Ltd. Class H

(6199)

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Neutral 59 (OpenAI - 5.2)
Rating:59Neutral
Price Target:
HK$1.00
▼(-2.91% Downside)
The score is driven primarily by mixed fundamentals: strong profitability and improved reported leverage are outweighed by persistent revenue decline and weak/volatile free cash flow. Valuation is a clear positive (low P/E and high yield), but technicals are bearish with the stock trading below key moving averages and negative MACD despite oversold RSI.
Positive Factors
Improved Leverage
The significant reduction in leverage enhances financial stability and reduces risk, providing the bank with greater flexibility to invest in growth opportunities.
Strong Profit Margins
High and improving profit margins indicate efficient operations and pricing power, supporting long-term profitability and competitive positioning.
Governance Enhancements
Strengthening governance aligns with regulatory expectations and enhances investor confidence, potentially leading to better strategic decisions and risk management.
Negative Factors
Revenue Decline
Persistent revenue decline raises concerns about market competitiveness and growth prospects, potentially impacting long-term financial health.
Weak Cash Flow
Consistently negative cash flow undermines the bank's ability to fund operations and growth internally, increasing reliance on external financing.
Volatile Debt Levels
Volatile debt levels complicate financial planning and risk assessment, potentially leading to uncertainty in financial stability and strategic execution.

Bank of Guizhou Co. Ltd. Class H (6199) vs. iShares MSCI Hong Kong ETF (EWH)

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

Company DescriptionBank of Guizhou Co., Ltd. provides various banking products and services in the People's Republic of China. It operates through Corporate Banking, Retail Banking, and Financial Markets segments. The company offers time and demand deposits; corporate loans and advances, such as working capital and fixed asset loans; personal loans, including residential mortgage, business, and consumption loans; trade financing, agency, wealth management, consultancy, settlement and clearing, and acceptance and guarantee services; credit cards; remittance services; and loans to micro and small enterprises. It is also involved in the inter-bank money market transaction, transaction repurchase, and investment activities, as well as trading of debt securities. In addition, the company provides personal and corporate online banking services. As of December 31, 2021, it operated 8 branches. Bank of Guizhou Co., Ltd. was incorporated in 2012 and is headquartered in Guiyang, the People's Republic of China.
How the Company Makes MoneyBank of Guizhou Co. Ltd. generates revenue through its diverse range of banking services. The primary revenue stream comes from interest income earned on loans provided to individual and corporate clients. The bank also earns non-interest income through fees and commissions from services such as wealth management, payment processing, and other financial transactions. By maintaining a strong regional presence, the bank leverages its local expertise and customer relationships to drive growth. Furthermore, partnerships with other financial institutions and participation in regional development initiatives also contribute to its earnings, enhancing its service offerings and expanding its market reach.

Bank of Guizhou Co. Ltd. Class H Financial Statement Overview

Summary
Bank of Guizhou shows strong profitability with solid gross and EBIT margins. However, declining revenue growth and cash flow challenges, alongside increasing liabilities, indicate areas of concern and potential risk.
Income Statement
The Bank of Guizhou's income statement shows stable performance with a gross profit margin of 100% consistently over the years, indicating efficient cost management. However, the net profit margin has been slightly declining, from 36.19% in 2020 to 32.45% in 2024, reflecting increasing expenses or challenges in revenue growth. The revenue growth has fluctuated, with a notable decline from 2020 to 2024. The EBIT margin remains strong, suggesting good operational efficiency despite the revenue challenges.
Balance Sheet
The balance sheet reveals a healthy equity position with stockholders' equity increasing over the years, indicating strong shareholder confidence. The debt-to-equity ratio improved from 1.56 in 2020 to 0.17 in 2024, showing reduced leverage risk. The equity ratio has been stable, suggesting a balanced approach to asset financing. However, the substantial increase in total liabilities from 2020 to 2024 could pose future risks if not managed properly.
Cash Flow
Cash flow analysis indicates challenges with a negative operating cash flow in recent years, highlighting potential liquidity issues. Despite this, the free cash flow situation improved from 2020 to 2024, though it remains negative, indicating ongoing capital expenditure needs. The operating cash flow to net income ratio is negative, suggesting cash flow generation issues relative to reported earnings.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue7.69B7.87B8.02B8.13B23.32B7.97B
Gross Profit7.69B7.87B8.02B8.13B7.83B7.97B
EBITDA0.009.18B0.004.81B4.80B0.00
Net Income3.79B3.78B3.65B3.83B3.71B3.67B
Balance Sheet
Total Assets603.75B589.99B576.79B533.78B503.88B456.40B
Cash, Cash Equivalents and Short-Term Investments32.39B8.16B35.72B28.45B39.19B49.35B
Total Debt85.66B9.00B94.55B85.10B72.86B56.30B
Total Liabilities550.70B537.68B528.37B489.81B464.89B420.37B
Stockholders Equity53.04B52.31B48.42B43.97B38.99B36.03B
Cash Flow
Free Cash Flow-22.90B-5.17B-5.45B-4.51B-1.17B32.54B
Operating Cash Flow-22.72B-4.96B-5.16B-4.27B-649.39M33.27B
Investing Cash Flow-24.44B-17.56B4.78B-1.04B6.83B-28.57B
Financing Cash Flow16.30B7.41B36.92B11.75B13.48B-31.67B

