Goldman Sachs: Reiterates AIA's (01299) “Buy” Rating Target Price of HK$90

The Zhitong Finance App learned that Goldman Sachs released a research report stating that it reaffirms AIA's (01299) “buy” rating. It believes that headwinds in mainland China's business growth have clearly emerged, and believes that the risk and return of this stock is attractive. Based on the expected new business multiplier of 8 times, the bank kept the target price of HK$90 unchanged.

According to the report, AIA will announce operating indicators for the first quarter of 2025 before the opening of the market on April 30. The bank expects a new business value (VONB) growth rate of 7%, partially offset by a decline in mainland China due to double-digit growth in Hong Kong and Thailand, as well as a slowdown in growth in Singapore and Malaysia. The bank notes that the base effect in the first quarter was challenging. Benefiting from stronger sales momentum, the value growth of new businesses in mainland China is expected to improve during the rest of the year.