Bank of Ningbo (002142.SZ)
Financials · Shenzhen · China
Fundamentals
Valuation and ratings
Bank of Ningbo trades at CN¥31.62, which is 114% below the CN¥67.54 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 52 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 7.0 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 Bank of Ningbo
Bank of Ningbo Co., Ltd. provides various personal and business banking products and services in the People's Republic of China. The company operates through four segments: Corporate Banking, Personal Banking, Capital Banking, and Other Banking. It offers deposits; short-term, medium-term, and long-term loans; bank cards; domestic and international settlement services; bill discounting services; issues financial bonds; acting as an a as distribution agent, payment agent, and underwriter of government bonds; trading government bonds; acts as an underwriter of government bonds; inter-bank lending and borrowing services; payment/collection and insurance agency services; and foreign currency guarantees, as well as other banking services. The company also provides safe deposit box; foreign currency deposit, loans, and remittance; foreign exchange settlement and guarantees sale; and foreign currency exchange services. The company was formerly known as Ningbo Commercial Bank Co., Ltd. and changed its name to Bank of Ningbo Co., Ltd. in February 2007. Bank of Ningbo Co., Ltd. was founded in 1997 and is headquartered in Ningbo, the People's Republic of China.
002142.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 Bank of Ningbo (002142.SZ) undervalued?
Against our discounted cash flow estimate of CN¥67.54, 002142.SZ at CN¥31.62 is 114% 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 002142.SZ's P/E ratio?
002142.SZ trades at 7.0 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.