Bank of Ningbo Co Ltd

Bank of Ningbo maintains a capital structure with a debt-to-equity ratio of 2.74, indicating a relatively high leverage position. The company's liquidity is assessed as medium, with a negative net cash position after subtracting total debt. The price-to-book ratio of 0.93 suggests that the company's market value is slightly below its book value, while the price-to-tangible-book ratio is identical, indicating no significant intangible assets.

Profitability metrics show a return on equity (ROE) of 3.03% and a return on assets (ROA) of 0.22%. These figures are below the typical performance of banks in the industry, which often aim for ROE above 10% and ROA above 1%. The company's net income of 6.64 billion CNY on 116.52 billion CNY in revenue yields a net margin of 5.69%, which is relatively low for a bank.

Geographically, Bank of Ningbo is primarily concentrated in China, with no disclosed international revenue segments. Its business is heavily dependent on the domestic Chinese economy, which exposes it to macroeconomic and regulatory risks. The company's revenue concentration in a single geographic region increases its vulnerability to local economic downturns or policy shifts.

The company's growth trajectory is modest, with no disclosed revenue growth rates in the provided data. Analysts have set a mean price target of 38.17 CNY, suggesting a potential upside of 23.4% from the current market price of 30.93 CNY. The mean recommendation of 1.69 indicates a generally positive outlook, with 4 strong-buy and 9 buy ratings.

Risk factors include medium liquidity risk and low dilution risk. The company's capital expenditure is negative, indicating a net cash inflow from operations, which may be used for debt repayment or shareholder returns. However, the high debt-to-equity ratio suggests that the company may face refinancing challenges in the future.

Recent events include the publication of the latest financial data, which shows a stable but unremarkable performance. No significant corporate actions or regulatory changes have been disclosed in the provided data. The company's capital structure and financial metrics suggest a conservative approach to growth and risk management.

Bank of Ningbo Co Ltd (002142.SZ) has been formally classified within the "Banks" activity and "Financials" economic sector, marking a significant structural update to its corporate profile. This taxonomy classification, identified as a medium-severity change, establishes the foundational context for analyzing the institution's operational scope and market positioning. Concurrently, the bank's risk assessment framework has been initialized with specific metrics. Dilution risk is now rated as "low," indicating a stable capital structure with minimal threat of equity erosion. This assessment provides a baseline for evaluating shareholder value preservation amidst broader market dynamics. Liquidity risk, however, is assessed at a "medium" level. This designation highlights the importance of monitoring the bank's cash flow management and asset-liability matching capabilities, which are critical for maintaining operational stability in the financial sector. These updates are supported by financial data and estimates associated with the company [doc:002142.sz-ha-financials] [doc:002142.sz-ha-estimates]. With four analysts currently covering the stock, these newly defined risk and classification parameters offer a clearer lens for evaluating Bank of Ningbo's performance and potential within the financial industry.

Revenue grew 12.9% annually over four years, reaching CNY 53.2 billion in FY2026, demonstrating strong top-line expansion.

Net income increased 10.7% annually over four years to CNY 29.3 billion in FY2026, indicating consistent profitability growth.

The stock trades at 0.93x price-to-book, offering a valuation discount relative to its tangible book value of CNY 218.8 billion.

Analysts project 18.0% upside to a mean price target of CNY 38.17, reflecting positive market sentiment.

Free cash flow declined 15.7% year-over-year to CNY 8.6 billion in FY2026, signaling weakening cash generation capabilities.

Return on equity of 3.0% falls below the 6.3% median for 975 bank peers, indicating inferior capital efficiency.

Long-term debt surged to CNY 880.7 billion in FY2026, reflecting a significant increase in leverage obligations.

Debt-to-equity ratio of 2.74 places the company in the bottom quartile among 995 bank peers, suggesting higher financial risk.

The company faces medium liquidity risk, which could constrain operational flexibility during periods of market stress.

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• ▍Revenue ¥14.69B, +14,4% YoY
• ▍Net income +10,3% YoY
• ▍Net margin 55.7%

Revenue ¥13.66B, +7,8% YoY; Net income +7,3% YoY.

• ▍Revenue ¥13.66B, +7,8% YoY
• ▍Net income +7,3% YoY
• ▍Net margin 50.4%

Revenue ¥13.77B, +13,2% YoY; Net income +8,7% YoY.

• ▍Revenue ¥13.77B, +13,2% YoY
• ▍Net income +8,7% YoY
• ▍Net margin 55.7%

Revenue ¥12.89B, +10,6% YoY; Net income +10,8% YoY.

• ▍Revenue ¥12.89B, +10,6% YoY
• ▍Net income +10,8% YoY
• ▍Net margin 57.1%

Revenue ¥12.84B; Net margin 57.8%.

• ▍Revenue ¥12.84B
• ▍Net margin 57.8%

Revenue ¥12.68B; Net margin 50.6%.

• ▍Revenue ¥12.68B
• ▍Net margin 50.6%

Revenue ¥12.16B; Net margin 58.0%.

• ▍Revenue ¥12.16B
• ▍Net margin 58.0%

Revenue ¥11.65B; Net margin 57.0%.

• ▍Revenue ¥11.65B
• ▍Net margin 57.0%

Revenue ¥53.16B, +10,8% YoY; Net income +8,1% YoY.

• ▍Revenue ¥53.16B, +10,8% YoY
• ▍Net income +8,1% YoY
• ▍Free cash flow −15,7% YoY
• ▍Net margin 55.2%

Revenue ¥47.99B, +17,3% YoY; Net income +6,2% YoY.

• ▍Revenue ¥47.99B, +17,3% YoY
• ▍Net income +6,2% YoY
• ▍Free cash flow +7,7% YoY
• ▍Net margin 56.5%

Revenue ¥40.91B, +9,0% YoY; Net income +10,7% YoY.

• ▍Revenue ¥40.91B, +9,0% YoY
• ▍Net income +10,7% YoY
• ▍Free cash flow −10,6% YoY
• ▍Net margin 62.4%

Revenue ¥37.52B, +14,8% YoY; Net income +18,1% YoY.

• ▍Revenue ¥37.52B, +14,8% YoY
• ▍Net income +18,1% YoY
• ▍Free cash flow +31,0% YoY
• ▍Net margin 61.5%