Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

China Zheshang Bank Co., Ltd (601916.SS)

Company Dividend Discount ModelIndustry: Banks - RegionalSector: Financial Services

Valuation Snapshot

Stable Growth$85.40 - $100.62$94.30
Multi-Stage$23.86 - $26.13$24.97
Blended Fair Value$59.63
Current Price$2.98
Upside1,901.11%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS43.94%70.27%0.200.210.070.160.210.030.150.110.090.00
YoY Growth---3.77%184.15%-53.63%-25.38%553.11%-78.10%32.38%29.75%29,491.20%-70.23%
Dividend Yield--6.75%6.92%2.70%5.01%5.49%0.84%3.14%2.37%1.83%0.01%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)13,949.00
(-) Cash Dividends Paid (M)8,830.00
(=) Cash Retained (M)5,119.00
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)2,789.801,743.631,046.18
Cash Retained (M)5,119.005,119.005,119.00
(-) Cash Required (M)-2,789.80-1,743.63-1,046.18
(=) Excess Retained (M)2,329.203,375.384,072.83
(/) Shares Outstanding (M)27,570.2527,570.2527,570.25
(=) Excess Retained per Share0.080.120.15
LTM Dividend per Share0.320.320.32
(+) Excess Retained per Share0.080.120.15
(=) Adjusted Dividend0.400.440.47
WACC / Discount Rate5.24%5.24%5.24%
Growth Rate5.50%6.50%7.50%
Fair Value$85.40$94.30$100.62
Upside / Downside2,765.88%3,064.27%3,276.50%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)13,949.0014,855.6915,821.3016,849.6917,944.9219,111.3419,684.68
Payout Ratio63.30%68.64%73.98%79.32%84.66%90.00%92.50%
Projected Dividends (M)8,830.0010,197.1811,704.7913,365.3115,192.2417,200.2018,208.33

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate5.24%5.24%5.24%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)9,598.879,689.859,780.84
Year 2 PV (M)10,371.5410,569.0910,768.50
Year 3 PV (M)11,148.0411,468.0611,794.14
Year 4 PV (M)11,928.3612,387.1012,858.93
Year 5 PV (M)12,712.5413,326.5613,964.08
PV of Terminal Value (M)601,943.44631,017.53661,204.36
Equity Value (M)657,702.79688,458.19720,370.85
Shares Outstanding (M)27,570.2527,570.2527,570.25
Fair Value$23.86$24.97$26.13
Upside / Downside700.52%737.95%776.80%

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