Seeking Alpha

China Construction Bank Corp. (CICHF)

- OTCPK - Current
  • Oct. 11, 2011, 9:46 AM
    Chinese bank stocks sky after Huijin Investments - an arm of China's SWF - buys $31M worth of shares in the 4 major lenders. Huijin is already controlling shareholder of those banks, so its move is not totally unlike Berkshire Hathaway stepping into the market to buy up stock in BRK.A.
    | Oct. 11, 2011, 9:46 AM | Comment!
  • Oct. 10, 2011, 8:15 AM
    Of the Chinese bank stock buys, the folks at beyondbrics note the last time China stepped in to buy the lenders was September 2008 - the stock market bottomed shortly afterwards. Off 28% this year, a popular China ETF, FXI is +2.3% premarket.
    | Oct. 10, 2011, 8:15 AM | Comment!
  • Sep. 20, 2011, 3:06 PM
    Reports that 85% of local government borrowers in Liaoning missed loan payments in 2010 ought to raise the eyebrows of those who think Chinese banks are cheap. Chinese lenders aren't as nearly as well-capitalized as Tier 1 ratios would indicate, and owners are likely to face dividend cuts, dilution, or both. China financial ETF: CHIX -24% YTD.
    | Sep. 20, 2011, 3:06 PM | 2 Comments
  • Aug. 29, 2011, 11:28 AM
    Singapore's SWF - Temasek Holdings - is among those purchasing the shares of China Construction Bank (CICHF.PK) being unloaded by Bank of America (BAC), say sources. A slick move by Temasek, which sold a chunk of its CCB holdings earlier this summer at far higher prices.
    | Aug. 29, 2011, 11:28 AM | Comment!
  • Aug. 26, 2011, 8:48 AM
    Chinese banking shares may look cheap - especially in light of recently reported surging profits - but murky reporting, including a lack of information about exposure to massive local government debt are good reasons for such valuation. A strong stomach and patience is required (Buffett?) for those looking to buy. CHIX -17.6% YTD.
    | Aug. 26, 2011, 8:48 AM | Comment!
  • Aug. 22, 2011, 7:59 AM
    BofA (BAC +3.4%) has not told China Construction Bank (CICHF.PK) that it plans to sell any of its $17B holding in the Asian company, CCB says. The comments follow reports BofA has held initial talks to sell some of its stake to the principal investment funds of Kuwait and Qatar.
    | Aug. 22, 2011, 7:59 AM | Comment!
  • Aug. 18, 2011, 7:42 AM
    Hot fund manager Rajiv Jain begs to differ with consensus forecasts for big gains in beaten down Chinese banking shares. "Non-performing loans are going to be shockingly high," he says, "if you look at the accounting, I don't see how anyone could put a penny there." China fin'l ETF: CHIX -11.6% YTD.
    | Aug. 18, 2011, 7:42 AM | Comment!
  • Jun. 20, 2011, 8:42 AM
    Credit Suisse downgrades China's banks, swinging from overweight to underweight without stopping at neutral. Importantly, the bank tags what could be the next sovereign risk issue, as massive local off-balance sheet financing begins to move onto Beijing's books. CHIX -4.3% YTD.
    | Jun. 20, 2011, 8:42 AM | Comment!
  • Jun. 17, 2011, 1:03 PM
    Contrarians may have interest in the increasing conviction of short-sellers of Chinese shares. One example: in Wednesday trade in Hong Kong, 1/5th of the turnover of Chinese bank stocks was shorted. "The divergence (between bulls and bears) has never been so huge," says an analyst.
    | Jun. 17, 2011, 1:03 PM | 1 Comment
  • Jun. 8, 2011, 8:50 AM
    Tighter Chinese monetary policy may cause the country's banks to rely less on asset growth and more on fees to generate income, says Ernst & Young. The report fails to note the extent to which these lenders are vassals of the State and will ultimately direct their focus to where they are told.
    | Jun. 8, 2011, 8:50 AM | Comment!
  • Jun. 2, 2011, 2:58 PM
    Acknowledging a housing bubble in China, the head of China Construction Bank (CICHF.PK), the country's largest mortgage lender, says the lack of leverage in the property sector should limit any downturn. On the yuan, he sees the currency becoming fully convertible within 5 years.
    | Jun. 2, 2011, 2:58 PM | 1 Comment
  • Jun. 2, 2011, 12:27 PM
    "We're going to see some major recapitalization (of the banking system) coming at some point," says Fraser Howie, who predicts more financial shenanigans as China seeks to overlay a new wave of real estate-related credit on top of the existing one. Authorities hope to build 36M low-cost homes by 2015.
    | Jun. 2, 2011, 12:27 PM | 1 Comment
  • Apr. 26, 2011, 8:22 AM
    Capital targets for China's 5 largest banks have been raised above the 11.5% minimum ratio by banking regulators. The higher level allows the banks a greater cushion in the event of losses and may also help stem the country's gusher of credit growth. CHIX +7.6% YTD.
    | Apr. 26, 2011, 8:22 AM | Comment!
  • Apr. 25, 2011, 8:05 AM
    China's banks have been ordered to conduct a new round of stress tests, this time assuming a 50% drop in property prices as a worst case scenario. Now that's a stress test.
    | Apr. 25, 2011, 8:05 AM | 1 Comment
  • Apr. 13, 2011, 10:16 AM
    With credit expansion expected to continue to surge, China's banks will need to raise $131B of fresh capital over the next 5 years, according to a regulatory source. Bloomberg calculates this amounts to about 13% of the total stock market capitalization of China's banking system. CHIX +2.4%.
    | Apr. 13, 2011, 10:16 AM | Comment!
  • Apr. 13, 2011, 9:19 AM
    Citing the "high likelihood of a significant deterioration" in bank asset quality within 3 years, Fitch lowers its outlook on China's credit to "negative." Fitch doesn't buy the banking system's reported NPL figure of 1.1%, arguing a truer number would eliminate the lenders' loss-cushioning capital.
    | Apr. 13, 2011, 9:19 AM | 3 Comments
CICHF vs. ETF Alternatives
Company Description
Currently, there's no company description for CICHF.
Sector: Financial
Country: China