BANK OF SUZHOU(002966) 国泰君安·2024-04-29 08:32Investment Rating - The investment rating for Suzhou Bank is "Buy" with a target price of 9.21, maintaining the previous rating of "Buy" [1][2]. Core Insights - Suzhou Bank demonstrates excellent asset quality and outstanding growth potential, with stable revenue and profit growth, and rapid loan and deposit growth [1][2]. - The bank's net profit growth is expected to maintain a double-digit increase throughout the year, supported by solid asset quality and a decrease in credit impairment [1][2]. - The bank's loan growth rate is projected at 17.1% and deposit growth at 16.4% year-on-year, with significant increases in new loans [1][2]. Summary by Sections Financial Performance - Revenue for 2023 is projected at 11,866 million, with a growth rate of 0.88%, and for 2024, it is expected to reach 12,369 million, reflecting a growth rate of 4.24% [1]. - Net profit attributable to shareholders is forecasted to be 4,601 million for 2023, increasing to 5,203 million in 2024, indicating a growth of 13.10% [1]. - The bank's earnings per share (EPS) is expected to rise from 1.22 in 2023 to 1.36 in 2024 [1]. Asset Quality - The bank maintains a non-performing loan (NPL) ratio of 0.84% as of Q1 2024, with a stable outlook on asset quality [1]. - The bank's provisioning is considered sufficient, and its risk appetite remains low, contributing to overall manageable risk levels [1]. Market Position - Suzhou Bank is the only city commercial bank in Suzhou with independent legal person status, focusing on corporate, personal, and funding businesses [2]. - The bank aims to enhance its market share by targeting small and micro enterprises, agriculture, and technology finance sectors [2].