At the end of the year, the pace of institutional research on listed banks has not stopped. As of December 27, the financial Associated Press reporter found that this month, a total of Jiangsu Changshu Rural Commercial Bank Co.Ltd(601128) , Jiangsu Zhangjiagang Rural Commercial Bank Co.Ltd(002839) , Jiangsu Suzhou Rural Commercial Bank Co.Ltd(603323) , Jiangsu Jiangyin Rural Commercial Bank Co.Ltd(002807) , Bank Of Hangzhou Co.Ltd(600926) 5 listed banks were investigated by institutions for 10 times, which was slightly less popular than that of 13 listed banks in November.
The timeline will be lengthened. From the perspective of the whole year, as of press time, a total of 20 listed banks have been surveyed by more than 300 institutions during the year. Compared with the institutional surveys conducted by 14 banks less than 100 times last year, the number of research institutions, the number of research times and the number of banks surveyed have increased significantly throughout the year.
According to this, China Merchants Securities Co.Ltd(600999) Liao Zhiming, chief analyst of banking industry, told the financial associated press that there are two main reasons affecting the research heat: first, due to the outbreak of covid-19 epidemic last year, it is difficult to conduct field research, and the form of teleconference has not been popularized, which has an impact on the research heat to a certain extent; In addition, the current valuation of the banking sector is at a low level in history and in the industry. There is more room for the repair of the valuation of sectors and individual stocks, and the market’s attention to banking stocks has increased.
institutions prefer banks in Jiangsu and Zhejiang Jiangsu Changshu Rural Commercial Bank Co.Ltd(601128) and have received 6 investigations
Specifically, as of December 27, Jiangsu Changshu Rural Commercial Bank Co.Ltd(601128) , Jiangsu Zhangjiagang Rural Commercial Bank Co.Ltd(002839) , Jiangsu Suzhou Rural Commercial Bank Co.Ltd(603323) , Jiangsu Jiangyin Rural Commercial Bank Co.Ltd(002807) , Bank Of Hangzhou Co.Ltd(600926) 5 listed banks had obtained institutional research. Except that Bank Of Hangzhou Co.Ltd(600926) was investigated by one institution of an investment company on the 15th, the other four banks were investigated by multiple institutions. Among them, a total of 27 institutions including securities companies, funds and insurance companies visited Jiangsu Changshu Rural Commercial Bank Co.Ltd(601128) six times in the month, and institutional investors paid far more attention to the bank than other banks.
In addition, the financial Associated Press reporter also found that since September, Jiangsu Changshu Rural Commercial Bank Co.Ltd(601128) has repeatedly appeared in the research list of institutions. According to incomplete statistics, since September, the bank has been investigated as many as 31 times, and in a field survey in October, the number of participating institutions was as high as 60. Accordingly, China Everbright Bank Company Limited Co.Ltd(601818) financial market analyst Zhou Maohua told the associated press that Jiangsu Changshu Rural Commercial Bank Co.Ltd(601128) can be investigated by many institutions, which may reveal the signal that institutions have expectations for the future development prospect of the bank.
Zhou Maohua also believes that the institution’s “preference” for Jiangsu Changshu Rural Commercial Bank Co.Ltd(601128) is also related to the fact that it is located in the hinterland of the triangle, the local industry is diversified, the economy is active, the bank has a high share in the local market, and the asset quality is related to the overall robustness of the operation. The five banks concerned by institutions in December are located in Jiangsu and Zhejiang.
From the recent issues concerned by institutions in the research, the interest rate level of small and micro loans and the transformation of retail business are still the focus. Jiangsu Changshu Rural Commercial Bank Co.Ltd(601128) has repeatedly been asked about the level and month on month comparison of the interest rate of new small and micro loans in the fourth quarter.
institutions are optimistic about the growth of small and medium-sized banks
From the survey of listed banks in 2021, of the 20 listed banks surveyed as of press time, except Ping An Bank Co.Ltd(000001) , the remaining 19 are urban rural commercial banks.
