Shanghai Commercial & Savings Bank, Ltd. (5876) AI Stock Analysis

Shanghai Commercial & Savings Bank, Ltd.

(TWSE:5876)

Select Model

Rating:65Neutral

Price Target:TWD 55.00▲(6.18% Upside)

Action:initiatedcoverage

Date:11/09/26

Shanghai Commercial & Savings Bank scores in the moderate range, anchored by consistent profitability, a steadily growing equity base and improving 2025 margins, but held back by flat multi-year earnings, a modest 7.2% return on equity, sharply higher borrowings and a swing back to negative operating and free cash flow. Technicals are supportive on a multi-month view with price above the 50-, 100- and 200-day averages and a positive MACD, though momentum has cooled in recent weeks. A fair 14.5x P/E, a 3.5% dividend yield and very low market sensitivity round out a stable, income-oriented profile with limited growth momentum.

Positive Factors

Solid profitabilitySustained profitability provides an earnings base for a regional bank even as growth weakens. Net and EBIT margins near historically solid levels indicate that the core business remains economically viable and can support capital retention, lending activity, and ongoing investment.

Negative Factors

Sharp revenue declineThe sharp 2025 revenue contraction signals a meaningful loss of financial momentum and reduces the earnings base available to support growth. Unless revenue stabilizes, weaker scale can limit reinvestment, constrain operating leverage, and make future profitability more sensitive to business conditions.

Shanghai Commercial & Savings Bank, Ltd. (5876) vs. SPDR S&P 500 ETF (SPY)

Market Cap: TWD 257.18B
Dividend Yield: 3.47%
Average Volume (3M): 7.74M
Price to Earnings (P/E): 14.8
Beta (1Y): -0.12
Revenue Growth: -9.72%
EPS Growth: 14.68%
Country: TW
Employees: 6,948
Sector: General
Sector Strength: 55
Industry: Banks - Regional

Shanghai Commercial & Savings Bank, Ltd. Business Overview & Revenue Model

Company Description

The Shanghai Commercial & Savings Bank, Ltd. provides a comprehensive array of commercial banking services, serving customers both within Taiwan and across international markets. Its offerings include various deposit accounts such as time, savings, d...

Shanghai Commercial & Savings Bank, Ltd. Financial Statement Overview

Summary

A conservatively managed regional lender with dependable earnings and a steadily strengthening capital base. Net income rose about 10% to NT$14.8 billion in 2025 despite a 6% revenue decline, lifting net margin to 16.1%, and shareholders' equity has grown every year since 2020 to NT$204.9 billion (equity/assets of roughly 8.4%). Offsetting this, margins have compressed sharply from 2021 levels, profit growth has been essentially flat over six years, return on equity of 7.2% is modest, borrowings nearly doubled to NT$110.7 billion (debt-to-equity 0.54), and operating cash flow swung to a NT$29.2 billion outflow with negative free cash flow of NT$30.3 billion.

Income Statement

64Positive

Balance Sheet

69Positive

Cash Flow

45Neutral

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	89.63B	92.33B	97.95B	90.64B	60.93B	46.98B
Gross Profit	38.24B	39.99B	51.15B	48.92B	44.13B	37.93B
EBITDA	24.61B	20.23B	18.87B	23.11B	24.99B	23.80B
Net Income	17.32B	14.83B	13.48B	14.66B	14.94B	14.26B
Balance Sheet
Total Assets	2.52T	2.44T	2.50T	2.42T	2.33T	2.14T
Cash, Cash Equivalents and Short-Term Investments	60.79B	106.14B	470.77B	442.54B	403.23B	281.95B
Total Debt	145.98B	110.73B	61.47B	79.76B	67.17B	83.96B
Total Liabilities	2.23T	2.17T	2.23T	2.18T	2.10T	1.93T
Stockholders Equity	214.11B	204.92B	197.93B	183.32B	169.78B	157.80B
Cash Flow
Free Cash Flow	70.00B	-30.33B	21.78B	99.06B	87.61B	-7.71B
Operating Cash Flow	70.88B	-29.15B	23.53B	101.34B	89.13B	-6.70B
Investing Cash Flow	-157.00B	3.85B	87.45M	-2.76B	-1.65B	-4.66B
Financing Cash Flow	29.34B	-3.48B	-28.93B	2.60B	-31.40B	3.06B

Shanghai Commercial & Savings Bank, Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TW:5876 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TW:5880	66Neutral	TWD 445.22B	18.61	―	2.85%	-2.59%	24.94%
TW:5876	65Neutral	TWD 249.84B	14.76	―	3.47%	-9.72%	14.68%
TW:2801	64Neutral	TWD 333.46B	17.18	―	2.83%	3.20%	20.85%
TW:2812	64Neutral	TWD 109.87B	11.61	―	2.25%	2.05%	8.92%
TW:2838	59Neutral	TWD 88.70B	14.20	―	2.35%	-6.39%	27.60%
TW:2845	58Neutral	TWD 61.30B	12.45	―	4.08%	-13.12%	18.06%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%

* General Sector Average

Performance Comparison

TW:5876 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TW:5876	Shanghai Commercial & Savings Bank, Ltd.	51.80	14.47	38.78%
TW:2801	Chang Hwa Commercial Bank, Ltd.	28.30	9.12	47.58%
TW:2812	Taichung Commercial Bank Co., Ltd.	17.35	-2.42	-12.24%
TW:2838	Union Bank of Taiwan	19.60	2.04	11.59%
TW:2845	Far Eastern International Bank	12.60	0.52	4.33%
TW:5880	Taiwan Cooperative Financial Holding Co., Ltd.	28.10	5.36	23.55%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Nov 09, 2026

Shanghai Commercial & Savings Bank, Ltd. AI Stock Analysis