HZBank(600926) 东方证券·2024-07-26 06:02Investment Rating - The investment rating for Hangzhou Bank is "Buy" with a target price of 15.35 CNY per share, maintaining a valuation premium of 20% over the industry average [4][2]. Core Insights - Hangzhou Bank's revenue growth rate improved by nearly 2 percentage points quarter-on-quarter in H1 2024, with a year-on-year profit growth rate exceeding 20%. The revenue and net profit attributable to the parent company for H1 2024 grew by 5.4% and 20.1% respectively, showing strong performance [1]. - The bank benefits from robust regional credit demand, maintaining a high level of loan issuance. As of H1 2024, total assets and loans grew by 13.8% and 16.5% year-on-year, respectively, supported by a solid industrial base in its operating regions [1]. - Asset quality remains excellent, with a non-performing loan ratio of 0.76% and a provision coverage ratio of 545.2%, indicating sufficient profit space to absorb potential losses [1]. Financial Performance Summary - Revenue (in million CNY) for 2024 is projected at 36,880, with a year-on-year growth of 5.3%. The net profit attributable to the parent company is expected to reach 17,292 million CNY, reflecting a growth of 20.2% [7]. - Earnings per share (EPS) for 2024 is forecasted at 2.80 CNY, with book value per share (BVPS) expected to be 18.03 CNY [2][7]. - The bank's total assets are projected to reach 2,036,599 million CNY by 2024, with a loan balance of 920,089 million CNY [9].