# Bank of Communications (601328.SHG)

Canonical: https://gigainvestors.com/s/601328.SHG

Analysis as of: 2026-10-16T07:33:39.836Z. Financial observations: FY2015–FY2025.

Listing currency: CNY. Reporting currency: CNY.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: pass; earnings resilience is evidence only). Published buy qualification: no.

Share price: CNY 8.14 per share; close as of 2026-10-15.

Estimated value: low CNY 9.33 per share, central CNY 11.10 per share, high CNY 13.68 per share. Buy at or below the central value CNY 11.10 per share. Valuation as of 2026-10-16T07:33:39.836Z; scenarios are not confidence intervals.

Expected annual return: 11.9% at the stated quote. About 11.9% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; CN 10-year bond 1.7% + 4 points).

## Checklist

### understandable: pass

- Financial history: 10 years

- Profitable years in the last ten: 10

- Required profitable years: 9

- Return on common equity variation (informational): 0.13×

Chart: Net income; fiscal year observations.

- FY2016: CNY 66B

- FY2017: CNY 68B

- FY2018: CNY 71B

- FY2019: CNY 75B

- FY2020: CNY 74B

- FY2021: CNY 82B

- FY2022: CNY 85B

- FY2023: CNY 93B

- FY2024: CNY 94B

- FY2025: CNY 97B

### moat: fail

- Tangible common book per share

- Parent-total proxy for preferred equity and common earnings

- median return on common equity below threshold

- Bank / P&C ROTE, median of available years: 8.6%

- Required median return: 12.0%

- Return uses tangible common equity: Yes

- Bank ROTE, second-lowest year: 8.2%

- Years with reported combined ratio: 0

Chart: Return on tangible common equity; fiscal year observations.

- FY2016: 11.7%

- FY2017: 11.1%

- FY2018: 10.2%

- FY2019: 9.5%

- FY2020: 8.6%

- FY2021: 8.5%

- FY2022: 8.3%

- FY2023: 8.6%

- FY2024: 8.2%

- FY2025: 8.2%

### economics: pass

- Tangible common book per share

- Parent-total proxy for preferred equity and common earnings

- Book value per share + reinvested dividends, annualized return: 11.3%

- Book return interval: 10 years

- Starting book value per share: CNY 7.03

- Ending book value per share: CNY 13.36

Chart: Annual book + dividend return; fiscal year observations.

- FY2016: 12.7%

- FY2017: 14.5%

- FY2018: 17.1%

- FY2019: 16.5%

- FY2020: 14.9%

- FY2021: 15.7%

- FY2022: 2.7%

- FY2023: 11.6%

- FY2024: 9.9%

- FY2025: -0.8%

### management: pass

- Tangible common book per share

- Parent-total proxy for preferred equity and common earnings

- Diluted shares, 10-year annual growth: 1.9%

- Diluted shares, 5-year annual growth: 3.6%

- Share growth excluding flagged crisis recapitalisations: 1.9%

- Five-year share growth excluding flagged crisis recapitalisations: 3.6%

- Flagged crisis recapitalisations: 0

- Book created / earnings retained after dividends and buybacks: 1.52×

- Book value created per share: CNY 6.32

- Earnings retained per share after dividends and buybacks: CNY 4.16

Chart: Shares (first year = 100); fiscal year observations.

- FY2015: 100

- FY2016: 101

- FY2017: 100

- FY2018: 101

- FY2019: 103

- FY2020: 101

- FY2021: 102

- FY2022: 110

- FY2023: 110

- FY2024: 110

- FY2025: 120

### accounting: pass

- Financial accounting warning count: 0

- Known restatement years: 0

## Holders

## Price story

The price assumes profits grow 2.8% a year forever · net income +3.1%

Story as of 2026-10-16T09:59:57.090Z; price observation 2026-10-15.

The price assumes profits grow 2.8% a year forever

### Net income · FY2025

net income +3.1%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: CNY 66B 

- FY2017: CNY 68B 

- FY2018: CNY 71B 

- FY2019: CNY 75B 

- FY2020: CNY 74B 

- FY2021: CNY 82B 

- FY2022: CNY 85B 

- FY2023: CNY 93B 

- FY2024: CNY 94B 

- FY2025: CNY 97B 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in diversified banking; annual sales are CNY 262.1 billion.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:39.836Z); FY2025: revenue 262087000000.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 601328.SHG: 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.

