Bank of China (601988) Stock Price, Fundamentals & Analysis

What 601988 does

Bank of China (601988) is a large-cap stock listed on the Shanghai Stock Exchange in the Financial Services sector, within the Banks - Diversified industry. Headquartered in Beijing, China, it operates through six segments — Corporate Banking, Personal Banking, Treasury Operations, Investment Banking, Insurance, and Other — providing banking and financial services across Chinese Mainland, Hong Kong, Macao, Taiwan, and internationally. Corporate Banking offers current accounts, deposits, loans, trade-related products, and foreign currency services to corporate clients and financial institutions, while Personal Banking serves retail customers with savings, loans, credit cards, and wealth management. Treasury Operations handles foreign exchange transactions, derivatives, money market activity, and proprietary trading.

Key numbers explained

• The current price is 6.62 CNY, up +0.61% today, with a 52-week range of 5.13 – 6.73 and a 52-week price change of 27.3%.
• The trailing P/E ratio of 8.9 and the forward P/E ratio of 8.4 show how the market prices the company's earnings; lower multiples can suggest a more conservative valuation relative to earnings.
• Earnings per share (trailing 12 months) is 0.74 CNY, representing the portion of profit attributable to each share.
• The dividend yield is 3.42%, with an ex-dividend date of 10 iul. 2026, and 15% of earnings paid out as dividends.
• Beta is 0.12, indicating lower volatility compared to the broader market.
• Return on equity is 8.3%, profit margin is 43.4%, and operating margin is 56.8%, reflecting how efficiently the company converts revenue into profit and shareholder returns.
• The price-to-book ratio is 0.78, meaning the stock trades below its book value per share.
• Bank of China is part of the CSI 300 index and has peers such as Industrial Securities (601377) and Zhongtai Securities (600918).

What to watch

• Interest rate movements set by the People's Bank of China, which affect bank lending margins and net interest income.
• Regulatory changes in the Chinese financial sector that can impact capital requirements, lending practices, and fee structures.
• Macroeconomic conditions in China and internationally, including trade flows and foreign exchange rates, which influence Treasury Operations and cross-border banking.
• The company's earnings growth and dividend policy, given the modest 15% payout ratio and the relatively low dividend yield compared with some global peers.