Zhi Tong Cai Jing·2025-10-31 10:08Core Viewpoint - Goldman Sachs maintains a "Buy" rating on China Construction Bank (CCB) with a target price of HKD 8.55 [1] Financial Performance - CCB's profit before provisions for the last quarter was 6% lower than expected, primarily due to a net interest margin that fell short of forecasts and an increase in the cost-to-income ratio [1] - The Common Equity Tier 1 (CET1) capital ratio stands at 14.4%, reflecting a year-on-year increase of 26 basis points, but is 32 basis points lower than predictions [1] Future Focus Areas - Investors are expected to pay close attention to the trend in CCB's net interest margin [1] - The outlook for non-interest income is also a key area of interest [1] - The trend in asset quality following a significant release of provisions due to a decline in non-performing loan generation rates will be monitored [1] - Guidance on cost control will be another important factor for investors [1]