In "The Big Banks," China International Capital Corporation maintains a target price of 60.49 yuan for China Merchants Bank, boosted by last year's fourth-quarter earnings forecast

CICC published a report stating that it maintains its forecast for China Merchants Bank (600036.SH) to release its 2025 performance quick report, with the company's annual revenue growth turning positive at a year-on-year increase of 0.01%. The revenue for the fourth quarter of last year grew by 1.57% year-on-year; the annual net profit attributable to shareholders grew by 1.21%, with profit growth accelerating in the fourth quarter of last year, reaching a year-on-year growth rate of 3.41%. Against the backdrop of a continued low interest rate narrative, the high dividend attribute of China Merchants Bank is expected to be gradually recognized by A-share investors.

Additionally, recent selling pressure from indices such as the CSI 300 has put some pressure on the company's A-share stock price; however, the forward valuation of A-shares has now fallen below 0.8X, and the dividend yield has returned to above 5%. Investors are advised to seize the current high cost-performance allocation opportunities. Net interest income continues to perform well. The decline in non-interest income has narrowed. Asset quality remains stable. The profit forecast and "outperform the industry" rating remain unchanged. The target price for China Merchants Bank's A-shares is maintained at RMB 58.35, and the target price for its H-shares (03968.HK) is maintained at HKD 60.49