GO
| HSI1 | 23,350.03 | +295.00 | 304.95B |
| HSCEI1 | 7,699.76 | +87.28 | 86.75B |
| Back Zoom + Zoom - Block Traded | |
|
2026-07-03 11:08:23 JPM released a research report stating that it updated its model for ABC (01288.HK) to reflect its 1Q26 results, and lowered its earnings forecasts for 2026 to 2028 by 1.6%, 3.7% and 5.6%, respectively, mainly due to expected NIM narrowing of 2 bps, 5 bps and 4 bps, respectively, caused by deterioration in the loan portfolio. JPM noted that ABC's asset quality is improving, with the highest non-performing loan coverage ratio among China's four major state-owned banks, which is believed to provide greater buffer for future earnings. At the same time, the bank has the lowest overseas exposure among the four major state-owned banks and is therefore less affected by risks of downturns in overseas markets. However, ABC's capital position is relatively weaker among the four major state-owned banks, with its Common Equity Tier 1 capital adequacy ratio (CET1) lower than peers, while growth in risk-weighted assets (RWA) is higher. The broker rolled forward ABC's valuation base to December 2027, and therefore lowered its H-share TP from HKD7.2 to HKD6.55, while maintaining the Overweight rating. (ad/da)~ AASTOCKS Financial News Website: www.aastocks.com This article was automatically translated by AI, the Chinese version should be considered the authoritative version. AASTOCKS.com Limited does not guarantee its accuracy or completeness and accepts no liability for any damages or losses arising from the use of this translation. | |