Industrial and Commercial Bank of China (601398) Company In-Depth Report: Moving from a Large Domestic Bank to an International Force
ICBC new connotation: (1) C, personal finance (consumer bank): the number of personal customers reached 6 in 1H19.
2.7 billion households, with an earlier net worth growth of 2013 million households, the best level in history over the same period of time. Earlier growth in savings deposits ranked first among the four banks, and interest rates on deposits increased the least in the first half of the year.: Large and medium-sized enterprises have always been the advantages of ICBC, with additional loans, including full-scale financing tools such as bonds; ICBC is not losing money, and the overall net contribution of small and micro enterprises = small profits of small and micro financing + settlement + retailContributions + Targeted reduction of funds from the People’s Bank of China to 杭州夜网 re-use investment income contribution + progressive net contributions, doing small and micro can strengthen ICBC’s core customers; (3) I, Institutional Banking: ICBC service institutionsClients (Party, Government and Army) 45.
70,000 households, the market coverage rate is the first, serving interbank customers (bank securities insurance) 3253, market coverage rate of 62%, including securities, trusts, futures, financial infrastructure customers 100% full coverage.
Internationalization and integration: Whether it is ICBC’s internationalization strategy or integrated operation, it is not simply reflected in the profit of overseas institutions or comprehensive licensing.
(1) Internationalization: It is ICBC’s global service capabilities that many internal customers will choose ICBC, which brings opportunities to other ICBC businesses; (2) Integration: to provide customers with comprehensive financing solutions andFor wealth management, ICBC will gain market share from core customers.
e-ICBC: From customers to existing users, from offline to online and offline, from own traffic users to co-construction.
Three financial platforms, financial e-banking, financial e-linking, financial e-purchasing customers have steadily increased, and the total number of mobile banking (financial e-banking) customers has reached 3.
3.3 billion, ranking first on the APP monthly list, and the scale of Ronglian reached 1.
5.9 billion, the scale of financial e-commerce reached 1.
3.3 billion, the total number of Internet users reached 4.
5.9 billion, ICBC as a whole served 56% of all Internet users in the society.
Investment suggestion: ICBC’s fundamentals are very stable with a dividend yield of 4.
6%, excellent asset quality performance, 0.
8x20PB is seriously underestimated.
In the environment where the market’s risk-free interest rate is low, it is suitable for incremental domestic funds that are pursuing stable returns. From a global perspective, the ROE of banks with equivalent foreign valuations is not as good as ICBC. Under the background of more and more stock allocation, ICBC is also facing heavyestimate.
We expect ICBC’s net profit to grow by 4 per year in 2019/2020.
4% / 4.
1% coverage for the first time, given a “strong recommendation” rating.
Risk warning: China’s economic hard landing.