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Citi Expects CN Banks' 4Q25 Rev. to Grow 2.1% YoY; Top Picks BANK OF CHINA, BANK OF NINGBO
2026-02-06 15:26:03
Citi released a report forecasting that Chinese banks' revenue for 4Q25 will grow by 2.1% YoY, on the back of decent fee income and stabilizing NIM, partially offset by the impact of slowing loan growth. Against a backdrop of stable asset quality, the broker expected Chinese banks to release provisions to support profit growth.

Among the Chinese banks, Citi expected CQRC BANK (03618.HK) to beat expectations in its 4Q25 results, while CEB BANK (06818.HK) and CHANGSHU BANK (601128.SH) were forecast to underperform, and PING AN BANK (000001.SZ) was estimated to slightly miss.

As the yield on China's ten-year government bonds peaks, the spread between dividend yields and the ten-year government bond yield was expected to widen, attracting southbound yield seeking investors. Citi's top picks were BANK OF CHINA (03988.HK) and BANK OF NINGBO (002142.SZ).
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