The China Securities Regulatory Commission released the official version of the "Guidance No. 10 on the Supervision of Listed Companies - Market Cap Management," which has certain optimizations and adjustments in areas such as institutional disclosure, the scope of long-term underperforming companies, index selection, and regulatory measures.

Dongguan Securities pointed out that the banking sector is comprehensively in a state of underperformance, and the "Guidance" is expected to provide an opportunity for valuation reconstruction in the banking sector. Moreover, a series of recent incremental financial policies aimed at helping local areas resolve debt risks, supporting large state-owned commercial banks in replenishing core Tier 1 capital through the issuance of special government bonds, promoting stability and recovery in the real estate market, and introducing tools to facilitate swaps also constitute substantial bullish factors for the banking sector.

China Securities Co., Ltd. pointed out that after the release of a package of policies aimed at stabilizing the economy and expanding monetary supply, market pessimism has somewhat alleviated, and expectations for economic recovery improved, leading to a recovery in bank valuations under the influence of these policies. However, the actual macroeconomic indicators are still in the process of gradual recovery, with the banking sector facing a backdrop of "strong policy expectations, weak fundamental reality."

China Securities Co., Ltd. anticipates that the current round of monetary and fiscal policies will stimulate further economic recovery, thereby driving significant improvements in the fundamentals of the banking sector.

According to the Zhitoong Finance APP, GTJA Securities released a research report stating that by 2025, it is expected that the excess returns of the banking sector will converge, with the trading theme gradually shifting from dividends to recovery. In addition to an overall increase in sector valuation, individual stocks will begin to differentiate again. The expected warming accompanied by an increase in risk appetite will gradually shift market investment styles towards growth, with banks, representing a steady dividend strategy, experiencing a reduction in excess returns. Within the sector, as the operating prosperity of the industry rebounds, companies will have the opportunity to leverage their competitive advantages in asset acquisition and risk pricing, allowing them to be revalued by the market and leading to differentiation in individual stock valuations.

From the trading rhythm perspective, in 2025, the banking sector will face structural investment opportunities during the cross-year period, during potential China-U.S. trade friction stages, and in the initial phase of the second half of the year when policies take effect and the economy shows signs of improvement.

The related Hong Kong stocks in the Inner Banks Sector include:

Agricultural Bank Of China (1288), CM BANK (03968), MINSHENG BANK (01988), CEB BANK (06818), Bank Of China (03988), Industrial And Commercial Bank Of China (01398), Bank Of Zhengzhou (06198), etc.