China Merchants Bank Stock Current Valuation

600036 Stock   37.30  1.50  3.87%   
Valuation analysis of China Merchants Bank helps investors to measure China Merchants' intrinsic value by examining its available valuation indicators, including the cash flow records, the balance sheet account changes and income statement patterns. At present, China Merchants' Other Cashflows From Financing Activities is projected to decrease significantly based on the last few years of reporting. The current year's Total Cash From Operating Activities is expected to grow to about 501.2 B, whereas Cash is forecasted to decline to about 956.5 B. Fundamental drivers impacting China Merchants' valuation include:
Price Book
0.8361
Enterprise Value
435.3 B
Price Sales
3.189
Forward PE
6.1996
Trailing PE
6.6607
Overvalued
Today
37.30
Please note that China Merchants' price fluctuation is very steady at this time. Calculation of the real value of China Merchants Bank is based on 3 months time horizon. Increasing China Merchants' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since China Merchants is currently traded on the exchange, buyers and sellers on that exchange determine the market value of China Stock. However, China Merchants' intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
Historical Market  37.3 Real  30.4 Hype  37.22
The real value of China Stock, also known as its intrinsic value, is the underlying worth of China Merchants Bank Company, which is reflected in its stock price. It is based on China Merchants' financial performance, growth prospects, management team, or industry conditions. The intrinsic value of China Merchants' stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, or news.
30.40
Real Value
41.03
Upside
Estimating the potential upside or downside of China Merchants Bank helps investors to forecast how China stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of China Merchants more accurately as focusing exclusively on China Merchants' fundamentals will not take into account other important factors:
Earnings
Estimates (0)
LowProjectedHigh
0.000.000.00
Details
Hype
Prediction
LowEstimatedHigh
34.9437.2239.50
Details

China Merchants Bank Company Current Valuation Analysis

China Merchants' Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.

Enterprise Value

 = 

Market Cap + Debt

-

Cash

More About Current Valuation | All Equity Analysis

Current China Merchants Current Valuation

    
  435.26 B  
Most of China Merchants' fundamental indicators, such as Current Valuation, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, China Merchants Bank is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
Competition

In accordance with the recently published financial statements, China Merchants Bank has a Current Valuation of 435.26 B. This is much higher than that of the Banks sector and significantly higher than that of the Financials industry. The current valuation for all China stocks is significantly lower than that of the firm.

China Current Valuation Peer Comparison

Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses China Merchants' direct or indirect competition against its Current Valuation to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of China Merchants could also be used in its relative valuation, which is a method of valuing China Merchants by comparing valuation metrics of similar companies.
China Merchants is currently under evaluation in current valuation category among its peers.

China Merchants ESG Sustainability

Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, China Merchants' sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to China Merchants' managers, analysts, and investors.
Environment Score
Governance Score
Social Score

China Fundamentals

About China Merchants Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze China Merchants Bank's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of China Merchants using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of China Merchants Bank based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.

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Other Information on Investing in China Stock

China Merchants financial ratios help investors to determine whether China Stock is cheap or expensive when compared to a particular measure, such as profits or enterprise value. In other words, they help investors to determine the cost of investment in China with respect to the benefits of owning China Merchants security.