An Investment Value Analysis Of China Merchants Bank CO., LTD

After 22 years of development, China Merchants Bank has become the sixth largest commercial bank in China, ranks among the world's top 100 list of largest banks, and gradually formed its own characteristics and advantages of the operation, access to domestic and foreign media and the public widely recognized. Under the financial crisis, the investment outlook for China Merchants Bank will be what kind of impact, which is the focus of investors.From the macro-economic, industry, companies, We use the top-down method to analyze China Merchants Bank's value. Finally, we use the EVA method and P/B method to ascertain the value of China Merchants Bank, and make a reasonable valuation for small and medium-sized investors with investment advice and reference.Facing the global financial crisis, China's economic growth slowed down. In the next year or two, China's economic will be in an adjustment phase of recovery. Influenced by the macro-control effects, the scale and profit growth of domestic commercial banking has declined in varying degrees. When the appropriate monetary policy and active fiscal policy come into play, the pre-tightening of liquidity will be eased, and the performance of commercial banks will be picked up.On the full liberalization of foreign banks, domestic banking will face more intensify competition. After 5 to 8 years when foreign banks have completely develop their business in China, the development of the domestic banking will come into a mature period.Base on the China Merchants Bank's performance and financial situation, finally, we draw a conclusion that the price of China Merchants Bank shares was reasonable to 22.89 RMB～27.69 RMB. Compared with the current stock price, it is recommended investors to buy this stock the right time.