“Most institutions are optimistic about the growth of small and medium-sized banks, especially in economically developed areas such as the Yangtze River Delta and the Pearl River Delta.” Zhou Maohua told the associated press of Finance and economics.
From the specific data, the four banks located in Suzhou ranked among the top four in the survey heat list during the year. Among them, Bank Of Suzhou Co.Ltd(002966) , Jiangsu Changshu Rural Commercial Bank Co.Ltd(601128) , Jiangsu Zhangjiagang Rural Commercial Bank Co.Ltd(002839) received more than 20 surveys by institutions during the year, attracting more than 150 institutions in total; Jiangsu Suzhou Rural Commercial Bank Co.Ltd(603323) followed with 18 times. In addition, Wuxi Rural Commercial Bank Co.Ltd(600908) , Ping An Bank Co.Ltd(000001) , Bank Of Ningbo Co.Ltd(002142) were investigated more than 10 times in the year. Although Bank Of Hangzhou Co.Ltd(600926) received only four surveys in the year, it attracted more than 323 institutions to visit, which is also a favorite of the market.
Good performance is an important reason why these banks are favored by institutions. In the third quarter of this year, the operating revenue and net profit of Jiangsu Zhangjiagang Rural Commercial Bank Co.Ltd(002839) , Wuxi Rural Commercial Bank Co.Ltd(600908) , Bank Of Ningbo Co.Ltd(002142) and other banks increased by more than 10% year-on-year. Among them, the operating revenue of Bank Of Ningbo Co.Ltd(002142) increased by 28.47% year-on-year and the net profit of Jiangsu Zhangjiagang Rural Commercial Bank Co.Ltd(002839) increased by 30.03% year-on-year.
As an important source of revenue, retail business has also attracted much market attention. “In recent years, the banking industry has been focusing on the transformation of retail business, which is also reflected in the stock price.”, An analyst told the financial associated press. For example, the “king of retail” China Merchants Bank Co.Ltd(600036) with high market attention once had a share price of 58.92 yuan (no resumption of rights) during the year.
The retail business of the above banks also performed well. By the end of September, Jiangsu Suzhou Rural Commercial Bank Co.Ltd(603323) had a retail loan balance of 24.1 billion yuan, accounting for more than 26%. The bank said it would strive to increase it to about 40%. Bank Of Hangzhou Co.Ltd(600926) also proposed that its core retail products in the future will focus on financial management and consumer credit.
the stock price of the banking sector was low during the year, and the position adjustment of institutions was highly correlated with the stock price trend
The share price performance of the whole banking sector has not been satisfactory this year, and more than 20 bank stocks concerned by institutions are no exception. Except that the share price rose by 12.22% in Bank Of Ningbo Co.Ltd(002142) year, the share prices of other stocks fell to varying degrees. Among them, Ping An Bank Co.Ltd(000001) , Bank Of Hangzhou Co.Ltd(600926) fell by more than 10% in the year, and Bank Of Chongqing Co.Ltd(601963) , Xiamen Bank Co.Ltd(601187) also fell by a large margin.
From the number of institutional holdings disclosed by banks in the quarterly report, the correlation between institutional position adjustment and stock price trend is high. In the second quarter, the above banks were significantly increased by institutions, and correspondingly, there was a wave of small market in the banking sector as a whole in the second quarter. Since then, the overall performance of banks weakened in the third quarter. Among the above-mentioned banks, only the number of institutional holdings of Jiangsu Suzhou Rural Commercial Bank Co.Ltd(603323) , Jiangsu Zhangjiagang Rural Commercial Bank Co.Ltd(002839) , Bank Of Zhengzhou Co.Ltd(002936) , Bank Of Chongqing Co.Ltd(601963) and Xiamen Bank Co.Ltd(601187) increased.
In this regard, an analyst told the financial associated press that under the current situation that the banking sector is seriously underestimated, the focus of steady growth will be conducive to the improvement of fundamentals, and the follow-up market will continue to pay more attention to the banking sector. He is optimistic about the performance of the banking sector in 2022.
(Financial Associated Press)
