[ET Net News Agency, 19 August 2019] HSBC Global Research tweaked its target price for
Ping An Insurance (02318) to HK$128 from HK$129 and maintained its "buy" rating.
The research house noted its key takeaways from 1H analyst meeting: (1) Management is
confident of delivering life NBV growth >7.3% over 2019/2018, (2) Refreshed life product
offerings should be supportive of further improvements, (3) Agency management is focused
on quality over quantity, (4) HSBC assumed tax rates of 18% for Life and 22.5% for P&C for
2019, (5) The P&C combined ratio marginally deteriorated, and (6) The P&C commission ratio
is now at a more reasonable level after regulatory intervention.
HSBC revised its NBV estimates by 1-2% lower over 2019-2021 despite the small beat at
1H. (KL)