Ping An Bank (000001.SZ)
Financials · Shenzhen · China
Fundamentals
Valuation and ratings
Ping An Bank trades at CN¥10.87, which is 111% below the CN¥22.99 our discounted cash flow model puts on the business. On that measure alone it screens as undervalued, though a DCF is an argument rather than a measurement, and the market is frequently right about why something is cheap.
Our moat model scores it 48 out of 100, which is a moat, but not a deep one. A moat is a structural reason competitors cannot take the profits away, and it matters more to a long holding period than any single quarter's numbers do.
It changes hands at 4.9 times earnings. Be careful reading that in isolation: for a cyclical business a low P/E arrives at the top of the cycle, when profits are peaking and about to fall, which is exactly when the shares look cheapest and are not.
About Ping An Bank
Ping An Bank Co., Ltd. provides commercial banking products and services for individual and corporate customers, government agencies, institutions, and other small businesses in China and internationally. The company operates through three segments: Wholesale Financial Services, Retail Financial Services, and Other Businesses. It offers deposit products, including demand, time, call, negotiated, agreement, and margin deposits; foreign currency, corporate, and structured deposits. The company also provides loans, such as working capital, fixed asset, corporate fixed deposit certificate pledge, commercial property mortgage, syndicated, cross-border syndicated, real estate development, government platform, and cross-border working capital loans, as well as corporate client account overdraft, online banking revolving loans for small and medium-sized enterprises, offshore foreign exchange deposits, and offshore cross-border financing loans. In addition, it offers settlement, offshore, corporate finance, cash management, trade finance, custody, corporate e-banking, corporate intermediary, interbank, and wealth management services, as well as bank cards. The company was founded in 1987 and is headquartered in Shenzhen, China.
000001.SZ passes 6 of our 30 screens today
Each screen prints the exact criteria it used, and the circumstances in which it is wrong.
Common questions
Is Ping An Bank (000001.SZ) undervalued?
Against our discounted cash flow estimate of CN¥22.99, 000001.SZ at CN¥10.87 is 111% below fair value. That is one model's answer, not a recommendation, and most of a DCF's output sits in a terminal value nobody can forecast.
What is 000001.SZ's P/E ratio?
000001.SZ trades at 4.9 times earnings. A low P/E is not automatically cheap: on a cyclical company it is usually a warning that earnings are at a peak.
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Data from company filings, exchange quotes and SEC EDGAR 13F disclosures. Quotes are delayed. Metrics we do not have are left out rather than estimated. Educational information, not financial advice.