Guoxin Securities·2024-04-28 01:30Investment Rating - The investment rating for the company is "Buy" [4][6] Core Views - The company's performance in Q1 2024 showed stable growth with operating income of 67.1 billion yuan, remaining flat year-on-year, and a net profit attributable to shareholders of 25 billion yuan, reflecting a year-on-year increase of 1.4% [1][2] - The asset growth rate has slowed down, with total assets reaching 14.2 trillion yuan, a year-on-year increase of 4.3%, down from 8.2% at the beginning of the year [1][2] - The net interest margin decline has narrowed, with an average net interest margin of 1.27% in Q1, down 6 basis points year-on-year, but significantly better than the 20 basis points decline from the previous year [1][2] - Non-interest income has decreased by 6.4% year-on-year, primarily due to declines in insurance agency and fund distribution revenues [1][2] - Asset quality remains stable, with a non-performing loan ratio of 1.32%, a slight decrease from the beginning of the year [1][2] Financial Forecasts - The company is expected to achieve net profits of 95.4 billion yuan, 98.9 billion yuan, and 103.7 billion yuan for the years 2024, 2025, and 2026 respectively, with year-on-year growth rates of 2.9%, 3.7%, and 4.8% [1][2] - The diluted EPS is projected to be 1.18 yuan, 1.23 yuan, and 1.30 yuan for the years 2024, 2025, and 2026 respectively [1][2] - The current stock price corresponds to a PE ratio of 5.8, 5.6, and 5.3 for the years 2024, 2025, and 2026 respectively, and a PB ratio of 0.52, 0.49, and 0.46 [1][2]