Bank of Guizhou Co. Ltd. Class H Technical Analysis

Technical Analysis Sentiment
Negative
Last Price1.03
Price Trends
50DMA
1.05
Negative
100DMA
1.08
Negative
200DMA
1.08
Negative
Market Momentum
MACD
-0.01
Positive
RSI
42.64
Neutral
STOCH
6.06
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:6199, the sentiment is Negative. The current price of 1.03 is below the 20-day moving average (MA) of 1.04, below the 50-day MA of 1.05, and below the 200-day MA of 1.08, indicating a bearish trend. The MACD of -0.01 indicates Positive momentum. The RSI at 42.64 is Neutral, neither overbought nor oversold. The STOCH value of 6.06 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:6199.

Bank of Guizhou Co. Ltd. Class H Peers Comparison

Overall Rating
UnderperformOutperform
Sector (68)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
68
Neutral
$18.00B11.429.92%3.81%9.73%1.22%
66
Neutral
HK$17.26B6.911.89%-5.02%-3.28%
64
Neutral
HK$14.45B3.505.84%6.13%-3.34%-22.01%
59
Neutral
HK$14.44B3.587.71%5.32%-1.24%4.34%
58
Neutral
HK$16.09B7.298.48%3.57%6.65%16.74%
57
Neutral
HK$12.24B4.093.11%4.24%-7.58%12.65%
55
Neutral
HK$16.16B3.395.51%-5.76%18.15%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:6199
Bank of Guizhou Co. Ltd. Class H
0.99
-0.10
-9.17%
HK:6196
Bank of Zhengzhou Co., Ltd. Class H
1.15
0.25
27.49%
HK:9668
China Bohai Bank Co., Ltd. Class H
0.91
0.03
3.41%
HK:1578
Bank of Tianjin Co., Ltd. Class H
2.38
0.83
53.65%
HK:9677
Weihai City Commercial Bank Co., Ltd. Class H
2.69
-0.09
-3.24%
HK:1216
Zhongyuan Bank Co., Ltd. Class H
0.34
0.05
17.54%

Bank of Guizhou Co. Ltd. Class H Corporate Events

Bank of Guizhou Outlines Board Line-up and Committee Structure
Dec 28, 2025

Bank of Guizhou Co., Ltd. has announced the current composition of its board of directors, comprising executive, non-executive, and independent non-executive directors, with Yang Mingshang serving as chairman. The bank has also detailed the structure and membership of its six specialized board committees—covering strategic development, audit, nomination and remuneration, risk and related party transactions management, compliance management, and ESG and consumer rights protection—clarifying which directors serve on each committee and who chairs them, with the composition to be updated once the regulatory approval of a new director’s qualifications is obtained, underscoring the bank’s emphasis on corporate governance and regulatory compliance.

Bank of Guizhou Proposes Governance-Focused Amendments to Articles of Association
Dec 28, 2025

Bank of Guizhou Co., Ltd. has proposed amendments to its Articles of Association aimed at strengthening its corporate governance framework, particularly by refining the division of responsibilities and procedural rules surrounding shareholders’ meetings. The revised Articles will require approval by shareholders at an upcoming shareholders’ meeting and subsequent clearance from the National Financial Regulatory Administration Guizhou Office before taking effect, with further details to be provided in a forthcoming circular, signaling a continued push by the regional lender to align its governance practices with evolving regulatory and investor expectations.

