Risk factor
Very high price volatility
Profitability factor
Excellent dividends
About
Luzhou Bank Co., Ltd. engages in the provision of corporate and retail banking, financial market, and other services in the People's Republic of China. The company operates in four segments: Corporate Banking, Retailing Banking, Financial Markets, and Other. It offers corporate banking products and services, such as corporate loans, bill discounting, corporate deposits, corporate products, and financial services for micro and small enterprises; and retail banking products and services comprising retail deposits, personal business and consumption loans, and personal residential and commercial mortgage loans, as well as bank cards, wealth management products, trust plans, precious metal products and services, collection and remit tax services, and other intermediary services. The company is also involved in financial markets business that consists of money market transactions, such as interbank deposits, interbank lending and borrowing, bond repurchase, bill rediscount, and issuance of interbank certificates of deposit; investment business, including bond and SPV investment; and asset management activities. In addition, it provides settlement and agency services, guarantees and credit commitments, and investment banking services. The company was formerly known as Luzhou City Commercial Bank Co., Ltd. and changed its name to Luzhou Bank Co., Ltd. in June 2019. Luzhou Bank Co., Ltd. was incorporated in 1997 and is headquartered in Luzhou, China.
Company Valuation
Based on key historical and expected multiples, the stock is undervalued relative to its peers. In particular, the stock is underpriced on P/E. Editor's note: P/CR is P