Changjiang Securities released a research report saying that PB valuations of bank stocks have been completely “broken” since the second half of 2023. Among them, urban investment and real estate risks are the core influencing factors. As CITIC Chemical Bonds mitigate liquidity risks, the real estate policy will be further relaxed, which will strengthen the logic of improving asset quality, open up valuation limits, and be optimistic that the valuation of high-quality bank stocks will return above 1.0xPB. At the individual stock level, we focus on recommending China Merchants Bank (600036.SH), which has high dividends and real estate attributes, Changshu Bank (601128.SH), a high-performing stock driven by recovery expectations, Bank of Ningbo (002142.SZ), which has been deeply adjusted since 2023, and Bank of Hangzhou (500926.SH). Small and medium-sized banks recommend Ruifeng Bank (), Qilu Bank (USD), and Bank of Xiamen (Sichuan). 601528.SH 601665.SH 601187.SH Major state-owned banks focus on the high dividend value of H shares.