CITIC Bank is affiliated to CITIC Group and is a state-owned super-large joint-stock bank. CITIC Bank's branches are already spread all over the country. CITIC Bank also has a nationwide wide coverage of joint-stock bank. Currently, CITIC Bank's total assets have reached 7.89 trillion yuan, and it is a joint-stock bank with extremely high total assets.
The biggest feature of CITIC Bank is that its price-to-earnings ratio is extremely low
Currently, CITIC Bank's price-to-earnings ratio is at an extremely low historical low point. The current price-to-earnings ratio is only 4.4, and the historical lowest price-to-earnings ratio occurred in November last year. The price-to-earnings ratio was low to 4.08, which belongs to the super low price-to-earnings ratio range. Currently, the only ones lower than CITIC Bank in terms of price-to-earnings ratio are Minsheng Bank , Chongqing Rural Commercial Bank and Beijing Bank , so CITIC Bank has fallen into the value area.
CITIC Bank's historical dividend yield is still relatively high
CITIC Bank's current dividend yield has soared to a historical high, with a dividend yield reaching 5.49%. This is a super high dividend yield, and the highest historical dividend yield also occurred last year. Therefore, CITIC Bank's current dividend yield is a very valuable investment area. CITIC Bank's historical average dividend yield is not high. Most of the time, the dividend yield is around 3.5%, and only recently the dividend yield has soared to more than 5%.
CITIC Bank's historical performance is not bad
CITIC Bank's annual net profit can remain at around 50 billion for a long time. Of course, CITIC Bank's net profit growth rate has remained at a low level for a long time, and its net profit growth rate for 7 years is less than 5%. Therefore, it is difficult to say that CITIC Bank has relatively good performance in the future. After all, the competition among banks across the country is very large, and urban commercial banks everywhere have poached the performance of a large number of joint-stock banks and state-owned banks, so the path of joint-stock banks will be even more difficult to follow in the future.
CITIC Bank's historical dividend rate is still relatively low
Currently, CITIC Bank's dividend rate is only 27.02%, and the average dividend rate in the past was only about 26%, which is a relatively low dividend rate. There is still room for improvement in the future dividend rate, but in the past performance period, the dividend rate has not increased. Therefore, the possibility of a future dividend rate stabilizing at 27% is very high. It is a very high ability to increase the dividend rate to 30%.
Over the past years, CITIC Bank's dividend payouts and net profit growth rates are still relatively synchronized. The year-on-year dividend growth rate can keep up with the net profit growth rate. Therefore, analyzing CITIC 's future dividend yield can be easily predicted based on the net profit growth rate.
So what about CITIC Bank's future high dividend yield value investment?
1. Assuming that the dividend rate of CITIC Bank is stable at around 27% in the future;
2. Assuming that CITIC Bank's future dividend growth rate is about 6%;
Then buy at the current share price of CITIC Bank of 4.86 yuan, then the dividend rate of CITIC Bank in the next 10 years is:
It can be found that by 2031, CITIC Bank's current dividend rate based on the current 4.86 yuan will be only 9.22%, which is a relatively low expectation. Then the recovery rate of CITIC Bank's high dividend investment in the next 10 years will be 71.64%, which is still relatively high. investment recovery period is 13 years, which is a relatively short term. The reason why CITIC Bank can achieve such a short term is that its current dividend yield is relatively high, which is similar to Agricultural Bank of China and Bank of China .