Bank of Guizhou Reshapes Board Committees, Elevates ESG and Governance Oversight
Dec 28, 2025

Bank of Guizhou Co., Ltd. has announced a reshuffle of key board-level special committees, appointing independent non-executive director ZHANG Junjie as chairman of the ESG Management and Consumer Rights Protection Committee and as a member of the Strategic Development, Risk and Related Party Transactions Management, and Compliance Management Committees. Independent non-executive director XU Liang has been named chairman of the Nomination and Remuneration Committee and added as a member of the Audit, Risk and Related Party Transactions Management, and Compliance Management Committees, while LEE Hoey Simon has been removed as chairman of the ESG Management and Consumer Rights Protection Committee and from the Strategic Development Committee, and remains only a member of the ESG committee. In addition, independent non-executive director CHEN Rong has joined the Nomination and Remuneration Committee and stepped down from the Compliance Management Committee. These changes, effective immediately, signal a renewed emphasis on ESG oversight, governance, and risk management as the bank refines its board structure and committee leadership, with implications for how it addresses sustainability, consumer protection, and regulatory compliance going forward.

Bank of Guizhou Updates Board of Directors and Roles
Dec 17, 2025

The Bank of Guizhou Co., Ltd. has announced the updated list of its board of directors along with their roles and assigned committee memberships. This announcement highlights the governance structure of the company and its dedication to ensuring regulatory compliance in line with oversight from national financial authorities in China. Stakeholders may find the clear delineation of leadership roles beneficial for understanding the bank’s strategic and operational focus moving forward.

Bank of Guizhou Implements Governance Restructuring with Board Changes
Dec 17, 2025

Bank of Guizhou Co., Ltd. has announced significant governance changes following the approval of amendments to its Articles of Association by the National Financial Regulatory Administration Guizhou Office. A key outcome of this amendment is the dissolution of the Board of Supervisors, with its oversight responsibilities now assumed by the Audit Committee of the Board. This restructuring aims to streamline the corporate governance framework and acknowledges the contributions of outgoing Board of Supervisors members while affirming a unified operational approach moving forward.

Bank of Guizhou Announces Approval of New Board Directors
Dec 17, 2025

Bank of Guizhou Co., Ltd. announced that the National Financial Regulatory Administration Guizhou Office has approved the appointment of Ms. Zhang Yan as a non-executive director and Mr. Zhang Junjie and Mr. Xu Liang as independent non-executive directors of its Board’s fourth session. This decision involves changes in the board’s composition, including the cessation of duties for two independent directors and the addition of Ms. Zhang to key committees, shaping the strategic and compliance direction of the bank moving forward.

Bank of Guizhou Holds Third Extraordinary General Meeting of 2025
Dec 10, 2025

The Bank of Guizhou Co., Ltd. held its third extraordinary general meeting of 2025 on December 10, where shareholders and proxies representing approximately 84.85% of the voting shares participated. The meeting was conducted in compliance with relevant laws and regulations, and certain shareholders abstained from voting on specific proposals due to their equity holdings in related entities.

Bank of Guizhou to Hold EGM for Strategic Approvals and Acquisitions
Nov 21, 2025

Bank of Guizhou Co., Ltd. has announced its third extraordinary general meeting of 2025, where shareholders will vote on several key resolutions. These include amendments to equity administration and related party transaction measures, authorization plans for the Board of Directors, and the acquisition and establishment of branches for three rural banks. These strategic moves are likely to impact the bank’s operational capabilities and market positioning, potentially enhancing its reach and influence within the rural banking sector.

Bank of Guizhou Reports Q3 2025 Financial Results
Oct 31, 2025

Bank of Guizhou Co., Ltd. released its unaudited financial results for the third quarter of 2025, reporting total assets of RMB 6,156.29 million and a net profit of RMB 31.05 million. The bank’s capital adequacy ratios met regulatory requirements, indicating a stable financial position. However, the figures are subject to adjustments during auditing, and stakeholders are advised to exercise caution when dealing with the bank’s securities.

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: Dec 30, 2025