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601939:SSEChina Construction Bank Corporation Class A Analysis

Data as of 2026-05-28 - not real-time

CN¥10.09

Latest Price

7/10Risk

Risk Level: Medium

Executive Summary

China Construction Bank is trading at CNY 10.09, comfortably above its 20‑day SMA of 9.88 but still below the calculated resistance of 10.45, indicating room for upside while the bullish MACD (signal bullish) and positive histogram (+0.03) confirm short‑term momentum.
Fundamentally, the stock appears significantly undervalued with a trailing P/E of 7.76 versus an industry average of 16.54, a price‑to‑book of 0.74 and a P/B of 0.74, suggesting the market is pricing the bank well below its book value and earnings potential.
Risk‑wise, the equity shows a modest 30‑day volatility of 17.95 %, a near‑zero beta of ‑0.02, and a recent max drawdown of ‑12.97 % while the Fear‑Greed Index sits at 93.32 (Extreme Greed), pointing to heightened market enthusiasm but also a need for caution given the high drawdown and sector‑specific regulatory exposure.

Market Outlook

Short Term

< 1 year
Neutral
Model confidence: 6/10

Key Factors

  • bullish MACD signal with positive histogram
  • RSI at 60 indicating moderate upward momentum
  • price positioned near resistance but above support

Medium Term

1–3 years
Positive
Model confidence: 7/10

Key Factors

  • trailing P/E of 7.76 far below industry average
  • strong profit margin of 55.6 % and operating margin of 68 %
  • low price‑to‑book ratio signaling deep value

Long Term

> 3 years
Positive
Model confidence: 8/10

Key Factors

  • robust balance sheet with negligible debt‑to‑equity impact
  • consistent revenue growth of 5 % and high ROE relative to peers
  • dominant market position in diversified banking sector

Key Metrics & Analysis

Financial Health

Revenue Growth5.00%
Profit Margin55.63%
P/E Ratio7.8
ROE9.55%
ROA0.76%
P/B Ratio0.7
Op. Cash FlowCN¥-693275983872
Industry P/E16.5

Technical Analysis

TrendBullish
RSI60.2
SupportCN¥9.49
ResistanceCN¥10.45
MA 20CN¥9.88
MA 50CN¥9.62
MA 200CN¥9.25
MACDBullish
VolumeIncreasing
Fear & Greed Index93.32

Valuation

GradeUndervalued
TypeValue

Risk Assessment

Beta-0.02
Volatility17.95%
Sector RiskMedium
Reg. RiskHigh
Geo RiskMedium
Currency RiskLow
Liquidity RiskLow

This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.