HK Stock Market Move | Several Chinese bank stocks hit record highs again. The third-quarter reports of listed banks begin to be disclosed. The valuation anchor for banks has shifted to dividend returns.

Mainland Chinese bank stocks rose collectively, with ICBC, CCB, and ABC hitting record highs again. As of press time, BQD (03866) rose 5.43% to HK$5.045; China Construction Bank Corporation (00939) rose 2.72% to HK$10.19; BANKCOMM (03328) rose 2.69% to HK$8.59; Industrial and Commercial Bank of China (01398) rose 2.50% to HK$7.795. On the news front, the disclosure of third-quarter reports by listed banks has recently begun. Ping An Bank was the first to report, posting operating revenue of RMB103.1 billion for the first three quarters, up 2.4% year on year; net profit attributable to shareholders of the parent company was RMB39.186 billion, up 2.2% year on year. BQD released its third-quarter report on October 28, posting operating revenue of RMB12.665 billion for the first three quarters, up 15.00% year on year; net profit attributable to shareholders of the parent company was RMB4.617 billion, up 15.67% year on year, maintaining double-digit growth for 15 consecutive reporting periods. It is worth noting that interim dividends from listed banks continue to be implemented. So far, 21 A-share listed banks have disclosed their 2026 interim dividend plans, with total proposed dividends exceeding RMB260 billion. The payout ratio of the six major banks has increased from 30% to 31%. Sinolink said that the valuation anchor for banks is shifting from a one-sided decline in net interest margin to sustainable dividend returns. The CSI Bank Index currently has a dividend yield of nearly 4.6%, a spread of more than 3 percentage points over the 1.63% yield on 10-year Chinese government bonds.