China Banks Sector - REVISING EARNINGS FORECASTS


Revising estimates
  Earnings drivers better than anticipated
  Three potential catalysts for the banking sector
  Some further upside, prefer ICBC and CCB
Focus tables
Earnings drivers
  Loan growth
  Deposit growth to continue to lag loan growth
  Margins—expect some compression
  Fee income growth—to remain weak
  Operating expenses
  PPOP growth to come down to high single digits
  Asset quality
  Earnings revisions and valuation
China banks: Valuation snapshot

China banks: Operational snapshot