### Why customers stay

It earns 8.6% on shareholders’ money, excluding intangible assets.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:39.836Z); 10-year return on tangible equity observations [[2016,0.1170801110677651],[2017,0.11115207737356513],[2018,0.10220642208437082],[2019,0.09450129383556699],[2020,0.08564814009754243],[2021,0.08534972687837497],[2022,0.08319633671198283],[2023,0.08562244976163148],[2024,0.08216029624271114],[2025,0.08161812149949219]]; median 0.08563529492958696. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Paid dividends in 10 of 10 years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:39.836Z); Dividend observations: [[2016,24905000000],[2017,32062000000],[2018,23852000000],[2019,34628000000],[2020,27785000000],[2021,44502000000],[2022,48939000000],[2023,50390000000],[2024,52182000000],[2025,57343000000]]. Zero only counted when supported by a complete cash-flow statement.

### Are managers owners

Insiders own 64.5% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 601328.SHG SharesStats.PercentInsiders = 64.493 percentage points; cache date 2026-10-16.

### What the price says

The price assumes profits grow 2.8% a year forever.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:39.836Z); Price 8.14; FX 1; original perpetual distributable cash 0.5871921751020392; discount 0.1; growth 0.027863369152083636. Same book-value model and 4× ceiling; no ten-year operating fade applies. Closing-price date 2026-10-15.

