China Merchants Bank is a Chinese bank based in Shenzhen. According to total assets, it is China's sixth largest bank. It operates branches in the 30 largest cities of China.
P/E ratio for CM Bank (3968.HK)
P/E ratio as of October 2023 (TTM): 5.13
According to CM Bank's latest financial reports and stock price the company's current price-to-earnings ratio (TTM) is 5.12543. At the end of 2021 the company had a P/E ratio of 10.7.
P/E ratio history for CM Bank from 2006 to 2022
PE ratio at the end of each year
| Year | P/E ratio | Change |
|---|---|---|
| 2021 | 10.7 | -0.52% |
| 2020 | 10.8 | 7.96% |
| 2019 | 9.98 | 27.94% |
| 2018 | 7.80 | -16.37% |
| 2017 | 9.33 | 41.83% |
| 2016 | 6.58 | -0.59% |
| 2015 | 6.62 | -3.3% |
| 2014 | 6.84 | 24.63% |
| 2013 | 5.49 | -18.18% |
| 2012 | 6.71 | -11.06% |
| 2011 | 7.55 | -43.87% |
| 2010 | 13.4 | -25.62% |
| 2009 | 18.1 | 115.71% |
| 2008 | 8.38 | -69.97% |
| 2007 | 27.9 | -17.42% |
| 2006 | 33.8 |
P/E ratio for similar companies or competitors
| Company | P/E ratio | P/E ratio differencediff. | Country |
|---|---|---|---|
 Bank of China 601988.SS | 4.98 | -2.86% | 🇨🇳 China |
 HSBC HSBC | 6.55 | 27.86% | 🇬🇧 UK |
How to read a P/E ratio?
The Price/Earnings ratio measures the relationship between a company's stock price and its earnings per share. A low but positive P/E ratio stands for a company that is generating high earnings compared to its current valuation and might be undervalued. A company with a high negative (near 0) P/E ratio stands for a company that is generating heavy losses compared to its current valuation.
Companies with a P/E ratio over 30 or a negative one are generaly seen as "growth stocks" meaning that investors typically expect the company to grow or to become profitable in the future.
Companies with a positive P/E ratio bellow 10 are generally seen as "value stocks" meaning that the company is already very profitable and unlikely to strong growth in the future.