CCB(SH:601939) Ge Long Hui·2025-11-17 02:25Core Insights - The report from Goldman Sachs indicates that China Construction Bank (CCB) will face continued downward pressure on net interest margin until 2026, primarily due to loan repricing, although the pace of decline is expected to slow as loan pricing stabilizes and deposit cost savings materialize [1] - CCB anticipates steady growth in fee income by 2026, supported by consumer stimulus policies, and plans to offset the decline in mutual fund fees through increased sales volume [1] - Asset quality is expected to remain stable, but there is an upward trend in non-performing loan ratios in the retail sector, which will depend on the macroeconomic environment [1] - Without further interest rate cuts and with positive growth in fee income, CCB expects improvements in revenue and profit in 2026 compared to 2025, while maintaining a 30% dividend payout ratio and semi-annual dividend frequency [1] - Goldman Sachs has assigned a "Buy" rating to CCB, with a target price of HKD 8.39 for H-shares and CNY 11.18 for A-shares [1] Related Events - Zhongyin International has raised the target price for CCB's H-shares to HKD 10.44 while maintaining a "Buy" rating, following a positive review of CCB's Q3 2025 results, which highlighted the deepening of the "three major strategies" and a return to positive growth in performance [2]