## Monthly share-price history (CNY per share)

- 2016-10: CNY 5.62 per share

- 2016-11: CNY 5.86 per share

- 2016-12: CNY 5.77 per share

- 2017-01: CNY 6.02 per share

- 2017-02: CNY 6.23 per share

- 2017-03: CNY 6.23 per share

- 2017-04: CNY 6.02 per share

- 2017-05: CNY 6.20 per share

- 2017-06: CNY 6.16 per share

- 2017-07: CNY 6.40 per share

- 2017-08: CNY 6.58 per share

- 2017-09: CNY 6.32 per share

- 2017-10: CNY 6.22 per share

- 2017-11: CNY 6.31 per share

- 2017-12: CNY 6.21 per share

- 2018-01: CNY 6.78 per share

- 2018-02: CNY 6.50 per share

- 2018-03: CNY 6.18 per share

- 2018-04: CNY 6.18 per share

- 2018-05: CNY 6.02 per share

- 2018-06: CNY 5.74 per share

- 2018-07: CNY 5.75 per share

- 2018-08: CNY 5.62 per share

- 2018-09: CNY 5.84 per share

- 2018-10: CNY 6.00 per share

- 2018-11: CNY 5.85 per share

- 2018-12: CNY 5.79 per share

- 2019-01: CNY 6.25 per share

- 2019-02: CNY 6.40 per share

- 2019-03: CNY 6.24 per share

- 2019-04: CNY 6.18 per share

- 2019-05: CNY 5.96 per share

- 2019-06: CNY 6.12 per share

- 2019-07: CNY 5.81 per share

- 2019-08: CNY 5.41 per share

- 2019-09: CNY 5.45 per share

- 2019-10: CNY 5.61 per share

- 2019-11: CNY 5.51 per share

- 2019-12: CNY 5.63 per share

- 2020-01: CNY 5.47 per share

- 2020-02: CNY 5.20 per share

- 2020-03: CNY 5.16 per share

- 2020-04: CNY 5.18 per share

- 2020-05: CNY 5.11 per share

- 2020-06: CNY 5.13 per share

- 2020-07: CNY 4.76 per share

- 2020-08: CNY 4.73 per share

- 2020-09: CNY 4.54 per share

- 2020-10: CNY 4.53 per share

- 2020-11: CNY 4.71 per share

- 2020-12: CNY 4.48 per share

- 2021-01: CNY 4.46 per share

- 2021-02: CNY 4.57 per share

- 2021-03: CNY 4.95 per share

- 2021-04: CNY 4.81 per share

- 2021-05: CNY 4.90 per share

- 2021-06: CNY 4.90 per share

- 2021-07: CNY 4.28 per share

- 2021-08: CNY 4.42 per share

- 2021-09: CNY 4.50 per share

- 2021-10: CNY 4.52 per share

- 2021-11: CNY 4.57 per share

- 2021-12: CNY 4.61 per share

- 2022-01: CNY 4.74 per share

- 2022-02: CNY 4.78 per share

- 2022-03: CNY 5.11 per share

- 2022-04: CNY 5.08 per share

- 2022-05: CNY 4.91 per share

- 2022-06: CNY 4.98 per share

- 2022-07: CNY 4.62 per share

- 2022-08: CNY 4.58 per share

- 2022-09: CNY 4.62 per share

- 2022-10: CNY 4.45 per share

- 2022-11: CNY 4.72 per share

- 2022-12: CNY 4.74 per share

- 2023-01: CNY 4.85 per share

- 2023-02: CNY 4.90 per share

- 2023-03: CNY 5.11 per share

- 2023-04: CNY 5.57 per share

- 2023-05: CNY 5.85 per share

- 2023-06: CNY 5.80 per share

- 2023-07: CNY 5.82 per share

- 2023-08: CNY 5.55 per share

- 2023-09: CNY 5.76 per share

- 2023-10: CNY 5.63 per share

- 2023-11: CNY 5.84 per share

- 2023-12: CNY 5.74 per share

- 2024-01: CNY 6.00 per share

- 2024-02: CNY 6.27 per share

- 2024-03: CNY 6.34 per share

- 2024-04: CNY 6.88 per share

- 2024-05: CNY 7.05 per share

- 2024-06: CNY 7.47 per share

- 2024-07: CNY 7.36 per share

- 2024-08: CNY 7.11 per share

- 2024-09: CNY 7.40 per share

- 2024-10: CNY 7.11 per share

- 2024-11: CNY 7.33 per share

- 2024-12: CNY 7.77 per share

- 2025-01: CNY 7.25 per share

- 2025-02: CNY 7.21 per share

- 2025-03: CNY 7.45 per share

- 2025-04: CNY 7.47 per share

- 2025-05: CNY 7.60 per share

- 2025-06: CNY 8.00 per share

- 2025-07: CNY 7.65 per share

- 2025-08: CNY 7.27 per share

- 2025-09: CNY 6.72 per share

- 2025-10: CNY 7.18 per share

- 2025-11: CNY 7.59 per share

- 2025-12: CNY 7.25 per share

- 2026-01: CNY 6.62 per share

- 2026-02: CNY 6.55 per share

- 2026-03: CNY 7.00 per share

- 2026-04: CNY 6.80 per share

- 2026-05: CNY 6.66 per share

- 2026-06: CNY 6.43 per share

- 2026-07: CNY 7.18 per share

- 2026-08: CNY 7.24 per share

- 2026-09: CNY 7.75 per share

- 2026-10: CNY 7.98 per share

## Annual estimated value (CNY per share)

- FY2016: low CNY 16.46 per share, central CNY 20.57 per share, high CNY 27.43 per share

- FY2017: low CNY 16.65 per share, central CNY 20.81 per share, high CNY 27.75 per share

- FY2018: low CNY 15.86 per share, central CNY 19.82 per share, high CNY 26.43 per share

- FY2019: low CNY 15.17 per share, central CNY 18.96 per share, high CNY 25.28 per share

- FY2020: low CNY 13.04 per share, central CNY 16.29 per share, high CNY 21.73 per share

- FY2021: low CNY 11.98 per share, central CNY 14.98 per share, high CNY 19.97 per share

- FY2022: low CNY 11.48 per share, central CNY 14.36 per share, high CNY 19.14 per share

- FY2023: low CNY 11.16 per share, central CNY 13.95 per share, high CNY 18.59 per share

- FY2024: low CNY 10.37 per share, central CNY 12.52 per share, high CNY 15.80 per share

- FY2025: low CNY 9.32 per share, central CNY 11.08 per share, high CNY 13.66 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

Prior published observations retained from 2026-10-15T06:39:25.987Z where newer inputs omit a numeric field or fiscal period.

## Sources

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.

## Reported holder observations