NJBK(601009) 国泰君安·2024-08-04 06:01Investment Rating - The investment rating for Nanjing Bank is upgraded to "Buy" with a target price of 11.85 CNY, reflecting a 0.79 times price-to-book ratio for 2024 [2][6]. Core Views - Nanjing Bank's revenue and profit growth in the 2024 mid-year report exceeded expectations, with asset quality meeting forecasts. The new management team has made significant progress in driving reforms and improving efficiency [2][3]. - The bank's net profit growth is projected at 14.0%, 10.2%, and 10.7% for 2024-2026, with corresponding earnings per share (EPS) of 1.93 CNY, 2.14 CNY, and 2.38 CNY [3][4]. - The bank's current dividend yield for 2024 is 5.95%, indicating a combination of growth potential and stable dividends [3]. Financial Summary - Revenue for 2024 is estimated at 49,842 million CNY, reflecting a 10.4% increase from 2023 [4]. - Net profit attributable to shareholders is projected to be 21,096 million CNY in 2024, representing a 14.0% growth compared to 2023 [4]. - The bank's total assets reached 2,288,276 million CNY, with total loans amounting to 1,099,073 million CNY and total deposits at 1,396,366 million CNY [8][12]. Operational Highlights - In Q2 2024, Nanjing Bank's loan growth was 13.5% year-on-year, while financial investments increased by 13.1% [3]. - The bank's non-interest income saw a significant increase of 45.7% year-on-year, contributing 43% to total revenue [3]. - The non-performing loan (NPL) ratio remained stable at 0.83%, with a slight increase in the attention rate to 1.07% [3][4].