HZBank(SH:600926) Orient Securities·2024-10-22 04:03Investment Rating - The report maintains a "Buy" rating for Hangzhou Bank with a target price of 16.49 CNY per share [4][2]. Core Views - The revenue structure has improved, with net interest income growth continuing to rise quarter-on-quarter, benefiting from high asset deployment and stable interest margins. As of Q3 2024, net interest income growth increased by 3.4 percentage points compared to H1 2024 [1]. - The bank's asset and liability scale continues to grow rapidly, with total assets and loans showing year-on-year growth rates of 12.7% and 15.9%, respectively. Corporate loans contributed significantly to this growth [1]. - Asset quality remains excellent, with a non-performing loan ratio of 0.76% and a provision coverage ratio of 543.3%, indicating ample room for profit support from provisions [1]. Financial Performance Summary - For the fiscal years 2024, 2025, and 2026, the forecasted year-on-year growth rates for net profit attributable to the parent company are 19.9%, 17.2%, and 13.5%, respectively. The earnings per share (EPS) are projected to be 2.76, 3.25, and 3.71 CNY [2][7]. - The current stock price corresponds to a price-to-book (PB) ratio of 0.81X, 0.71X, and 0.61X for the years 2024, 2025, and 2026, respectively [2][7]. - The bank's total revenue for 2024 is expected to reach 37,222 million CNY, with a year-on-year growth of 6.3% [7].