Bank of Communications Co (601328) Fair Value & Analysis

Financial Services · CN · Market cap 584B CNY

Below-average quality, screening 62% undervalued on our models.

What matters now

• The price is below even our cautious bear case (¥8.43). The market is more pessimistic than our downside scenario.
• Solid quality (45/100) at a price below fair value, the discount is the argument here, not the business quality.
• For a financial, book-value and earnings-based methods matter more than a cash-flow DCF, which fits banks and insurers poorly.

Price vs Fair Value (5 years)

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 11, 2026.

How to read this chart

60‑month range ¥3.69 – ¥8.32 · fair‑value band ¥8.43 – ¥14.05 · the ¥6.94 price screens below the ¥11.24 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 11, 2026.

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Analysis

Bank of Communications Co (601328) currently trades at ¥6.94, while our model-based Fair Value estimate is ¥11.24, implying the stock looks roughly 61.9% undervalued today. We read business quality at 45/100 (below-average quality), in the Financial Services sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: high), always confirm before acting.

Over the trailing twelve months, Bank of Communications Co generated revenue of 212B CNY at a net margin of 45.4%. Revenue grew 3.1% year over year. It earns a return on equity of 7.9%. Net debt stands at 3.9T CNY. Fundamentals as of Jul 11, 2026

Our scenario range runs from ¥8.43 (bear case) to ¥14.05 (bull case); at ¥6.94, the current price sits below that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 17% below its 52-week high and 7% above its 52-week low, currently below its 200-day average. For context, the median of 10 Financial Services peers we cover trades at 16% fair-value upside, at 62%, 601328 screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Widest divergence: Growth Earnings (¥16.50) versus DCF Models (¥4.70). Highest evidence: Growth DCF (80).

Key figures & financial health

Quality Score breakdown

About the company

Bank of Communications Co., Ltd. provides commercial banking products and services in China and internationally. The company offers savings deposit products, including demand deposits, lump-sum deposits and withdrawal, time deposit of small savings for lump-sum withdrawal, interest withdrawal on principal deposited, time-demand deposit, call deposit, swap …

Full company description

Bank of Communications Co., Ltd. provides commercial banking products and services in China and internationally. The company offers savings deposit products, including demand deposits, lump-sum deposits and withdrawal, time deposit of small savings for lump-sum withdrawal, interest withdrawal on principal deposited, time-demand deposit, call deposit, swap management, and education deposit; personal certificate of deposit; salary financing; and foreign currency deposit. It also provides credit, quasi-credit, and debit cards; new housing and second-hand mortgage loans and unsecured personal loans; personal wealth management advisor services; and precious metal and commodity trading services. In addition, the company offers corporate structured deposit and corporate certificate of deposit; corporate cash management; industrial chain finance program comprising prepayment financing, inventory financing, accounts receivable financing and accounts payable financing; syndicated loans; corporation overdraft; investment banking services; and offshore banking services. Further, the company provides bond account activation, bond distribution, and transaction services; related bond escrow and settlement, pledge registration, and principal and interest payment services; training and consulting services for cooperative banks; cross-border inter-bank payments system services; consignment sales of precious metal products; bond underwriting distribution; third party bond depository services; bank derivatives transfer; b-share transfer; bank-futures transfer; standard warehouse warrant pledged financing; institutional investment consulting, wealth management, and insurance services; and clearing and settlement services for future markets. The company was founded in 1908 and is headquartered in Shanghai, the People's Republic of China.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Bank of Communications Co reported revenue of ¥262B in FY2025 versus ¥203B in FY2021, a compound +6.6%/yr. Reported net income was ¥96.5B in FY2025, compounding +2.5%/yr from FY2021.

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Peer Group

Banks - Diversified · 47 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Valuation Multiples vs Banks - Diversified median · lower = cheaper

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

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Frequently asked questions

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.