Bank Of Jiangsu(SH:600919) Orient Securities·2024-10-30 10:00Investment Rating - The report maintains a "Buy" rating for the company [6] Core Views - The company's revenue growth has slightly slowed due to a decline in fee income, but profit growth remains stable. As of Q3 2024, the year-on-year growth rates for revenue, PPOP, and net profit attributable to the parent company have changed by -1.0 percentage points, 2.0 percentage points, and 0.01 percentage points respectively compared to H1 2024 [1] - The bank's total assets have increased year-on-year, with a notable growth in financial investments and interbank assets. However, deposit growth has decreased, primarily due to pressure on corporate deposits. Personal loans have contributed significantly to the credit increment in the quarter [2] - The report adjusts revenue and profit forecasts based on Q3 2024 performance, predicting net profit growth rates of 11.0%, 11.2%, and 12.5% for 2024, 2025, and 2026 respectively, with corresponding EPS of 1.70, 1.89, and 2.13 yuan [3] Summary by Sections Financial Performance - As of Q3 2024, the bank's revenue, PPOP, and net profit attributable to the parent company have shown year-on-year growth rates of 5.3%, 18.6%, and 13.3% respectively for 2023, with projections for 2024 indicating a revenue of 79,453 million yuan and a net profit of 31,913 million yuan [5][10] - The bank's net interest income has slightly decreased by 0.3 percentage points compared to H1 2024, while net fee and commission income has significantly dropped by 23.2 percentage points due to slower growth in wealth management scale and high fee expenditures [1][2] Asset Quality - The bank's non-performing loan ratio remains stable at 0.89%, with a slight increase in the attention rate. The net generation rate of non-performing loans has improved, indicating stable asset quality [2] - The provision coverage ratio has decreased by 6.2 percentage points to 351%, while the loan-to-deposit ratio has slightly declined [2] Valuation and Price Target - The report employs a comparable company valuation method, assigning a 20% valuation premium to the company due to its strong asset expansion capability. The target price is set at 11.62 yuan per share, corresponding to a PB of 0.91 times for 2024 [3][6]